Globalization Lesson 2 PDF

 LESSON 2 INTERROGATING GLOBALIZATION  Globalization is a multifaceted process marked by increased interconnectedness between countries.  Economic Globalization The integration of economies worldwide through trade, finan...

 LESSON 2 INTERROGATING GLOBALIZATION  Globalization is a multifaceted process marked by increased interconnectedness between countries.  Economic Globalization The integration of economies worldwide through trade, financial flows, and investment. Cultural Globalization The exchange and diffusion of cultures across borders.  Political Globalization The growing interdependence of nations in terms of policies and decision-making. FLOWS IN THE AGE OF GLOBALIZATION  TRADING The exchange of goods and services across borders, facilitated by international financial systems.  CAPITAL MOVEMENT The flow of money and investments between countries, including foreign direct investment and development aid.  MOVEMENT OF PEOPLE Migration and the movement of individuals for various reasons, such as employment, education, or cultural exchange. CULTURAL GLOBALIZATION AND POLITICAL GLOBALIZATION  Cultural Globalization The spread of cultural practices, ideas, and values across borders, influenced by media,technology, and tourism.  Political Globalization The growing interdependence of nations in terms of policymaking and decision- making, often through international organizations and agreements.  UNIT II: STRUCTURES OF GLOBALIZATION Lesson 3: The Global Economy DEFINITION OF TERMS Economic Globalization – the expansion of national economies, the global market driven by modern technologies and institutional setups that promote a faster and easier flow of goods and capital (Sugden & Wilson, 2005). Global Economy – Denotes that the economies of various countries are more interconnected from extraction, production, distribution, and consumption, to disposal of goods and services (Calf & Scilliro, 2018). International Financial Institutions – are global financial institutions that supports a country’s economic growth thought support (i..e loans, technical assistance) to governments and now other private sectors (Wood, 2019).  International Monetary Fund – is an international organization with 183 member countries that promotes international monetary cooperation and exchange stability to foster economic growth and high employment and to provide short-term financial assistance to countries to help ease balance of payments adjustments (IMF, 2029). Global Civil Society – a system of nongovernment institutions that operate across geographical borders and organize and mobilize for a common issue or cause (Keane, 2003). World System – is based on the theory of Wallerstein that recognizes that social and economic change is not only endogenous to a country but is affected by interaction to exogenous institutions, thus the focus on world systems (Chase-Dunn, 2018).  Economic Integration – is a process of combining or increasing the interconnectivity of national economies to the regional or global economies. Definition of Economic Globalization Economic globalization refers to the increasing integration and interdependence of economies worldwide, driven by a surge in cross-border trade of goods and services. It involves global economic integration where production processes are linked across different regions, facilitated by advancements in transport, communication, and supportive policies. This process is largely guided by neoliberal principles, emphasizing market- driven activities with minimal government intervention. Historical instances of economic expansion, such as early intercontinental trade and empire formations, laid the groundwork for modern economic globalization. Today, the scale and impact of economic globalization are marked by significant industrial restructuring and the dominant role of the private sector in shaping the global economy. Who are the Actors that Facilitate Economic Globalization?  Globalization has opened the doors for other non-state authority and actors in driving economic globalization (Madsen & Christensen, 2006). Non-state actors include international economic organizations, private sector led by multinational companies, central banks, and civil society.  International Economic Organizations such as; International Monetary Fund (IMF) World Bank Organization for Economic Cooperation and Development (OECD)  These organizations are critical in developing and pushing for neoliberal policies among different countries.  They also help facilitate trade and development discussions among various state.  