LM-Contemporary-World PDF Learning Module

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Surigao del Norte State University

Kristopher M. Ngilangil, MA

Tags

globalization contemporary world international relations social studies

Summary

This learning module for GE - Contemporary World introduces globalization, outlining competing conceptions, philosophies, and ideologies. It discusses the positive and negative aspects of globalization and includes learning activities, such as using Venn diagrams to compare competing conceptions.

Full Transcript

LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY Learning Module in GE – Contemporary World Prepared by: Kristopher M. Ngilangil, MA...

LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY Learning Module in GE – Contemporary World Prepared by: Kristopher M. Ngilangil, MA Subject Teacher GE – Contemporary World Page 1 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY General Instructions: Your answer in pre-assessment, post-test, and learning activities shall be rated using the following rubric and criteria. For the Essay type of questions Rubric 1pt Answer is incorrect but there is some correct support. 2 pts. Answer is correct but no support is provided. 3 pts. Answer is correct and there is some support. 4 pts. Answer is correct and the support is developed. 5 pts. Answer is correct and the support is fully developed. For Concept map/Venn diagram/map/poster Criteria Rating Appropriateness of Concept applied 15 pts. Clarity of idea/message portrayed 15 pts. Creativity 15 pts. Originality 5 pts. Total 50 pts. For paper analysis Criteria Rating Clarity of content/message cited 20 pts. Appropriateness of ideas cited 20 pts. Mechanics 10 pts. Total 50 pts. For the prayer Criteria Rating Appropriateness of the words that conforms the theme 20 pts. Originality 15 pts. Mechanics 15 pts. Total 50 pts. GE – Contemporary World Page 2 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY I - Module 1 – INTRODUCTION TO GLOBALIZATION II - Topics 1.1 Defining & competing conceptions of globalization 1.2 Philosophies & Ideologies of Globalization 1.3 Positive and Negative aspect of Globalization III. TIME FRAME: 7 hrs. IV. INTRODUCTION: Since the early 19th century, globalization has been a buzzword throughout the world. Globalization refers to the existence of free exchange of goods, services, culture, and even people, between and among countries. Under the banner of globalization, countries have discarded taxes on imported goods (tariffs) and opened their doors to highly skilled workers and professionals. Through globalization, people became more interested to travel, learn new languages, and immerse themselves into new cultures and lifestyles. Despite globalization’s obvious benefits to a number of people around the world, its complexity and vastness understandably lends itself to competing conceptions, philosophies, and ideologies that view it with different lenses (San Juan, 2018). V - INTENDED LEARNING OUTCOMES: In this lesson, the students will be able to: 1. Identify and differentiate the competing conceptions of globalization; 2. Identify the underlying philosophies of the varying definitions of globalization; 3. Explain the positive and negative aspects of globalization. VI - PRE – ASSESSMENT: Fill-in the opposite column in the table below. In my own understanding, globalization is …….. Globalization has positive and negative effects, like ………. Should free trade and free movement of people be without limits? Is a borderless world really possible? VII. LEARNING ACTIVITIES Let’s travel Competing Conceptions of Globalization On globalization as “a contested concept,” Manfred Steger remarks that the term globalization has been used in both popular and academic literature to describe a process, a condition, a system, a force, and an age. Given that these competing labels have very different meaning, their indiscriminate usage is often obscure and invites confusion. GE – Contemporary World Page 3 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY The United Nations Conference on Trade and Development (UNCTAD) defines economic globalization as the “closer integration of national economies through trade and financial flows as well as cross-border migration of people. As national economies ‘open up’ and lower their external barriers, they become more exposed – and more vulnerable – to global forces and influences. The free movement of goods or products is facilitated by liberalization or the abolition of tax on imported goods (tariff), while the free movement of capital or investment is implemented through deregulation or the lifting of strict banking and financial regulations aimed at encouraging investors to invest more and retain their ability to pull out their investments at any time with ease. Meanwhile, free movement of persons is achieved through the loosening or abolition of visa restrictions and barriers to migration. Liberalization and deregulation are economic processes that typically require special laws and/or policies. Such policies and laws are products of deliberation and even confrontation between conflicting interests. To illustrate a typical conflict on the idea of globalization, one only has to look at the perennial tit-for-tat fight between big corporations and labor unions on issues such as migration and outsourcing of jobs, wage hikes, and privatization of industries and services; or the decades-old enmity between the developed countries more popularly known as the First World, and the developing and/ or underdeveloped nations collectively labeled as the Third World on issues such as subsidy on the agricultural sector, industrialization, and foreign land ownership. As a long- term process, modern globalization was jumpstarted on October 30, 1947 by 2- nations that signed the General Agreement on Tariffs and Trade (GATT) which primarily aims to regulate international trade. In 1995, it was formally supplanted by the World Trade Organization (WTO) https://thriveglobal.com/stories/the-effect-of-globalization-on-the-tourism-industry/ through the Marrakesh Agreement signed by 124 nations. The WTO (still popularly referred to as GATT- WTO in many countries) describes itself as “the only global international organization dealing with the rules of trade between nations … negotiated and signed by the bulk of the world’s trading nations and ratified in their parliaments... to help producers or goods and services, exporters, and importers conduct their business.” These systems came under intense criticism in 2008 after a major financial crisis hit the United States, with the contagion reaching Europe and other parts of the world because of the strong financial and economic ties of countries under globalization. Such criticisms culminated in anti-globalization tirades of politicians such as France’s Marine Le-Pen and United Kingdom’s (UK) Nigel Farage, and social movements such as the Indignados (Literally, “outraged”) of Spain, and the Occupy Movement that started in the US itself, with some groups and academics pronouncing or asking about the “end of globalization.” GE – Contemporary World Page 4 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY Thomas Friedman’s best-selling book The Lexus and the Olive Tree, gives a relatively balanced and oft-cited definition of globalization which he considers as both an era and a system that “is not static, but a dynamic ongoing process: globalization involves the inexorable integration of markets, nation-states, and technologies to a degree never witnessed before-in a way that is enabling individuals, corporations, and nation-states, and technologies to a degree never witnessed before – in a way that is enabling individuals, corporations, and nation – states to reach the around the world farther, faster, deeper, and cheaper than ever before, and in a way that is... also producing a powerful backlash from those brutalized or left behind by this new system.” Benedict Anderson explained that the “early globalization” during the last two decades of the 19th century was made possible by developments such as invention of the telegraph, the inauguration of the Universal Postal Union which “vastly accelerated the reliable movement” of printed materials around the world; wide use of the steamship that facilitated swifter intercontinental travel; and “a thickening latticework of railways that moved millions of people and commodities within national and colonial borders, linking remote interiors to each other and to ports and capitals.” Beyond the definition of globalization, distinctions between internationalization and globalization are also contested. Leslie Sklair reveals that “much of the globalization literature is confused because not all those who use the term distinguish it clearly enough from internationalization, and some writers appear to use the two terms interchangeably, a clear distinction must be drawn between the international and the global. Sklair further argues that globalization is broader and more complicated than internationalization. Internationalization refers to processes and systems that pertain to relationships between nation-states, while globalization encompasses processes and systems related to “global social relations” – or interactions between international and/or transnational entities. Let’s do it! Task 1: Using a Venn diagram, compare and contrast the competing conceptions of globalization. GE – Contemporary World Page 5 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY Philosophies and Ideologies of/on/against Globalization Globalization’s backers, supporters, and ideologies have “six core claims” that seem to make it an ideology in itself: “globalization is about the liberalization and global integration of markets; globalization benefits everyone; globalization furthers the spread of democracy in the world; globalization requires war on terror.” As a system, globalization is currently led and promoted by ideologies. Capitalism is the dominant economic framework and system in many parts of the world today. It is primarily premised on the “profit motive.” Its promoters claim that seeking profit is the most basic aim