PRELIM COVERAGE - CHAPTER 1 : THE STUDY OF GLOBALIZATION

Lesson 1- The Study of Globalization

Learning Outcomes

At the end of the lesson, the students should be able to:

·         Differentiate the competing conceptions of globalization;

·         Identifying the underlying philosophies of the varying definitions of globalization;

and,

Agree on a working definition of the course.

Definition of Globalization

What is Globalization?

According to the World Health Organization

It is generally understood to include two inter-related elements: the opening of

international borders to increasingly fast flows of goods, services, finance, people and
ideas; and the changes in institutions and policies at national and international levels
that facilitate or promote such flows.”

in this section, we have provided multiple definitions of globalization since it is a widely

defined word with several connotations to many different people.  With this
comprehensive outlook on globalization, we encourage our readers to shape their own
opinions on this pressing concept in the modern world.

The most general and encompassing definition of globalization, presented to the

students during the beginning of the course, is:

“Globalization is a complex web of social processes that intensify and expand

worldwide economic, cultural, political, and technological exchanges and
connections.” – Dr. Cairo

 
As a flow of ideas, globalization can be viewed as a synonym for Westernization.  The
ideals of democracy and equality which the United States were founded upon are
spreading across the globe.  These values are beginning to be seen as favorable in
comparison to other forms of rule in other parts of the world.  However, some groups,
such as radical Islamists, are “potent ideological challengers to market globalism”
(Steger 145) who see Westernization as global and national factors which undermine
their faith and society.  Thus, they fight against the potential threat of homogenization
of their culture.

Globalization is an interconnected web of social, economic, political, cultural, and

technological processes.  However, this definition is extremely broad, and the number of
connotations and views on globalization is nearly endless.  Globalization can also be
thought of as a flow of people, capital, goods, and ideas.  By examining each of these
aspects and angles of this encompassing concept, a more complete analysis can be
made and similar traits of globalization will emerge.

Sources: http://www.businessworld.in/article/Globalization-Of-Epidemics-COVID-
19-/15-04-2020-189162/

Globalization is a flow of people because of migration.  While people have been

migrating since the time of hunters and gatherers, travel has become increasingly easier
because of technology.  Some move for work; others for safety; still others for a change
of atmosphere and scenery.  However, the flow of people influences also a spread of
ideas, goods, and even capital as well.

Globalization is also a flow of goods and thus capital.  Free trade has been one of the
goals of
organizations such as the General Agreement on Tariffs and Trade (or GATT).  With each
of the definitions we have provided, all of these definitions agree upon two main details
of globalization; that trade is being expanded in support of more free markets with less
regulation, and that technologies and ideas are being more rapidly spread due to these
new open markets.  However, Stanford and contemporary social theorists added the
notion of globalization being a form of Westernization, and that Western ideals are
being spread to the political and cultural life of other countries.  The IMF’s definition
didn’t bring up Westernization as being a synonym for globalization, which should not
come as a surprise because the IMF supports indebted countries in an effort to increase
global free trade, so using a term like Westernization could undermine their efforts and
reputation.

For more information, this video gives a brief overview on globalization and its
economic, political, and cultural ramifications, concluding with the assertion that
“globalization presents both new opportunities and new challenges.”

Sources: https://yaleglobal.yale.edu/about-globalization

Lesson 2 -REASONS FOR GLOBALIZATION

Rapid shrinking of time and distance across across the globe. One can easily cross the
bridge going to the other side of the market place due to advance tools of technology
than before.

Domestic markets are no longer rich as a consequence of many interlocking factors.

Companies and institutions go global to find political and economic stability which is
relatively good in other countries than the country of origin.

To get technological and managerial know how of other companies due to their
advancement in science, technology, education, health and other fields of discipline.
To reduce high transportation costs if one goes globally using the advance tools of
communication and information.

To be close to raw materials and to markets for their finished products which are not
available in the country of origin.

The creation of world trade organization (WTO) had made it possible in stimulating
increased cross border trade. There are other world bodies like the UN and several
arbitration bodies where countries agree.

Sources: https://laboureconomics.wordpress.com/2012/05/14/causes-and-effects-
of-globalization-6/

Lesson 3- MERITS OF GLOBALIZATION

Globalization allows us to pool all our resources together.

One of the best examples of globalization within our lifetime is the construction of the
International Space Station. The cost to construct the ISS was $150 billion. Compared to the Mir
station at $4.2 billion, the price tag is astronomical. When the first component for the ISS was
launched in 1998, five different programs came together to join in ownership, cost, and
operations. The United States, Russia, Canada, Europe, and Japan are all involved in the
financing and continued operations of the program.