Association of Southeast Asian Nations (ASEAN) North American Free Trade Agreement (NAFTA)  These organizations promote regional agreements and standards that facilitate better trade and exchange of knowledge, human resources, and regional cooperation.  Group 8 (G8) and Group 20 (G20) Are advisory organizations that discuss current economic and political problems and transfer the ideas from the group’s forum to national legislative regulations.  Multinational Companies (MNCs)  Considered to be the main carriers of economic globalization (Shangquan, 2000). In 1996, there were 44,000 MNCs in the world with 280,000 overseas subsidiaries and branch offices. In 2006, there were 88,000 MNCs identified (UNCTAD, 2007).  In earlier times, trade companies such as the Dutch and British East India, Muscovy Company, Royal African Company, and Hudson Bay Company were precursors of the modern day MNCs (Hirst & Thompson, 2002). MNCs started to emerge during World War II, when US industrial production increased by 44 percent (Strange, 1996). Central Banks (other prime movers of globalization)  Is considered one of the most powerful institutions in the world economy since they can lead economic development.  Some authors contend that central bank governors are more influential in their own national economy than some politicians. Global Civil Society  As a major driver of economic globalization.  Has made its marks in global development arena particularly during the UN conference on Environment and Development in 1992. GLOBAL INTERSTATE SYSTEM Is an institutional arrangement of governance that addresses regional or globalized issues that go beyond the scope of a nation- state. STATE (political)- PEOPLE, TERRITORY, GOVERNMENT, and SOVEREIGHNTY NATION (ethnic)- HISTORY/ORIGIN, CULTURE, RELIGION, LANGUAGE. WORLD SYSTEM Are defined by the existence of a division of labor. The modern world-system has a multi-state political structure. Therefore its division of labor is international. GLOBAL GOVERNANCE A movement towards political cooperation transnational actors, negotiating responses to problems that affect more than one state or region. The process of designating laws, rules, or regulations intended for a global scale. EFFECTS OF GLOBALIZATION ON GOVERNMENTS The world is becoming interconnected through politics, trade and communications, the role of Nations – states and government are also shifting. The Montreal Protocol was an global agreement to protect the stratospheric ozone layer by phasing out the production and consumption of ozone – depleting substances (ODS), this was signed in August 26, 1987 with 46 country signatories (US EPA 2017). This is an example of how global treaty and effort can fight challenges and issues by domesticating International norms.  However, there is a side of globalization that negatively affects local government and local communities, local government focuses on attracting global companies, which might hurt local people and the environment. The text then asks how will the government can make that their own country grows economically without hurting their people and the environment. INSTITUTIONS THAT GOVERN GLOBALIZATION With the rise of globalization, governance increasingly extends beyond nation-state governments, which struggle to address regional and global issues like climate change, cybercrime, and financial crises. Scholars like Dryzek (2012) and Castells (2008) highlight the growing importance of non-state , such as NGOs, advocacy networks, and voluntary associations, in global governance. These can be more accessible and effective at organizing across regions, leading to a shift in authority known as “globalization” or “internal globalization”. The active involvement of non-state actors was especially evident at the 1992 UN Conference on Environment and Development, where they pushed for sustainable development.  Various institutions govern international relations, with the United Nations (UN) serving as a key facilitator of global governance. Other influential institutions include regional commissions, such as the Economic and Social Commission for Asia and the Pacific (ESCAP) and the Economic Commission for Latin America and the Caribbean (ECLAC), which address economic and social development issues.  