Contemporary World Notes PDF

THE CONTEMPORARY WORLD - takes the shape of the container, refers to the increasing movement of people, things, information and places in the...

THE CONTEMPORARY WORLD - takes the shape of the container, refers to the increasing movement of people, things, information and places in the contemporary world. (ex. Videos on Facebook and Youtube that can go viral.) LESSON 1: Definitions and Contexts FLOW - refers to the flow of liquid. movement of the people, things, The word “Contemporary” can be defined as “happening places, and information brought by the growing porosity of or beginning now or in recent times” global information. (ex. different cuisines) - The contemporary world is an ever-changing mix of social and political changes. While religious, political, and ethnic conflicts continue, we are CONCEPTS RELATED TO GLOBALIZATION currently living in one of the most peaceful eras in the history of the planet. Hybridization - Challenges of the 21st century include emerging - a phenomenon associated with globalization, in which the technologies, health care, overpopulation, climate mixture of elements from diverse cultures produces strangest change, poverty, illiteracy, disease, and migration. fusions. Sociological Imagination Globalism As C Wright Mills (1916-1962) discussed, - is a widespread belief among powerful people that the global sociological imagination is “ the vivid awareness of the integration of economic markets is beneficial for everyone. relationship between experience and the wider society”. - By exercising it, we make connections to the root Diaspora cause of structures and move away from seeing - People who come from a particular nation, or whose things through our personal lens. ancestors come from it, but who now live in many different parts of the world Private Trouble - When 1 person is experiencing a certain issue Anthropologist Arjun Appadurai defines and explains globalization on different kinds as it occur on multiple and Public Issue - When a group of people are experiencing a intersecting dimensions of integration that he calls “scapes” certain issue Ethnoscape- refers to the global movement of people. Mediascape - about the flow of culture. GLOBALIZATION refers to the increasing integration of Technoscape - refers to the circulation of mechanical goods economies around the world, particularly the movement of and software. goods, services, ideas and capital across boarders. Financescape - denotes the global circulation of money. - is known to define the phenomena where the world is Ideoscape - is the realm where political ideas move around. growing to be increasingly interdependent on economies, cultures and populations of the world. Appadurai’s point is simple: there are multiple globalizations. - coined as Phenomenon, Inevitable, Complex, Omnipresent. PROS AND CONS OF GLOBALIZATION More definitions: Pros: Globalization is brought about by economic and technological - Migration improves the lives of many Filipinos. change that defy national borders. - Inexpensive and varied products, sourced from all - The effects of these changes cannot be contained over the world, bring savings to the consume within the territory of an originating nation. - Small landowners can sell their farmlands to send - Globalization creates a space for transnational their children to college or have themselves treated economic, social, and ecological processes that are for an old ailment beyond the control of any single nation or corporation - Psychologically and culturally, globalization come Cons: too fast for many people - high-paying jobs abroad lure many Filipinos away from their families and country. Globalization, according to Manfred Steger, is described as - Imported commodities, sold at competitive prices and the process of the expansion and intensification of social backed up by powerful advertising, kill many small relations and consciousness across world time and across deserving local industries. world space. - Urban property soars in value because foreign money has come in to build condos and high-rise complexes, Expansion leaving in its wake locals with no hope of ever - refers to both the creation of new social networks and the acquiring a home lot for themselves multiplication of existing connections that cut across - Farm lands are sold at high prices and converted into traditional, political, economic, cultural and geographic golf courses by new absentee owners. boundaries. - Residents in coastal fishing communities sell their lands for unbelievable sums of money to beach resort developers. Intensification - refers to the expansion, stretching and acceleration of these networks. Not only are global connections multiplying, but Two ways of looking at Globalization: they are also becoming more closely-knit and expanding their reach. 