Regionalism and Globalisation Flashcards
what is globalisation?
the increasing interdependence and interconnectedness of states in the world
3 main types - economic, political and cultural
what is the relationship between regionalism and globalisation?
each type of globalisation can be seen to be heightened by regionalism, where states in a region co-operate on an economic, security or political level
Is regionalism an aid or barrier to globalisation - Regionalism can be seen as either helping to protect against globalisation or turbocharging it
example of a link between regionalism and globalisation (economic globalisation seen in the EU, NAFTA and ASEAN)
attempts by the EU, NAFTA and ASEAN to increase trade between their member states is directly in line with economic globalisation
many economists see this as positive because more trade is good for a state’s economy as it brings greater competition and economies of scale
however, many also see such increased trade as negative because there will always be individual losers who cannot effectively compete in larger and tougher markets, which can lead to job losses and the scaling back of industries
further link between regionalism and globalisation (regionalism can be a force to defend against globalisation)
regional organisations defend against globalisation reducing state sovereignty by pooling the sovereignty of states and even allowing states to obtain more power and influence
regional organisations enable states to improve their leverage in the international system against global companies and develop their comparative advantage, which is a reason why many states join
the link between political globalisation and regionalism
political globalisation and regionalism are linked as they are effectively the same thing: the co-operation of states to aid governance and solve mutual problems
The importance of competing in a global economic market and the need to present a united political force on the world stage are both inherently a consequence of globalisation
what do critics of globalisation criticise regionalism for doing?
critics of globalisation criticise regionalism and regional organisations as enhancing and furthering globalisation
arguing that the impact on industries, communities and jobs has been brought about by the increasing ease of trade in regional economic bodies like the EU, NAFTA and ASEAN
economic regionalism and globalisation:
Economic globalisation has been met by the creation of economic regional organisations designed to promote trade and financial cooperation within the member states
NAFTA is the north Atlantic free trade association between Canada
Mexico and the US and was put together to create a trade block in
North America
However the agreement has been criticised by economic isolationists in the US such as President Donald Trump who see the deal as unfair on the USA
economic regionalism and globalisation:
This is one of the main problems plaguing regional organisations there will alwavs be individual states who accrue major advantages from the organisation and others who benefit less
it is also the case that this would be true of globalisation in general
regional organisations sometimes receive the blame for policy outcomes that are actually the result of globalisation in general and not a specific result of the regional organisation
economic regionalism and globalisation:
And important debate over economic regional organisations has arisen in Britain over leaving the EU
Members of the campaign to leave the EU argued that the EU was costing the British economy huge amounts in public money that EU regulations were stifling British competitiveness and that Britain would be able to achieve better trade outcomes outside of the EU
However those in favour of remaining in the EU argued on the contrary that the countries of the EU were the U.K.’s greatest trading partners and remaining in the trade block would ensure continued access to the EU market which in turn was necessary for the UK economy to remain as strong as it could
economic regionalism and globalisation:
The complexity of the debate surrounding Brexit reflects the myriad of different ways in which different political tribes think about economic regionalism and globalisation
Those who favoured leave argued that more access to the global market would benefit the UK and leaving the EU would make sure that Britain could be economically competitive
However those who favoured remain prefer the option of remaining in a trade block set up by countries hope to strengthen their economies in a globalised world
In the end Leave won the referendum but the debate over the effect leaving will have on the UK economy and the relationship the
UK should help with the EU after Brexit rages on
economic regionalism and globalisation:
The relationship between economic regionalism and globalisation is based on the idea that states which work together can insure their success in a global market better than the states working independently
economic regionalism and globalisation:
However opponents of regionalism argue that it is another way for strong state to come together in order to exclude weak states from economic co-operation
The EU is particularly open to this criticism working as an exclusive club of wealthy economies which impose tariffs on external states
economic regionalism and globalisation:
Regional organisations have also been accused of helping TNCs to expand their influence rather than benefiting the lives of citizens
TNCs such as Coca-Cola have spread across the world at an unprecedented rate and scale -there are now only two reported countries in the world which do not have Coca-Cola: North Korea and Cuba
This is connected to the criticism of cultural globalisation that many diverse regional cultures are becoming increasingly homogenised
economic regionalism and globalisation:
The spread of TNCs across the world might be aided by regional organisations which insure the easier movement of capital
but overall economic globalisation happens regardless of regional organisations and some regional organisations such as the EU have taken steps to protect cultural artefacts in the region
For example champagne Cornish pasties and Gorgonzola can only be produced in certain places to bear the name
This is at least one way in which regional organisations through their powerful regulations can limit the destructive impact of cultural homogenisation through globalisation
economic regionalism and globalisation:
Overall economic regionalism is a response to the financial and trade pressures of the global market
States attempt to protect themselves from the possibility of weakening there economies by joining together to implement preferential trade policies
Economic regional organisations such as the EU are not necessarily protectionist but they do always mean that trade between member states is easier and more profitable than trade outside
Overall economic regionalism as a consequence of globalisation but it has also through incentivising foreign trade increased the importance of the global market