TCW LESSONS 1 PDF

(1) Concepts of Globalization Other definitions… For a political scientist Contemporary World ➔ globalization serves as a challenge to Noun: Someone or something living at the same...

(1) Concepts of Globalization Other definitions… For a political scientist Contemporary World ➔ globalization serves as a challenge to Noun: Someone or something living at the same nation-states. time or age as another. For an economist He was a contemporary of George ➔ globalization means increase of free Washington. trade, speed of trade, global economic She is politically very different from most organization, and regional trade blocs. of her contemporaries. For culture and communication experts Adjective: Happening, existing, living or coming ➔ globalization refers to the concept of a into being during the same period of time. global village. A magazine devoted to contemporary fashions. Manfred Steger Contemporary music/literature/art. ➔ Describes the process of globalization as "the expansion and intensification of Globalization social relations and consciousness ➔ It is a process of interaction and across world time and across integration among the people, world-space” companies, and governments of different nations, a process driven by EXPANSION and INTENSIFICATION international trade and investments, and EXPANSION aided by information technology (Levin ➔ refers to "both the creation of new social Institute, 2016). networks and the multiplication of ➔ Defined as a process based on existing connections that cut across international strategies that aim to traditional political, economic, cultural, expand business operations worldwide and geographic boundaries". and was precipitated by the facilitation INTENSIFICATION of global communications due to ➔ refers to the expansion, stretching, anda technological advancements, and acceleration of these networks. socioeconomic, political and TIME AND SPACE environmental developments ➔ "globalization processes do not (Pologeorgis, 2017). occur merely at an objective, Arjun Appadurai material level, but they also ➔ proposed that the different kinds of involve the subjective plane of globalization occur on multiple and human consciousness” intersecting dimensions of integration as “scapes” Anti-globalization ➔ Globalization is a complex phenomenon A. Ethnoscape that occurs at multiple levels. It is an ➔ global movement of people. uneven process that affects people B. Mediascape differently. ➔ flow of culture. "globalization" and "anti-globalization” C. Technoscape ➔ Globalization scholars view the process ➔ circulation of mechanical through various lenses that consider goods/software. multiple theories and perspectives/ D. Financescape interdisciplinary approaches. ➔ global circulation of money. E. Ideoscape ➔ realm where political views move around. Globalization is a phenomenon Economic Imperialism Schottle (1995) ➔ It is a situation in which one nation ➔ states that "globalization stands for quite assumes economic power or influence a large spread across the world as one over the others. of the defining terms of the 20th century social consciousness". Globalization ➔ Process of rapid flow or movement of people, — Steger pointed out that even Osama Bin things, information and products in different Laden, leader of the international terrorist group directions experienced in different parts of the Al Qaeda, who denounced modernity and world (Ritzer, 2011). secularism, perfectly captured the complex ➔ Thomas Friedman characterized it by its speed, breadth, low cost, and depth. dynamics of globalization. ➔ In social issues, it directly reforms and challenges — The rise of international terrorist long established lifestyle and perennial institutions. organizations (their use of technology in promoting their ideologies) represents one of the Key Questions to Consider: What products and things flow or move fast? many manifestations of globalization. Who are the people referring to here? What kind of information flows fast? Globalization is a condition How do they flow? Globality Where does this flow often come from and go to? Is someone dictating this trend? Who? ➔ means globalization as a condition. — Steger (2005) denotes globality as "future Extensive Integration Of Different Global Procedures social condition characterized by thick ➔ refers to the interconnectedness and economic, political, anda cultural interdependence of various systems, processes, and institutions across the globe. interconnections and global flows that make currently existing political borders and economic barriers irrelevant". (2) Global Interstate Economy — Steger identifies six core claims of globalism. EFFECTS OF GLOBALIZATION ON Globalization is an ideology GOVERNMENTS ➔ Globalization has core claims, and an — Seen as imposing a forced choice upon ideology is defined by core claims. states either they conform to the neo liberal Steger (2014) uses the term globalism ideas of free-market principles of deregulation, to mean globalization as an ideology. privatization and free trade or run the risk of ➔ "First, globalization is about the being left