Globalization and Local Connections Quiz

What is the main purpose of the Bretton Woods Conference?

Which theory explains how nations should operate and trade when resources are imbalanced throughout the world?

What is the main advantage of trading according to the text?

Which organization is an example of promoting regional economic integration in Europe?

What does the Heckscher-Ohlin model consider in addition to commodities for trade?

How does trade impact employment according to the text?

What term do scholars, including Scholte, use to refer to globalization as a social condition characterized by trans-planetary connectivity and supra-territoriality?

According to Steger (2005), what are the key factors contributing to globalization?

What is a primary focus of globalization as a process?

How are tariffs and import quotas related to globalization?

What is an example of a cultural consequence of globalization?

What defines global order according to the text?

Globalization as a Process

Focuses on deepening of local connections
Characterized by trans-planetary connectivity and supra-territoriality

Key Concepts

Globality: a social condition characterized by trans-planetary connectivity and supra-territoriality
Supra-territorial relations: social connections that transcend territorial geography

Globalization Beliefs

A political belief system consisting of coherent and complementary ideas
Viewed as a multidimensional set of social processes that generate and increase worldwide social interdependencies and exchanges

Economic Concepts

Comparative advantage: a situation where an individual or country can produce a good or service at a lower opportunity cost than another
Protectionism: methods used by countries to protect their domestic industries from foreign competition, e.g. tariffs and import quotas
Economic regionalism: examples include free trade areas, customs unions, common markets, and economic unions

Impact of Globalization

Leads to outsourcing of jobs to lower-wage labor markets
Increases global interconnectivity, making it easier for individuals and organizations to interact and conduct business across national borders
Can lead to income inequality within and between countries

Historical Events

Bretton Woods Conference: aimed to help countries devastated by war through the implementation of a new international monetary system
NAFTA: a trade agreement between the United States, Mexico, and Canada

Trade Theories

Heckscher-Ohlin Theory: an example of unrestricted free trade, evaluating the equilibrium of trade between two countries with varying specialties and natural resources
Advantages of trade:
- Exploitation of comparative advantage, leading to specialization and efficiency
- Increase in competition, lowering world prices and raising consumer surplus
- Increase in employment, both directly and indirectly through the multiplier process

Test your knowledge of globalization and its impact on local connections. Explore the concepts of globality and supra-territorial relations as discussed by scholars like Scholte. Dive into the political belief system associated with globalization.