of any individual or entity in this world. The profit motive partly explains why, for example, people tend to buy stocks of https://www.google.com/search?q=image+of+ideologies+of+globaliztion profitable companies, or why governments of Third World countries allow mining corporations to operate even in places where the ecosystem is vulnerable. Neoliberalism’s adherents further build on the profit motive by asserting that for capitalism to thrive, markets should be free from government intervention, claiming that “Free markets and free trade will... set free the creative potential and entrepreneurial spirit which is built into the spontaneous order of any human society, and thereby lead to more individual liberty and well-being, and a more efficient allocation of resources.” Ferreting out the truth from the jargon, they lobby for deregulation, privatization, and liberalization to give corporations a free hand in the global economy. The pro-globalization side defends its adherence to neoliberal capitalism by claiming that freeing corporations from much government regulation will encourage capitalists to invest more on existing industries, even on experimental and innovative ones; privatizing industries (such as petroleum and mining) and services (such as transportation and health care) will create opportunities for corporations to create more wealth from almost sure profits and possibly reduce the price of commodities and services as competition between enterprises becomes stiffer: and liberalizing the global economy through lifting tariffs imposed on almost any product and service will drastically accelerate and cut the costs of trade, saving companies billions of dollars in the process and making imported goods relatively cheaper. Meanwhile, critics of globalization are divided into two main camps: the anti- globalization side and the alter-globalization current. As their names suggest, the anti- globalization side and the alter-globalization current differ only on their long-term objective: the former wants an end to what it considers as a highly imbalanced system of globalization that favors the First World over the Third World, corporations over citizens and communities, and profit-seeking over environmental sustainability. The latter favors “altering” or “changing” GE – Contemporary World Page 6 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY the current system of globalization to make it more humane, more pro-environment, and more grassroots-driven rather than staying as a top-down imposition. These “challengers” of globalization include forces of “national-populism, new localisms, and various religious fundamentalists with strong political inclinations and of global feminism, international-populism, and various ideational clusters associated with ‘global justice’ movements. Many critics of globalization also espouses of capitalism and neoliberalism, because of the almost seamless link between these ideologies and globalization. Karl Marx’s classic book Das Capital emphasizes that “the directing motive, the end and aim of capitalist production, is to extract the greatest possible amount of surplus- value, and consequently to exploit labor-power to the greatest possible extent. Such capitalist penchant for maximizing profits even at the expense of workers (who tend to receive only a small share of the total profits that enterprises generate) and more recently, even at the expense of the environment – has only become more explicit under globalization, as it allows firms to shift all or part of its operations to countries where wages and/or labor standards are low, in a process called outsourcing. Competition to attract firms has resulted in a race-to-the-bottom system where “the labor standards in one country are positively correlated with those elsewhere (i.e. a cut in labor standards in other countries reduces labor standards in the country in question). This interdependence is more evident in labor practices (i.e. enforcement) than in labor laws.” Task 2: Draw a concept map of globalization highlighting key words that you think comprise the totality and philosopies of globalization. GE – Contemporary World Page 7 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY Positive and Negative Aspects of Globalization Supporters and critics of globalization enumerate a lot of positive and negative aspects of this complex system, in their quest to win the public to their side. The positive aspects of globalization cited by its supporters include the following: multiculturalism and multilingualism (free exchange of goods and services need); free trade (reduced costs on selling products almost worldwide provided huge profits for a number of big transnational corporations, and resulted in cheaper price of some consumer goods such as cell phones and computers): cultural and educational exchanges (the rise of multilingualism inevitably leads to the study of diverse cultures and eventually, more educational exchanges such as EU’s Erasmus Mundus Program between universities of all countries); and global cooperation (globalization’s rules and mechanisms are created and governed by global institutions such as the uNited Nations encourage global cooperation on many issues ranging from climate change to poverty eradication). Among the prominent promoters of globalization are thinkers such as Thomas Freidman, Martin Wolf, Mustafa Akyol, Theodore Levitt, and Fareed Zakaria; politicians such as Jose Manuel Barroso, Lee- Kuan Yew, Hillary Clinton, and Emmanuel Macron; and entities such as Bilderberg, International Monetary Fund (IMF), World Bank (WB), and WTO. ZAkaria stresses that “globalization created huge opportunities for https://www.google.com/search?q=image+of+impact+of+globaliztion growth, many of which were taken by U.S. companies. These companies have benifited enormously by having global supply chains that can source goods and services around the world, either to lower labor costs or to be close to the markets in which they sell.” Additionally, WTO claims that it can “cut living costs and raise living standards; settle disputes and reduce trade tensions; stimulate economic growth and employment” among others. On the other side of the debate, anti nad alter-globalization advocates put forward a number of globalization’s negative aspects: linguistic hegemony of English (as the US and the then very much UK-influenced EU utilize English, globalization compels other countries to use it as well, with some former colonies such as the Philippines and Malawi, even prioritizing it over their own national languages); cultural homogenization (big corporations – such as fast food chains like McDOnald’s, consumer item giants like Nestle, and Holyywood film companies like Pixar, Marvel, and Disney – dominate markets in many countries because of their enormous financial power and presence in almost every country). Third World dependence on the First World (despite globalization’s obvious contribution to the succesful leap of some countries from Third to First World status, more Third World countries from providing massive state subsidies or aid to their farmers – while EU heavily subsidizes their agrigultural sector, and the way global financial institutions fail to help many developing countries in jumpstarting their industrialization); global income and welath ineaqulaity (as only the biggest corporations seem to benefit from stiff competition and unbridled free trade); tax injustice (under globalization, countries compete for foreign investments and are forced to lower corporate tax rates, thereby reducing the expected government income which can be used for social services that can shield the most vulnerable sectors from the negative effects of globalization); and racism and anti-migrant sentiment (as corporations in many First World countries hire more migrants to save on wages, first World GE – Contemporary World Page 8 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY working-class citizens complain about being left behind in their own countries, hence partly fueling the rise of racism and anti-migrant sentiment). Prominent anti- or alter-globalization thinkers include Alenjandro Lichauco, Ha-Joon Chang, Jose Maria Sison, Joseph Stiglits, Noam Chomsky, Samir Amin, Slavoj Zizek, Thomas Piketty, Yans Varoufakis, and Walden Bello. Other anti- or alter-globalization personalities include US President Donald Trump, US Senator Bernie Sanders, Pope Francis, UK Labour Party leader Jeremy Corbyn, former Venezuelan President Hugo, Guatemalan indigenous people leader Rigoberta Menchu, and French politician Marine Le-Pen. Globalization is more favorable to developed countries because: 1. Investments in developing countries earn profits which the former typically repatriate, rather than reinvest; 2. Control multilateral financial institutions such as the IMF, World Bank, and even the biggest private banks 3. Technology transfer on a massive scale seldom happens, hence developed countries tend to retain a monopoly on innovations vital to the growth of the manufacturing sector; 4. The bulk price of the developing countires main exports is lower than the bulk price of their typical imports from developed countries (technology/machinery and high-value products; 5. Migrtaion of workers and professionals from developing countries to the developed countries deplete the former’s human resources which they need free themselves from poverty and dependency; 6. Education system of developing countries is aligned with the needs of developed/capital-rich countries which are also typical destinations of migrant workers from the developing nations. Task 3: Using the T-chart, identify (5) positive and (5) negative aspects of globalization and explain briely. _____________________________________________________________ Positive Negative 1. 