Ch-9 Globalisation

Keywords/ Key terms

Cultural Heterogenization: It signifies cultural differences and distinctive nature

of cultures to be generated by globalisation.

Cultural Homogenisation: It signifies uniform cultures all around the world.

Globalisation: It signifies integration of an economy with the economies of other

countries under the process of free flow of trade and capital.

Liberalisation: It signifies relaxation of government rules and regulations relating

to activities in service and industrial sector.

Privatisation: It allows private sector companies to produce goods and services in

a country.

Welfare State: A state where the government regulates the means of production in
the interest of the people.

World Social Forum: A global platform to bring together a wide coalition of human
rights activists, environmentalists, and women activists.

1. What is worldwide interconnectedness? What are its components?

Ans. The worldwide interconnectedness implies to interlink the world through free
flow of goods and services, technology, ideas, and people across the globe to extend
globalisation.

This contains three components:

I. Capital flow: It is the flow of resources through loans or business investments

among the countries.
II. Trade flow: It refers to exchange of goods among countries.
III. Labour flow: It refers to 'brain gain' by creating favourable conditions for
employment.
2. What is 'cultural homogenisation'? Give one example of cultural homogenisation.

Ans.
I. Cultural homogenisation is an aspect of cultural globalisation. It refers to the
reduction in cultural diversity through the popularization and diffusion of a
wide array of cultural symbols like customs, ideas, and values.
II. The impact of the western culture on the rest of the world is the best example
of cultural homogenisation.

3. How has globalisation lead to interdependence among nations? Give one example.

Ans.
I. People come to depend on foreign industry to provide them with employment.
II. Nations begin to rely on each other for things they cannot produce themselves.
III. Example: Oil is an example. Countries which produce it has created a global
interdependence with those other countries that need it and depend heavily on
it.

4. Show with the help of one example that globalisation has affected the dress culture
of India.

Ans. Globalisation has affected the dress culture of India by:

I. Westernisation of the dress tastes of girls in schools and colleges. The use of
jeans and skirts rather than the traditional suits, sarees, and kurtas.
II. Some people feel that it has harmed the traditional culture of India.

5. Has there been resistance to globalisation in India?

Ans.
I. Yes, resistance to globalisation in India has come from different quarters.
II. There have been left wing protests to economic liberalisation voiced through
political parties as well as through forums like the Indian Social Forum.
III. Resistance to globalisation has also come from the political right taking the
form of objecting particularly to various cultural influences ranging from the
availability of foreign television channels provided by cable networks,
celebration of Valentine's Day and adaptation of western dresses.

6. What is the impact of globalisation on India's sovereignty?

Ans.
I. Globalisation reduces state capacity, i.e., the ability of governments to do
what they want to do.
II. Market becomes the prime determinant to down economic and social
priorities.
III. Multinational companies are affected by the decisions taken by governments
because their own interest fulfilment depends on government policies.
IV. The old welfare state is now giving way to more minimalist state to perform
certain core functions as maintenance of law and order and the security.

7. Explain any two arguments given by the advocates of economic globalisation.

Advocates of economic globalisation argue:

I. Globalisation involves greater economic flows among different countries of

the world.
II. This flow or exchange can take various forms: Flow of commodities, capital,
people, and ideas.
III. It generates greater economic growth and well-being.
IV. Greater trade allows each economy to do what it does best.
V. They also say that economic globalisation is inevitable, and it is not wise to
reset the march of history.
VI. Society benefits when there is de-regulations. or any other relevant points.
8. Explain any two major causes of globalisation.

Ans. Major causes of globalisation are:

I. Technology: Technology improved, and faster means communication and

transportation.
II. Interconnectedness: Interconnectedness with the rest of the world due to
availability of improved communication, i.e., the ability of people, ideas,
capital, and commodities to move easily from one point of the world to other.
III. Disintegration of USSR and promotion of Western Liberal Capitalist ideology
in a unipolar world.
IV. Role of international institutions like the IMF, World Bank and WTO in
integrating their economics with the market-oriented world economy.

9. Evaluate the cultural consequences of globalisation.

Cultural consequences of Globalisation:

I. Rise of cultural homogenization.

II. Imposition of western culture on the rest of the world.
III. The culture of the politically and economically dominant society leaves its
imprints on a less powerful society.
IV. Cultural homogenization leads to shrinking of the rich cultural heritage of the
world.
V. Globalisation also leads to cultural heterogenization
VI. External influence adds to our choices.
VII. Sometimes outcomes of outside influence is a new combination E.g.; Khadi
Kurta worn with blue jeans.
10. Analyse the political consequences of globalisation.

The political impact of globalisation on the world is:

I. Globalisation results in an erosion of state capacity, that is, the ability of the
government to do what they want to do. All over the world, the old welfare
state is giving way to the old minimalist state that performs certain core
functions like maintenance of law and order and the security of its citizens.
II. In place of the welfare state, it is the market that becomes the prime
determinant of economic and social priorities.
III. The entry and the increased role of multinational companies all over the world
leads to reduction in the capacity of governments to take their decisions on
their own.
IV. Some governments are forced to do away with certain rules and regulations
which safeguard the rights of the working people and environment.
V. The supporters of the Globalisation, on the other hand, believe that in some
respect the state capacity has received a boost because of globalisation, with
enhanced technologies available at the disposal of the state to collect
information about its citizens. With this information the state is better able to
rule, not less able.
VI. The most important political scope of globalisation is its impact on nation-
state as a historic phenomenon. Some believe that political globalisation is
salvation of state domination. It means that globalisation reduces the authority
and autonomy of states.
11. Give four reasons due to which globalisation was resisted.