The World Bank (WB) and International Monetary Fund (IMF) are critical financial institutions providing loans and monitoring economic stability, while the World Trade Organization (WTO) regulates global trade. The World Health Organization (WHO), International Labor Organization (ILO), and Food and Agriculture Organization (FAO) focus on health, labor standards, and food security. Other organizations like the International Civil Aviation Organization (ICAO) and the World Intellectual Property Organization (WIPO) regulate aviation, shipping, intellectual property, and more, reflecting the complex landscape of global governance. INTERNATIONALISM Nations decide to cooperate with one another in political, economic and cultural aspects for promotion of common goods 1.) HEGEMONIC 2.)LIBERAL 3.)REVOLUTIONARY 4.)SOCIALIST GLOBALISM  The belief that people, goods and information ought to be able to cross national borders freely. It is the attitude of putting the interest of the entire world above the interest of individual nations. 1.) ECONOMIC 4.)SOCIAL AND 2.)ENVIRONMENTAL CULTURAL 3.)MILITARY LESSON 5 MARKET INTEGRATION LESSON OBJECTIVES 1. EXPLAIN THE ROLE OF INTERNATIONAL FINANCIAL INSTITUTIONS IN THE CREATION OF A GLOBAL ECONOMY 2. NARRATE A SHORT HISTORY OF GLOBAL MARKET INTEGRATION IN THE TWENTIETH CENTURY AND 3. IDENTIFY THE ATTRIBUTES OF GLOBAL CORPORATIONS. DEFINITION OF TERMS. MARKET INTEGRATION- IS A PROCESS BY WHICH ECONOMIES ARE BECOMING MORE INTERDEPENDENT AND INTERCONNECTED IN TERMS OF COMMODITY FLOWS INCLUDING EXTERNALITIES AND SPILLOVER OF IMPACTS GENSCHEL AND JACKTENFUCHS. 2017.INTERNATIONAL FINANCIAL INSTITUTIONS OR IFIS- ARE INSTITUTIONS THAT PROVIDE SUPPORT THROUGH LOANS OR GRANTS AND TECHNICAL ADVICES TO PROMOTE A COUNTRY’S ECONOMIC AND SOCIAL DEVELOPMENT BHARGAVA, 2006; 393.. CORPORATIONS- ARE PRIVATE INSTITUTIONS THAT PRODUCE OR MANUFACTURE GOODS, PRODUCTS, AND SERVICES FOR A MORE EXPANDED MARKET USUALLY AT THE REACH OF REGIONS OR THE WORLD. TRANSNATIONAL CORPORATIONS TNCS HAVE A MORE COMPLEX SETTING WHERE EACH FOREIGN SUBSIDIARY IS GIVEN SOME FREEDOM TO DEVELOP ITS OWN PRODUCT LINES AND MARKETING COMPARED TO MULTINATIONAL CORPORATIONS MNCS, WHICH HAVE MORE OF A HOME OR COUNTRY BASE TAKING CARE OF THE R AND D AND MARKETING AND FOCUS MORE ON EXPORTING THEIR PRODUCTS AND SERVICES IWAN, 2007. INTRODUCTION LOOK AT THE COMMON PRODUCTS SOLD IN YOUR LOCAL GROCERY STORES. WHERE ARE THEY MANUFACTURED OR MADE WHO MARKETED OR DISTRIBUTED THE PRODUCT WHERE DO THE COMPANIES SOURCE THEIR WAS MATERIALS MOST OF THE PRODUCTS SOLD IN THE MARKET ARE EITHER SOURCED FROM ONE COUNTRY, OR IMPORTED AND MANUFACTURED IN ANOTHER, AND DISTRIBUTED WORLDWIDE. CHECK OUT THE PROLIFERATION OF CALL CENTERS AND BUSINESS PROCESSING OUTSOURCING BPO COMPANIES IN THE PHILIPPINES. MOST OF THESE COMPANIES CATER TO INTERNATIONAL CONSUMERS BASED IN US, AUSTRALIA, NEW ZEALAND, AND EUROPE. ACCORDING TO PHILIPPINES STATISTICS AUTHORITY 2018, THE PHILIPPINES HAS 851 BPO COMPANIES, MORE THAN HALF OF WHICH ARE CALL CENTERS 429. THE PHILIPPINES IS THE CALL CENTER CAPITAL OF THE WORLD, ACCOUNTING TO 18 PERCENT OF THE GLOBAL MARKET SHARE, U524.4 B AND 7.5 PERCENT REVENUE INCREASE IN THE FIRST QUARTER OF 2018 SEA LIMITED, N.D. THE INTERNATIONAL FINANCIAL INSTITUTIONS AND THEIR ROLE IN THE GLOBAL ECONOMY- INTERNATIONAL FINANCIAL INSTITUTIONS OR IFIS ARE INSTITUTIONS THAT PROVIDE SUPPORT THROUGH LOANS OR GRANTS AND TECHNICAL ADVICES TO PROMOTE A COUNTRY’S ECONOMIC AND SOCIAL DEVELOPMENT BHARGAVA, 2006; 393. GLOBAL AND REGIONAL IFIS INCLUDE INTERNATIONAL MONETARY FUND IMF AND MULTILATERAL DEVELOPMENT BANKS MDBS LIKE THE WORLD BANK GROUP, THE AFRICAN DEVELOPMENT BANK ADB, THE INTER-AMERICAN DEVELOPMENT BANK, AND THE EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT BHARGAVA, 2006. IFIS HAVE A SIGNIFICANT ROLE IN GLOBAL ECONOMIC DEVELOPMENT, COMPARED TO PRIVATE FINANCING INSTITUTIONS, IFIS PROVIDE FINANCIAL AND TECHNICAL SERVICES AND PRODUCTS NOT FOR PROFIT BUT FOR OVERALL ECONOMIC AND SOCIAL DEVELOPMENT BULTER AND LANKES, 2014. IFIS PROVIDES LOANS, TECHNICAL ASSISTANCE, AND POLICY-BASED LENDING MACROECONOMIC STABILITY AND PROVIDING THE NECESSARY INFRASTRUCTURE AND SYSTEMS, SECTORAL REFORMS, AND CREATION OF SAFETY NETS THROUGH POLICY- BASED LENDING BHAVARGA, 2006. IFIS ALSO WORK WITH THE PRIVATE SECTOR FOR INVESTMENT AND POLICY REFORMS TO PROMOTE PRIVATE SECTOR EXPANSION INTERNATIONAL FINANCE CORPORATION, 2011. COLLABORATE AND CREATE. YOU COULD WORK INDIVIDUALLY OR WITH GROUPS TO REPORT ON SPECIFIC GLOBAL ECONOMIC INSTITUTIONS. YOU NEED TO PRESENT YOUR RESEARCH IN CLASS EITHER THROUGH REPORT PRESENTATION OR USING CREATIVE MEANS SUCH AS VLOGS, SHORT SKIRT, AMONG OTHERS. THIS WILL BE A 15-MINUTE PRESENTATION. KEY TOPICS; 1. SHORT HISTORY OF THE INSTITUTIONA 2. RATIONALE FOR ITS CREATION OR ESTABLISHMENT 3. THEIR ROLE IN THE GLOBAL ECONOMY 4. BENEFITS AND LIMITATIONS A SUMMARIZED HISTORY OF THE GLOBAL ECONOMY- THE MODERN CAPITALIST WORLD ECONOMY FLOURISHED BETWEEN THE 16TH TO 18TH CENTURIES FRIEDEN, 2012. THE START OF THE MODERN GLOBAL TRADE LEADING TO 1914 WAS CONSIDERED THE FIRST