Social Studies 10-1 Unit 3 Presentation PDF

Social Studies 10-1 Unit 3: Economic Globalization To what extent does globalization contribute to sustainable prosperity for all people?  15 min SA 19: Understanding Co...

Social Studies 10-1 Unit 3: Economic Globalization To what extent does globalization contribute to sustainable prosperity for all people?  15 min SA 19: Understanding Contemporary Economic Globalization Mars, Nestlé and Hershey to face child slavery lawsuit in US Chocolate Part 1 Page 2 of Student Activity Guide Guiding question: What is Economic Globalization? Curricular terms introduced: transnational corporations What is Economic Globalization? Movement of goods and services around the world Oil- sold and bought on international markets What is Economic Globalization? Manufacturing- goods produced in other countries available in Canada  15 min Chocolate Part 2 Aspects of Economic Globalization A good force or bad? William Tabb- global interdependence does not benefit everyone equal and has created problems for many Joseph Stigliz- world more interdependent than ever; this is good because it promotes peaceful resolution to problems Naomi Klein- global interdependence is creating fences between people  15 min Chocolate Part 3 Multinational Corporations Companies that operate in more than two countries; often larger (and more powerful) than national governments Rank Country Population GDP (2016) (million) ($ Bn) 63 Finland 5.518 231.4 64 Uzbekistan 29.7 205.7 65 Angola 29.3 187.3 66 Oman 3.4 184.8 67 Ecuador 16.2 183.6 68 Ethiopia 105.3 177.5 69 New Zealand 4.5 177.0 Instability in the marketplace?- Problems in one country may affect others because of the independence of manufactured goods Q 1,2  14 min Chocolate Part 4  6 min Grocery Wars 9 min Summary: What is Economic Globalization? SA 20: Foundations of Contemporary Globalization Page 4 of Student Activity Guide Guiding Question: What events in the 20th century shaped globalization? Curricular terms introduced: the Bretton Woods Agreement  th How did 20 Century World Events Shape Contemporary Globalization? 1914- European Empires at their height Overriding concern was to expand and protect empires- more trade and wealth  th How did 20 Century World Events Shape Contemporary Globalization? Causes of World War One (1914 to 1918) Pitted major empires against each other Triple Alliance- Germany, Austria-Hungary, Italy Triple Entente- Britain, France, Russia  th How did 20 Century World Events Shape Contemporary Globalization? Causes of World War One (1914 to 1918) War to end all wars- cost of failure to high in money, death casualties Total War- all nations pitted all their resources to win  th How did 20 Century World Events Shape Contemporary Globalization? The Horrors of War 15 million soldiers killed among all sides Quick victory expected by all powers- turned into a long drawn-out conflict (war of attrition) Canadian Soldiers “over the top”  7 min Oversimplified: WWI (Part 1)  th How did 20 Century World Events Shape Contemporary Globalization? Economic Costs of War Large portions of Europe (particularly northern France, Western Russia) destroyed Allied European (Britain, France and Russia) nations forced to borrow money; largely from the US  th How did 20 Century World Events Shape Contemporary Globalization? Economic Costs of War International trade brought to a standstill; manufacturing in Europe dropped drastically  8 min Oversimplified WWI (Part 2) The Peace- The Treaty of Versailles, 1919 The peace treaty was supposed to correct all world problems Woodrow Wilson (US President)- Fourteen Points for Peace Self-determination- all ethnic groups should determine their own fate The Peace- The Treaty of Versailles, 1919 Countries under imperial control demanded separation- Canada had her own representatives at the peace signing Reparations- money paid by the defeated powers, such as Germany, to the victors The Peace- The Treaty of Versailles, 1919 Germany particularly punished- lost territory in Europe, areas occupied by the allies, lost empire Italy- had switched sides; didn’t get what they felt they deserved Austria-Hungary- completely fell apart Effect of the war on Canada Casualties- 66,000 died; many times more wounded Very expensive- “temporary” taxation methods introduced to fund the war (income tax) Women demand better representation- had worked in the factories because men were needed to fight The Russian Revolution In 1914, the Russian Empire ruled 150 million people of 100 different ethnic backgrounds Economy was the most backward of Europe; could not handle the strains of total war The Russian Revolution Huge number of war dead- 4 million Czar Nicholas II- overthrown by communists; civil war lasted until 1922- communists