Section A - Superpowers

Question 1

What is FDI?

Answer 1

FDI = Foreign direct investment - When large corporations invest in other countries and make links between resource supply points, manufacturing areas and consumer areas

Question 2

Attracting FDI

Answer 2

Attracted through tax heavens IE a country or territory with a nil or low rate of tax EG the Cayman Islands or the 1% rates being charged in Luxembourg on profits - this lesser tax encourages FDI in these regions

Question 3

Importance of ICT & mobile communications in globalisation

Answer 3

ICT and mobile communications developments have reduced communications costs and increased global communication flows since the 1990s - with the rise of mobile phones information flows have been expanded to reach areas with otherwise poor communication infrastructure EG 70% of Africa having a mobile phone by 2015 - the rise of the internet and social networks has also led to a phenomenon of space-time compression whereby the time and money used to communicate between places long distances apart has fallen rapidly

Question 4

How to calculate % increase? (2 steps)

Answer 4

1. Work out the difference between the two numbers you are comparing IE initial and final value
2. Divide the increase by the original value and x the answer by 100
   EG 45 to 120 I 120 - 45 = 75 I 75/45 = 1.6 I 1.6 x 100 = 166

Question 5

Political implications of rising demand for resources from current & emerging powers - Intro

Answer 5

Pressure on food (Russia Ukraine war), pressure on water (India and China), pressure on oil and gas (importers vs reserves), pressure on oil and gas (Artic)

Question 6

Political implications of rising demand for resources from current & emerging powers - Para 1

Answer 6

Conflict breeds a need for resources, and the Russia Ukraine conflict gripping Eastern Europe is no different - both Russia and Ukraine need food to feed their troops - Russia has taken advantage of this by burning Ukrainian food stores as they take ground in the East - Russia is currently blocking an estimated 25 million tonnes of grain from being distributed to the rest of Ukraine and exported to other countries - Russia as an emerged power in doing this is causing a global food shortage in some areas, and Ukraine as an emerging power under attack is unable to do much about it - this shows the political implications of rising demand for resources from current & emerging powers

Question 7

Political implications of rising demand for resources from current & emerging powers - Para 2

Answer 7

Another resource with rising demand from current and emerging powers is water - India and China, emerging and emerged powers respectively, already have a huge water problem on their hands - by 2030 60% of areas in India are projected to face water scarcity and some urban areas in China are also projected to face water scarcity by 2035 - this has led conflict over water sources such as the Tibetan Plateau which China has claimed upstream control over - nearly half of the water in the Plateau runs into India so is a big point of contest

Question 8

Political implications of rising demand for resources from current & emerging powers - Para 3

Answer 8

Arguably most significant natural resource is oil and gas - by 2030 oil coal and gas demands projected to rise by 30% - this may lead to price rises and conflict around the world as countries who import these resources will be heavily impacted such as India, Japan, and Germany - in the case of the latter, the cutting off of the Nord Stream pipeline from Russia to Germany in 2022 has seen gas prices around the world rise amid uncertainty over energy in Europe and offers a potential insight into what could happen in the future

Question 9

Political implications of rising demand for resources from current & emerging powers - Para 4

Answer 9

To counter this problem of oil and gas being more in demand around the world, the Artic is being viewed as a potential solution - it already provides the world with 10% of its oil and 25% of its natural gas - however countries such as Russia and the US are drilling for more oil in the Artic Ocean which could have lasting impacts on the region and the environment, as well as bring the two nations into conflict with one another over disputed territory, all in the name of rising demand for resources