PERIOD GLOBALIZATION BHAGARVA, 2006. IT IS WHEN TRADE, CAPITAL, AND IMMIGRATION FLOWS GREW TREMENDOUSLY AND IN LARGE VOLUME, BUT THE GLOBAL INSTITUTIONAL ARCHITECTURE TO MANAGE THESE WERE QUITE LIMITED IBID. FROM THE SECOND WORLD WAR TO THE 1990S, THE MODERN INTERNATIONAL ECONOMIC ENABLING ARCHITECTURE WAS ESTABLISHED FREIDEN, 2012. IN ADDITION, WE SEE THE EXPANSION OF MNCS ACROSS THE GLOBE, SUPPORTED BY ENABLING POLICIES AND IMPROVED COMMUNICATIONS AND TRANSPORT BHAGARVA, 2006. HOWEVER, THE EUPHORIA ON GLOBALIZATION AND GLOBAL FREE WAS PUT INTO QUESTION WITH 1994/95 MEXICO CRISIS, WHEN MEXICO’S MULTI-BILLION LOAN FROM IMF CREATED A NEGATIVE SPILLOVER EFFECT ON US, EUTOPE, PORTUGAL, AND SPAIN NEUBAUER, 2014. FROM THE LATE 1990S UNTIL VERY RECENTLY, BHAVARGA 2006 CONTENDS AND CHARACTERIZES THE THIRD WAVE OF MARKET INTEGRATION. WE SEE THE ADVENT OF THE MODERN INTERNET, THE WTO ESTABLISHMENT, AND FORMAL ENTRY OF CHINA INTO THE TRADING SYSTEM THROUGH ITS ACCESSION TO INTERNATIONAL FINANCIAL INSTITUTIONS FRIEDEN, 2012. THE GLOBAL CORPORATIONS- ASIDE FROM IFIS AND GOVERNMENTS, ONE OF THE MAJOR PLAYERS IN GLOBALIZATION AND THE MODERN CAPITALIST MARKET IS THE GLOBAL CORPORATIONS. THE NUMBER OF GLOBAL CORPORATIONS FROM EMERGING MARKET ECONOMIES LISTED IN THE FORTUNE GLOBAL 500 ROSE FROM 47 FIRMS IN 2005 TO 95 IN 2010 NEUBAUER, 2014. THE MODERN GLOBAL CORPORATIONS ARE COMMONLY REFERRED TO AS MULTINATIONAL CORPORATIONS AND TRANSNATIONAL CORPORATIONS. MORE OFTEN, THEY ARE USED INTERCHANGEABLY. IWAN 2007 OFFERS CATEGORIZATIONS TO DISTINGUISH AN MNC FROM A TNC. WITH THE GROWTH OF GLOBAL CORPORATIONS FROM EMERGING ECONOMIES, THE CAPITAL FLOWS HAVE NOW STARTED TO CHANGE FROM THE DOMINANT NORTH-NORTH/NORTH-SOUTH TO SOUTH-SOUTH AND SOUTH-NORTH CAPITAL FLOWS, MOST OF THE SOUTH-NORTH COMING FROM CHINA AND INDIA RAJAN, 2010. SUMMARY IN THIS CHAPTER, WE FIRST DEFINED WHAT IFIS ARE INSTITUTIONS THAT PROVIDE SUPPORT THROUGH LOANS OR GRANTS AND TECHNICAL ADVICES TO PROMOTE A COUNTRY’S ECONOMIC AND SOCIAL DEVELOPMENT BHARGAVA, 2006; 393. THESE SUPPORT SERVICES AND FINANCIAL INSTRUMENTS ARE CRITICAL FOR THE GLOBAL ECONOMY, PARTICULARLY IN SUPPORTING CAPITAL FLOWS AND ECONOMIC DEVELOPMENT. NEVERTHELESS, IFIS ARE EXPECTED TO DO MORE BUITER AND LANKES, 2014. THANK YOU The global corporation Aside from IFIs and governments, one of the major players in globalization and the modern capitalist market is the global corporations. The number of global corporations from emerging market economies listed in the Fortune Global 500 rose from 47 firms in 2005 to 95 in 2010 (Neubauer, 2014). The modern global corporations are commonly referred to as multinational corporations and transnational corporations. More often, they are used interchangeably. Iwan (2007) offers categorizations to distinguish an MNC from a TNC. He argues that both types of corporations are importers and exporters and have investments in many countries. Nevertheless, he further contends that MNCs still provide central decisions compared to TNCs that provide individual foreign market investment to have their own operations and systems (Iwan 2007). With the growth of global corporations from emerging economies, the capital flows have now started to change from the dominant North-North/ North-South to South- South and South-North capital flows, most of the South North coming from China and India (Rajan, 2010). For instance, China's Lenovo Corporation bought IBM's PC business (NBC News, 2005). These global entities, IFIs and global corporations, play a significant role in global wealth creation and distribution, including global economic development (Neubauer, 2014). However, the significant growth of IFIs and global corporations is complicated by ever-dynamic context and patterns. These trends include global inequality, systematic stability and viability of the global financial system and climate issues, and issues on human security. Although IFIs have a stronger societal development outlook, they have a larger responsibility to safeguard against unintended negative outcomes of some of their investments and to balance rapid economic growth with social well-being and ensuring environmental health. Similarly, global corporations need to embrace that their impact to society and environment goes beyond profit, products, and employment but more so to social development and ensuring environmental integrity in the midst of their operations and expansion (Neubauer, 2014). Thank you CONTEMPORARY GLOBAL GOVERNANCE  LEARNING OBJECTIVES After this lesson, you should be able to: 1. understand the concept of global governance; 2. understand the role of the state amidst globalization; 3. determine the challenges of global governance in the 21st century, and 4. identify the roles and functions of the United Nations (UN).  