When nations work together to fund common goals, then more money becomes useful for needs
other than national defense. Imagine what we could do if the $1 trillion spent annually on
warfare and defense could be used for the global greater good?

2. Globalization would also reduce labor exploitation issues.

When borders become less restrictive around the world, people tend to move to locations where
their best opportunities exist. Under the current structure of our planet, impoverished nations
with a lower standard of living offer wages that the developed world would find abysmal.
Someone in Bangladesh making clothes for 10 hours per day earns less in a month than some
workers in the U.S. earn before lunch.

By focusing on globalization, we could reduce child labor issues. Human trafficking concerns
would be limited because of more border freedom. People could live, work, or go where they
please with fewer restrictions, making it easier to chase their dreams.

3. Globalization reduces the prospects of tyranny.

As the world moved slowly toward globalization in the 20th century, the nations realized that
having a concentrated power with one administration reduced the likelihood of tyranny in
pockets around the globe. Although there have still be issues with government oppression,
including the chemical attacks on populace centers in Syria, the number of incidents is slowly
declining.

When we’re able to move toward a global-centric society instead of a nation-centric one, these
issues will continue to decline over time.

4. Globalization improves communication access.

The Trump Administration announced new travel restrictions in September 2017 to focus on 8
countries: North Korea, Chad, Libya, Iran, Syria, Somalia, Yemen, and Venezuela. “Making
America Safe is my number one priority,” President Trump tweeted when announcing this
decision. “We will not admit those into our country we cannot safely vet.”

Under a globalization perspective, people would have their risks associated by a central
perspective instead. It would be like the United Nations vetting immigrants instead of the
individual country. By reducing border restrictions, we improve communication access because
we’re no longer restricting the movements and actions of people on a per-nation basis.

5. Globalization would remove tax havens for wealthy individuals and businesses.
Tax havens are defined as either a country or independent area where taxation levies are at low
rates. They offer foreign businesses and individuals an opportunity to keep their profits in local
institutions with little or no liability. These havens share little, if any, information about these
finances with other tax authorities.

Globalization reduces this issue because it eliminates the administrative structures in place which
allow the wealthy to hide their funds from being taxed. That would mean these businesses and
people would be treated as an average citizen is today. Greater transparency here would lead to
better funding of social programs, which could reduce poverty and food insecurity over time.
Lesson 4- Demerits of Globalization
Globalization has also been criticized on several grounds. Its opponents do not hesitate
to indulge in violence. Workers, peasants, women, students and weaker sections of
society have raised their voice against globalization. In their opinion, globalization has
benefited the rich and harmed the poor. The harmful effects of globalization save been
discussed here.

1 . Exploitation of Underdeveloped Countries:

MNCs, based in developed countries, purchase at lower rates the raw materials of
backward countries, process them in their own countries and sell the manufactured
goods with big profit in backward countries. The huge profit, they make, is taken back to
developed, rich countries.

ADVERTISEMENTS:

Of course, the MNCs have opened branches in backward countries, but the local people
who work there are paid much lower salary/wage. These companies hardly spend
anything for local development. They victimise poor countries and their people by
exploiting their poverty and helplessness.

2. Increase in Unemployment:

The MNCs employ machines to reduce the number of employees. Further, the
governments of developing countries have started withdrawing investment from
industries in the public sector. All this has led to huge unemployment in those countries.
The larger the unemployment, the larger the poverty.

3. Widening of Rich-poor Gap:

ADVERTISEMENTS:

Globalization brings benefits to the rich who are small in number and keeps the vast
majority of people in poverty and misery. It is a game of winners and losers. Those who
are already rich succeed in taking advantage of privatisation while the poor and weak
are doomed to suffer.

4. Harmful Effects of Consumerism:

Globalization produces consumerism. People being attracted by attractive goods and

advertisements, want to buy these goods. They would not hesitate to earn money for
this by unfair means. This has resulted in vast increase in corruption and other social
evils.

5. Adverse Effects on Social Security and Social Welfare:

ADVERTISEMENTS:

Because of privatisation, governments in many developing countries are withdrawing

from the sector of social welfare, and private companies have entered educations, health
and other such fields related to development.

As a result of this, poor people are facing a lot of difficulties. They have no access to
expensive educational institutions and hospitals. They cannot go for health insurance
due to poverty. Social welfare has been in disarray because of globalization.