secure power The Union of Soviet Socialist Republics (USSR) Communism- economic and political model which removed the capitalist class (bourgeoisies) Opposed by the capitalist systems in Western Europe and North America Communist Party- ruled Russia (one-party state) Joseph Stalin- secured rule in 1929- ruled as an absolute dictator Attempted to modernize USSR Five-Year Plans- create an industrial powerhouse Collectivization- create large state-owned farms which were worked communally Joseph Stalin- secured rule in 1929- ruled as an absolute dictator Industrialization- hundreds of thousands forced from their farms to work in new factory in the cities Process expensive, Stalin needed capital to build factories and infrastructure The Great Depression (1929 to 1939) 1920’s in the West was a period of rapid economic growth- known as the “Roaring Twenties” Explosion of the stock market/ market crash New York Stock Market goes down (Tuesday, October 29th) Caused a panic; people try to sell stock, driving prices down Led to a market crash Started a chain reaction across the world Explosion of the stock market/ market crash Government Response Governments across the world implemented tariffs (tax) in an attempt to encourage national industry International trade dries up, causing further problems The Depression in Canada Unemployment rises to 26.6% Exports fall by 50% Prairies- grain prices fell; suffered a severe drought World War II (1939 to 1945) Depression in Europe allowed extremist leaders to come to power Benito Mussolini- Italy Adolf Hitler- German Felt wronged by the peace treaties signed in 1919 Hitler Convinced the disillusioned people of Germany they were to control the world as the “master race” Began expanding Germany’s borders in the West (Rhineland, Austria, Czechoslovakia) Britain and France followed a policy of appeasement which meant giving Hitler what he wanted to avoid war September 1, 1939 Germany invades Poland Britain declares wars Canada declares war on September 10th  9 min Oversimplified: WWI (Part 1) World War More than 50 countries involved Estimated dead- 60 million (civilians and military) Canada and WWII 45,000 Canadians died, 54,000 wounded More balanced war- Canada built up army, air force and navy and developed new industries (automotive, aero, ship building) Ended the Depression- government spending skyrocketed and women again took over factory work  9 min Oversimplified: WWI (Part 2) Bretton Woods Agreement 44 Allied countries meet in Bretton Woods, New Hampshire, USA in 1944 Purpose was to discuss a post war economic agreement Bretton Woods Agreement Established a system of rules, institutions and procedures for the postwar global economy Effectively established a new international monetary system to promote international trade and regulate currency (money) among Western countries Bretton Woods Agreement led to the creation many International Organizations The World Bank The International Monetary Fund (IMF) General Agreement on Tariffs and Trade (GATT) (later became the World Trade Organization or WTO) Keynes vs. Hayek John Maynard Keynes Promoted government intervention in the economy in order to prevent future economic crisis Suggested government had a role in the economic well-being of a country Keynes vs. Hayek Friedrich Hayek Disagreed with Keynes and viewed government intervention as too similar to the controlled economies of the USSR Promoted the idea that government should not be involved in the economies of countries  9 min How America became a superpower Summary: What events in the 20th century shaped globalization?  5 min SA 21: Expansion of Globalization Since the Second World War 200 Countries, 200 years, 4 minutes Page 9 of Student Activity Guide Guiding Question: What organizations influence globalization? Curricular terms introduced: The World Bank The International Monetary Fund (IMF) the General Agreement on Tariffs and Trade (GATT) the World Trade Organization (WTO) the North American Free Trade Agreement (NAFTA) E-Commerce Following WWII, many countries wanted to secure the global economy Support people who wanted to choose their own government Encourage international trade Protect small countries from larger ones Make sure the world’s oceans are free This created the United Nations (UN) Following WWII, many countries wanted to secure the global economy The World Bank and the International Monetary Fund (IMF) Mapped out in 1944 at the financial Conference at Bretton Woods, New Hampshire Hoped to create rules which would support international trade; provided loans to countries in financial difficulty The World Bank and the International Monetary Fund (IMF) Supporters argue they have brought peace and prosperity Critics argue they have too much control and