DEFINITION OF TERM Global governance collective efforts to identify, understand, and address worldwide problems that go beyond the problem-solving capacities of states (Weiss, 2010)  INTRODUCTIO N Global Governance Global governance is the capacity within the international system, at any given moment, to provide government-like services and public goods in the absence of a world government. It is the combination of informal and formal ideas, values, rules, norms, procedures, practices, policies, and organizations that help all actors-states, IGOs, civil society and NGOs, TNCS, and individuals- identify, understand, and address transboundary problems. At its simplest, global governance is a set of questions that enable us to work out how the world is, was, and could be governed, and how changes in grand and not-so-grand patterns of governance occurred, are occurring, and ought to occur (Weiss, 2013).. Today, a gross disconnect is apparent between the nature of a growing number of contested global problems (i.e., climate change, the proliferation of weapons of mass destruction, terrorism, mass atrocities, financial volatilities, cyber threats, transnational crime, and pandemics) and the political structures for international problem-solving and decision-making. This is because of the traditional and age-old political structures which have been in existence for centuries.  THE UNCERTAINTY OF THE SOVEREIGN TERRITORIAL STATE OR NATION-STATE Since the end of the Cold War, the world is heading toward a less centralized form of governance. As the United States is facing serious setbacks in the wars in Iraq and Afghanistan, many emerging powers such as China, Russia, and Brazil have formed regional alliances to create a multipolar and anti-hegemonic order. This development is being referred to as the beginning of "the post-American world," in which the United States retreats and the rest of the world advances in economic power and political influence (Zakaria, 2008). This is in stark contrast to the kind of political entity which determined our lives: the sovereign territorial state or "nation-state." In fact, most Western countries have lived under this kind of state since the late 18th century or possibly earlier. This kind of state has become the universal framework of social development. However, after centuries of serving as an example to most, if not all sovereign countries, this kind of state is entering a phase of uncertainty. As a review, the notion of "nation-state" has the following elements: a. Continuous and broken territory (preferred) b. Sovereign territor c. The state has the monopoly both of law and of the powers of coercion. d. The national state rules its citizens or subjects directly and not through intermediate authorities. e. Direct government and administration of inhabitants by the central authorities of the "nation-state" f. The state is considered to represent the people and the people serves as a source of sovereignty or at least give the state legitimacy. g. The citizenry was or ought to form a homogenous population (Hobsbawm, 1996). However, the rigidity interposed by this age-old kind of setup has been disregarded several times in worldwide events: disintegration of the Soviet Union, rise of transnational entities within states, global problems requiring global action. Nowadays, the state's powers and functions have been undermined by supranational and infra-national forces, as well as what can be described as the withdrawal of its inhabitants from citizenship. These supranational forces have weakened the state in three ways: 1. The creation of a supranational economy wherein the transactions are largely uncontrolled by states, resulting to the restriction of states to direct national economies 2. Rise of regional or global institutions, such as European Union, ASEAN, UN, to which individual countries defer either because they are too small to engage in effective competition international competition or because their economies are so weak 3. Territorial borders had been made largely irrelevant by technological revolution in transport and communications. The Rise of Non-State Actors A huge rise of non-state actors resulted from the occurrence above- mentioned. These international organizations in the public and private sectors are set with higher objectives and goals to participate in global governance and improving lives. This rise also created a new landscape and new architectures of global governance wherein multi-sector partnerships are present, such