Lesson 1.B: Market Globalism PDF

LESSON 1.B: Market Globalism  The Ideological Dimension of Globalization: 1990s: Economic and Technological features of globalization Later: The Role of Markets and New Information Know-hows 2  Topics to be discussed in this lesson: (a) Ideolog...

LESSON 1.B: Market Globalism  The Ideological Dimension of Globalization: 1990s: Economic and Technological features of globalization Later: The Role of Markets and New Information Know-hows 2  Topics to be discussed in this lesson: (a) Ideological aspect of globalization; (b) Roles and purposes of political ideologies; and (c) Six (6) central claims of market globalism. 3 Political Ideologies and the Global Imaginary Steger (2014): “Ideology” is a structure of broadly shared ideas or philosophies; patterned beliefs; guiding norms (i.e., laws, mores, and folkways); values; and ideals. 4 Ideology: “Positivistic science of ideas” First introduced by Antoine Destutt de Tracy in the 18th century. 5 Source: https://www.slideshare.net/PhilosophicalInvestigations/1-what-is-ideology 6  Paul Ricoeur (1986): (1) First Functional Level of Ideology: “Ideology as Distortion” The construction of contorted descriptions of social truth. This process obscures the difference between things (theory vs. reality). 7 (2) Second Functional Stage of Ideology: “Ideology as Legitimation” Two central elements: (a) Right to legitimacy claimed by the ruling authority (i.e., appointment, election, succession/ inheritance); and (b) Trust in the ruler’s legitimacy granted by its followers. 8 (3) Third Functional Level of Ideology: “Ideology as Integration” Ideology offers people with permanence as it constructs, conserves, and protects the social identity of their groups. 9  This level provides the symbols, norms, and images that holds together the identity of people. Thus, ideology is seen as having a conservative role. 10  Market Globalism: A hegemonic structure of philosophies about a set of social procedures called “globalization”. 11 Political Ideologies and the “Social Imaginary”: Charles Taylor (2004): “Social imaginaries” are implied “background understandings” of a group’s shared customs. 12 Examples of Ideologies: Liberalism, Conservatism, Socialism, Communism, Nazism, and Fascism are promoted by the elites within the group. 13 (a) Liberalism: A political and social philosophy that promotes individual rights, civil liberties, democracy, and free enterprise. (b) Conservatism: A commitment to traditional values and ideas with opposition to change or innovation. 14 (c) Communism: A political theory by Karl Marx advocating a society in which all properties are publicly owned. (d) Socialism: Karl Marx - (the highest stage of “Communism” or the international stage of “Communism” – i.e., the formation of the U.S.S.R.) Economics - Ownership of major industries by the state/government; ownership of minor industries by private individuals or corporations 15  Karl Marx (1818-1883) Source: http://www.faculty.rsu.edu/users/f/felwell/www/Theorists/Essays/Marx1.htm 16 (e) German Nazism (1933 – 1945): A totalitarian movement led by Adolf Hitler which promoted intense nationalism, mass appeal, and dictatorial rule which shared many elements with Italian “fascism”. 17 (f) Italian Fascism (1922 – 1943): A governmental system established by Benito Mussolini (a dictator having complete power); forcibly suppressing opposition and criticism; controlling all industries; and emphasizing an aggressive nationalism and often racism. 18 Source: https://slidetodoc.com/even-though-it-was-japan-that-had-attacked/ 19 Mid-1990s: Elites introduced a single international free market and promoted consumerist values. The following ideas were popularized: (a) international trade; (b) financial markets; (c) global flows of goods, services, and all forms of capital; and (d) multinational corporations (MNCs). 20 The Core Claims of Market Globalism With the downfall of Soviet-style command economy in Eastern Europe (U.S.S.R.), power elites from the global north introduced their idea of market globalism. Examples of “power elites”: (a) corporate managers, (b) CEOs of MNCs, (c) high-ranking military officials, (d) remarkable journalists, (e) state administrators, (f) leading politicians, etc.). 