1. ) Privileged way of experiencing global flows. - Thomas Larsson (2001) as “the process of world shrinkage, of distances getting shorter, things moving closer. METAPHORS OF GLOBALIZATION 2.) The opposite way around SOLID - something negative and not as exciting and edifying on the - Refers to the barriers that prevent or make the movement of previous note. things difficult. It can be natural or man-made. (ex. Natural - e.g. some women are recruited in the internet as Landforms or Bodies of Water) “mail-order brides”– ended up becoming sexual and domestic servants in foreign lands, some were even LIQUIDITY  sold by their husbands to gangs which run prostitute rings. - foreign investments encroaching territories 3.) Global Flows of Media specifically to residential areas– these “urban poor - Characterized as Media Imperialism. The mass media are communities” are forcefully evicted by the rather seen today to be playing a key role in enhancing government. globalization, facilitating cultural exchange and multiple flows of information and image between countries through international news broadcasts, television programming, new LESSON 2: Cultural Dimensions technologies, film, and music. - This trans-border flow of media content has been Cultural Dimensions refers to the transmission of ideas, argued to introduce western media products to meanings, and values around the world in such a way as to developing countries, contributing to the decline in extend and intensify social relations. traditional values and promote values associated with - Is the spread of the culture, customs, or ideas of a capitalism. place or a people to the rest of the world. Western cultures have infiltrated developing countries to the Sociologists define culture as “all the products of a society extent that the indigenous cultures are near extinct, due to their that are created over time and shared. These products may be inability to withstand the pressure from the western ones. As a tangible or intangible,” belonging to the material or result, the progressive phenomenon has caused a grave blow nonmaterial dimensions of culture, respectively to the developing nations. According to sociologist George Herbert Mead, it is through They argued that people from developing countries hardly see this interactive relationship between the human mind and anything good in their locally made artifacts, and would prefer culture that both our selves and society have evolved over to buy imported foreign goods. The most affected aspect of the time erosion of values is language. They argued that parents in developing countries do not teach their children their mother tongue; instead English, French and Chinese are the preferred 4 THEORIES OF GLOBALIZATION and frequently spoken languages (Philipson, 2005; Brock-Utne, 2013; Maduagwu, 2003). 1. ) Homogeneity - Refers to the increasing sameness in the world as cultural The bottom line is that globalization has eroded the culture of inputs, economic factors and political orientations of societies developing countries, which hitherto had a rich culture. expand to create common practices, same economies and similar forms of government.(Ex. Cultural Imperialism, The Melting Pot) 4.) Heterogeneity - Pertains to the creation of various cultural practices, new Criticisms of Homogeneity: economies, and political groups because of the interaction of Threat to local culture.- the dominant culture isn’t “pure” it elements from different societies in the world. reflects the influences from other cultures. (Ex. Western - Heterogeneity in culture is associated with cultural music, food, fashion, etc.) hybridization. A more specific concept is Losing some aspects of each individual culture. - (Ex. dying “glocalization” coined by Roland Robertson in 1992. languages, the loss of music, dances) To him, as global forces interact with local factors or a specific geographic area, the “glocal” is being produced. 2.) McDonaldization - is a phenomenon that occurs when society, its institutions, and its organizations are adapted to have the same 3 PERSPECTIVES ON GLOBAL CULTURAL FLOW characteristics that are found in fast-food chains. The process by which Western Societies are dominated by the principles of 1.) Cultural Differentialism fast-food restaurants (George Ritzer, 1993). - Emphasizes the fact cultures are essentially different and are only superficially affected by global flows. Efficiency - entails a managerial focus on minimizing the time - The interaction of cultures is deemed to contain required to complete individual tasks as well as that required potential for “Catastrophic collision”. Samuel to complete the whole operation or process of production and Huntington’s theory on the clash of the civilizations distribution. proposed in 1996 best exemplifies this approach Calculability - is a focus on quantifiable objectives (counting things) rather than subjective ones (evaluation of quality). 2.) Cultural Hybridization Predictability and standardization - are found in repetitive - The integration of local and global cultures (Czetkovich and routinized production or service delivery processes and in and Keller, 1997). Globalization is considered to be a creative the consistent output of products or experiences that are process which gives rise to hybrid entities that are not identical or close to it (predictability of the consumer reducible to either the global or the local. A key concept is experience). “glocalization” or the interpenetration of the global and local Control - within McDonaldization is wielded by management resulting in unique outcomes in different geographic areas to ensure that workers appear and act the same on a (Giulianotti and Robertson, 2007). moment-to-moment and daily basis. It also refers to the use of - Another key concept is Arjun Appadurai’s “scapes” robots and technology to reduce or replace human employees in 1996, where global flows involve people, wherever possible. technology, finance, political images, and media and the disjuncture between them, which lead to the Ritzer asserts that these characteristics are not only creation of cultural hybrids. observable in production, work, and in the consumer experience, but that their defining presence in these areas has a 