1. Explanation: Explanation: GE – Contemporary World Page 9 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY VIII. SELF- EVALUATION: Listen to the globalization-related song entitled, “Imagine” by the Beatles and write a 300- word reflection paper on the message of the song. IX. REVIEW OF CONCEPTS: ✓ Globalization has transcended its being an economic term and has become a phenomenon whose impacts have altered social, cultural, and political landscapes in an international scale. ✓ Globalization has spurred interconnection, and yet, at the same time, is pointed at as cause of the widening gap between the richer and the poorest of the world. ✓ Social movement is people and organizations advocating for positive social change through a variety of means and approaches. ✓ Free trade where exchanges of goods or products between nations without tariff or tax. ✓ Deregulation is the loosening or lifting of government regulations, usually to favor private corporations’ flexibility of operations and profitability. ✓ Liberalization is the process or policy of removal or reduction of restrictions or barriers on the free trade between nations. ✓ Privatization is subjecting an industry or service to private control and ownership. ✓ The European Union (EU) is an economic and political organization comprised of 28 member states. Originating from the European Coal and Steel Community (ECSC) and the European Economic Community (EEC), the EU was established with the intent to integrate European nations and empower the region. X. POST-TEST: In your own words, answer the following questions briefly. GE – Contemporary World Page 10 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY 1. How does globalization differ from internationalization? ___________________________________________________________________ 2. Why is globalization considered as a “complex concept”? ___________________________________________________________________ 3. What forces drive globalization? Is the interaction of these forces amicable or combative? ___________________________________________________________________ XI. REFERENCES 1. Al, PK. (2018). The Contemporary World. 1st Ed. 2. San Juan, DM., (2018). Journey through Our Contemporary World. Vibal Publication, Manila, Philippines 3. http://unctact.org/en/PublicationsLibrary/webgdsdsi2012d2_en.pdf 4. https://www.google.com/search?q=image+of+ideologies+of+globaliztion 5. https://www.google.com/search?q=image+of+impact+of+globaliztion GE – Contemporary World Page 11 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY I - Module 2 – THE STRUCTURES OF GLOBALIZATION II – Topics 2.1 The Global Economy & Market Integration 2.2 Role of International Financial Institution in the Creation of a Global Economy 2.3 The Global Interstate System and Contemporary Global Governance III - TIME FRAME: 6 hrs. IV - INTRODUCTION: Praise and criticism for globalization most of the time focuses on its economic dimensions. People’s day-to-day experiences in globalization – buying imported products, deciding whether or not to migrate into a developed country, watching an independent Filipino film or another Hollywood flick, learning a foreign language, eating Korean noodles or Japanese ramen – are certainly guided and affected by economic factors. Due to the rapid advance of technology that makes real-time interconnectivity possible, all actors in globalization – with the right medium and message – can have a say on or at least partly influence contemporary global governance. After all, globalization is a choir of different voices – dome strong and some weak, just like the engagement of countries in the global economy and its increasing integration (San Juan, 2018). V - INTENDED LEARNING OUTCOMES: In this lesson, students will be able to: 1. Narrate a short history of global market integration in the twentieth century; 2. Explain the role of international financial institutions in the creation of a global economy; 3. Identify the challenges of global governance in the 21st century; VI - PRE – ASSESSMENT. Answer briefly. 1. How do economic forces facilitate the deepening of globalization? ___________________________________________________________________ 2. How is the Philippines central to the history of economic globalization? ___________________________________________________________________ 3. What is Bretton Woods System? ___________________________________________________________________ GE – Contemporary World Page 12 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY VII - LEARNING ACTIVITIES The Global Economy and Market Integration Under globalization, the global economy’s operation is shaped and influenced by governments, global or multinational corporations (MNCs), and global institutions – the very same sector that laid the foundations of contemporary market integration. Governments function as leading policymakers and implementers of globalization’s tenets. Global institutions are also partly managed and funded by governments and their representatives. Meanwhile, global corporations ensure a leading role in making the cogs of capitalist globalization operate as smoothly, efficiently, and profitably as possible. The nature and workings of this partnership – at times a tenuous one – can be better under stood if its short history is discussed. Contemporary economic globalization has its roots in the institutionalization of international monetary systems or the means for international payments (payment made by a country to another or an entity of one country to another entity of another country). To some extent, silver, gold, and other precious metals were already used as de facto currency in many parts of the world even before the modern times. For example, other than barter or trade among pre-colonial Asian, products can be paid for by gold and other metals. The exchange value of gold then depends on the two sides engaged in trade or transaction. Mining coins with arbitrary face values (for example, one cent) started the process which later led to the formal adoption of international monetary systems, at least in the Western world. International trading systems are not new. The oldest known international trade route was the Silk Road – a network of pathways in the ancient world that spanned from China to what is now the Middle East and to Europe. It was called as such because one of the most profitable products traded through this network was silk, which was highly prized especially in the area that is now the Middle East as well as in the West (today’s Europe). Traders used the Silk Road regularly from 130 BCE when the Chinese Han dynasty opened trade to the West until 1453 BCE when the Ottoman Empire closed it. However, while the Silk Road was international, it was not truly “global” because it had no ocean routes that could reach the American continent. According to historians Dennis O. Flynn and Arturo Giraldez, the age of globalization began when “all important populated continents began to exchange products continuously – both with each other directly and indirectly via other continents – and in values sufficient to generate crucial impacts on all trading partners. https://www.google.com/search?q=image+of+global+economy The galleon trade was part of the age of mercantilism. From the 16th century to the 18th century, countries, primarily in Europe, competed with one another to sell more goods as a means to boost their country’s income (called monetary reserves later on). A more open trade system emerged in 1867 when, following the lead of the United Kingdom, the united States and other European nations adopted the gold standard at an international monetary GE – Contemporary World Page 13 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY conference in Paris. Broadly, its goal was to create a common system that would allow for more efficient trade and prevent the isolationism of the mercantilist era. The countries thus established a common basis for currency process and a fixed exchange rate system – all based on the value of gold. Despite facilitating simpler trade, the gold standard was still a very restrictive system, as it compelled countries to back their currencies with fixed gold reserves. During World War I, many were forced to abandon the gold standard. Since European countries had low gold reserves, they adopted floating currencies that were no longer redeemable in gold. After the two world wars, world leaders sought to create a global economic system that would ensure a longer-lasting global peace. They believe that one of the ways to achieve this goal was to set up a network of global financial institutions that would promote economic interdependence and prosperity. The Bretton Woods system was inaugurated in 1944 during the United Nations Monetary and Financial Conference to prevent the catastrophes of the early decades of the century from reoccurring and affecting international ties. The Bretton Wood system was largely influenced by the ideas of British economist John Maynard Keynes who believed that economic crises occur not when a country does not have enough money, but when money is not being spent and, thereby, not moving. When economies slow down, according to Keynes, governments have to reinvigorate markets with infusions of capital. This active role of governments in managing spending served as the anchor for what would be called a system of global Keynesianism. Delegates at Bretton Woods agreed to create two financial institutions. The first was the International Bank for Reconstruction and Development (IBRD) or World Bank) to be responsible for funding postwar reconstruction projects. It was a critical institution at a time when many of the world’s cities had been destroyed by the war. The second institution was the International Monetary Fund (IMF), which was to be the global lender of last resort to prevent individual countries from spiraling into credit crisis. If economic growth in a country slowed down because there was not enough money to stimulate the economy, the IMF would step in. To this day, both institutions remain key players in economic globalization. Shortly, after Bretton Woods, various countries also committed themselves to further global economic integration through the General agreement on Tariffs and Trade (GATT) in 1947. GATT’s main purpose was to reduce tariffs and other hindrances to free trade. Meanwhile, global market integration cannot be achieved without the growth of global corporations. Modern-day global corporations can trace their lineage to the era of