21  Advocacies advanced by market globalism (Steger, 2014): (a) Deregulation of markets, (b) Trade liberalization, (c) Privatization of government-owned and controlled corporations (GOCCs), and (d) Global “War on Terror” spearheaded by US. 22 Claim 1: Globalization is about the Liberalization and Global Integration of Markets Supported by the neo-liberal “laissez faire” global market economy (policy of the invisible hand or no government intervention). Steger (2014): “The roles of the free market are only possible in a democratic society”. 23  This claim promotes personal liberty and material advancement through: (a) Liberalization and integration of worldwide markets (b) Lessening of government intervention (c) Privatization, (d) Free trade, and (e) Unconstrained capital flows 24 Claim 2: Globalization is Inevitable and Irreversible Promotes the expansion of market forces through technological improvements. All have no option but to adapt to the inevitable forces of globalization. 25  It is like a natural force that forces people to adjust to these market forces if they want to survive and succeed. 26 Claim 3: Nobody is in Charge of Globalization Globalization is manifested through a “self-regulating market”. Hormats (1998): Nobody is in control of the process. It is NOT regulated by any individual, any nation-state, or any organization. 27 Friedman (1999): The international market is an Electronic Herd of anonymous stock, bond, money traders, and transnational foreign investors. 28 Claim 4: Globalization Benefits Everyone in the Long Run Benefits relate to “economic growth”, “economic development” and “prosperity”. These benefits were according to the 1996 G-7 Summit in Lyons, France, consisting of the most influential highly-developed countries (HDCs). 29 Claim 5: Globalization Furthers the Spread of Democracy in the World Freeden (1996): Globalists treat freedom, free markets, free trade, and democracy as identical concepts. 30  Fukuyama (2000): There is a clear connection between a nation’s level of economic progress and successful democracy (i.e., the “western countries”). A powerful middle class helps facilitates the spread of democracy. 31 Claim 6: Globalization Requires a War on Terror The neo-conservatives who are committed to the American values of freedom, security, and free markets added this sixth claim of market globalism. 32 Kaplan (2003): “Military and economic supremacy are needed to spread your ideas worldwide”. 33  Barnett (2004): Three Diverse Regions of the Globe: 1. The Functioning Core or Core: Categorized by global network connectivity, financial transactions, liberal media, cooperative security, stable democratic governments, practice of transparency, increasing standards of living, and more deaths by suicide than by killings. 34 Examples: North America, most of Europe, Australia, New Zealand, and a small part of Latin America (i.e., based on “Top 5” GDP PC of 2021: Brazil, Mexico, Argentina, Colombia & Chile). 35 2. The Non-Integrating Gap or Gap: (The breeding ground of “global terrorists”). Regions where globalization is thinning or is absent. These regions are plagued by authoritarian political regimes, government-regulated markets, mass killings, prevalent poverty and diseases. 36 Examples: The Caribbean Rim, almost all of the African continent, the Balkans, the Caucasus, Central Asia, China, the Middle East, and much of Southeast Asia 37 The Caribbean Rim Countries: Costa Rica, The Dominican Rep., Jamaica, Antigua and Barbuda, Grenada and St. Lucia The Balkans: Montenegro, Bulgaria, Albania, Bosnia and Herzegovina, Turkey, Serbia, Greece, Croatia, Romania, Macedonia, Slovenia The Caucasus Region: Armenia, Azerbaijan, Georgia 38 3. Seam States: These states lie along the Gap's bloody borders. Examples: Mexico, Brazil, South Africa, Morocco, Algeria, Greece, Turkey, Pakistan, Thailand, Malaysia, the Philippines, and Indonesia 39 REFERENCE: Steger, M. B. (2014). “Market Globalism” in M.B. Steger, P. Battersby, & J.M. Siracusa (Eds.), The SAGE handbook of globalization. London: SAGE Publications Ltd. 40 41  Good Luck in Your Activity/Quiz Today! 1:00 – 2:00 PM 43