3.) Cultural Convergence ripple effect on all aspects of social life. - Stresses homogeneity introduced by Globalization. Cultures are deemed to be radically altered by strong flaws, while McDonaldization affects our values, preferences, goals, and cultural imperialism happens when one culture imposes itself worldviews, our identities, and our social relationships. on and tends to destroy at least parts of another culture. - Further, sociologists recognize that McDonaldization - One important critique of cultural imperialism is John is a global phenomenon, driven by Western Tomlinson’s idea of “deterritorialization” of culture. corporations, the economic power and cultural dominance of the West, and as such it leads to a Deterritorialization means that it is much more difficult to tie global homogenization of economic and social life culture to a specific geographic point of origin. LESSON 3: History and Origin of Globalization IMPERIALISM According to Nayan Chanda (2007), it is because of our basic From the mid-eighteenth century to the early nineteenth human need to make our lives better that made globalization century, the British, Portuguese, Dutch, and Spanish focused possible. Therefore, one can trace the beginning of on building their empires through land acquisition and globalization from our ancestors in Africa who walked out business development. from the said continent in the late Ice Age. - Most of Africa and large parts of Asia were under colonial rule by the end of the nineteenth century. Chanda (2007) mentioned that commerce, religion, politics - Global trade increased as imperial governments took and warfare are the “urges” of people toward a better life. advantage of the labor and material resources in their These are respectively connected to four aspects of colonies resulting in negative exchanges in which globalization and they can be traced all throughout history: empires prospered to the detriment of local and trade, missionary work, adventures, and conquest Native populations. Innovations like the steam engine and mass production equipment accelerated the pace Globalization is a historical process that began with the first of industry. movement of people out of Africa into other parts of the world. Traveling short or long distances, migrants, merchants, and others have delivered their ideas, customs , and products Modern Globalization to new lands. The melding, borrowing, and adaptation of - \World War I (1914-1918) slowed the rate of globalization, outside influences are found in many areas of human life as nations closed their borders and focused on what they each could contribute to the war effort. International trade resumed after the war but then collapsed during the Great Depression Main Ideas: (1929- 1939). From ancient ties among early civilizations, the exchanges of - Globalization was reinvigorated after World War II goods, customs, and knowledge evolved through connections (1939-45). In July of 1944, representatives from forty-four that were often solidified through trade relations and the nations gathered in Bretton Woods, New Hampshire, in the sharing of ideas. This continued through the colonization of United States, for the United Nations Monetary and Financial new lands beginning in the fifteenth century. Conference, also known as the Bretton Woods Conference Beginning in the mid-twentieth century, globalization - Powerful nations made rich by colonialism and imperialism advanced with the promotion of free trade and international strongly supported the globalization of economies and politics cooperation, the end of the Cold War, the introduction of new in the mid-twentieth century. communication and transportation technologies, and the rise of the internet. - Technological advancements in the world of business resulted in innovations in automobiles, airplanes, television, and telephones, all of which contributed to the effort. Silk Road - Around the 1st Century BC, Silk Road was first - These and other developments increased the flow of workers introduced to the Roman Empire. China used the Silk Road for around the world and made communication more efficient its trade with Europe through Central Asia. - Beside silks, there were many products that were traded such as textiles, spices, grain, vegetables, WORLD TRADE ORGANIZATION fruits, etc. - Intellectual and cultural exchange. - General Agreement on Tariffs and Trade (GATT) was established in 1947 to regulate international commerce. This Spice Routes promoted free trade by reducing tariffs and removing trade - From the 7th to 15th centuries, spices made their way across restrictions between nations. Europe, Asia, and Northeast Africa. Primarily, the goods traded during this time were spices, like cloves, nutmeg, and - In 1995, the GATT was replaced by a new international body mace which originated in the Maluku islands of Indonesia. called the World Trade Organization (WTO). The WTO Like silk, spices were luxury items, and trade provided rules for international trade. It created a structure for volume remained low. creating trade agreements and helped resolve disputes between - However, the spice trade was conducted via ship — nations. adding a new aspect to international trade. With the advent of spice routes, the connection between the - While the GATT dealt mainly with trade in goods, the WTO East and West was strengthened as new sea routes also covered services and intellectual property. It encouraged were established nations to enter into free trade agreements and form regional trade alliances. The