Ans. Globalisation means the flow of ideas, capital, commodities, and people across
different parts of the world. It is a multidimensional concept. It has political,
economic, and cultural manifestations and these must be adequately distinguished.

The four reasons due to which globalisation is resisted are:

I. Leftist parties argue that contemporary globalisation represents a global

capitalism that makes the rich richer and the poor poorer.
II. Weakening of the state leads to a reduction in the capacity of the state to
protect the interest of its poor.
III. Rightist parties express anxiety over the political economic and cultural
effects.
IV. The cultural globalisation would harm age old values of people while harming
their traditional culture.

12. How has globalisation affected Indian economy in positive or negative manner?
Discuss.

Ans. Globalisation is a multidimensional concept. It has brought the entire world on

one stage in terms of economy, culture, ideas, science, and technology.

I. Globalisation has provided India with an image of being a huge market for the
countries of the world. Many countries have taken the advantage of India as
one of the huge consumers of the world. Many MNCs have set up and
flourished in India; Nestle, Mc Donald's, MI, Samsung are the examples of it.
India contributes a huge portion of their annual turnover. Indian consumers
are also happy of getting variety of products available in the market. The spirit
of competition has benefitted Indian consumers always.
 II. On the other hand, many of the local vendors have faced negative
consequences because of an open market. It is easy for these MNCs to sell
their products at cheaper rates in the market as compared to the local vendors
who run their businesses on small scale. These MNCs have set a stiff
competition for them to which they are of no match.
III. Hence, we can say that indeed globalisation has brought good days to Indian
consumers, but the picture is not same for all.

13. Describe any six consequences of globalisation.

Ans. The consequences of globalisation are:

I. Globalisation results in an erosion of state capacity, that is, the ability of the
government to do what they do. All over the world, the old welfare state is
giving way to the more minimalist state that performs certain core functions
like maintenance of law and order and the security of its citizens.
II. In place of the welfare state, it is the market that becomes the prime
determinant of economic and social priorities.
III. The entry and the increased role of multinational companies all over the world
leads to reduction in the capacity of governments to take their decisions on
their own.
IV. Some governments are forced to do away with certain rules and regulations
which safeguard the rights of the working people and environment.
V. The supporters of the Globalisation, on the other hand, believe that in some
respect the state capacity has received a boost because of globalisation, with
enhanced technologies available at the disposal of the state to collect
information about its citizens. With this information the state is better able to
rule, not less able.
 VI. It has led to forced globalisation leading to economic ruin for the weaker
countries.
VII. It leads to the rise of a uniform culture called homogenization.
VIII. Imposition of Western culture on the rest of the world.
IX. It leads to shrinking of the rich cultural heritage of the entire globe.

14. Explain any six effects of globalisation on the people all over the world.

Ans. The various consequences of globalisation can be categorized as:

I. Globalisation results in an erosion of powers of the state, that is, the ability
of the government to do what they do. Globalisation does not always reduce
state capacity. The primacy of the state continues to be unchallenged based
on political community.
II. Usually, economic globalisation involves greater economic flows among
different countries of the world. Economic flows in various forms, like
commodity, capital, people and ideas, prompts rich countries to invest their
money in countries other than their own. It also draws attention towards the
role of IMF and WTO in determining economic policies across the world.
III. Advocates of economic globalisation argue that it generates greater economic
growth and well-being for larger sections of the population when there is
deregulation. Greater trade among countries allows each economy to do what
it does best. This would benefit the whole world.
IV. Cultural globalisation emerges and enlarges our choices and modifies our
culture without overwhelming the traditional norms. Those who make this
argument often draw attention to the McDonaldisation of the world, with
cultures seeking to buy into the dominant American dream. The burger is no
substitute for a masala dosa and therefore, does not pose any challenge.
 V. Contemporary globalisation represents phase of global capitalism that makes
the rich richer and the poor poorer.

15. State some demerits of globalisation.

Ans. Demerits of Globalisation

I. Political Consequences: It has affected the traditional conceptions of state

sovereignty. The old "Welfare State" is now giving way to minimalist state.
The increased role of MNCs leads to reduction in the capacity of governments
to take their decisions on their own.
II. Economic Consequences: It benefits only a small section of the society. It
has led to forced globalisation leading to economic ruin for the weaker
countries, many call it re-colonisation of the world.
III. Cultural Consequences: It leads to the rise of a uniform culture called
homogenisation. Imposition of Western culture on the rest of the world. It
leads to shrinking of the rich cultural heritage of the entire globe.

16. How do critics view globalisation in India?

Ans. Globalisation has invited some strong criticisms also despite its positive
impacts. Its critical arguments can be categorised as:

1. Economic:
(a) Reduction in subsidies on mass consumption goods to make foreign creditors
powerful.
(b) It has grown disparity between the rich and the poor nations by making the rich
richer and the poor poorer.
(c) Even states have also created the same disparities between developed and
developing nations.

2. Political:
(a) Welfare functions of the state has been reduced.
(b) Sovereignty of states has been affected.
(c) States have become weak to take their own decisions.

3. Cultural:
(a) People lose their age-old values and traditions.
(b) The world begins to look more like the dominant power over less powerful
society.
(c) It leads to shrinking of rich cultural heritage of the entire globe.