Soc Sci Reviewer (Quiz 1).pdf

Soc Sci Reviewer (Quiz 1) Jhay-Ahr Sean Galleto's Report Terms to remember - Neoliberalism - an economic and political ideology that emphasizes the reduction of government intervention in the economy - Tariffs - taxes placed on importe...

Soc Sci Reviewer (Quiz 1) Jhay-Ahr Sean Galleto's Report Terms to remember - Neoliberalism - an economic and political ideology that emphasizes the reduction of government intervention in the economy - Tariffs - taxes placed on imported and exported goods - Transnational - refers to activities, organizations, and processes that extend beyond national borders - Multilateral - refers to activities, agreements, or relationship involving three or more parties or countries - Trans-planetary - the establishment of social links between people located at different places of our planet - Supra-territoriality - social connections that transcend territorial geography - Democracy - a system of government where the people, either directly or through elected representatives, hold the supreme power Globalization - The intensification of worldwide social relations which link distant localities in such a way that local happenings are shaped by events occurring many miles away and vice versa (Giddens) - Refers both to the compression of the world and the intensification of consciousness of the world as a whole (Robertson) - A process of interaction and integration among the people, companies, and governments of different nations, process driven by international trade and investment and aided by information technology (Sunny Levin Institute) - End of the nation-state Economic viewpoint of Globalization Dominated by economic activities like: - neoliberal regime (a government that follows neoliberalism) - reduction of tariffs - creation of transnational corporations - improvement of multilateral trade organizations Existence of competing definitions of Globalization - Historians are more interested in determining whether globalization is really a modern phenomenon - Economists look into the changing patterns of international trade and commerce as well as the unequal distribution of wealth - Political Scientists focuses on the impacts of the forces of globalization (ex. international NGO's) on the state Signs of Globality - Thickening of social linkages between people from different parts of the world - Innovations in transportation and communication technologies, and creation of institutions of commerce 1. Globalization as a Process - Viewed as a multidimensional set of social processes that generate and increase "worldwide social interdependencies and exchanges" - Globalization is about the compression of time and space brought about the changes in technology and the political, cultural, and economic aspects of human existence 2. Globalization as a Condition - Also referred to as, Globality - Globalization as a social condition is characterized by thick economic, cultural, and political interconnections and global flows that render political borders and economic barriers irrelevant - The complex interplay of economic, political, cultural, and technological factors that shaped the contemporary world 3. Globalization as an Ideology - Globalization exists in people's consciousness because it consists of a set of coherent and complementary ideas and beliefs about the global order - It promotes the idea that a globalized world leads to progress and development 6 Core Claims of Globalization as an Ideology 1. Globalization is about the liberalization and global integration of markets 2. Globalization is inevitable and irreversible 3. Nobody is in charge of globalization 4. Globalization benefits everyone in the long run. 5. Globalization furthers the spread of democracy in the world 6. Globalization requires a global war on terror Almarc’s Report Terms to remember: - laissez faire ("let it be") - an economic philosophy that advocates for minimal government intervention in economic affairs Globalization vs Internationalization 1. Globalization - refers to human activities that do not require reference to a state's national borders 2. Internationalization - activities by entities such as corporations or individuals with reference to national borders and national governments Globalization as liberalization - removal of barriers and restrictions imposed by national governments so as to create an open and borderless world economy Globalization as universalization and westernization - Universalization refers to the spread of objects and practices to the different parts of the planet - Westernization (Americanization or McDonaldization) refers to the spread and destruction of local cultures caused by the major influence of western countries to the way of life of other countries - Globalization entails homogenization of culture, politics, economy, and laws Great examples of globalization: - The migration of human species that took place from million years ago - The spread of major religions like Christianity and Islam Aldrex’s Report Ajay Banga (current president) Robert B. Zoellick The World Bank - International Financial Institution that provides financial and technical assistance to developing countries - Washington, DC - Has more than 100 country offices - Established on July 1, 1944 during a conference of 44 countries in Bretton Woods - 189 country members as of 2024 Mission - reduce poverty in the Globe - Improve the living standard Trivia - The world bank is one of the two Bretton Woods Institution which were created in 1944 to rebuild a war-torn Europe after the WWII The world bank provides a low-interest loans, interest-free credit grants to developing countries These loans are for education, health, infrastructure, communications and may other purposes They do not operate for profit Two types of loans the WB can offer - Investment loans - Development Policy Loans Objective and function - provide assistance to developing countries - promote the economic development of the world's poorest countries - Finance the poorest developing countries whose per capita GNP is less than $865 a year special financial assistance through the International Development Association (IDA) Two closely affiliated entities in the WB 1. The International Bank Reconstruction and Development (IBRD) - The WB's central Institution - Founded in 1944 at the Bretton Woods to finance the reconstruction of countries affected by WWII - Help with the development of improvised nations - Has over 189 member countries (2024) - 181 countries - Lends to countries with relatively high per capital incomes 2. The International Development Association (IDA) - Established in 1960 - Largest source of interest-free loans and grant assistance to the poorest