colonialism when colonizers exploited colonies as cheap sources of raw materials and, oftentimes, slave labor; or as markets for surplus goods. In the literal sense of the word, there is “free” trade: the colonial powers freely expropriated the finite resources of colonies for their own budding industries. Jan Aart Scholte explains that “transoceanic commerce took tea, cane sugar, spices, tobacco, furs and precious metals across the world. To conduct their trade the English, Dutch, and Danish East India Companies as well as other prototypical ‘global corporations’ maintained networks of head offices and overseas posts” while gold and silver GE – Contemporary World Page 14 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY flowed to the West from the colonies, as banks started lending out money to governments across Europe and to the US. Arthur Cotterell’s account of Southeast Asian history – specifically on Dutch East India company operations in colonial Indonesia and British East India Company’s attempt to occupy then Spanish-held Manila, and its operations in colonial Singapore, Burma, and Malaya – provides more insights on the link between colonialism, trade, and what Scholte calls as “incipient globalization.” These colonial-era corporations that maintained a multinational reach through their trading posts, factories, and plantations in the colonies, are precursors to modern-day global corporations. Their operations validate Wallerstein’s description of a world of core and peripheries. Task 4: Make a graphic organizer narrating global market integration. Role of International Financial Institution in the Creation of a Global Economy The current global economy would have been impossible to establish without the financial power of international institutions such as the WB and the IMF, alongside privately run banks and other financial institutions. The World Bank Group (WBG) empahasizes its two goals: “to end extreme poverty and promote shared prosperity in a sustainable way.: Achieving such goals will help enable developing countries in building their capacity to engage in free trade, industrialization, and other vital development initiatives that make capitalist globalization work. WBG is composed of five entities, namely the International Bank for Reconstruction and Development (IBRD), “a global development cooperative owned by 189 member countries. IMF is known as the twin institution of WB. IMF identifies that its “primary purpose” is “to ensure the stability of the international monetary system – the system of exchanges rates and international payments that enables countries (and their citizens) to transact with each other. The Fund’s mandate was updated in 2012 to include all macroeconomic and financial sector issues that bear on global stability,” while its “originals aims” include the following: “promote international monetary cooperation; facilitate the expansion and balanced growth of international trade; promote exchange stability; assist in the establishment of a multilateral GE – Contemporary World Page 15 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY system of payments; and make resources available (with adequate safeguards) to members experiencing balance of payments difficulties. While it is clear that the WB and the IMF provide important financial services to governments and even the private sector, critics emphasize that these international financial institutions promoting globalization are far from perfect. Alejandro Lichauco sheds light on the “Ideology” of the IMF and the WB which he sees as the perpetrators of the debt trap that has ensnared Third World countries for the past decades. The debt trap refers to the developing countries’ inability to free themselves from debts acquired from First World-dominated multilateral financial institutions and private banks, due to the onerous nature of most loans which structurally bind the debtor countries to economic policies that maintain and expand economic dependency such as privatization, deregulation, premature trade liberalization, and lifting of other protectionist schemes: and hence hamper the capability of Third World governments to pay their debts in the long run and provide social services to their citizens at the same time. International economic integration is a central tenet of globalization. In fact, it is so crucial to the process that many writers and commentators confuse this integration for the entirety of globalization. As a reminder, economics is just one window into the phenomenon of globalization; I is not the entire thing. Nevertheless, much of globalization is anchored on changes in the economy. Global culture, for example, is facilitated by trade. Filipinos would not be as aware of American culture if not for the trade that allows locals to watch American movies, listen to American music, and consume American products. The globalization of politics is likewise largely contingent on trade relations. These days, many events of foreign affairs are conducted to cement trading relations between and among states. Given the stakes involved in economic globalization, it is perennially important to ask how this system can be made more just. Although some elements of global free trade can be scaled back, policies cannot do away with it as a whole. International policymakers, therefore, should strive to think of ways to make trading deals fairer. Governments must also continue to devise ways of cushioning the most damaging effects of economic globalization, while ensuring that its benefits accrue for everyone. Task 5: Come-up a list of of the internation financial institutions and discuss its implication to globalization. Follow the template below and add more rows if necesaary. International Fianncial Instiutions Role of to the Global Economy GE – Contemporary World Page 16 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY The Global Interstate System and Contemporary Global Governance Globalization requires some sort of global, or at least, international governance. The very rules of globalization – specifically trade regulations – are governed by global institutions such as WTO. Its functions clearly outline that, “it is an organization for trade opening. It is a forum for governments to negotiate trade agreements. It is a place for them to settle trade disputes. It operates a system of trade rules. Essentially, the WTO is a place where member governments try to sort out the trade problems they face with each other.” Furthermore, the WTO claims to be capable of doing ten specific things: 1. cut living costs and raise living standards; 2. settle disputes and reduce trade tensions; 3. stimulate economic growth and employment; 4. cut the cost of doing business internationally; 5. encourage good governance; 6. help countries develop; 7. give the weak a strong voice; 8. support the environment and health; 9. contribute to peace and stability; and 10. be effective without hitting the headlines. Despite the positive declarations of WTO, even mainstream economists such as Stiglitz, former WB chief economist, acknowledges that globalization has its “discontents” because “unfortunately, we have no world government, accountable to the people of every country, to oversee the globalization process... Instead, we have a system that might be called global governance without global government, one in which a few institutions – the World Bank, the IMF, the WTO – and a few players – the finance, commerce, and trade ministers, closely linked to certain financial and commercial interests – dominate the scene, but in which many of those affected by their decisions are left almost voiceless.” Indeed, only bureaucrats, diplomats, big businessmen, and economists are admitted into the “board rooms” of these powerhouses. Common folk affected by free trade policies – from farmers to workers and indigenous people to migrants – are relegated to the sidelines, at times allowed protesting against globalization near the centers of power, but most of the times ignored just the same. For example, virtually every major WTO ministerial conference from Seatlee in 1999 to Nairobi in 2015, has faced big protest actions from marginalized groups decrying the ill effects of unbridled free trade to citizens of mostly developing countries. Nevertheless, it must be noted that in recent years, even Americans are starting to complain about free trade. Noah smith exposed what he calls as the “dark side of globalization,” the clearest example is competition from foreign workers, which really has slammed the Americans working class... competition from China lowered wages and increased unemployment for American workers who were in competition with Chinese imports... competition from developing countries – not the decline of unions or the rise of Automation – has been responsible for the bulk of the recent decline in labor’s Share of income in the United States. Chinese imports have lowered prices for Consumers and raised the income of capital owners, but those benefits are either Spread very thinly over a large number of people, or concentrated among the rich. The American workers who have been hurt globalization have been hurt every badly, and America has no system in place to compensate them for that loss. China’s accession to the WTO in 2000, following the 1999 meeting, accelerated its rise aa an export powerhouse. GE – Contemporary World Page 17 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY It is very ironic that even workers in the biggest capitalist country in the world are now negatively affected by globalization’s policies. As the economic roots of globalization cannot be divorced from its cultural and political aspects, the United Nations (UN) and its many specific agencies or intergovernmental bodies – from UN Educational, Scientific and cultural Organization (UNESCO) to UN Conference on Trade and Development its limitations and exclusivity, the UN Security Council (UNSC) composed of permanent (mostly developed countries) and nonpermanent members (elected from the UN General assembly or UNGA) is also an important venue for global governance. The UNSC has the power to impose economic sanctions on any UN