REVIEWER

1. Globalization- is the integration of national
economies through trade, investment, capital
flow, labor migration, and technology.
- Miriam Webster, it is the development of
an increasingly integrated global
economy marked especially by free
trade, free flow of capital, and the tapping
of cheaper foreign labor markets.
- Friedman "flattening" of the world
economy through globalized trade,
outsourcing, supply-chaining and
political liberalization.
- Other economists/scholars: spread of
products, technology, information, and
jobs across national borders and
cultures.
- economic terms: interdependence of
nations around the globe fostered
through free trade.
- created new jobs and economic growth.
- process of interaction and integration.
McGrew (1990): something that is comprised of
multiple sameness and interconnectedness that
go beyond the nation states.
Cerny (1997) a cluster of economic and political
frameworks and procedures.
Great interpretation- a science of extensive
problems, each of which concern everyone, and
humanity in general, in their tendency’s
existential ways.
Globalization is important because it
interconnects people and businesses across the
world that eventually leads to global cultural,
political and economic integration.
Metaphor that could best describe globalization
is liquidity which refers to the increasing ease of
movement of people, things, information, and
places in the contemporary world.
3 main factors that affect globalization:
 Economic
 Social
 political globalization
Prof. Theodore Levitt- globalization refers to the
existence of free exchange of goods, services,
culture, and even people, between and among
countries.
1. People become more interested to travel
2. People learn new languages
3. People immerse themselves into new cultures
and lifestyles.
UNCTAD (United Nations Conference on
Trade and Development)- globalization is a
closer integration of national economies through
trade and financial flows as well as cross-border
migration of people.
globalization brings three freedoms:
 Free movement of goods or
products/services
 capital or investment
 persons
European Union:
1. free movement of goods because of abolition
of tariff – tax on imported goods.
2. free movement of capital or investment
because of lifting of strict banking and financial
regulations that encourage investors.
3. free movement of persons because of abolition
of visa restrictions
a. wages hikes
b. privatization
c. migration and outsourcing of jobs
Thomas Larsson (2001): modern term for
colonization.
Martin Khor: onset of the borderless world.
Ohmae (1992): definition is complex,
multifaceted because it deals with either
economic, political and social dimensions. It is not
easy to define because it has a shifting nature. It
can be influenced by people who define it.

2. Thomas Friedman:
 Globalization is about the liberalization
and global integration of markets.
 Globalization is inevitable and
irreversible.
 Nobody is in-charge of globalization.
 Globalization benefits everyone.
 Globalization furthers the spread of
democracy around the world.
 Globalization requires war on terror.
A Working Definition- Manfred Steger (1960s)
“the expansion and intensification of social
relations and consciousness across-world time
and across world-space.”
a. solidity - people, things, and places. These
harden over time and therefore have limited
mobility.
b. liquidity - ideas, information and culture. The
increasing movement of people around the world
helps phenomena to move easily. Once they are
on the move, they are difficult to stop.
c. flows - movement of people, things,
information, places, and even diseases spread
around the world.
Geography: the set of processes (economic,
social, cultural, technological, institutional) that
contribute to the relationship between societies
and individuals around the world.
global economy- world economy or the
worldwide economy, system of trade and industry
across the world that has emerged due to
globalization.
Economic globalization- expanding
interdependence of world economies.
- historical process, the result of human
innovation and technological progress
(IMF, 2008).
- one of the three main dimensions of
globalization (political globalization,
cultural globalization).
silk road- trade route which connects the East,
particularly China, and the West.
Foreign direct investments (FDI)- investment in
which a company establishes a business in
another country for production of goods and
services and still takes part in the management of
that business (e.g., Toyota).
Economic globalization- expanding since the
emergence of trans-national trade, it has grown
at an increased rate due to improvements in the
efficiency of long-distance transportation.
Free trade- method for countries to exchange
goods and services.
International forces- reshaping the world of
business, but also creating new opportunities.
Economy- considered very important because it
is the thing that allows us to survive and thrive
Specific actors that facilitate economic
globalization are highlighted as follows:
 The International Economic and
Financial Organization
 The International Governmental
Organizations (IGOs)
 The Media
 The Multilateral Development Banks
 The Nation-States
 The Non-Governmental Organizations
(NGOs) • The Trans-National
Corporations (TNCs)
 The United Nations (UN) System.
Brodie (1006) calls the government as the
“midwives of globalization” which means that the
role of nation-states is being redefined by
globalization.
Market integration- occurs when prices among
different locations or related goods follow similar
patterns over a long period of time.