countries - Assists poor developing countries - It's loans are called "credits" - Lend to countries with annual per capital incomes of about $800 or less 3. The Internal Finance Corporation (IFC) - Established on 1956 - Reduce poverty and improve other people's lives in an environmentally and socially responsible manner - Finance private sector investment - provide both loan and equity finance for business ventures in developing countries - Has 174 country members 4. The Multilateral Investment Guarantee Agency (MIGA) - Established in 1988 - Helps developing countries to attract foreign investment - Provides investment marketing services and legal advisory service to its 152 members 5. The International Centre for Settlement of Investment Disputes (ICSID) - Established in 1966 - Promotes increased flow of international investment - Provides facilities for the reconciliation of disputes between governments and foreign investors - It has 131 member countries Bryle’s Report International Monetary Fund (IMF) - Founded in December 27, 1945 Function (KLG) - Keeping track of the global economy and the economies of member countries - Lending to member countries with balance of payments difficulties - Giving help to members IMF Resources - Most resources of IMF loans are provided by member countries, primarily through the payment of quotas - Each member is assigned a quota based broadly on its relative position in the global economy Significance of Quota - A members quota determines maximum amount of financial resources they are obliged to provide to the IMF - The quota largely determines a members voting power in IMF Decisions - The amount of financing a member can obtain is based on its quota IMF provide loans to help members rebuild (ISCRW): 1. International reserves 2. Stabilize their currencies 3. Continue paying imports 4. Restore conditions for strong economic growth 5. While correcting underlying problems How the IMF lends - When a country is in such problem, the IMF holds a discussion with the government to assess the economic situation and the overall financing needs of the country Special Drawing Rights (SDR) - is an international reserve asset created by the IMF in 1969 to supplement its members' official reserves - serves as unit of account Organizational Structure 1. Board of Governors - the highest decision-making body of the IMF - consists of one governor and one alternative governor for each member country - The governor is appointed by the member country and is usually the minister of the finnce or the governor of the central bank 2. The Executive Board (The Board) - Responsible for conducting the day-to-day business of the IMF - it is composed of 24 Directors who are elected by member countries and the managing director who serves as the chairman 3. Managing Directors - staff of and Chairperson of the Executive Board - assisted by First Deputy Managing Director and 3 Deputy managing Directors Ben’s Report North-South divide - the economic division between richer countries and poorer countries The Global North - Generally viewed to be more affluent and economically stable countries - Includes the member nations of G8 (Group of 8) - This includes the countries that lie below the equator namely Australia and New Zealand - We could find in the North the MEDCs (More Economically Developed Countries) The Global South - The area below the North-South Divide is known as the South/Developing, or "Poor side" - It includes most nations located in Africa, Latin America, and developing parts of Asia (Somalia, Vietnam, Haiti, and India) - except Japan - These countries are developing countries meaning, the GDP, HDI, and general standard of living are considered inferior to that in the North Group of 8 (G8) - Canada - France - Italy - Germany - United States of America - Australia - United Kingdom - Russia Reasons why the countries in the North are considered MEDC - Economic Stability - Better standard of living and quality of life - High life expectancy - Free quality education - Free universal healthcare Reasons why the countries in the South are considered LEDC - Unstable Government - Poor economy - Contain citizen who have poor standard of living and quality of life - Low Gross Domestic Product (GDP) - Low Human Development Index (HDI) Why is the South at such a disadvantage? - One factor that stands out is COLONIZATION - Most of MEDCs, at some point in history, are imperialists - Historically powerful countries has stayed powerful (France, United Kingdom) - But there is always an exception, United States is a former British colony but developed into the most powerful country in the world The Global North consists of 64 countries with high HDI while the remaining 133 countries belong to the Global South Other facts about the Global North-South divide - This division was fashioned out of the Cold war era categorization of countries into the First, Second, Third Cherry’s Report First, Second, and the Third Worlds First World - Drawn upon political ideologies and alliances with the US and much of the Western world who preached for Democracy and Capitalism Second World - The Communist bloc led by the USSR (Union of Soviet Socialist Republic) Russia, China and other states who employed Marxist principles Third World - Non-aligned states, the underdeveloped nations and states that have unstable political and economic conditions - Serves as "ready and willing markets" - Coined by a French scholar Alfred Sauvy Flashpoints and Perspectives of the divide - As underdeveloped countries become more visible, they are frequently referred to under the collective label the "Global South" - This designation is ambiguous because it uses simple geographical criteria to describe the complex social situation which distinguishes poor countries from the wealthiest Global South - normally used to describe countries that faces social, economic and political challenges Three factors by Jean Grugel (1990) that direct the economic development of states within the Global South 1. Elite behavior within and between nation states 2. Integration and cooperation within geographic areas 3. Resulting position of states and regions within the global market and related political economic hierarchy Pedro’s Report BRICS - acronym for an association of five major emerging national economies - Originally the first four were grouped as "BRIC" - Known for their significant influence on regional affairs and all are members of G20  In effect, Global North-South is actually seen by many economists as a result of international free trade and unhindered capital flows across countries which could definitely catapult development in the South Closing the divide has been a goal for many developmental initiatives