member nation that violates UN rules or decisions. Amid the spread of globalization, states remain relevant as even global institutions rely on nation-states to implement their decisions. For example, any major decision of the powerful UNSC can only be effective if it is popular and acceptable to most member nations of the UN. Consensus-building and cooperation are necessary for making global governance through the UN bodies possible. A genuinely global authority will find the world ungovernable and unmanageable as its sheer vastness and variety require management at the regional, national, and local levels. Hence, while globalization strengthens global institutions and the need for global cooperation, it also necessitates the continues existence of nation-states and national authorities. Task 6: Using a semantic web, depict the challenges of global governance in the 21st century. VIII - SELF- EVALUATION: In your own words, supply the statements below. Globalization is the result of Globalization is an immense Alongside the globalization powerful governments….. global opportunity because of the markets there must ….. also be a corresponding globalization of solidarity …… GE – Contemporary World Page 18 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY IX - REVIEW OF CONCEPTS ✓ Market integration is a process of economic transformation within a region, bloc, or group of countries, aimed at pegging one price for the same products, thereby directly or indirectly merging previously separate markets or economic communities into one single market or economic community. ✓ Global Corporation is a company that operates in a number of countries, in contrast with companies that operate only in one few countries. ✓ Lender of last resort is a financial institution that offers loans to countries, banks, or other financial institutions in times of crisis or that are in some sort of financial difficulty and hence, considered highly risky to be served by typical lenders. ✓ Global corporations have vast influence under globalization as their economic power can make or break a country’s economy. Some global corporations even have bigger valuation than the GDP of several developed countries. ✓ The Philippines is among the world’s top gold exporters. Locals have been mining various sites in the country since pre-colonial times. ✓ Despite the World Bank’s impressive development goals, it is still criticized for failing to drastically cut poverty rates in many developing countries. ✓ Progressives have a reason to harp on the slow ideological metamorphosis of IMF. ✓ Real GDP per capita is the average income per person in a particular country in a given year, adjusted for changes brought by inflation. X - POST-TEST: Answer the following questions briefly. 1. Why is globalization said to be a choir of different voices? ___________________________________________________________________ 2. What sectors shape and influence the global economy’s operation? How do they interact with each other ___________________________________________________________________ 3. Why do critics of capitalist globalization argue that regulation, rather than deregulation, is needed? ___________________________________________________________________ XI - REFERENCES 1. Aldama, PK.(2018). The Contemporary World. 1st Ed. 2. Das, K.D. (2011). Conceptual and Globalization: An Imitation. Center for the Study of Globalization and Regionalization University of Warnick: Dept. of Politics and Internalization Studies GE – Contemporary World Page 19 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY 3. San Juan, DM., (2018). Journey through Our Contemporary World. Vibal Publication, Manila, Philippines 4. http://focusweb.org/node/1564 5. https://www.google.com/search?q=image+of+global+economy 6. https://www.google.com/search?q=image+of+world+of+bretton+woods I - Module 3 – A WORLD OF REGIONS II - Topics 3.1 Global Divides: The North and the South, First and Third Worlds 3.2 Latin America and the Philippines under Globalization 3.3 Globalization and Regionalization in Asia III - TIME FRAME: 6 hrs. IV - INTRODUCTION: San Juan (2018) avers that economic globalization – free trade – is essential a zero- sum game, global divides are observable under the current setup where one side wins at the expense of another; a country’s gains (for example, increased exports) is another nation’s loss (such as in the form of increased imports). Indeed, globalization failed to drastically bridge the gap between and within countries. Inequalities within nations are also evident. From 1960s to 2010, the income shares of the poorest and the richest in the Philippines are almost stagnant. V - INTENDED LEARNING OUTCOMES: In this lesson, the students will be able to: 1. Differentiate the Global South from the Third world; 2. Explain how different Asian states confront the challenges of globalization and regionalization; 3. Make a poster highlighting the pros and cons of globalization. VI - PRE – ASSESSMENT: Answer the questions below or supply the statement in your own words. Why there is considered a How is Philippines under What is the effect of first and third world globalization? regionalization of countries countries? in globalization? GE – Contemporary World Page 20 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY VII - LEARNING ACTIVITIES Global Divides: The North and the South, First and Third Worlds The term Global south and Global South are commonly used to refer to the two halves of the current global system. The Global North countries such as the US, Canada, Europe, Japan, Singapore, South Korea, Australia, and New Zealand; while the Global South refers to Africa, Latin America, and developing countries of Asia (including Southwest Asia or Middle East). Hence, economically, the Global North refers to the rich and developed parts of the world, while the global South covers the poor and developing half of it. Most countries of the Global North have a GDP per capita that is above the world’s GDP per capita, while most nations of the Global South have a GDP per capita below the world’s GDP per capita. The recent international crisis puts the definition of these terms into test, as some crisis-hit peripheral countries of Europe (such as Greece) start to resemble a typical country in the Global South, at least economically, due to the negative impact of slower, if not stagnant, economic development coupled with austerity measures. Politically, the Global North is also more powerful as an entity, if its collective strength at the SC will be taken into consideration – as it holds the said council’s three out of the five permanent seats. Culturally, diversity reigns in both the Global North and the Global South, though the rapid spread of technology and the increasing accessibility to mainstream popular media have done much to multiply and strengthen cultural linkages within the context of a multilingual and multicultural world. GE – Contemporary World Page 21 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY The terms Global North and Global South, and First World and third World are used interchangeably in common conversation. Though these two sets of concepts are related, they are actually different. The labels First World and Third World came into popular use during the Cold War between the capitalist camp led by the US, UK, and their allies (mostly Western European countries); and the socialist side led by the Soviet Union (otherwise known as the Union of Soviet Socialist Republics or USSR/ and its allies (mostly Eastern European countries). The capitalist camp was dubbed as the First World, while the socialist side was labeled as the Second World. The other countries of the world comprising much of Asia, Africa, and Latin America were called as the Third World. These countries were mostly former colonies of Western powers, but were nevertheless reluctant to be overtly included in either camp. Whatever labels are used, it is clear that the existence of considerable gaps between the developing countries and the developed countries is undeniable. Authors William R. Thompson and Rafael Reuveny acknowledged that despite the promises of a so-called borderless world under globalization, significant gaps between the Global North and the Global South are still observable, especially on technological diffusion or the spread of technological innovation through research and development, and debts. They opined that “the radical technological diffusion is largely restricted to the North. Each subsequent iteration of radical economic change thereby further contributes to widening the gap between North and south.” In other words, present and future innovations that improve production and promote efficiency do little to change the status quo where the Global south is condemned to economic dependency because the global North still monopolizes such technological advances which give the latter enormous advantages over the former. The vulnerability of the third world countries to recurring crises which constitute these “cyclical roadblocks” to their holistic development can be traced to their integration into the global economic system dominated by technologically advanced and industrialized First World countries that also control multilateral financial institutions and big private banks. These financial institutions, in turn, entice third World governments to acquire high-interest loans, which eventually trap the latter into perpetual debt slavery. Economic liberation and redemption of countries in the Global South is hinged upon their prospects of catching up with the global North through innovation and industrialization – maximizing their resources for their own development. Meanwhile, Third World countries are either unable to afford financing or are hindered from implementing such policy of subsidizing the agricultural sector. They are also discouraged from adopting policies that will lead to industrialization, despite the fact that GE – Contemporary World Page 22 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY most developed countries achieved teir current status partly because of industrialization. Hence, no multilateral financial