International Relations

• Globalization is a recent concept that emerged forcefully in the 1990s.
• Its processes are as old as history and include cultural exchange, dissemination of knowledge, and trade.
• Globalization is defined as the intensification and expansion of political, economic, and social relations across the globe.

Three Dimensions of Globalization

• Political globalization is the intensification and expansion of political relations.
• Economic globalization includes widespread international movements of goods, capital, services, technology, and information.
• Social globalization pertains to interactions within cultural communities, including family, religion, work, and education.

Causes of Globalization

• Technological advances and policies encouraging business relations are causes of globalization.
• Business outsourcing, education, and mass media are also causes.

Advantages of Globalization

• Reduced trade barriers and free trade, competition, opportunities for poor countries to develop.
• Globalization goes hand in hand with democracy and creates a worldwide market.
• Influx of information, cultural intermingling, coordinated efforts to solve ecological problems.
• People become more open and tolerant, with speedy travel and mass communications and labor mobility .
• Developing nations can progress through technology and transnational companies providing employment.

Disadvantages of Globalization

• Rich countries become richer, poor countries become poorer, trade barriers are not fully eliminated.
• Job loss in developed countries, pay-cut demands from employers, and tax havens by corporations.
• Multinational corporations face accusations of injustice, unfair conditions, and lack of environmental concern.
• Multinationals influence political decisions, technologies are at risk of being copied or stolen.
• Increases the spread of communicable diseases and exploitation of labor and social schemes are under pressure.

Economic Globalization Definition

• Manfred Steger defines economic globalization as the expansion and intensification of economic processes and relations.
• Economic interdependence among countries is also a factor.
• Encompasses interconnected dimensions such as the globalization of trade of goods and services, financial and capital markets.
• The globalization of technology and communication, and production also fall under this umbrella.
• Szentes states it is a process making the world economy an organic system by extending transnational processes.

History of Economic Globalization

• Grills and Thompson suggest globalization began with Homo Sapiens migration.
• Frank and Grills pinpoint the Silk Road as an example of archaic globalization 5,000 years ago.
• Adam Smith notes the importance of the discovery of America and the sea route to India in history.
• The global economy from 1500 to 1800 existed in trade and exchange, with self-sufficient countries.
• Maddison marks the 19th century as the real breakthrough with growth in world trade between 1820 and 1913.
• Trade equaled 16-17% of world income by 1913, the relatively short period is called the "golden age".
• Flynn and Giraldez's age of globalization includes important continents that exchange products continuously.

The International Monetary System (IMS)

• Salvatore describes the IMS as rules, facilities, and organizations affecting payments.
• Cohen notes IMS reflects economic power and interests, money is political, and diplomacy is key.

The Gold Standard

• Einaudi marks the early 19th century when the UK adopted gold mono-metallism in 1821, sparking its origin.
• In 1867, followed a shift to gold, meant to guarantee a stable economic environment for trade.
• Germany (1872), France (1878), the US (1879), Italy (1884), Russia (1897), and 70% of participating nations joined the gold standard.
• During World War I, countries abandoned the gold standard, adopting floating currencies no longer redeemable in gold.

The Bretton Woods System

• Allied nations negotiated a monetary system at Bretton Woods in 1944, delegates agreed on a gold-exchange standard.
• The US dollar was the only convertible currency, with the US committed to selling and purchasing gold at US$35 per ounce.
• The International Bank for Reconstruction and Development (IBRD or World Bank) became responsible for post-war reconstruction.
• The International Monetary Fund (IMF) was created to promote cooperation and buttress trade.
• Influenced by John Maynard Keynes, the system promoted government intervention.
• Keynes believed that economic crises occurred when money was not being spent, economies needed capital.
• Shortly after the Bretton Woods, countries committed the General Agreement on Tariffs and Trade (GATT), reduce tariffs and other hindrance to trade.
• In the 1970s, oil prices rose, stock-markets crashed, and the US stopped linking the dollar to gold, the Bretton Woods system dissolved.

The Washington Consensus

• A new economic thinking began in the 1970s, economists argued government intervention caused inflation.
• Friedrich Hayek and Milton Friedman believed government intervention in economies distorted the market's functioning, critics labeled it neoliberalism.
• The 1990s saw the triumph of the economists, a set of 10 reform packages was set by Washington institutions.