influence; to get loans, countries must meet certain political and economic conditions General Agreement on Tariffs and Trade (GATT) Signed in 1947- established rules governing trade, especially by removing tariffs and other barriers to trade Led in 1995 to the World Trade Organization (WTO) which almost all countries in the world currently belong Group of 8 (G8) An informal group of eight major industrialized countries Canada, France, Germany, Italy, Japan, Russia, United Kingdom, United States Group of 8 (G8) Is not an institution like the World Trade Organization or United Nations but does play an important role in global government because it is able to influence official global institutions Group of 8 (G8) Collectively, the G8 have nearly 50 percent of the vote in the World Bank and the International Monetary Fund The North American Free Trade Agreement (NAFTA) Started as a free trade agreement between Canada and the United States that was later expanded to include Mexico. This came into force on January 1st, 1994 Most economists would suggest NAFTA has been beneficial to all countries involved but critics suggest it is harmful and surrenders too much sovereignty NAFTA was replaced in 2020  10 min Winners and Losers Transnational Corporation Operates in two (or more often called a multinational) countries Large increase of Trans or Multinational companies because of the liberalization (the removal or reduction) of trade rules Increase profits by centralizing production and selling to a variety of different markets Over half from five countries: The US, Japan, France, Britain, and Germany The Influence of Transnational Corporations Dominate several key industries, such as energy and mineral extraction Important in banking, technology, manufacturing, and food production Transnationals have the ability move their operations to different countries National governments often compete to attract them (‘race to the bottom’) Will grant incentives (tax breaks, construct infrastructure, adjust policies/ laws, etc) Often competition will occur in different regions of the same country Transnationals can become very powerful and able to influence national governments to a great extent Transnationals and Poverty It is possible to reduce poverty by providing investment into countries Often provided directly to a national government through aid and loans Transnationals often a good way to increase investment in a country Provide capital, technology and experience to a country that does not have these resources 85% of world’s investment into developing countries now comes from transnationals Transnationals and Poverty Has been successful in many parts of the world South Korea, Malaysia, Singapore, Taiwan India China Transnational Corporations and Poverty Many smaller countries have problems attracting investment from the transnationals Have to give up too much to compete Anti-Globalization Movement A social movement that is critical of economic globalization Referred to as the global justice movement Anti-Globalization protests in Warsaw, 2004 Anti-Globalization Movement Supporters feel multinational corporations have too much influence and are negatively affecting wages, the environment, work conditions and national sovereignty Anti-Globalization protests in Warsaw, 2004 Talisman Energy- A Canadian Transnational Energy producer- Oil and natural gas Actively explores the world for energy reserves Focuses in Western Canada and the North Sea Talisman Energy- A Canadian Transnational Criticized for supporting the Sudanese government because it wanted to develop oil reserves in the Sudan The Sudanese government is accused of genocidal acts against ethnic minorities Talisman Energy- A Canadian Transnational Criticized for supporting the Sudanese government because it wanted to develop oil reserves in the Sudan Pressure from Non- Governmental Organizations forced Talisman to sell its Sudanese operation Talisman Energy- A Canadian Transnational Criticized for supporting the Sudanese government because it wanted to develop oil reserves in the Sudan Talisman was acquired by Repsol (a Spanish global energy company) in 2015 How do Communication Technologies Contribute to Expanding Globalization? Globalization only possible because of the ability to communicate across the planet quickly Places where access to communication have a difficult time participating in globalization How do Communication Technologies Contribute to Expanding Globalization? E-Commerce Electronic Commerce- allows consumers to purchase goods without being limited to going to a store Dramatically increase form of trade How do Communication Technologies Contribute to Expanding Globalization? E-Commerce Limited to those who have access to the technology (i.e. in