6. Harmful Effects on Small Industries and Small Business:

In the free economy, the big fish has got license to eat the small fish. Small-scale and
cottage industries cannot grow in competition with big ones. Most of them have begun
to close. Similarly, small business people cannot compete with big ones.

7. Cultural Homogenization:

Globalization would lead to cultural homogenization. Each nation/society has its own
distinct culture, but under globalization the cultures of developing countries are eroded
and they are required to accept the values and norms of developed countries. In place
of plurality of cultures, there will be a monoculture.

8. Hostile to Humanism:

Globalization would kill humanism. It aims at accelerating economic growth, and

economic growth, according to its protagonists, can be quickly attained through
privatisation. Pursuit of growth hardly respects human values. Human concerns like
equality, justice are sacrificed without raising an eyebrow. Humanism thus falls a prey to
globalization.

ADVERTISEMENTS:

9. Erosion of Democracy:

Globalization has led to the weakening, erosion and even destruction of democracy.
Globalization has considerably increased the wealth and power of multinational
corporations and they have tended to interfere with and control the economic policy
and politics of developing countries.

As a result, many developing countries, one time or another, have helplessly watched
the fall of their democratic governments and their replacement by one-party
governments or military regimes willing to play to the tunes of multinationals and the
countries to which they belong.

10. Gender-Insensitive:

Globalization is gender-insensitive. Women have suffered a lot under globalization. In

the privatised economy, the interests and concerns of women, particularly of poor
women, have been seriously ignored.

11. Destructive of Environment:

Globalization would destroy environment. In the name of economic development,

environment is blindly destroyed. Nature is the gift of God. But it is destroyed for
establishing big industries and dams.

TEACHER’S INSIGHT

Globalization has largely been propagated by economic capacity to do so. Continuous

improvement professionals (like lean & six sigma practitioners), as well as supply-chain
people have developed a product sourcing model that maximizes the use of fossil fuels
to eliminate high cost labor and other wastes whenever possible.In a nutshell the "Just
in Time" style of manufacturing that is prevalent today is the opposite of a resilient
sustainable system. The structure attempts to predict every variable and produce exactly
what is desired, with exactly the right amount of materials delivered at exactly the right
time.
This results in a system that is rigid and vulnerable to system shock.

Globalization needs abundant liquid fuels to support itself. The world wide shipping
industry, and the global economy that it facilitates is inherently unsustainable - because
the energy that powers it is finite. Up to this date large hope has been placed in biofuels
but this is a very poor place holder for fossil fuels as a result of poor EROI. (Google
EROI)

Probably the best way to retain global trade in a sustainable way would be to power oceanic
navigation with high altitude wind - effectively like kite sailing a merchant marine vessel.

Chapter 2 - The Global Economy

The Global Economy

Learning Outcomes:

At the end of the lesson, the students must be able to:

·         Define economic globalization;

·         Identify the factors that facilitate economic globalization;

·         Define modern world system; and

·         Articulate a stance on global economic integration

GLOBAL ECONOMY

The international spread of capitalism, especially in recent decades, across national

boundaries and with minimal restrictions by governments. The global economy has
become hotly controversial. Critics allege that its props, free markets and free trade,
take jobs away from well-paid workers in the wealthy nations while
creating sweatshops in the poor ones. Its supporters insist that the free movement
of capital stimulates investment in poor nations and creates jobs in them. The process
is also called globalization.
 
Lesson 1- What is Economic Globalization
 What is Economic Globalization
1.The widespread of international movement of groups, capital, services, technology,
and information that increase the interdependence of world economies.

2.Economic globalization refers to the intensification and expansion of

mutual economic interactions on the world scale. Economically, three dimensions
of globalization—trade, financial, or financial and globalization of production—draw
attention. 

3.The global integration of economies through trade and investment flows as well as the
internationalization of the production of goods and services. 

Sources: . https://www.igi-global.com/dictionary/economic-globalization/61002

 Lesson 2 Actors of economic Globalization Global Actors

 

Actors of economic Globalization Global Actors

·         International Economic and Financial Organisations.

·         International Governmental Organisations (IGOs)

·         Media.

·         Multilateral Development Banks.

·         Nation-States.