institution will ever loan money for a Philippine company that intends to produce Philippine-made cars from Philippines steel, something that will compete with existing established brands from industrialized countries. Task 7: Illustrate a map depicting the “Global Divides.” Latin America and the Philippines under Globalization Partly because of their inability to catch up with the Global North’s twin policies of innovation and industrialization, the Philippines and most countries in Latin America and other regions formerly colonized by western powers are still relatively poorer than the countries that colonized them. Hence, these countries are still labeled as Third world nations. Wealth gaps between the poorest and the richest are also observable in these regions. Radical theorists trace such disparities in the long decades, even centuries of economic colonialism – and later neocolonialism. Eduardo Galeano describes Latin America’s “open veins” which the colonizers seemingly bled dry through colonial plunder, replaced only with neocolonial economic relations after the region’s independence from Western conquerors. Renato Constantino and Letizia R. Constantino’s two-volume history books A Past Revisited and The Continuing Past narrate the same story of colonial subjugation and neocolonial subservience in culture, politics, and the economy. The ideas of Galeano and Constantino were part of the Dependency Theory school of thought which originated in Latin America, a continent where nationalist and left-wing leaders and revolutionaries – from Argentina’s Nestor and Christina Kirchner to Bolivia’s Evo Morales, and Venezuelan’s Hugo Chavez to Cuba’s Fidel Castro – strived and still strive to steer a path away from Western-oriented capitalism and toward varying levels of economic nationalism and socialism, or a combination of both. The Soviet Union’s influence in Latin America was weak if not nonexistent, partly because of its geographical remoteness; hence its radicals were able to develop a distinct framework and mindset stridently against the dominant American and European styles of capitalism, while at the same time not fully subscribing to soviet socialism. Theotonio Dos Santos, one of Dependency theory’s eminent scholars, defines dependency as a “situation in which the economy of certain countries is conditioned by the GE – Contemporary World Page 23 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY development and expansion of another economy to which the former is subjected,” categorized as colonial dependency of financial-industrial dependency. He notes that aside from influencing the international affairs of the subordinated country, dependency also covers “their internal structures: the orientation of production, the forms of capital accumulation, the reproduction of the economy, and, simultaneously, their social and political structure.” Such description of developing countries mirrors the Philippine situation: the economy is composed of atoms of industries of semi-manufactured goods and service-oriented businesses (malls, fast-food chains, call centers) that trap it into being one of the world’s repositories of cheap labor, and subject it to other forms of exploitation. Aim explains why such economic disparity perpetuates “asymmetry in international relations.” Factors that worsen developing countries’ dependency on the developed countries include; 1. urban development, together with inadequate increase in agricultural production of foodstuffs, which make necessary increasing imports of basiv food products (wheat, rice, etc.); 2. increase in administrative expenditure, out of proportion with the possibilities of the local economy; 3. change in the structures of income distribution, with ‘Europeanization’ of the way of life and consumer habits of the privileged strata (demonstration effects) and 4. inadequate industrial development and disequilibrium in the industrial structures (excessive predominance of consumer-goods industries), which necessitate imports of production goods and intermediate goods. The combined working of these forces renders the underdeveloped countries depended on external aid, which tends to become permanent. Thus, the Philippines remains poor or underdeveloped because its imports remain high while the government fails to strengthen the domestic market through industrialization, especially when remittances from citizens working overseas provide enough dollars to help keep the national economy afloat. Task 8: In the first column, identify challenges of the Asian states towards globalization and regionalization. In the opposite column, elucidate how they confronted the challenges. Add rows if necessary. Asian state Challenges How they confront challenges GE – Contemporary World Page 24 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY Globalization and Regionalization in Asia Confronting the Challenges of Globalization Despite the seemingly underdog situation of the Philippines under globalization, the country finds it difficult to stray away from this development framework as it is part of Asia – a continent now at the forefront of globalization and regionalization – due to several factors. First, Asia is home to China which, in 2014, surpassed the US as the world’s biggest economy in terms of GDP. Second, Southeast Asia is among the world’s most vibrant economic zones with much potential for further growth because of its young and increasingly more educated workforce coupled with stable population growth. Third, Asia is still rich in essential natural resources (from petroleum and minerals to food crops and lumber). Furthermore, some Asian countries such as Singapore, South Korea, China, and Japan are among the world leaders in innovation, another dynamic driver of globalization. As Kimura notes, “in addition to its sheer size, the Asia Pacific and south Asia has emerged over the past decade as a new political force in the world. Much of this is driven by the robust economic growth in China and India and the strategic implications this brings to regional and global players. Japan also remains a relevant if declining force in the region and the world, and other countries including the Koreas, Indonesia, Vietnam, and Pakistan all has economic and strategic relevance in today’s global system.” Proponents of the push for regionalization have become more emboldened after the 2008 international crisis that badly hit the western economies. Asian economic powers would logically want to expand their countries’ internal markets and their neighbors’ markets, too, as these can protect them from a recurrence of any American- or European-centric crisis. In recent years, many regional trade agreements creating free trade areas such as the ASEAN- China Free Trade Area (ACFTA) (also known as China-ASEAN Free Trade Area or CAFTA) and the ASEAN Economic Community (AEC) were signed. ACFTA is a free trade area that covers the ten member states of the Association of Southeast Asian Nations (ASEAN) and China. Asia is also at the center of China’s 900 billion-dollar Belt and Road Initiative aimed at funding a number of mega-infrastructure schemes across the world, toward building a modern-day version of the ancient Silk Road and new “golden age” of globalization. Launched at a conference where at least 29 heads of state participated, the Belt and Road Initiative is expected to make intercontinental trade between Asia, Africa, and Europe faster and hence, larger in volume and capacity. This project includes six “corridors” that link China and a number of countries. These corridors include the New Eurasian Land Bridge (Western China to Western Russia); China-Mongolia-Russia Corridor (Northern China to Eastern Russia); China-Central Asia- West Asia Corridor, (Western China to Turkey), China-Indochina Peninsula Corridor (Southern China to Singapore); Bangladesh-China-Myanmar Corridor (Southern China to Myanmar); China-Pakistan Corridor (Southwestern China to Pakistan); and Maritime Silk Road (Chinese Coast through Singapore to the Mediterranean). On top of increased volume and pace of intercontinental trade, this scheme will certainly cement China’s status as either the equal of the US, if not its successor, as the world’s largest economy. This century might become the time “when China rues the world.” GE – Contemporary World Page 25 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY Confronting the Challenges of Globalization. Like every economic program, globalization poses challenges to people and countries. Asian countries confront various challenges of globalization in their own ways. Developing Asian countries such as the Philippines strive to achieve sustainable macroeconomic development while lifting most of its people from poverty. Statistics prove that economic growth has mostly benefited the tiny segments of the elite and the middle class. On a macro level, vast disparities are also visible. In the 2013 Forbes world’s Billionaires list shows that, the world’s 1,426 richest individual have an aggregate net worth of USD 5.4 trillion, which is more than the combined GDP of all South Asian countries and developing countries of Sub-Saharan Africa (USD 3.5 trillion in 2011), and nearly reaching the combined GDP of developing countries in Latin America and the Carribean (USD 5.6 trillion in 2011). Piketty and other like-minded economists and politicians such as US Senator Bernie Sanders and UK Labour Party Leader Jeremy Corbyn argue that income inequalities can be addressed by tax increases for the richest individuals and corporations. Tax reform will increase the government’s financial power that it can use to fund social services such as education, health care, and housing. Providing such services to the poor and middle class can drastically improve their lives and their capacity to achieve higher levels of income. To its credit, the current Duterte administration in the Philippines strives to legislate its own tax reform package that will reduce income tax rates for most poor and middle-class citizens. Another challenge that Third World countries face is brain drain brought by labor export policy. The economic boom in a number of first World