THE CONTEMPORARY WORLD more than any other concept,

CHAPTER 1: DEFINING GLOBALIZATION globalization is the debate about it.

GLOBALIZATION - Globalization is a reality. It is changing as

• Thomas Larsson (2001) human society develops. It has happened
- Globalization “as the process of world before and is still happening today. We
shrinkage, of distance getting shorter, should expect it to continue to happen in
things moving closer. It can pertain to the the future.
increasing ease with somebody on the
other side of the world.” METAPHORS OF GLOBALIZATION
SOLID
• Ohmae (1992 P.14) - Solidity refers to barriers that prevent or
- Globalization means the onset of the make difficult the movement of things.
borderless world. - can either be natural or manmade.
Examples:
NETHERLANDS DEVELOPMENT - Natural solids: landforms and bodies of
ASSISTANCE RESEARCH COUNCIL water.
- "The characteristics of the globalization - Man-made barriers:
trend include the internationalizing of Great Wall of China
production, the new international division Berlin Wall
of labor, new migratory movements from Nine dash line
south to north, the new competitive Laws
environment that accelerates these
processes, and the internationalizing of LIQUID
the state making states into agencies of - Liquidity refers to the increasing ease of
the globalizing world." movement of people, things, information,
and places in the contemporary world.
• RITZER (2015) Examples:
- Globalization is a trans planetary process - Culture
or a set of processes involving increasing - Language
liquidity and the growing multidirectional - Time/Duration of storm
flows of people, objects, places, and - Cyberspace
information as well as the structures they - Fake news
encounter and create that are barriers to,
or expedite, those flows. FLOWS
- the melting process of solid phenomena
• CESAR POPPI (1997) followed by an increase in liquidity.
- "The literature stemming from the debate - Flows are the movement of people,
on globalization has grown in the last things, places, and information brought by
decade beyond any individual's capability the growing "porosity" of global limitation
of extracting a workable definition of the (Ritzer, 2015)
concept. In a sense, the meaning of the Example:
concept is self-evident, in another, it is - Overprice of face mask because it is in
vague and obscure as its reaches are demand.
wide and constantly shifting. Perhaps, - People will visit a place that is popular.
GLOBALIZATION THEORIES - tend to move more easily around the
globe than ever before, especially through
Homogeneity
non-materials digitals forms. There are
- sameness in the world as cultural inputs,
three perspectives on global cultural
economic factors, and political
flows. These are differentialism,
orientations of societies expand to create
hybridization, and convergence.
common practices, same economies, and
similar forms of government.
Cultural Differentialism
- cultural divergence, globalization causes
Cultural Imperialism
interregional and international conflict.
- domination in cultural relationships in
- arise from a fear of homogenization or
which the values, practices, and
may be a version of cultural
meanings of a powerful foreign culture are
fundamentalism.
imposed upon one or more native
- "prone to violence"
cultures.
- Powerful nations extend its influence over
Cultural Convergence
other countries.
- Cultures are deemed to be radically
Example:
altered by strong flows, while cultural
- Spanish use the Catholic religion to
imperialism happens when one culture
dominate Filipinos.
imposes itself on and tends to destroy at
least parts of another culture
Heterogeneity
- creation of various cultural practices, new
Globalization and Regionalism
economics, and political groups because
Regionalization
of the interaction of elements from
- process of transferring power from the
different societies in the world.
central government to the regions, for a
better application of the subsidiarity
Cultural Hybridization
principle.
- cultural element blends into another
- to replace the central role of the nation-
culture by modifying the element to fit
state in international relations by region.
cultural norms.
- Merging of two cultures to create new
Cycles
culture.
- Globalization is a long-term cyclical
Example:
process and thus, finding its origin will be
- In one country, two languages are the
a daunting task.
main language; that is an example of
- Trends changes
cultural hybridization. Some African
countries speak French and mix it in with
Epoch
their native language, creating something
- Ritzer (2015) cited Therborn's (2000) six
new. Language.
great epochs of globalization. These are
- Religion + Family oriented = Christmas,
also called waves and has each own
Fiesta, Undas
origin

Dynamics of Local and Global Culture

The Sequential occurrence of epochs
Global Flows of Culture
• Globalization of religion (fourth to seven
centuries)
 • European colonial conquest (late fifteenth become integrated through the global
century) network of trade, communication,
• Intra-European wars (late eighteenth to immigration, and transportation.
early nineteenth centuries)
• Heyday of European imperialism (mid- International Trade
nineteenth century to 1918) - exchange of goods and services between
• Post-World War II period different countries, and it has also helped
• Post-Cold War Period countries to specialize in products which
they have a comparative advantage in.
Global Demography - economy's ability to produce goods and
- it is a singular historical period during services at a lower opportunity cost than
which mortality and fertility rates decline its trade partners.
from high to low level in a particular
country or region. International Finance
- Demography examines the size, structure, - Money can be transferred at a faster rate
and movements of populations over between countries compared to goods,
space and time. services, and people, making international
finance one of the primary features of a
Global Migration global economy. Consists of topics like
- growing numbers of people move within currency exchange rates and monetary
countries and across borders, looking for policy.
better employment opportunities and
better lifestyles. Global Investment
Factors of Migration: - investment strategy that is not constrained
- Education by geographical boundaries.
- Opportunities/Work - takes place via foreign direct investment
- Refuges – umiiwas sa gyera/gulo (FDI)
- Vacation
- Family or married to foreigner IMPORTANCE OF GLOBAL ECONOMY
• We can understand the importance of the
global economy by looking at it in relation
CHAPTER 2: THE GLOBAL ECONOMY to emerging markets

GLOBAL ECONOMY Microeconomics

- interconnected worldwide economic - studies how people make decisions, what
activities that take place between multiple factors affect their decisions, and how
countries that can have either a positive these decisions affect the price, demand,
or negative impact on the countries and supply of goods in the market.
involved.
WHO CONTROLS THE GLOBAL ECONOMY?
CHARACTERISTICS OF GLOBAL ECONOMY • Big banks and large corporations that
control and essentially fund these
Globalization governments. This means that the global
- process by which national and regional economy is dominated by large financial
economies, societies, and cultures have institutions
 • Infrastructure
HOW DOES THE GLOBAL ECONOMY • Population
WORK? • Labour
• The functioning of the global economy • Human capital
can be explained through one word— • Technology
transactions. International transactions • Law
taking place between top economies in
the help in the continuance of the global
economy. These transactions mainly
comprise trade taking place between
different countries. International trade
includes the exchange of a variety of
products between countries. It ranges all the
way from fruits and foods, to natural oil and
weapons.

EFFECTS OF GLOBAL ECONOMY

• economics — based on the production
and exchange of goods and services.

BENEFITS OF GLOBAL ECONOMY

Free trade - an excellent method for countries
to exchange goods and services.

Movement of labour - Increased migration

of the labour force is advantageous for
the recipient country as well as for the
workers. If a country is going through a
phase of high unemployment, workers
can look for jobs in other countries.

Increased economies of scale - The

specialization of goods production in
most countries have led to advantageous
economic factors such as lower average
costs and lower prices for customers.

Increased investment - it has

become easier for countries to attract
short-term and long-term investment.
Investments in developing countries go a
long way in improving their economies.

FACTORS AFFECTING GLOBAL ECONOMY

• Natural resources