behind. liberalization and global integration of Establishment of economic and political markets; second, globalization is integrations. inevitable and irreversible; third, nobody The growth of international law and is in charge of globalization; fourth, universal principles. globalization benefits everyone; fifth, The rise of transnational activism. globalization furthers the spread of Creation of a new communication democracy in the world; and sixth, network. globalization requires a global war on terror." Steger posits that his definition of globalization must be differentiated with an Global Village ideology he calls globalism. ➔ Through globalization, the world has — If globalization represents the many become a borderless world. processes that allow for the expansion and McLuhan (1964) intensification of global connections, ➔ believes that media has Globalism connected the world in ways ➔ a widespread belief among powerful that created a global village. people that the global integration of economic markets is beneficial for Cultural Imperialism everyone, since it spreads freedom and ➔ It is the conviction that there is a "better" democracy across the world. culture. Some cultures see other cultures as superior to theirs, forming inferior or non-dominant cultures. STATE (defined by Weber, 1997) Nation ➔ A compulsory political organization with ➔ A territorial division containing a body of people of continuot operations if and in so far as one or more nationalities. ➔ It may or may not possess sovereignty. A group of its administrative staff successfully people may continue to exist as a nation even if upholds a claim on the monopoly of the the nation does not possess or retain its sovereign legitimate use of physical force in the character. enforcement of its orders. ➔ refers to a large group of individuals who believe that they belong together because they share a ΝΑΤΙΟΝ (defined by Schattle, 2014) common identity as a people. This common ➔ Emphasizes the organic ties that hold identity enables them to think of themselves as members of a homogeneous community. groups of people together and inspire a A group of people may also be described as a nation sense of loyalty and belonging. because what is merely required of a nation is a sense of Example: belonging and oneness. ethnicity language (3) Global Governance religion Intergovernmental Organizations NATION - STATE 1. ASEAN (Association of Southeast Asian ➔ A political community that emanates Nations) from civic society to execute peace History: legitimately. Founded on August 8, The NATION: 1967, in Bangkok, imagined community (e.g. Thailand- by Indonesia, Pacman) Malaysia, the Philippines, limited (different from religion Singapore, and Thailand. and geography) Later expanded to include self-govern (Muslims of Brunei, Vietnam, Laos, Mindanao) Myanmar, and Cambodia. Function: State Promotes political and economic ➔ A politically organized body of people, usually cooperation and regional occupying a definite territory, possesses sovereignty. stability. among Southeast Four Elements of State must have: Asian countries. It focuses on People regional security, economic ➔ A state cannot exist without people. integration, and socio-cultural There must be people residing in a state, which should be sufficiently collaboration. asean Asa-Pac numerous to be governed and self-sufficient. Government ➔ A state requires a functioning government with permanent institutions, defined governmental functions, and centralized, enforceable authority. Territory ➔ The state must have a definite territory on which the people can reside.The territory of a state consists of land, water, and air. Sovereignty ➔ A state requires sovereignty, which is the inherent power of the state to impose its will on its people free from external control. 2. APEC (Asia-Pacific Economic 5. EU (European Union) Cooperation) History: History: The EU originated from the Established in 1989 to enhance European Economic economic cooperation in the Community, established in 1957 Asia-Pacific region. Initially, it by six countries. It has since involved 12 member economies evolved into a political and and has since grown to 21. economic union of 27 member Function: states. Aims to promote free trade and Function: economic cooperation across The EU promotes economic the Asia Pacific region. It integration, enforces common focuses on trade liberalization, policies in areas like trade and economic integration, and agriculture, and works towards business facilitation. political and social cohesion 3. OPEC (Organization of the Petroleum among member states. Exporting Countries) History: 6. UN (United Nations) Founded in 1960 in Baghdad, History: Iraq- by Iran, Iraq, Kuwait, Saudi Established on October 24, Arabia, and Venezuela. It now 1945, following World War II, the includes additional members. UN was created to promote Function: international cooperation and Coordinates and unifies prevent future conflicts. petroleum policies among Function: member countries to secure fair The UN addresses global issues and stable oil prices and ensure through various specialized a regular