countries produce jobs that first world citizens cannot or are unwilling to take; hence, the need to import workers from third World countries to make full use of their human and natural resources for their own development. For example, it is ironic that a number of OFW destinations such as the US and UK, have more Filipinos health care personnel than the Philippines. The reliance of developing countries on remittances seemingly discourages governments to strengthen local employment, as receiving remittances is easier than crafting an effective industrial plan. In the Philippine case, the country’s balance payments has been consistently negative (more imports than exports) as its remittances from migrant workers soar. In other words, “the most serious negative effect of labour export policies has been the neglect of domestic production and poor investments in infrastructure, agriculture, mining, export promotion, and social development because of the easy availability of funds from remittances. For the government, the easy money from foreign remittances is a major cause of its inability to pursue sound economic development programs.” Massive environmental destruction in the same of the export-oriented extractive industries such as mining is another problem that developing countries try to resolve under globalization. Faster trade also means bigger demand for commodities, which entails massive extraction of the world’s remaining resources, especially in developing countries that badly need cash from exports. Indigenous people from many parts of the world are at the forefront of the struggle against unbridled globalization through destructive forms of mining in frontier lands such as mountains, plateaus, and forests covered by their ancestral domain. In the Philippines, Bayan Muna Party list filed House Bill 4315 (An Act Re-Orienting the Philippine Mining Industry, ensuring the Highest Industry Development Standards, and for other Purposes) as a way to balance the need for development-oriented mining and the need to preserve the environment for future generations. The said bill, dubbed as the People’s Mining Bill, “seeks to reorient the current policy on the ownership, management and governance of metallic and non-metallic minerals, quarry resources, and gemstones towards a rational manner for national industrialization and local development. It covers onshore and GE – Contemporary World Page 26 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY offshore, large- scale and small- scale mining operations and their conservation, exploration, development, utilization, processing and transportation.” Another pressing concern among developing countries at the expense of poor, non- industrialize or semi-industrialized countries. The economic integration – through the lifting of trade barriers - of heterogeneous economies in the EU produced a system where countries with strong export sectors prospered at the expense of nations with weaker manufacturing sectors. In layman’s term, the economies of stronger industrial countries in the EU – led by Germany – grew primarily at the expense of their weaker counterparts such as Greece. Europe’s present can become the ASEAN’s future. Any economic integration scheme will pit the strongest economy against the weakest ones. In the ASEAN situation – using ASEAN trade aggregates as basis – Singapore and Malaysia are the probable regional hegemons, while the Philippines and Laos frequently registered negative trade balances. These negative trade balances of weak economies can only be reversed if they will be able to innovate and catch up with stronger economies; and that means that they will have to outperform other countries in a race where they started as the laggards. Technologically, the Philippines and Laos are very sluggish in development. For example, internet speed and the general internet infrastructure in the Philippines and Laos are both subpar. Moreover, both countries lag far behind other Southeast Asian countries in the most recent innovation rankings. With regard to higher education, and research and development (R&D), the Philippines and Laos are also way far behind most Southeast Asian countries, while both Singapore and Malaysia are ahead in many aspects such as public expenditure on education, research output, and quality of teacher training. US experience with free trade agreement can also provide lessons for its former colony in Southeast Asia. As his first official act, US President Donald Trump rescinded his country’s membership in the Trans-Pacific Partnership (TPP) described as “the largest regional trade accord ever.” Binding “the United States and 11 other nations in a free-trade zone for about 40 percent of the world’s economy” Trump claims that such “ridiculous trade deals … have taken everybody out of our country [ US ] and taken companies out of our country.” Trump’s tirade is based on the reality that a number of American companies are “either sending Americans jobs overseas, or choosing to employ cheap overseas labor, instead of American workers.” Ironically, the Philippines benefited from that particular American dilemma, as it is now a major destination of many countries’ business processing outsourcing (BPO) operations. In this case, America’s loss is the gain of the Philippines and other countries where American jobs are outsourced. Meanwhile, developed economies such as Japan face possible labor short-ages due to its aging population. It is currently reviewing its labor migration policies to possibly make it easier for certain skilled workers from abroad to apply for permanent residency in Japan. Shared regional concerns such as terrorism, human trafficking, and difficulty of managing multicultural and multilingual societies, ethnic strife, and refugee crisis also abound. With regard to terrorism, the alleged recruitment and operations of the militant group Islamic State in Iraq and Syria (ISIS) in Asia – recently culminating in armed clashes between the Philippine government and self-declared ISIS operatives in Marawi City, Mindanao – is a major concern. GE – Contemporary World Page 27 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY Interstate sharing of intelligence information about terror suspects and cooperation on naval patrols in Southeast Asia are among the current means of addressing terror threats. A more holistic approach to terrorism is resolving its roots by ensuring that the needs of marginalized communities in the terrorists’ list of perspective recruitment grounds are sufficiently fulfilled. If everyone in the society enjoys the fruits of globalization, there will be no place for terrorism to thrive. Such holistic approach is also vital in resolving human trafficking and ethnic strife. With regard to friction in multilingual and multicultural societies, the current approach of many Asian countries – the idea of unity in diversity – seems to be working, if the fact that no major race-/ethnicity dominated conflict has ereupted in the past decade in these countries (e.g., Singapore, Malaysia, and the Philippines) will be taken into consideration. Respect for everyone’s culture and maintaining a set of shared positive values to establish a more responsive and more coherent society are keys to limiting racial tensions in a continent as diverse as Asia. Task 9: Using a short bond paper, make a poster showing the pros and cons of globalization. VIII - SELF- EVALUATION: Answer the question below. In your own opinion, what is the most pressing concern that developing countries should address under globalization? How should it be addressed? GE – Contemporary World Page 28 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY IX - REVIEW OF CONCEPTS ✓ First World countries are industrialized and developed. ✓ Third World countries are mostly developing, non-industrialized or semi- industrialized. ✓ Neocolonialism is a form of indirect colonialism in which a neocolony is dominated economically, culturally, or politically by more powerful country. ✓ Austerity is the policy of cutting budget for social services, so as to reduce a country’s budget deficit. ✓ Regionalization is a process of closer economic integration of countries within a region. ✓ Variations in the application of the term “First world” are partly brought by differences in definitions of poverty, wealth, and development. ✓ The description of the Philippines’ as a “repository of cheap labor” continues to find resonance among working class communities in the country because of schemes such as the 2 –Tier Wage system that allows corporations to pay workers with rates lower than the mandated minimum wage. ✓ IMF economists Vitor Gaspar and Mercedes Garcia-Escribano published “Inequality: Fiscal Policy Can Make The Difference” in October 2017. The said article discusses that economic growth will not be harmed by tax increase on the wealthiest segments of society. X - POST TEST: Answer the following questions briefly. 1. What does the contrast between the slums of Metro Manila and the capital’s posh villages signify? ___________________________________________________________________ 2. How can the Global South catch up with the Global North? ___________________________________________________________________ 3. Do globalization and regionalization converge? How and when do they converge? ___________________________________________________________________________ XI - REFERENCES 1. Aldama, PK.(2018). The Contemporary World. 