developed nations) Developing countries lack the infrastructure to participate Sometimes the access is available, but national governments wish to limit access to information services on the internet (i.e. China) Summary: What organizations influence globalization? SA 22: Political and Economic Challenges and Opportunities of Globalization Page 14 of Student Activity Guide Guiding Question: What are the challenges and opportunities of globalization? Curricular terms introduced: economic growth sustainable prosperity privatization knowledge economy trade liberalization outsourcing What Political and Economic Challenges and Opportunities are Associated with Globalization? The increasing globalized world and the speed of communication means concerns in other countries are affecting us more and more (and quicker) Increasingly, governments are taking a “hands off” approach to economic management “Capitalism” Economic Growth and Sustainable Prosperity Economic competition is increasing with in the globalized world Economic growth is increasing a country’s Gross Domestic Product (GDP) increase year-to-year Economic Growth and Sustainable Prosperity Gross Domestic Product (GDP) - the total value of goods produced and services provided in a country during one year Privatization Governments may decide to increase economic growth through privatization Privatization is when a publicly run business is sold to the private sector Increasing trend; government often viewed as a poor business operator Examples: in 1993 the Alberta government privatized liquor stores Air Canada was privatized in 1988 by the federal government Petro-Canada was privatized in 1990 by the federal government Vs Privatization Often increases the services provided Criticized as more expensive because a profit must be generated Monopolization often an issue- should important industries be controlled by large multinational corporations? Knowledge Economy One way to encourage economic growth is through investment in the knowledge economy Includes businesses who do research, education, develop ideas and collect information Knowledge Economy Tend to be environmentally friendly Occur in the developed world; requires an advance education base Globalization allowing new ideas to spread faster than ever before Knowledge Economy New technologies like robotics or artificial intelligence are relatively new technology that decrease costs and removes human involvement from dangerous or repetitive tasks  2 min The Terminator (1984) Computers 1984 compared to today  Computers 1984 compared to today 1984 Compaq Deskpro 286 iPhone Xs Processor- 16- bit/ 7.14 MHz clock speed Processor- 64 bit/ 2.49 GHz clock speed (350x) Memory- 128 K bytes of RAM (expandable to 640) Memory- 4 GB (6,250x) Storage- 20 to 70 MB Storage- 64 to 512 GB (114x) Monitor- RGB colour 12” display Monitor- 6.5” HD display $5,400 (1984) $13,141 in 2018 $1,519 (2018)  3 min Terminator Genisys (2014) Trade Liberalization Another way to encourage economic growth is through trade liberalization Trade liberalization or free trade is trade between countries with relatively few restrictions Barriers to free trade include- tariffs (taxes), quotas, regulations, standards The North American Free Trade Agreement (NAFTA) is an example of trade liberalization Trade before the 1970’s Raw materials moved from developing nations to developed Finished products move to developing nations and between developed nations Trade after the 1970’s Increased movement of goods between developed nations Increased movement of finished products from developing nations to developed Particularly important is the increased exportation of goods from China (India as well) Foreign Investment Positives of Foreign Investment Foreign investors infuse capital for development that may not otherwise have been available Provides jobs Increases tax base Foreign Investment Negatives of Foreign Investment Foreign control over important industries Profits do not remain in country Outsourcing Refers to the movement of factories and production out of countries with high labour costs (generally developed nations) to countries with lower labour costs (generally developing countries) 1-800 India  30 min 1-800 India (Part 1)  30 min 1-800 India (Part 2) Sweatshops Associated with large transnational companies (TNC’s) that employee low skilled workers who are paid below average wages Sweatshop workers receive few or no benefits and are sometimes physically or sexually harassed on the job Workers are frequently women or children who have few alternatives Often the good produced by sweatshops are sold to developed nations  21 min Nike Sweatshops: Behind the Swoosh  3 min The Clothes on Our Backs Summary: What are the challenges and opportunities of