The European Monetary Integration

• The United States advocated an economically and militarily Germany and Western Europe.
• The Marshall Plan which started 1948 was administered by the Organization for Economic Cooperation.
• The European Coal and Steel Community in 1951 and the Rome Treaty in 1957 promoted regional cooperation.
• The European Monetary System (EMS) was established in 1979, later the Maastricht Treaty came into force in 1993 establishing the EU.
• Members delegated policy to the European Central Bank (ECB) in 1999, The Euro became the second most widely used currency.

Impact of Economic Globalization

• Ohmae considers the the state ceased to exist as primary organization, according to current debates on current debates.
• Reich transforms the national economy into a global one where industry and technologies will be non-national.
• Boyer and Drache assert, it redefines the role of the state to the effects for a free market.
• Milner and Keohane admit, most of the benefits of the economy come from TNCs.
• The term "race to the bottom" refers to decreased labor standard, for foreign investors seeking profit.
• Government weakens laws , creating fatal consequences ,like coal and minerals.
• Bairoch considered, many are concerned about increasing regards to its impact on the worldwide distribution of income.

Additional Notes On Globalization

• The industrial revolution and intensified international relations reinforced growth and the the rest did not capitalize on these processes.
• Developed countries led the the developing ones and globalization reinforces the structural inequalities.
• Thus, inequality and political dependence are not independent of economics.

Market Integration

• Combining markets into one
• When the price differences are eliminated this means the integration is now global.
• There was long distance trade, driven by demand and new products, that existed BC(Before Christ).
• The globalization began and price differences began to close due to transport and the opening of the Suez Canal.
• It was quicken journey between countries and trade was on the rise with capital flowing .

Great Depression

• Governments would raised tariffs which made more products for their countries.
• Smoot-Hawley Tariff = raised tariffs on imported goods
• This meant foreign countries would retaliated and the prices would worsened.
• The economy was able to recover after decades.

End of the Century

• Markets are more and transportation cost have began to fell.
• Trend was toward a freer flow of capital.
• Liberalization of markets where funds can be borrowed.

Global Market Integration Problems

• Institutional differences between countries
• Incompatibility with sovereignty.

Nation State Definition

• Nation = large population, a form of community,emphasis of cultural.
• State= community of persons occupying a portion of territory.
• Elements for the a modern state are authority,govern a specific territory ,government's power and sovereignty.

World Politics

• There are countries/nation-states that are independent and govern themselves that interact through diplomacy.
• UN that facilitate the world with taking specific task like the WHO(World Health Organization).

The Interstate System Origin

• Peace Treaty of Westphalia(Germany): This ended the 30-year era of religion.
• States agreed to respect each other’s and core points of peace that are state and legal and internal affairs.
• Napoleon Bonaparte sought to by launching Napolenic wars to spread Revolution with principles government.

Concert of Europe

• main objective was to restore the Westphalian power".
• No one state should not be a revolution among states.

Internalism

• Has been various states and people with unity for for greater global unity.
• Liberal internalism includes Immanuel Kant (Germany) and Jeremy Bentham (British) as well as Giuseppe Mazini ,and Woodrow Willson.

Socialist/Communism

• Was Karl Marx who did believed in nationalism, He argued that divided into classes:
• Capitalist with protertait and his battle was "Workers Unite'.
• The Socialist International(1889 1916) in Europe for Women's and labor.
• Communist(Comintern) was established in 1991 was Victory in Russia under Lenin to promote revoultion .
• Today, term Third Obsolete the First the equator which have vanashed.

Global Governance

• Is The State and The Primary in World.
• As in Schotle states the leas actor is territorial and the are failings to meet.
• August Comte argue beings create institution to deal, but a nation state can become obsolete.
• Importance of States but there is a global markets.

Global Goverancne

• Is toward actors aim to at more the 1 state.
• Laws regulations intended and of societies that are absence and arrangements
• Not United NonState affairs process ,agreements governments and governments
• Solve that affect the State, there is no power.
• With International With enforce compliance.

United Nations

• It’s the Atlantic principles by war and peace.
• Establishment Dumbarton the Security UN
• President Minister the and
• Yalta drafted for the Nations
• Ensure act is the force that territories Nations.

A quiz to test your knowledge of international relations. Questions cover international law, organizations like the League of Nations, and concepts such as globalization. You will also be tested on key figures and their contributions.