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Key Concepts and Definitions Globalization: ○ Viewed as a process of interaction and integration among people, companies, and governments of different nations. ○ Interconnectedness of economies, cultures, and societies on a global scale. Globalization:...

Key Concepts and Definitions Globalization: ○ Viewed as a process of interaction and integration among people, companies, and governments of different nations. ○ Interconnectedness of economies, cultures, and societies on a global scale. Globalization: ○ Primarily viewed as an economic process in most accounts. Nationalism and Globalization Nationalists resisting "globalization": ○ Refers to the integration of national markets into a wider global market, signified by increased free trade. Anti-globalization movement of the 1990s: ○ Resisted trade deals among countries facilitated by global organizations like the World Trade Organization (WTO). Scholarly Perspectives Manfred Steger: ○ Provides a best scholarly description of globalization. ○ Describes globalization as the expansion and intensification of social relations and consciousness across world-time and world-space. ○ Expansion: Creation of new social networks and multiplication of existing connections across traditional boundaries. ○ Intensification: Expansion, stretching, and acceleration of global networks. ○ Global connections are described as multiplying and becoming more closely-knit. ○ Notes that globalization processes occur at both an objective, material level and involve the subjective plane of human consciousness. ○ Due to globalization, people begin to feel that the world has become a smaller place. ○ His definition must be differentiated from globalism: Globalization: Processes allowing for global connections. Globalism: Belief that global market integration is beneficial for everyone.  Arjun Appadurai: ○ Discusses different kinds of globalization. ○ Uses the term “scapes” to describe the multiple dimensions of globalization. Types of "Scapes" (Dimensions of Globalization) Ethnoscape: ○ The global movement of people. Mediascape: ○ The flow of culture. Technoscape: ○ The circulation of mechanical goods and software. Ideoscape: ○ The realm where political ideas move around. Economic Globalization IMF Definition: Economic globalization is a historical process resulting from human innovation and technological progress. Characterization: Increasing integration of economies through the movement of goods, services, and capital across borders. Agreement: Both IMF and ordinary people agree that a drastic economic change is occurring throughout the world. Historical Trade Routes Oldest Known International Trade Route: The Silk Road. Naming: Named because one of the most profitable products traded was silk. Regular Use: Traders began using the Silk Road regularly from 130 BCE. Not Truly Global: No ocean routes reaching the American continent. Age of Globalization Historians Flynn and Giraldez: The age of globalization began when all important populated continents began to exchange products continuously. Event: They trace the beginning of globalization back to the establishment of the galleon trade in 1571.  Significance of Galleon Trade: It was the first time the Americas were directly connected to Asian trading routes. Postmodernism Characteristics: Challenges traditional notions of authority and expertise; emphasizes individual experience over objective truth; incorporates irony, parody, pastiche, and self-referentiality. Main Characteristics: Fragmentation, pluralism, irony, skepticism, relativism, and self-reflexivity. Philosophical Movement: Emerged in the mid-20th century, rejecting grand narratives and emphasizing language, power, and culture. Soviet Union Regime: Characterized by terror and repression under Stalin; aimed to spread communism. Government: Authoritarian, ruled by one person or group holding all power. Economic Systems and History (1565–1815) Galleon Trade: Part of the age of mercantilism. Mercantilism Goals: To sell more goods to boost a country’s income. Mercantilist Measures: High tariffs, forbidding colonies from trading with other nations, and subsidizing exports. Open Trade System Emergence: In 1867. Gold Standard Goal: To create a common system for more efficient trade and prevent isolationism. Restriction of Gold Standard: Compelled countries to back currencies with fixed gold reserves. Impact of World War I: Many countries abandoned the gold standard due to depleted gold reserves. Economic Situation: The Great Depression made returning to a pure gold standard difficult. Abandonment Impact: Allowed the U.S. government to free up money to spend on reviving the economy. Current Currencies: Fiat currencies, which allow governments to manage economies by adjusting the money supply. Bretton Woods System and Beyond End of Bretton Woods System: Marked by the stock market crash in 1973-1974. Post-Bretton Woods Phenomenon: Stagflation (stagnation and inflation occurring simultaneously). Economists' Views: Friedrich Hayek and Milton Friedman argued that government spending caused inflation by increasing demand without increasing supply. New Economic Thinking: Neoliberalism. Organizations Adopting Neoliberalism: United States Treasury Department, World Bank, IMF, and WTO. Washington Consensus: A set of policies advocating minimal government spending and privatization of services; pressured governments to reduce tariffs and open up economies. Problem with Household Analogy: Governments can print money, while households cannot. Challenge to Neoliberalism: The global financial crisis of 2007-2008. Contributing Factor: Systematic removal of banking and investment restrictions in the 1980s. Financial Product: Mortgage-backed securities (MBSs). Demand Characteristic: Increased due to a surplus of money circulating. Sub-prime Mortgages: High-risk mortgages extended to individuals with dubious credit records. Outlook for Global Financial Crisis: Will take decades to resolve. Trade and Globalization Importance: Essential for development in the contemporary world. Export Share: United States, Japan, and EU member countries accounted for 65 percent of global exports; developing countries accounted for 51 percent by 2011. Trade Liberalization Impact: Profound alterations in global economy dynamics. Contribution of Economic Globalization: Unprecedented spike in global growth rates. Global Per Capita GDP Rise: Over five-fold in the second half of the 20th century. WTO Achievements: Unprecedented reductions in tariffs and trade barriers. Issue in Trade Negotiations: Developed countries often refuse to lift protectionist policies for their primary products. Japan’s Justification: Rice is considered "sacred."  Central Tenet of Globalization: International economic integration. Trade’s Role in Global Culture: Facilitates awareness of foreign cultures through the consumption of products. Globalization of Politics: Related to trade as many foreign affairs events aim to cement trading relations. Important Consideration: Making the system more just while maintaining its benefits. Goal for Policymakers: To make trading deals fairer and cushion the damaging effects of economic globalization.