·         Non-Governmental Organisations (NGOs)

·         Trans-National Corporations (TNCs)

·         United Nations (UN) System

Sources: https://www.sciencedirect.com/science/article/pii/S0048969719326336

Lesson 3- Definitions of modern system

Modern Systems is an independent modernization company that empowers IT

efficiency, agility, and competitive advantage through core application modernization

Sources: https://prezi.com/vbpenwg-pyqq/impact-of-globalization-on-business/
TEACHER’S INSIGHT

Globalization refers to the process of integrating governments, cultures, and financial

markets through international trade into a single world market. There are benefits and
drawbacks to globalization. Often the countries that fare the worst are those that
depend on natural resource extraction for their wealth. Many critics fear globalization
gives too much power to multinational corporations and that political decisions are
influenced by these major financial players.

Chapter 3 - Market Integration

Chapter 3- Market Integration

  

Market integration-occurs when prices among different locations or

related goods follow similar patterns over a long period of time. Groups of goods often
move proportionally to each other and when this relation is very clear among different
markets it is said that the markets are integrated. Thus, market integration is an
indicator that explains how much different markets are related to each other. A marketer
plays the role of an integrator in the sense that he collects feedback or vital inputs from
other channel members and consumers and provides product solutions to customers by
coordinating multiple functions of organization.

Sources: https://www.shutterstock.com/image-illustration/conceptual-business-
illustration-words-market-integration-1035174985
Lesson 1- Creation of the Global Economy

Let us define international Financial Institution IFIs. An international financial Institution

is chartered by more than one country and therefore are subjects to international law. it
owners or shareholders are generally national governments although international
institutions and other organizations occasionally figure as shareholders the most
prominent IFIs creation of multiple nation although some bilateral financial institutions
( creation by two countries) exist are technically IFIs. The best known IFIs was established
after world war two to assist in the reconstruction in Europe and provide mechanism for
international cooperation in managing the global financial system.

Teachers Globalization is changing our lives. Global economic systems shape our job
Insight opportunities, consumer goods, investments, and quality of life. Global media
and communication systems allow us to observe events as they happen
 
around the world and discuss them across national boundaries. Americans are
working with people around the world to address global issues of biodiversity,
acid rain, and disposal of toxic wastes. Immigrants, refugees and guest workers have created an
intermingling of diverse languages, religions, and cultures within our nation's communities and
schools. As youth culture absorbs fashions, ideas, and material culture from the global milieu,
Korean pop stars borrow from American rap, and American children watch Japanese cartoons.
Global interconnectedness is even evident within the backlash against globalization by people
across the planet who fear it is usurping national sovereignty, endangering the environment, or
corrupting cultural norms. 1 How are educators responding to globalization, its effects on
American communities, and its controversies? John Jordan S o c i a l E d u c a t i o n 354 The
primary goal of global education is to prepare students to be effective and responsible citizens
in a global society. Toward this end, students need to practice real-life skills

gain knowledge of the world, and develop expertise in viewing events and issues from diverse
global perspectives. How are social studies teachers pre-paring young people to understand
their globally interconnected world, its issues, histories, and conflicts? Research points to four
main strategies: multiple perspectives, global interconnectedness, global issues, and cross-
cultural experiences
Chapter 4- Global Interstate System

Global Interstate System

It is the whole system of human interactions. The modern world-system is structured

politically as an interstate system – a system of competing and allying states. Political
Scientists commonly call this the international system, and it is the main focus of the
field of International Relations

Globalization

Historical

Analysis

STRENGTHS

It will make travel less cheaper, faster and better.

WEAKNESSES

Imposed long-term costs on the country

Cut down on competition between shippers and passenger carriers.

Rising consumption of gasoline led to air pollution and a dependence on oil that
affected consumers and foreign policy for generations to come.

Sources: https://www.sciencedirect.com/science/article/pii/S0048969719326336
Lesson 1-Effects of Globalization
Globalization has both positive and negative effects. On an individual level, globalization
affects both the standard of life and the quality of life. On a business level, globalization
affects an organization's product life cycle and an organization's balance sheet.
Globalization also affects how governments throughout the world create policies
affecting areas such as monetary regulation and trade.

Sources: https://ec.europa.eu/home-affairs/content/emn-study-labour-market-
integration-third-country-nationals-eu-member-states_en

Lesson 2- Institution Govern International Relation

Identify institutions that govern international relations

Some examples inlcude:

·         Humanitarian organizations. Action Against Hunger. ...

·         Government agencies. Department of State. ...

·         International corporations. General Electric. ...

·         Media outlets. BBC. ...

·         Intergovernmental organizations. World Trade Organization. ...

