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Globalization or Regionalization
 

Globalization or Regionalization

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    Globalization or Regionalization Globalization or Regionalization Presentation Transcript

    • Globalization or Regionalization? Joko Susanto
    • Chart of Debate
    • Key Variables
    • International Production Network “a networked internationalization is at the core of the production process” (Castells, 2000)
    • Real-Time Economy A dynamic and responsive supply-demand system results in a real-time planning, manufacturing, distributing and feedback updating. www.innovationmagazine.com
    • Global Supply-Chains “Surrounding every Dell factory in the world are these supplier logistic centres, owned by the different suppliers of Dell parts.” (Friedman, 2005)
    • Mode of Governance
    • Complexity of Regionness
    • Regional Power-House “the economic pendulum to swing away from nations and back toward regions” (Ohmae, 1995)
      • Asia’s Growth Triangles
    • Trade to GDP Ratio (1) The degree of trade openness for the advanced economies was not much different in the mid-1990s than it was at the end of the belle epoque of international trade in 1913 (Hirst & Thompson, 1999) 7.0 5.2 3.5 5.6 US 18.0 19.7 18.0 22.3 UK 42.6 40.0 35.1 51.8 Netherlands 9.1 9.1 8.5 15.7 Japan 28.5 17.6 10.0 17.6 Germany 17.8 14.5 10.6 17.7 France 1992 1973 1950 1913
    • Trade to GDP Ratio (2) There is an increasing integration of the developing economies into the international system. Thompson (1999) 13.5 11.5 7.0 8.7 Total World 6.2 2.2 3.5 10.8 Mexico 4.3 2.1 2.4 6.8 Argentina 34.4 10.2 2.5 2.5 Taiwan 17.8 8.2 1.0 1.0 Korea 7.4 5.0 3.3 2.2 Indonesia 1.7 2.0 2.6 4.7 India 2.3 1.1 1.9 1.4 China 1992 1973 1950 1913
    • MNE Concentration [t]he vast majority of manufacturing and service activity is organized regionally, not globally, as showed in the relative persistence of MNE concentration in ‘the era of globalization’. (Krugman, 2000) Changes in the Fortune Global 500 as quoted by Rugman (2000) 500 500 500 500 500 500 500 500 500 500 Total 11 10 10 11 14 16 41 46 48 50 Others 10 6 4 3 2 3 0 0 0 0 China 7 7 7 5 4 3 10 9 9 9 Australia 3 4 5 5 4 2 1 1 1 3 Brazil 12 12 8 6 6 5 7 8 9 12 Canada 12 9 12 13 12 8 12 12 13 11 South Korea 11 11 12 14 16 14 9 9 10 11 Switzerland 107 100 112 126 141 149 135 128 119 111 Japan 148 156 155 155 148 149 126 126 134 129 EU 179 185 175 162 153 151 159 161 157 164 United States 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 Country or Bloc
    • Long-Cycle Fragmentation the global trade system is, instead of fully integrated, fragmented in a long cycle of structural configuration of certain states. (Tieting Su, 2002)
    • Structure of Employment the process of capital accumulation is becoming flexible with respect to labor processes, labor markets, products and pattern of consumption as characterized by the emergence of new sector of production, new financial service, new market, etc (Harvey, 1990) Structure of Employment in Selected Advanced Capitalist Countries as quoted by Harvey (1990)l 56.3 51.5 43.0 33.7 36.4 35.3 10.0 12.1 21.7 OECD 60.9 62.6 58.1 30.1 33.2 33.6 3.5 4.2 8.3 USA 60.9 54.5 47.0 36.3 42.6 48.8 2.8 2.9 4.1 UK 63.1 56.0 45.0 31.3 36.8 42.0 5.6 7.1 13.1 Sweden 46.6 39.0 25.7 35.2 36.7 32.0 18.2 24.3 42.3 Spain 54.7 49.3 41.3 35.3 37.2 28.5 10.0 13.4 30.2 Japan 49.2 42.5 30.2 37.5 39.2 36.9 13.4 18.3 32.8 Italy 49.9 45.0 37.3 44.1 47.5 48.8 5.9 7.5 14.0 West Germany 56.2 48.9 39.8 35.2 39.7 37.8 8.6 11.4 22.4 France 66.2 62.8 53.5 28.3 30.6 33.2 5.5 6.5 13.3 Canada 62.8 57.1 49.8 30.6 35.5 39.9 6.5 7.4 10.3 Australia 1981 1973 1960 1981 1973 1960 1981 1973 1960 Services Industry Agriculture Percentage of Employed Population In
    • Source; WTO International Trade Statistics 2006