as transnational businesses. Further, the loose structures of these organizations allow more efficient courses of action than the bureaucracies of nations or states can attain. The growth of non-state actors has meant more diversity in potential players and partners. The proliferation of actors that are legitimately representing stakeholders and contributing concretely to contemporary global problem-solving means that we have come a long way from the state-centric model of traditional international relations. The proliferation of non- state actors has ushered in an age of global partnerships between private and public bodies on specific issues (Weiss, 2013). The United Nations One important example of a non-state actor, an international government organization (IGO) playing a vital role in the world's affairs, is the United Nations (UN). The United Nations is an IGO designed to make the enforcement of International law, security, human rights, economic development, and social progress easier for countries around the world. The UN today is divided into five branches: 1. The UN General Assembly - is the main decision-making and repre assembly and is responsible for upholding the principles of the UN through its policies and recommendations. It is composed of all member states and headed by a president elected by the member states. 2. The UN Security Council - can authorize the deployment of UN member states' militaries, can mandate a cease-fire during conflicts, and can enforce penalties on countries if they do not comply with given mandates. It is composed of five permanent members and 10 rotating members 3. The International Court of Justice can settle, according to international law, legal disputes between States and give opinions, mostly advisory, on legal questions brought to it by UN organs and agencies 4. The Economic and Social Council assists the UN General Assembly in promoting economic and social development, as well as cooperation of member states 5. The Secretariat headed by the Secretary-General, provides studies. Information, and other dates when needed by other UN branches for their meetings The G20+ and a New Framework for Global Cooperation As reiterated above, in a globally integrated world economy, the need for global collective action and stability is almost universally recognized. The proposed new framework for global economic cooperation, with a competent and accountable coordination body (the G20+) and connected to a representative global system (the UN), aims to preserve global economic stability and to ensure that the global economy continues to grow inclusively to benefit all nations and peoples equitably. The core functions, structure, membership, and ties to the UN of the G20+ within the wider new framework for global economic cooperation includes the following integral functions: 1. Facilitate multi-stakeholder, cross-disciplinary dialogue and policy solutions 2. Promote inclusive economic reform 3. Enable global economic crisis response SUMMARY Global governance is the capacity within the international system at any given moment to provide government-like services and public goods in the absence of a world government. This kind of governance shifted from the traditional territorial sovereign state or "nation-state" to a more loose and less stricken structures warranting international cooperation, movement, and response. In response, several non-state bodies came about, including the United Nations and the G20+-all with ultimate goals of international action. ASSESSMENT 1. Identify one essential learning that you obtained from this lesson. 2. Reflect on how this learning will enable you to help the following: a. Your country b. Your community C. Your school d. Your family THANK YOU! THE GLOBAL ECONOMY Presented by: Angel Ramos Edcelyn Babor Annabie Babor  INTERNATION MONETORY FUND (IMF) The generic name given to all financial institutions operating on a nash international level ranging from development banks such as the world bank and the European Bank for reconstruction and development (EDB), and monetary authorities, such as International Monetary Fund. These organizations give loans to governments for large-scales projects, restructuring and balance of payments on condition that they make specific changes that IFIs believe will boost economic growth. (Shangquan, 2000) INTERNATIONAL FINANCIAL INSTITUTION (IFIs) The IMF is an international organization at 183 member countries to promote international monetary cooperation and exchange stability; to foster economic growth and high employment and to provide short-term financial assistance to countries to help east balance at