era known as the Age of Exploration, sometimes called the Age of Discovery, officially began in the early 15th Fair Trade century and lasted through the 17th century. The period is Critics of free trade have called for nations, business interests, characterized as a time when Europeans began exploring the and organizations to adopt fair trade policies. world by sea in search of new trading routes, wealth, and - They argue that unregulated free trade can often lead knowledge to inequality. Free trade has caused job losses in some countries, as manufacturers move production to Christopher Columbus’s discovery of America is believed to where labor costs are least expensive. have begun the journey of modern globalization. - In some places, free trade has led to environmental problems and the depletion of natural resources. Impact of the Age of Exploration - The fair trade movement promotes equity in Knowledge production and trade by supporting disadvantaged Massive wealth manufacturers and ensuring a fair minimum price for Navigation and Mapping comparable products. New food, plants, and animals Indigenous people were decimated Internet Connectivity Trade of enslaved people The rise of the internet in the twenty-first century has generally provided more opportunities to participate in the global economy around the world. - It has allowed for more rapid exchanges of goods, services, cultures, knowledge, technologies, and  ideas. Supply chains have increasingly become Why does International Trading happen? globally integrated. This occurs because one country enjoys a comparative - Often, research, sourcing, production, and advantage in the production of a certain good or service, distribution are each carried out in different regions specifically if the opportunity cost of producing that good or of the world for multinational enterprises service is lower for that country than any other country. LESSON 4: Globalization of World’s Economy Autarky - When a country opts not to trade with other countries. What is Globalization? The process of increasing interconnectedness and Benefits and Importance of International Trading interdependence among countries through the exchange of International trade expands markets, increases competition, goods, services, information, and culture. (NYU Stern 2023) lowers prices for consumers, and provides access to goods a country lacks. It improves living standards, drives global Some Organizations Involved: economic growth, and is facilitated by systems like the WTO International Monetary Fund (IMF) that reduce trade barriers. World Bank Group World Trade Organization (WTO) Its Effect on the Economy United Nations (UN) Advantages - Engaging in foreign trade boosts a country's International Labour Organization (ILO) GDP by increasing exports and imports. Enhancing export efficiency strengthens local markets, generates revenue, What is Trade? encourages investment, and positively impacts overall Trade is an exchange that is voluntary in nature between two economic growth. parties, requiring each other’s resources. (i.e. goods and services. Disadvantages - Global competition can reduce jobs in domestic industries that struggle to compete, leading to job outsourcing. Companies relocate operations like call centers INTERNATIONAL TRADING SYSTEM and manufacturing to countries with lower living costs to cut expenses. Silk Road - A network of trade routes spanning over 1,500 years. What would happen if there was no trading? Opened by the Han dynasty in 130 B.C.E.; closed by the Higher prices: Goods and services would have to be Ottoman Empire in 1453 C.E.. Ferdinand von Richthofen produced domestically, likely resulting in higher prices for coined the term "Silk Road" in 1877. consumers due to increased production costs. Globalization (Flynn & Giraldez) Lack of variety: We would have limited access to goods and - Early global trade networks linked populated continents services from other countries, leading to a decrease in variety (Europe, Asia, Africa, Americas) starting in the 16th century. and choice. - Continuous exchange of products across continents - The Manila-Acapulco Galleon Trade was key to this All countries would be worse off if trade simply halted: If early globalization, linking Asia with the Americas. trade stopped, countries would face higher prices, lower real income, and job losses due to reduced foreign demand. Manila-Acapulco Galleon Trade Connected Manila (Philippines) and Acapulco (Mexico) from Weakening currency: A trade deficit has the potential to 1571 to 1815. weaken a country's currency. - Facilitated exchange of Asian luxury goods for American silver. - One of the first global trade networks linking Asia, THE BRETTON WOODS SYSTEM the Americas, and Europe. It is an international monetary framework established in 1944 Mercantilism and the Galleon Trade during a conference held at Bretton Woods, New Hampshire, - Mercantilism - economic policy focused on accumulating USA. wealth through controlling trade, maximizing exports, and minimizing imports to strengthen national power. Purpose: to rebuild and stabilize the global economy, prevent - Galleon Trade operated under mercantilism. the competitive devaluations that contributed to the Great - The Spanish Crown controlled the Galleon Trade. Depression, and encourage international cooperation in trade - Declined in the early 19th century due to Mexican and finance. independence and shifting economic theories (e.g., laissez-faire capitalism). Establishment: It was set up by 44 allied nations, and 