globalization? SA 23: Relationship Among People, the Land and Globalization Page 18 of Student Activity Guide Guiding question: Is globalization sustainable? Curricular terms introduced: sustainability resource development stewardship spirituality What does Sustainability mean? Sustainability- can be maintained into the future Human impact on the environment What does Sustainability mean? Ecological Footprint- represents the area of the planet (i.e. the resources) required to sustain a group of people 30% of the world’s population consumes 90% of the world’s resources Canada’s Ecological Footprint Available space per person (average for the planet)- 1.89 hectares The average Canadian’s footprint- 7.25 hectares The average Bangladeshis footprint- 0.6 hectares Resource Development- Canadian’s Use of Resources 55%- Energy Land (4.00 ha)- forest resources required to absorb excess carbon dioxide generated by Canadians 19%- Crop Land (1.39 ha)- land used to grow food 16%- Forest Land (1.14 ha)- trees required to generate disposable products used by Canadians 5%- Built-up Area (0.37 ha)- land required to build homes and businesses 3%- Pasture Land (0.21 ha)- grazing land used to produce animal based foods 2% (0.14 ha)- Sea Space- area used to create seafood and fish products The Resource Gap World resources= 1.89 hectares/ person On average 2.8 hectares/ person is used Many people have to do without adequate resources; called the Resource Gap The Resource Gap We are using resources that need to be set aside for the future (debt); the difficulty is how to repay debt Stewardship- accepting responsibility for the proper use of resources to ensure a future supply Population Growth World population in 1950- 2.3 billion World population in 2017- 7.6 billion By 2025 the estimated world population will be 9 billion Growth will be most dramatic in developing nations; these countries have the least ability to access resources  5 min World Food Program Spirituality Can profoundly affect people’s values, morals and ways of life People’s relationship to nature is often reflected through spirituality Spirituality One’s outlook on resource development and economic growth can be shaped by spirituality Summary: Is globalization sustainable? SA 24: The Impact of Actions and Policies Associated with Globalization on the Environment Page 21 of Student Activity Guide Guiding question: What is the environmental impact of globalization? Curricular terms introduced: The Paris Agreement, 2015 Land and Resource Use Environmental Legislation How are Globalization and Sustainability Related? Goods and materials are constantly being moved around the world Is this movement allowing equal access to resources? Where Ships Are Built Massive increase in the need for ocean going cargo ships 1970’s ship building dominated by Europe and the US Philly Shipyard , Pennsylvania Where Ships Are Built Ship building is very labour intensive Because labour costs lower in Asia; ship building has shifted to there Shipbuilding Heavy Industry Co., Tianjin, Xingang Environmental Concerns in Shipbuilding Consume 3% of the world’s fossil fuels Release 15% of nitrogen and sulfur dioxide Ballast- used to keep ships afloat and level For ballast, seawater is used; will take in sea animals and becomes toxic in the ships ballast tanks, mixes with other chemicals and metals Ballast often transports unwanted animals into new environments (Zebra Mussels in the Great Lakes) Flags of Convenience Merchant ships are often registered in countries other than where the company is based Canadian Steamship Lines (former Prime Minister Paul Martin’s company)- Most of the ships are registered in other countries, not Canada Flags of Convenience Much lower costs- many countries attract shipping because they have lower labour regulations, taxes and registration fees FOC- Flags of Convenience DWT- Dryweight Tonnage Disposing of Old Ships Old ships need to be disposed of Contain valuable metals that can be recycled Disposing of Old Ships Ship Breaking- the process of breaking apart an old ship for its useful materials Disposing of Old Ships Most often done in developing countries (lower labour costs; fewer environmental regulations)  5 min Where Ships go to Die Disposing of Old Ships Disposing of old ships is dangerous Contain toxic metals and other materials Environment- material released (ballast) People- workers exposed; many deaths occur from being exposed to toxic material Need for greater responsibility for the disposal of ships Have efforts to Promote Sustainability Been Successful? Paris Agreement, 2015 An agreement within the United Nations Framework Convention on Climate Change (UNFCCC) The agreement attempts to limit global warming to 2⁰C above pre industrial levels Have efforts to