payments adjustments. (IMF, 2019)  TRANSNATIONAL CORPORATION Transnational corporations (TNCs) are enterprises that engage in value-adding activities like manufacturing, extraction, services, and marketing across multiple countries (UCTC, 1991). These corporations are often influenced by groups of nations that act as advisory organizations, discussing global economic and political issues. The ideas from these forums can be integrated into national legislative regulations, shaping policies and standards (Weiss, 2018). GLOBAL CIVIL SOCIETY Global civil society consists of individuals or groups disadvantaged by the effects of global economic integration. They protest and seek alternatives to address these challenges (Gherghel, n.d.). At the same time, global civil society supports social movements that aim to create a new world order, advocating for alternatives that promote social justice and fairness (Keane, 2003). WHAT IS THE MODER WORLD SYSTEM? World-Systems Theory refers to an interpretive framework that offers a generalized model of human interaction, encompassing economic, political, and social dimensions. It analyzes the connection between different levels in a regional and interregional system and describes the nature of integrated systems.  SUMMARY Economic globalization is the economic mixing and interdependence of economies across the world through the cross-cultural movement of goods, services, technologies, and wealth. Much of this type of globalization can be seen through the importing and exporting of goods. A WORLD OF REGIONS Lesson 12 Global divides Baao Community College | 2024  Definition of terms Regions - regions are " a group of countries located in the same geographically specified are" they are " an amalgamation of two regions or combination of more than two regions organized to me regulate and oversee flows and policy choices. Global Stratification - refers to the distribution of wealth, power, prestige, resources and influence among the world nation. World System Theory - is a socioeconomic and political approach that explains the economic development and dynamic of capitalistic world economy analyzing the mechanism of international market trade, economic division of labor between core and periphery regions and interest of capitalist class in market (Coccia, 2019). Baao Community College | 2024 Theory - it is a well-substantaited explanation of an aspects of natural hypothesis and facts Global divide - global disparities often due to stratification due to differing economic affluence but can also be in other aspects of globalization. Baao Community College | 2024 Introduction Across history, there have been many manifestations of stratification in different societies, social stratification is essentially the phenomenon of segregating, grouping and ranking people base on differences in class, race economic status, and other categories, in earlier civilizations we hear of nobilities and commoners, and many other social statuses and positions that embody hierarchy of power in a social system. Baao Community College | 2024 What is the difference between regionalism and regionalization? Baao Community College| 2024 Regionalization refers to the regional concentration of economic flows Regionalism is a political process characterized by economic policy cooperation and coordination among countries Baao Community College | 2024 Why do countries form regional organization? Baao Community College| 2024  - It is a way of coping with the challenges of globalization. Globalization has made people aware, of the the world in general; it has also made Filipino more cognizant of specific areas such as southeast Asia. Perspective in Global Stratification There are theories which attempt to explain the dynamic and impacts of stratification among people in the world. One of the theories attempting to explain pathways of development is Modernization theory, in a nutshell this theory suggests that all societies undergo a similar process of evaluation- from agriculture, Industrial and urbanized and modern- that is motivated and catalyzed by internal factors, a hints that more than external influences, internal processes within States are responsible for social change. Baao Community College | 2024 For instance, it opines that a well-functioning bureaucracy that will ensure welfare among citizens is a necessary infrastructure to achieve development is also assumes that when these internal sources of development - education market driven, economy, and political infrastructure - are present, many society will progress and poverty will be resolved. However, it can be observed even today that there are