supply of oil to agencies, promotes human consumers. rights, provides humanitarian 4. WTO (World Trade Organization) aid, and maintains international History: peace and security. Formed on January 1, 1995, the 7. UN G5 (United Nations Group of Five) WTO succeeded the General History: Agreement on Tariffs and Trade Refers to a grouping of five (GATT) from 1948. It was prominent UN member established to provide a countries (Brazil, Germany, framework for international India, Japan, and the United trade. States) that advocate for Function: reforms in the UN Security The WTO oversees trade Council. agreements, settles trade Function: disputes, and facilitates trade These countries seek to negotiations to ensure smooth increase their influence and and fair trade among member reform the UN Security Council nations. to better reflect current global realities. 8. G7 (Group of Seven) According to Cambridge Dictionary....* History: Politics Formed in the 1970s during ➔ the activities of the government, economic turmoil, the G7 members of law making organizations, includes Canada, France, or people who try to influence the way a Germany, Italy, Japan, the UK, country is governed and the USA, serving as a ➔ refers to the ability to control others in forum for economic discussion. favor of a certain goal or defense. Function: Global Politics The G7 addresses global ➔ refers to the interplay of power economic governance, security, between and among and development, providing a nation-states. platform for member countries Governance to coordinate policies on ➔ the way that organizations or countries pressing international issues. are managed at the highest level, anda 9. ICC (International Criminal Court) the systems for doing this. History: ➔ means controlling the public or the Established by the Rome people in order to attain the common Statute, which came into effect goods. on July 1, 2002, the ICC aims to prosecute individuals for crimes Global Governance such as genocide, war crimes, ➔ A rule based, but has no central and crimes against humanity. authority. Function: ➔ It makes world affairs The ICC investigates and tries systematic, secured, and individuals accused of serious formulaic. international crimes, serving as a court of last resort when Bureaucracy national jurisdictions fail to act. ➔ a system of government in which most 10. NATO (North Atlantic Treaty Organization) of the important decisions are made by History: state officials rather than by elected Established on April 4, 1949, in representatives. Washington, D.C., NATO was ➔ individual states, internal politics. created as a military alliance to EXECUTIVE counter Soviet expansion during ➔ Led by the President, this the Cold War. branch is responsible for Function: enforcing laws and managing NATO provides collective the day-to-day operations of the defense against aggression, government. promotes stability through LEGISLATIVE cooperative security, and ➔ Composed of the Congress, engages in crisis management which includes the Senate and and peacekeeping operations. the House of Representatives, this branch is responsible for making laws.  INTRODUCTION TO GLOBAL POLITICS & GOVERNANCE JUDICIARY ➔ Headed by the Supreme Court, Politics "power" this branch interprets laws and ➔ Refers to the ability to control others; capability to ensures justice is served control others in favor of a certain goal or desire. Governance through the court system. ➔ Greek "kubarnere"; Latin "Gubarnare" - "to steer/control" International Relations (International Affairs) ➔ Positive politics ➔ interactions between states in fields ➔ Control public or the people in order to attain the common good politics, economic, military (security) and Republic = res + publica other diplomatic engagements. Internationalization GLOBAL POLITICS ➔ The deepening of interactions ➔ Refers to the interplay of power between and among nation-states. between states. CHAOTIC – ANARCHIC ➔ It is not equal to globalization; it is a facet/window to GLOBAL GOVERNANCE globalization. ➔ Need for an institution or a superior entity that will govern the interplay of power between and among Why do we have to study internal relations: nation-states. 1. Promotes successful trade policies Attempt to govern? Why? between nations International Organizations (IOS) are limited or demarcated 2. Encourages travel related to business, to enforce authority PERMANENT COURT OF ARBITRATION (PCA) tourism, migration, providing people with opportunities to enhance their lives UN SECURITY COUNCIL 3. Allows nations to cooperate with one UNITED STATES another, pool resources, and share UNITED KINGDOM FRANCE information as way to face global issues RUSSIA 4. Advances human culture through CHINA cultural exchanges, diplomacy and policy development. State Sovereignty vs International Law Sovereignty ➔ the supreme power of the state to command and Functions of Embassies enforce obedience to its will from the people within 1. Diplomatic Representation its jurisdiction and corollary, to have freedom from 2. Consular Services foreign control. a. Internal 3. Trade and Investment Promotion ➔ or power of the state to rule 4. Cultural Exchange within its territory; and 5. Political Advocacy b. External 6. Information Dissemination ➔ the freedom of the state to carry its activities without subjection to or control by The Attributes of Today's Global System other states. Commonly WORLD POLITICS Key Attributes: known/referred as 1. There are countries or states that are independence Two issues independent and govern themselves. Death of State Sovereignty 2. These countries interact with each other Futility of International Government through diplomacy. 