Introduction to Globalization and Brexit

Introduction to Globalization

• Globalization is the increasing interconnectedness of people and places.
• Factors driving globalisation include developments in technology, finance, security, and trade agreements.
• Trends suggest some areas of globalisation are declining, leading to de-globalisation.
• A critical analysis of globalisation's advantages and disadvantages (environmentally, socioeconomic, culturally) is required.
• Recent events and developments show a rise in nationalism and self-sufficiency.

Brexit

• UK held a referendum in June 2016 on EU membership.
• 51.9% voted to leave, and 48.1% to remain.
• Significant voter turnout (72%).
• Leaving the EU was a prolonged process.
• Boris Johnson's 2019 general election victory cleared the path.
• UK formally left on January 31, 2020.
• Further negotiations will follow.
• Potential benefits and drawbacks of Brexit are of interest.

Advantages of EU Membership

• UK contributed to EU budget (£13.1 billion annually).
• Received EU funding (regional fund) offsetting some of their contributions.
• Net contribution around £8.5 billion.
• EU single market provided tariff-free trade and facilitated trade with other countries.
• UK exports to EU made up a large portion (45-55%) of the total exports

Disadvantages of EU Membership

• Some felt that the EU was reducing power of sovereign states.
• EU regulations led to reduced domestic control in the UK.
• Free movement of labor caused migration issues (e.g., housing shortages in specific areas).
• Some argued that EU membership may have increased the risk of terrorist attacks.
• Possible uneven distribution of benefits across the UK.

President Trump and "America First"

• Trump's presidency aimed at reducing US engagement in global governance.
• Policies like trade conflicts (tariffs with China) reflected this initiative.
• Trade disputes with China resulted in tariffs on billions of dollars worth of goods.
• Trump's administration also withdrew from the Paris Climate Agreement.
• Decoupling from global agreements (e.g., from WHO) was also a factor.

Rise Against Cultural Globalisation

• Starbucks, a global coffee shop chain, has 20,000 shops in 60 countries.
• Cultural globalisation has spread global culture.
• Also cultural homogenisation; people see it as a positive.
• Rise of independent shops and local businesses; a form of resistance.
• Concepts of 'glocalisation' (adapting for local culture) have emerged.

Negative Effects of Globalisation

• Job losses in developed nations due to outsourcing to developing countries.
• Increased pollution due to more international transportation and technological use.
• Influence of large corporations on national policies and practices in nations in which they operate.
• Example: Apple's factory conditions in China (overtime, underpayment, and exposure to dangerous chemicals).

Conclusion

• Despite existing de-globalisation tendencies, globalisation is likely to continue.
• Brexit's impact on global trade remains uncertain.
• Importance of considering the complexities of globalisation.
• Ongoing debate about the degrees of de-globalisation taking place.