1st Ed. 2. San Juan, DM., (2018). Journey through Our Contemporary World. Vibal Publication, Manila, Philippines 3. hhtps://www.worldscientific.com/worldscibooks/10.1142/7417 GE – Contemporary World Page 29 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY 4. https://www.google.com/search?q=image+of+global+divides 5. https://www.google.com/search?q=image+of+global+regionalization I - Module 4 – A WORLD OF IDEAS II - Topics 4.1 Global Media and Global Integration 4.2 Dynamics of Local and Global Cultural Production 4.3 Cultural Diversity and Homogenization through Globalization & the Globalization of Religion III - TIME FRAME: 6 hrs. IV - INTRODUCTION: Another insight of San Juan (2018) contemporary developments in technology and transportation seem to have bridged many worlds together into one earth. The internet has facilitated the growth and tendency toward cultural homogenization of what Marshall McLuhan described as a “global village,” where increasing interconnections and strengthening linkages lead to the formation of communities that have shared experiences, despite geographical distance and lack of physical interaction. Partnerships between telecommunications firms here and abroad have also allowed migrant workers and their families to have cheap access to texts, calls, and video chats on a more regular basis. Innovations in technology and transportation globalized almost everything from languages to cultures, from films to religion, from food to politics. V - INTENDED LEARNING OUTCOMES: In this lesson, the students will be able to: 1. Analyze how various media drive various forms of global integration; 2. Evaluate the impact of globalization on languages, cultures, and national identities; 3. Write a poem/prayer centred on peace. VI - PRE – ASSESSMENT: Provide what are being asked. Media foster the conditions for global capitalism because….. GE – Contemporary World Page 30 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY VII - LEARNING ACTIVITIES Global Media and Global Integration Media drive various forms of global integration through promoting capitalist globalization, bringing countries closer to Western ways of life, and promoting cultural exchanges through mediated cultural experiences. Jack Lule describes media as “means of conveying something, such as a channel of communication.” Technically speaking, a person’s voice is a medium. However, when commentators refer to “media”, they mean the technologies of mass communication. Print media include books, magazines, and newspapers, Broadcast media involve radio, film, and television. Finally, digital media cover the internet and mobile mass communication. Within the category of internet media, there are the e-mail, internet sites, social media, and internet- based video and audio. While it is relatively easy to define the term “media,” it is more difficult to determine what media do and how they affect societies. Media theorist Marshall McLuhan once declared that “the medium is the message.” He did not mean that ideas (“messages”) are useless and do not affect people. Rather, his statement was an attempt to draw attention to how media, as a form of technology, reshape societies. Thus, television is not a simple bearer of messages; it also shapes the social behavior of users and reorients family behavior. Since it was introduced in the 1960s, television has steered people from the dining table where they eat and tell stories to each other, to the living room where they silently munch on their food while watching primetime shows. Television has also drawn people away from other meaningful activities such as playing games or reading books. Today, the smart phone allows users to keep in touch instantly with multiple people at the same time. Consider the effect of the internet on relationships. Prior to the cellphone, there was no way for couples to keep constantly in touch, or to be updated on what the other does all the time. The technology (medium), and not the message, makes for the social change possible. McLuhan added that different media simultaneously extend and amputate human senses. New media may expand the reach of communication, but they also dull the user’s GE – Contemporary World Page 31 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY communicative capacities. Think about the medium of writing. Before people wrote things down on parchment, exchanging stories was mainly done orally. To be able to pass stories verbally from one person to another, storytellers had to have retentive memories. However, papyrus started becoming more common in Egypt after the fourth century BCE, which is increasingly meant that more people could write down their stories. As a result, storytellers no longer had to rely completely on their memories. This development, according to some philosophers at the time, dulled the people’s capacity to remember. Something similar can be said about cellphones. On the one hand, they expand people’s senses because they provide the capability to talk to more people instantaneously and simultaneously. On the other hand, they also limit the senses because they make users easily distractible and more prone to multitasking. This is not necessarily a bad thing; it is merely change with a trade-off. The question of what new media enhance and what they amputate was not a moral or ethical one, according to McLuhan. New media are neither inherently good nor bad. The famous writer was merely drawing attention to the historically and technologically specific attributes of various media. Western companies with a global clout – have facilitated the flowering of creative expression, media production, and information dissemination. Everything is now on everyone’s fingertips. Nevertheless, the internet also empowered some non-Western cultural production to successfully penetrate the world markets too. English music still dominates the airwaves but some non-English songs such as “Despacito” and “Gangnam Style” break the barriers, albeit while conforming to Western styles and aesthetics. All these factors lead to a homogenized version of globalization, a version that favors and seemingly promotes the mainstream American-European way of life. They all form the basis for the creation and expansion of the global village which McLuhan only imagined in the 1960s. All media forms that Lule described – oral, script, print, electronic, and digital enabled people of the world. But there are challenges to Western dominance in the global media. Outlets such as the Qatar-based Al Jazeera, Venezuela-based Tele SUR, and China Central Television (CCTV) have been providing alternative international coverage to mainstream Western media channels.al Jazeera became known for its non-mainstream coverage of Iraq war, frequently airing interviews with Iraqi insurgents and even Al Qaeda operatives. TeleSUR positions itself as a progressive voice of the Third World. While most of the above-mentioned observations apply to a huge segment of today’s world, it must nevertheless be noted that the current digital divide in many Third World countries clearly means that a number of citizens are still insulated from or at least not very much influenced by the global media. Manifestations of the digital divide include the lack of high-speed internet access in many Third World countries like the Philippines, the high cost of digital gadgets that hinder the poorest citizens from purchasing such, the lack of electric power in a number of isolated regions, and the existence of extreme poverty that prevents people from having any money left for anything beyond the most basic necessities. Lumad or indigenous communities in Mindanao are among the most marginalized groups in the Philippines that are on the losing side of the digital divide, as most of their communities lack access to even the most basic services 9modern gadgets and the internet are hence luxuries, in this context). Meanwhile in Norway, officially the world’s best place to live in (as it has a nearly perfect score in the UN Human Development Index), 85 percent of households have access to high-speed broadband. However, even some communities in developed countries like the US lack access to typical First World technological amenities, as “a quarter of the nation is without broadband.” Most of these American members of the unfortunate side of the digital divide are from isolated rural countries and even in low-income urban centers. GE – Contemporary World Page 32 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY Task 10: Write a 300-word analysis paper how global media challenge the mainstream ideas on consumerist capitalism? Dynamics of Local and Global Cultural production Globalization has also allowed local and global cultural production to intersect. Local and global entities engaged in cultural production are both partners and rivals under globalization. Collaboration is necessitated by their desire to expand their reach while being sensitive to local sensibilities; on the other hand, competition is assured by the continuing relevance of cultural differences amid accelerated globalization. Subsidiaries of Western media in the Third World partly echo their mother channel’s dominance, albeit using local content. Local newspapers also use articles from foreign news dispatch agencies such as the Paris-based Agence France-Press (AFP) and London-based Reuters, and at times rewrite foreign reports to suit local tastes. Local newspapers also republish timely guest articles from foreign writers and/or newspapers. Covers and parodies of pop songs abound in the Third World, both complementing the Western originals and at the same time competing with them for popularity. For example, popular Filipino singers have covered foreign hit songs, to the glee of foreign audience who praise their English diction and excellent singing voice, while Filipino netizens have produced countless parodies and serious versions of famous songs such as “Despacito,” Voltes V theme song, and “How Far I’ll Go.” Philippine National Artist for Literature Bienvenido Lumbera has translated Simon and Garfunkel’s “Bridge Over Troubles Water,” while exiled Philippine Communist Party leader Jose Maria Sison has produced a Filipino version of the Cuban song “Guantanamera.” Some Filipino language aficionados have seemingly returned the favor by producing brilliant English versions of songs such as Rivermaya’s “Liwanag sa Dilim” ang Yeng Constantino’s “Hawak Kamay.” At the same time, East-West film collaboration, like those that produced films such as Zhang Yimou’s Great Wall are now very common. Local versions of foreign hits are very common in formerly colonial countries like the Philippines and India. Superhero films such as GE – Contemporary World Page 33 LEARNING MODULE SURIGAO DEL NORTE STATE UNIVERSITY Captain Barbel, Gagamboy, and Darna may have taken in

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