3. There are international organizations that facilitate these interactions. 4. International organizations also take on lives of their own. (4) The Global Economy Does globalization unite or divide the world? Economic Globalization Globalization UNITES the world because... ➔ A historical process representing the It fosters universal economic growth and result of human innovation and development. technological progress. It allows a worldwide distribution of ➔ Refers to the expanding incomes. interdependence of world economies. It reduces poverty. ➔ Characterized by integration of It creates mutual dependence between economies through the movement of developing and developed countries. goods, services, and capital which are products of people, organizations, Does globalization unite or divide the world? institutions, and technologies. The phenomenon can have several Globalization DIVIDES the world because.... interconnected dimensions, such as the The sources of goods and services are following: exploited. It does not benefit all nations. the globalization of trade of goods and Capitalism created the different level of services wages in the economic arena of world the globalization of financial and systems. capital markets the globalization of technology and Intergovernmental Organizations communication the globalization of production International Monetary Fund (IMF) 1. Monitors exchange rates It is agreed that a drastic economic change is 2. Works with countries that are having occurring throughout the world. problems with money and debt 3. Advises on how to change their internal. GDP increased policies and structures to fix their problems Gross Domestic Product (GDP) 4. Serves as the global lender of last resort ➔ the market value of all finished goods for countries to prevent from spiraling and services produced within a country into credit crises. in a year. Investments are moving World Bank Increased speed and frequency of trading ➔ It aims to end extreme poverty and Item selling and trading promote shared prosperity sustainably. ➔ Lends money to war-ravaged countries, Pointers: post-conflict countries, and fragile According to the IMF, the value of trade states. (goods and services) as a percentage of world GDP increased from 42.1 percent World Trade Organization (WTO) in 1980 to 62.1 in 2007. ➔ promotes global trade and free trade According to the United Nations and functions as a courtroom for Conference on Trade anda member countries to resolve trade Development, the amount of foreign disputes with one another. Basically, it direct investments flowing across the upholds the rules of international trade. world was US$ 57 billion in 1982. By 2015, that number was US$1.76 trillion. Let's look at some of the important events in Neoliberalism economic globalization. ➔ a new form of economic thinking; from the 1980s onward, this became the Silk Road codified strategy of the United States ➔ a network of pathways in the ancient Treasury Department, the World Bank, world that spanned from China to what the IMF, and eventually the World Trade is now the Middle East and to Europe; Organization international trading but was not Washington Consensus considered global yeta ➔ minimal government spending to reduce Galleon Trade government spending; called for the ➔ connected Manila and Acapulco in privatization of government-controlled 1571; the first time that the Americans services were directly connected to Asian trading The Global Financial Crisis (2008-2009) routes ➔ due to the United States' systematic decision to remove various banking and Mercantilism investment restrictions ➔ system of global trade with multiple restrictions; mainly monarchies imposed CONCLUSION this ➔ International economic integration is a Tariffs central tenet of globalization. ➔ taxes or duties to be paid on a particular ➔ Economics is just one window into the class of imports or exports phenomenon of globalization; it is not Gold the entire thing. Nevertheless,much of ➔ one of the least reactive chemical globalization is anchored on changes in elements and is solid under standard the economy. conditions. ➔ International policymakers, therefore, Fiat Currencies should strive to think of ways to make ➔ currencies that are not backed by trading deals fairer. precious metals and whose value is determined by their cost relative to other (5) Market Integration currencies World War I Types of International Financial Institutions ➔ countries were forced to abandon the Intergovernmental gold standard after depleting their gold 1. International Monetary Fund reserves