2 main institutions were created: International Monetary Fund and Examples of International Trade Policies: World Bank. 1. Tariffs—A tariff is an excise paid on the sale of imported goods. Tariffs discourage imports, protect Dollar-Gold Standard: The US dollar became the central domestic producers, and are a source of government reserve currency, as other countries held dollars in exchange revenue. for maintaining their currency's fixed rate to the dollar. The 2. Import Quota - An import quota refers to a legal US promised to convert dollars to gold upon request from limit on the quantity of a good that can be imported foreign governments. within a country. Generally, import quotas are administered through licensing agreements. The Role of the IMF: Monetary Stability: The IMF's role was to ensure countries adhered to the fixed exchange rate system, Three Types of International Trade: offering financial assistance when needed. 1. Export - Export trade is when goods manufactured in a specific country are purchased by the resident of Collapse of the System another country. Dollar Pressure: By the late 1960s and early 1970s, the US 2. Import - This is where goods or services are brought faced mounting inflation and fiscal deficits due to the Vietnam into one county from another, where they were War and domestic spending. Other nations began losing faith originally manufactured/created. in the dollar’s convertibility to gold. 3. Entrepot - Entrepot trade is where goods are imported into a country and then re-exported out, 1971 Nixon Shock: In response, President Richard Nixon without being distributed within the importing suspended the dollar’s convertibility to gold, leading to the country. collapse of the system. By 1973, the Bretton Woods fixed exchange rate system had officially ended, transitioning the - Socialism is an economic system where the government or world to a system of floating exchange rates. community owns and controls the means of production. The purest form of capitalism is free-market or laissez-faire capitalism. Here, private individuals are unrestrained. The NEOLIBERALISM AND ITS DISCONTENT laissez-faire marketplace operates without checks or control. - It is is a political and economic philosophy that emphasizes free trade, deregulation, globalization, and a reduction in government spending. Economist, Milton Friedman used the economic turmoil to challenge the consensus around kenynes’s ideas. What emerged was a new form of economic thinking that critics labeled, Neoliberalism. Russia’s case was just one example of how the “Shock Theraphy” of neoliberalism did not lead to the ideal outcomes predicted by economist who believed in perfectly free markets. Shock therapy - a rapid and drastic transition from a state-controlled or planned economy to a free-market economy. It involves immediate economic reforms such as large-scale privatization, price liberalization (allowing prices to fluctuate based on market demand), and the removal of The Information Revolution subsidies, often accompanied by tight monetary and fiscal policies to control inflation. - Often referred to as the Third Industrial Revolution, is a significant transformation in how information is processed, HISTORY OF GLOBAL MARKET INTEGRATION shared, and utilized, which began in the latter half of the 20th century. - A story of interconnected events and advancements that have transformed the way we trade and interact economically Global Corporations across the globe. -a large company that operates in many different countries. A Key Drivers of Integration: global company truly operates in various countries providing Technological Advancements goods/ services both in the native country as well as moving Rise of Free Trade goods/services between countries. Contemporary Challenges: Types: Globalization 1. International corporation – this company operates The Information Revolution primarily in a single country but has exposure to foreign markets. (e.g. Ferrari). 2. Multinational Companies - This company operates The Agricultural Revolution in more than one country and receive substantial income from these foreign operations qualify as - also known as the Neolithic Revolution—marks the multinational in nature. (e.g. Apple). transition from hunter-gatherer societies to settled agricultural 3. Transnational Companies - Transnational communities. This transformation began around 10,000 BCE companies are the very largest multinational and led to the development of farming and domestication of businesses. (e.g. Nestle). plants and animals. 4. Global Companies - This kind of company would usually operate on a worldwide scale, but it would Domestication of Plants not be tied legally to any nation. (e.g. Coca-Cola). Domestication of Animals Technological Innovations Settlement Population Growth The Industrial Revolution - It marks a period of significant technological, economic, and social change, characterized by the shift from agrarian economies to industrialized ones. 1. First Industrial Revolution (Late 1700s to Early 1800s) - Steam engines, mechanized textile machines. 2. Second Industrial Revolution (Late 1800s to Early 1900s) - Electricity, internal combustion engines, assembly lines. 3. Third Industrial Revolution (Late 1900s to Early 2000s) - Computers, internet, automation 4. Fourth Industrial Revolution (2000s to Present) - AI, Internet of Things, 3D printing. Capitalism and Socialism - Capitalism is an economic system where private individuals or businesses own and control property and the means of production.