2. Definitions of Globalization
The Integration of World Economy (Giddens
1990:21)
De-Territorialization-or… the growth of
supraterritorial relations between people (Scholte
2000:46)
Time-space compression (Harvey 1989)
5. Globalization is the process of shifting
the world we live in the place of isolation
to place of integration. It is the product
of advancement of technology.
6. Globalization or globalisation is the
process of international integration
arising from the interchange of world
views, products, ideas, and other aspects
of culture.
7. Simply stated, globalization means an
increase in cross-border interactions that
includes the flow of goods, services,
finances, people, nature, laws and ideas that
lead to high similarity globally in different
life spheres.
9. Bretton Woods Agreement-1944
New Global Monetary System Set up
Replaced Gold with Dollar
It Set up IMF and World Bank to Monitor New System
States had to maintain fix exchange rate
The system collapsed after 30 years b/c Dollar not = currencies, Dollar = Gold
10. IMF and World Bank
Bretton Woods system couldn't worked with IMF, if currency value drops they
needed bails.
States needed global central banks to borrow otherwise trade barriers & Interest
rates will increase.
11. Why Bretton Woods System Collapsed
In 1971 US faced Inflation, unemployment, and
recession
President Nixon started to deflate dollar’s value in
gold
Initially it was 1/35 USD per ounce
Nixon: 1/38 USD per ounce then to 1/42
Now: 1/1773.45 USD per ounce.
13. Marshal Plan 1948
$13 Bn
Europe Recovery Program
17 beneficiary states
Given b/c communist parties forcing voter in W-Europe
Given to restore industrial and agriculture products, financial
stability, and expand trade
Benefits
Increase GDP 15-25%
It renewed W-Europe chemical, engineering, and steel
Truman announced it for less developed states
15. Four Aspects of Globalization IMF
Trade and Transaction
Capital investment and Movement
Migration and Movement of People
Dissemination of Knowledge
16. Three Aspects of Globalization
Academic
Economic Globalization
Cultural Globalization
Political Globalization
17. Types of Globalization
Neoliberalism( Increase powers of Govt and Unions, Shrinking Corporate profits)
Underground Globalization ( run by criminals, Illegal flow of goods, services etc, it supports neoliberalism means complete
absence of Govt control, legality, and morality)
Keynesian Globalization ( Encourage Foreign Aid, technology, and long term projects, discourage short term projects, stop the
import of intermediate goods)
Ecological Globalization ( Global Warming)
Green Globalization ( Countries should live within ecological limits, Rich countries should start it first, then developing)
Does De-Globalization exists?
North Korea
18. Why we Need it?
It will reduce Poverty
It will provide employment
It will bring technology
It will bring Economic Stability
19. What we need for Globalization
Capital
High Technology
Foreign Financial Investment/ FDI
Capitalism
Reduce Social Expenditures
Open Gate for Multinational Companies/ Corporations
National Treatment with the Multinational Companies
20. Impacts of Globalization
Liberals:
1. It increases interdependence
2. It ends isolation
3. It makes state dependent
Realists:
1. Integration can’t be left
2. Cooperation can’t be left
3. It creates a position of winner and loser
4. It can’t control future
21. Benefits of Globalization
Common Problems
Free Trade
Competitive Prices
Single Global Market
Modernization
26. 1. How many apple user are there?
2. What models they purchase?
3. Where these products are designed, manufactured and assembled?
4. Why it’s (Globalization) complex?
5. What image we absorb, when we hold these products in the palms of our hand
6. Where Apple Headquarter?
7. Name global supplier
8. Name the raw material used for batteries
9. what thing/things are essential to manufacture every single component
10. what has made us integrated?
11. What is share responsibility?
Try to find answers
27. 1. How many apple user are there? [Hundreds of million]
2. What models they purchase? [iPhone -iPad]
3. Where these products are designed [US] & assembled [China & Brazil]?
4. Why it’s (Globalization) complex?
5. What image we absorb, when we hold these products in the palms of our hand
[Production & Distribution Network]
6. Where Apple Headquarter? [US]
7. Name global supplier [700 supplier, Malaysia - Malta]
8. Name the raw material used for batteries [cobalt]
9. what thing/things are essential to manufacture every single component? [Raw
Material]
10. what has made us integrated? [Global Production Networks]
11. What is share responsibility? [to ban child labour, improve workers rights in
emerging economies]
Wow! The answers are.
28. 1. Is Globalization a Myth or Reality?
2. Did you analyzed any benefits of Globalization?
3. Is Globalization a threat to sovereignty?
4. Should Globalization need to bother Ethical Codes?
5. What are some of the implications of global production networks for national
economic sovereignty?
6. Should they be subject to greater or lesser regulation? Why?
7. Do you think that global production networks have ethical implications for
consumers? Why or why not?
8. Does Globalization help or hurt developing countries?
Try to find answers