International communications. Amnesty International. research centers/Think tank

Sources: https://www.thebalance.com/globalization-and-its-impact-on-economic-
growth-1978843

Lesson 3- Internationalism from Globalization

Internationalism in globalization

in the logic of internationalism or, alternatively, in the logic of globalisation. ... In

contrast, internationalism refers to the promotion of global peace and well-being
through the development and application of international structures, primarily but not
solely of an intergovernmental kind

Sources: https://www.thebalance.com/globalization-and-its-impact-on-economic-
growth-1978843

Teachers Insight

The world economy is now all the economic interactions of all the people on Earth, not
just international trade and investment.
The modern world-system is structured politically as an interstate system – a system of
competing and allying states. Political Scientists commonly call this the international
system, and it is the main focus of the field of International Relations. Some of these
states are much more powerful than others, but the main organizational feature of the
world political system is that it is multicentric. There is, as yet, no world state. Rather
there is a system of states. This is a fundamentally important feature of the modern
system and of most earlier regional world-systems as well. 

Chapter 5- Contemporary Global Governance

 Global governance or world governance is a movement towards political cooperation

among transnational actors, aimed at negotiating responses to problems that affect
more than one state or region. Institutions of global governance—the United Nations,
the International Criminal Court, the World Bank, etc

Sources: https://www.sciencedirect.com/science/article/pii/S0048969719326336

Lesson 1- Roles and functions of the nation

Definition of a National Government?

A national government is the government, or political authority, that controls a nation.
At minimum, a national government requires a national army, enough power over its
states or provinces to set and maintain foreign policy, and the ability to collect taxes.
Beyond that, a national government can be anything from a dictatorship to a loose
federation of states, like the Confederacy during the U.S. Civil War. National
governments can be separated into two basic types - unitary and federal.
A unitary government is centralized, with states or provinces having little or no power.
Their regional powers aren't even set because they can be eliminated at any time by the
national government. Monarchies, dictatorships, and communist regimes are all types of
unitary governments.

A federal government reverses the roles. The states have most of the power, and the
national government is only given enough power to keep itself running. Some federal
governments have little more power than the ability to raise an army, conduct foreign
policy, and raise taxes. The United States and most modern countries have federal
governments.

Responsibilities

National governments are responsible for maintaining internal and external security and
stability. Usually, that means they're responsible for establishing national laws and
enforcing them. They also must raise and train a military and set international policy.
And because national governments aren't possible without money, they must be able to
set taxes high enough to pay their employees.

Sources: https://www.magzter.com/article/Business/Legal-Era/Liberalization-
Globalization

Lesson 2- Challenges of the global governance in the twenty first century

Climate change, poverty, violent conflict, intolerance and extremism present direct
threats to the unity and well-being of the international community. Bokova emphasized
that we must learn, at the heart of our cities and communities, to live together
Sources: https://www.magzter.com/article/Business/Legal-Era/Liberalization-
Globalization

Lesson 3- Relevance of the state amidst globalization

the relevance of the nation-state in globalization is a complex one in part due to the
varying definitions and shifting concepts of globalization. While it has been defined in
many ways, globalization is generally recognized as the fading or complete
disappearance of economic, social, and cultural borders between nation-states. Some
scholars have theorized that nation-states, which are inherently divided by physical and
economic boundaries, will be less relevant in a globalized world.While increasingly
reduced barriers regarding international commerce and communication are
sometimes seen as a potential threat to nation-states, these trends have existed
throughout history. Air and sea transportation that made same-day travel to other
continents possible and greatly expanded trade among countries did not abolish the
sovereignty of individual nations. Instead, globalization is a force that changed the way
nation-states deal with one another, particularly in the area of international commerce
Sources: https://slideplayer.com/slide/3154899/

Teachers Insight

Global governance is a product of neo-liberal paradigm shifts in international political

and economic relations. The privileging of capital and market mechanisms over state
authority created governance gaps that have encouraged actors from private and civil
society sectors to assume authoritative roles previously considered the purview of the
State. This reinforces the divergence of views about how to define the concept of global
governance, issues that are of the utmost importance and priority. Some scholars argue
that global governance as it is practiced is not working (), while others believe that
global governance is constantly adapting by readjusting strategies and approaches to
solutions and developing new tools and measures to deal with issues that impact
communities throughout the world (Rather than judging current global governance, this
contribution seeks to provide an overview of the current state of global governance by
discussing its present state vis à vis the challenges that it faces and its future.