Promote Sustainability Been Successful? Paris Agreement, 2015 195 countries have signed the agreement; 168 have ratified (approved) it Each country plans and reports its own contribution to slow and then stop global warming Have efforts to Promote Sustainability Been Successful? Paris Agreement, 2015 In June 2017, President Donald Trump announced the United States would withdraw from the agreement Have efforts to Promote Sustainability Been Successful? Alberta Tar Sands Contain massive energy reserves- 150 to 500 billion barrels of oil Massive energy requirements need to extract oil (electricity, natural gas, oil) Suncor Mine near Fort McMurray Have efforts to Promote Sustainability Been Successful? Alberta Tar Sands Greenhouse gases released Environmental damage to area being mined Suncor Mine near Fort McMurray  6 min Tar Sands/ Oil Sands Have efforts to Promote Sustainability Been Successful? Alternate Energy Sources Development of energy sources which are less damaging (solar, wind, tidal, geothermal power) Very expensive; few incentives to develop (i.e. tax breaks); reliability often an issue Have efforts to Promote Sustainability Been Successful? The Alberta Carbon Tax Provides a financial incentive for families, business and communities to lower emissions A carbon ‘levy’ is charged on all fuels that emit greenhouse gas emissions ($30/ tonne in 2018) Have efforts to Promote Sustainability Been Successful? The Alberta Carbon Tax Rebates are provided for individuals who earn less that $47,500/ year or families that earn below $95,000/ year Revenue from the carbon levy (which the government expects to raise to $5.4 billion) are invested in renewable energy and green initiatives Have efforts to Promote Sustainability Been Successful? Individual Initiatives Often success is reached by individual action (i.e. putting solar panels in homes) Consumer decisions will decide the future If demand increases for energy friendly devices, industry will respond Summary: What is the environmental impact of globalization? SA 25: Perspectives on Sustainability and Prosperity in a Globalized World Page 25 of Student Workbook Guiding question: How can sustainable prosperity be achieved? Curricular terms introduced: sustainable prosperity What is Sustainable Prosperity? Future- stewardship of the land and resources to allow future generations an equivalent lifestyle as our own Trade- allow equal access to resources by liberalizing trade (making it easier) and allowing developing nations to develop economically United Nations- uses the term Sustainable Development to incorporate both ideas Sustainable Development- development that meets the needs of the present but also takes into consideration the needs of future generations Sustainable Prosperity and Global Interdependence Can cause difficulties when economic development clash with political or social issues For instance, movement of manufacturing will increase standards of living in other countries, but may reduce standards of living in others Measures of Prosperity- money versus happiness Gross Domestic Product (GDP) describes the value of all the goods and services produced in a country used to measure the size and health of a countries economy income and standard of living tied to GDP; the higher the GDP, the higher the standard of living (some exceptions) includes all people in a country, even those not directly generating resources (such as children) The Human Development Index (HDI) Uses various factors to determine the quality of life of the population of a country Includes average life span, access to education, access to healthcare, access to clean water, government corruption, average income, access to safe food  3 min Canada’s Quality of Life Other Measures Gross National Happiness (GNH) index developed in Bhutan by King Wangchuk based on Buddhist spiritual values Genuine Progress Index (GPI) measures sustainability, well-being and quality of life concerns like the environment are given more importance What Choices are Associated with Sustainable Prosperity? Prosperity tied to choice; how do individuals, communities and nations decide what is the best path to take? Millennium Development Goals Get rid of extreme hunger and poverty (population who exists on 1.25 dollar a day) Raise standard of living for the poorest people in the world Climate Change and Sustainable Prosperity Climate change linked to the dramatic increases in the use of fossil fuels Increasing concern as developing nations industrialization (I.e. China and India) Increase could be as much as 10ºC to 15ºC in the next 20 years The people most affected will be those in developing nations Such claims often challenged Changing Government Policies Summary: How can sustainable prosperity be achieved?