3. Asian Development Bank (ADB) in 1960,
African Development Bank (AfDB) in 1964-
created to spur social progress and economic
growth in order to address and reduce poverty.
Citigroup- American multinational investment
banking and financial corporation and the fourth
largest bank in the US.
Merrill Lynch- wealth management division of
the Bank of America.
Iwan (2012) differences among international,
multi-national, transnational, and global
companies:
• International companies are importers and
exporters with no investments outside their home
countries.
• Multinational companies (MNCs) have
investments in other countries, but do not have
coordinated product offering in each country.
They are more focused on adapting their
products and services to each individual local
market.
• Transnational companies (TNCs) are more
complex organizations that have investments in
foreign operations, have a central corporate
facility but give decision-making, research and
development, and marketing powers to each
individual foreign market.
• Global companies have investments and are
present in many countries. They typically market
their products and services to each individual
local market.
economic integration can be classified into five
additive levels:
• Free trade. Tariffs (a tax imposed on
imported goods) between member-
countries are significantly reduced, some
abolished altogether.
• Custom union
• Common market
• Economic union (single market)
• Political union
International Financial Institutions (IFIs)- play
a major role in the social and economic
development programs of nations with
developing or transitional economies.
Interstate system- a system for international
relations it is the whole system of human
interactions.
Anarchic- a system in which all states constantly
face actual or potential threats and their main
goal is security
Hobbesian 'state of nature.'
State- compulsory political organization with a
centralized government that maintains the
legitimate use of force within a certain territory-
Weber (1997).
- a country and its government (layman’s
term).
First, it exercises authority over a specific
population called its citizens.
Second, it governs a specific territory.
Third, a state has a structure of government that
crafts various rules that people (society) follow.
Fourth, and the most crucial, the state has
sovereignty over its territory.
Sovereignty- one of the fundamental principles
of modern state-politics.
Internally- no individuals or groups can operate
in a given national territory by ignoring the state.
Externally- sovereignty means that a state’s
policies and procedures are independent of the
interventions of other states.
Nation- emphasizes the organic ties that hold
groups of people together and inspire a sense of
loyalty and belonging.
Country- a nation-state can then be defined as a
political community that emanates from civic
society to legitimately execute peace.
Christendom” (the entire Christian world).

4. Transnational Activism (TNA)- happens when
activist groups of nation-states connect with their
counterparts in other states.
Intergovernmental Organizations (IGOs) were
established whose aim is to foster strong
economic, political, cultural, educational, and
technical intergovernmental relationships.
e.g., ASEAN (Association of East Asian Nations),
EU (European Union), and WTO (World Trade
Organization).
Internationalism- a political, economic and
cultural cooperation between nations; a theory
and practice of interdependent collaboration.
- Anora (2014) internationalism is
basically anchored on the opinion that
nationalism should be outrun because
links that bind people of different
countries are more powerful than those
that disconnect them.
- Immanuel Kant (1795) stated that in
order to avoid wars, agreements must be
reached among nations.
Globalism- emerged as an attitude that seeks to
understand all the interconnections of the modern
world and to highlight patterns that underlie them.
“governance”- denote the regulation of
interdependent relations in the absence of
overarching political authority, such as in the
international system.
Declaration on the Right to Development
(United Nations, General Assembly, 1986)
explicitly calls on States to act collectively, as well
as individually, to create an enabling environment
for development, particularly by removing
obstacles and creating opportunities
global public goods (GPGs)- Public goods and
services are characterized by their non-rival
consumption—peace and security.
Global governance- structures and rules are
characterized by severe asymmetries. There are
marked asymmetries of access to the various
decision making processes, with developing
countries having to abide by and/or shoulder the
effects of rules and regulations.
NGOs have very significant influence, resources
at their disposal are relatively small when
compared to those of large corporations.
World Trade Organization (WTO)- deals with
the global rules of trade between nations and
ensures that trade flows smoothly, predictably
and freely.
global value chains (GVCs)- also contributed to
the explosion of regional and bilateral preferential
trade agreements (RTAs).
Bilateral investment agreements (BITs)- which
regulate bilateral investment flows and go well
beyond the obligation of providing prompt,
effective and adequate compensation in case of
expropriation.
Subsidiarity: This principle suggests that issues
ought to be addressed at the lowest level capable
of addressing them.
robust governance- implies mutual
accountability, which can be verified by
transparent and credible mechanisms and
processes to ensure that agreed commitments
and duties are being fulfilled.
Responsible sovereignty: This principle should
guide Governments to better exercise their
policymaking sovereignty in an increasingly
interdependent world.