to fund their enemies 2. World Bank The Great Depression International Bank for ➔ global economic crisis during the 1920s Reconstruction and and extended up to the 1930s Development Stagflation International Development ➔ STAGNATION & INFLATION Association International Financial Association Multilateral Investment Guarantee Agency International Center for Settlement and Investment Disputes 3. Asian Development Bank 4. African Development Bank  Private: Structural Periods in the Existence of Global Merill Lynch Corporations After World War II by Gereffi Citigroup (2001) Hong Kong Shanghai Banking Investment-based (1950-1970) — foreign direct Corporation investments ➔ Dominated by producer-driven United Nations Conference on Trade and commodity or value chains, which in Development (UNCTAD) turn tended to be dominated by firms ➔ In the early 1960s, growing concerns characterized by large amounts of about the place of developing countries concentrated capital focused on in international trade led many of these large-scale or capital-intensive countries to call for the convening of a manufacturing or extractive industries. full-fledged conference specifically ➔ Transforming older manufacturing devoted to tackling these problems companies into more extended and and identifying appropriate integrated organizational forms. international actions. Trade-based producer (1970-1995) — driven ➔ The first United Nations Conference commodities Trade and Development (UNCTAD) ➔ Consumers and companies can choose was in Geneva in 1964. from different products and services that Given the magnitude of the problems at stake are offered from other countries. need to address them, the conference was ➔ A producer-driven chain became institutionalized to meet every 4 years, with buyer-driven and financial firms intergovernmental bodies meeting between emerged globally. sessions and a permanent secretariat providing Digital globalization (1995-onwards) — online the necessary substantive and logistical support. platforms, cashless transactions ➔ Producer driven streams integrated their Common Attributes of Global Corporations corporate structures to reduce the by Neubauer (2014) effects of time, distance and services. ➔ An agent of desired economic ➔ Digitalization is transforming the classic development value chain of manufacturing focused on ➔ An economic prominence innovation. ➔ A very powerful entity that can create a crisis. Global Market Integration ➔ It was the result of the establishment of Global Financial Crisis 2008 - '09 a global economy that involved the ➔ The U.S. systematically removed homogenization of trade and commerce. various banking and investment ✓ International trade and exchange of goods restrictions. and services. ✓ Developments in shipping and navigation. ✓ Development of maritime transport. — Many countries across the world are trading their products and/or services not only in their domestic country but also all around the globe. Conglomerate Global Companies ➔ a corporation several different, ➔ Some references have the sometimes unrelated, businesses. MNCs and global companies as ➔ one company owns controlling stake in interchangeable terms, but there several smaller companies, conducting are distinctions in their scope business separately and independently. and operations. International Companies ➔ They have a wider scope. ➔ are companies who sell its ➔ Global and multinational product in foreign countries by companies are distinctly exporting and might be involved different on the management well in importing. and operational levels (Lazzari, ➔ They do have any foreign direct 2019) investment (FDI) in the countries. The decision making Capitalism functions is always taken from ➔ an economic and political system in the domestic country of the which a country's trade and industry are company. controlled by private owners for profit, Transnational Companies rather than by the state; a capitalist ➔ more complex organizations system requires that there be workers that have investments in foreign who provide the labor for the productive operations, have a central processes. corporate facility but give Proletariat decision-making, research and ➔ refers to the working development, and marketing class/wage-workers. powers to each individual Monopoly foreign market. ➔ is a dominant position of an industry or a Multinational Companies sector by one company, to the point of ➔ has facilities and other assets in excluding all other viable competitors. at least one country other than Universalism its home country. ➔ the priority to general rules applying ➔ A multinational company equally to all persons, and therefore the generally has offices and/or rejection of particularistic preferences in factories in different countries most spheres. and a centralized head office Firm where they coordinate global ➔ a business organization-such as a management. corporation, limited liability company, or partnership-that sells goods or services to make a profit. Subsidiary ➔ is a company that belongs to another company, which is usually referred to as the parent company or the holding company.