View
15
Download
0
Category
Preview:
Citation preview
GlobalizationGlobalizationI. Globalization DefinedI. Globalization Defined
II. Sources of GlobalizationII. Sources of Globalization
III. Eras of GlobalizationIII. Eras of Globalization
IV. Questions for a IV. Questions for a Globalized EconomyGlobalized Economy
WTO Protest, Seattle 1999WTO Protest, Seattle 1999
I. Globalization DefinedI. Globalization Defined
►► GlobalizationGlobalization : : the expanding scale, growing magnitude, the expanding scale, growing magnitude, speeding up and deepening impact of transcontinental speeding up and deepening impact of transcontinental flows and patterns of social interactionflows and patterns of social interaction (Held and (Held and McGrew, McGrew, Globalization/AntiGlobalization/Anti--GlobalizationGlobalization, p. 1), p. 1)
►► (Economic) Globalization(Economic) Globalization: : “…“…(the) integration of (the) integration of national economies into the international economy national economies into the international economy through trade, direct foreign investmentthrough trade, direct foreign investment……shortshort--term term capital flows, international flows of workers and capital flows, international flows of workers and humanity generally, and flows of technologyhumanity generally, and flows of technology…”…”(Bhagwati, p. 3)(Bhagwati, p. 3)
The Definition Refined The Definition Refined
►►Globalization Globalization encompasses:encompasses:Internationalization (Internationalization (trade & investment)trade & investment)
Liberalization (freeing markets)Liberalization (freeing markets)
Universalization (cultural interchange)Universalization (cultural interchange)……oror……
Westernization (WWesternization (Western cultural dominance)estern cultural dominance)
►►Globalization as Globalization as ““DeterritorializationDeterritorialization””
Which is the Real World?Which is the Real World?
II. Sources of GlobalizationII. Sources of Globalization►►Internationalization of Economic Activity Internationalization of Economic Activity
Trade & FinanceTrade & Finance
►►Global Liberalization Global Liberalization Domestic and InternationalDomestic and International
►►Technological Changes Technological Changes IT Revolution (Speed and Cost)IT Revolution (Speed and Cost)
►►Improvements in TransportationImprovements in TransportationEX: Containerized ShippingEX: Containerized Shipping
►►Globalized Production StructuresGlobalized Production Structures‘‘Stateless CorporationsStateless Corporations’’ (DaimlerChrysler)(DaimlerChrysler)
Growth in World TradeGrowth in World Trade
Growth in Global InvestmentGrowth in Global InvestmentFigure 3: World Gross FDI and World GDP Growth, 1980-
2002
FDI
WorldGDP
0
500
1000
1500
2000
2500
3000
1980 1985 1990 1995 2000
Source: UNCTAD, FDI Database
Inde
x (1
980
= 10
0)
Growth in Foreign ExchangeGrowth in Foreign ExchangeFigure 2: Growth of World Foreign Exchange and World
GDP, 1980-02
Foreign Exchange
World GDP
0
100
200
300
400
500
600
700
1980 1985 1990 1995 2000
Source: IMF, International Financial Statistics
1980
= 1
00
Costs of Information TechnologyCosts of Information Technology
Death of DistanceDeath of DistanceCall Centers in IndiaCall Centers in India
Transportation CostsTransportation CostsTransportation Costs Index
Shipping
Air Travel
0
20
40
60
80
100
120
1920 1930 1940 1950 1960 1970 1980 1990
III. Levels of GlobalizationIII. Levels of Globalization►►A. Eras of GlobalizationA. Eras of Globalization
First Era of Globalization (about 1850First Era of Globalization (about 1850--1914)1914)
Interwar Period (1920Interwar Period (1920--1939)1939)
Cold War Era (1945Cold War Era (1945--1989) 1989)
Second Era of Globalization (1989Second Era of Globalization (1989--Present)Present)
►►Differences of Current Era of GlobalizationDifferences of Current Era of GlobalizationTradeTrade
FinanceFinance
TechnologyTechnology
The Second Era of The Second Era of Globalization BeginsGlobalization Begins
The Destruction of the Berlin WallThe Destruction of the Berlin Wall
Tim BernersTim Berners--LeeLee
The wallscome down…
…and the (World Wide)Web goes out.
IV. Questions for a Globalized EconomyIV. Questions for a Globalized Economy
►►Does globalization enrich the many or the few? Does globalization enrich the many or the few?
►►Does it help or harm workers? the environment?Does it help or harm workers? the environment?
►►Is it a source of freedom or a barrier to freedom?Is it a source of freedom or a barrier to freedom?
►►What role for the governments? What role for the governments?
►►Is globalization inevitable? Is globalization inevitable?
Overall, is globalization a positive or Overall, is globalization a positive or a negative development????a negative development????
Recommended