countries very rich a natural resources but their people remain to experience extreme poverty. Second, the "Dependency Theories - suggest that countries are either "core" (i.e., developed) or peripheral (i.e., developing) such that resources tend to flow from peripheries to the core. Baao Community College | 2024 A related theory discussed in earlier lessons us that of wallerstein (1975) speaking about a World System compose of boundaries, structures member groups, rules of legitimation, and Coherence this world system is assumed to comprises a single capitalist world economy " (Graf, 1986. p.29) so to speak. World System Theory -socio economic system made up of a "core, periphery regions and semi-periphery regions. 1. Core Areas - technologically advanced and industrialized capitalist nations/regions 2. Periphery Areas - poor countries that primarily subsist exporting primary products 3. Semi-Periphery Areas - countries that act as the periphery to core countries and core to the countries on the periphery. Baao Community College | 2024 in the contemporary world the buzz word used to pertain to these stratifications among nations is the term global divide. but, in the modern world, how did we reach this point? after world war ll the united States and the Soviet union which was wartime allies entered a cold war a States of political tension rivalry from the mid-1940s to early 1990s. the war yeilded two chief political factions the western Bloc, comprised by the industrial/capitalist US and the north Atlantic, Alliance (NATO), which include united kingdom, Canada,, France, Italy among others Hungary, and Afghanistan) led by the communist/socialist. Russians Soviet federative socialist republic. the western Bloc has been referred to as First world countries, while the eastern Bloc has been referred to as second world countries. Baao Community College | 2024  in 1952, Alfred sauvy (in the end, the third world, ignored exploited and misunderstood just like the third Estates desires to be something). in this article, sauvy (1952) liked the world to the third estates - the french commoners - whose suffering and upheaval led to the french revolution. in this talk, Teng (1974) profoundly noted the Soviet union make up the first world. the developing countries in Asia Africa, latin America and other region make up the third world the developed countries between the two make up the second world. The Brandt Report and it's Criticism In the 1980s, a comprehensive analysis of global economy was reported by the Independent Commission on International Development Issues. The commission was led by Willy Brandt, West German chancellor. This analysis was encapsulated in what is popularly known as the Brandt Report. Baao Community College | 2024 Briefly, this report categorized countries in the northern hemisphere as comparatively smaller in population and more economically affluent than countries in the southern hemisphere—a categorization that gave birth to the Brandt line—an imaginary line that divides the world into the developed north and the developing south. The bottom line of this report was the contention on mutuality—that for both the northern and southern countries to thrive, global economy must be restructured, for instance by transferring resources to southern economics thus ending poverty. in the early 2000s, another report, Brandt equation was prepared by James Bernard Quiligan, describing the new global economy as facing financial contagion " and requiring major international relief program" (Quiligan, 2010, p. 3) Baao Community College | 2024 Daniel Sneider (1980), in a special report in EIR News Service Inc., summarized the contentions of the Brandt Report (p. 27): "one world economic system" that governs even countries' taxation of certain items "zero growth and Malthusianism", which suggests that controlling overpopulation will cure underdevelopment. "basic needs and appropriate technology", focusing on labor than technology "promotion of solar energy" "strengthen the IMF/World Bank system" The Brandt Report had critiques, which was a healthy process for a report that tackled such a monumental issue as global economic affairs. William D. Graf, a political and foreign affairs expert at that time, wrote a comprehensive critique in The Socialist Register (1981). First, he pointed out that while the Brandt commission is seemingly represented by nor the north and southern countries, it is not represented according to "classes" within these countries, because most of the representatives are coming from political elites. Baao Community College | 2024  THANK YOU Baao Community College | 2024 presentation of group 7