SOC101 The Contemporary World Past Paper PDF

SOC101 - The Contemporary World PRELIM FOUR (4) STRUCTURES OF GLOBALIZATION GLOBAL ECONOMY - focuses on the process of making the world  C...

SOC101 - The Contemporary World PRELIM FOUR (4) STRUCTURES OF GLOBALIZATION GLOBAL ECONOMY - focuses on the process of making the world  Coca-Cola: The Coca-Cola Company is a well-known economy an integral element of a whole. Also, it elaborates on the multinational beverage company that manufactures and sells important players of economic globalization. Coca-Cola products in the Philippines.  Or World Economy, is the international exchange of goods and Transnational Corporation (TNC): A TNC is also a big company services through the use of monetary units of money. that operates in many countries, but it doesn't have a strong  Concerned on the globalization of production, finance, markets, connection to any particular home country. It's like a company with technology, organizational regimes, institutions, corporations offices all over the world, and they work together like one big team and labor without a single central location. CROSS-BORDER TRADING - in our country, it is best illustrated by  Example: Nestlé is often considered a transnational corporation the country’s trading partnerships with China, the United States, and because it has operations and decision-making processes Australia. distributed globally, without being strongly tied to a specific FOREIGN DIRECT INVESTMENTS (FDD) - a type of investment in home country. which a company establishes a business in another country for  IBM: International Business Machines (IBM) is a technology production of goods or services and still takes part in the company that operates globally, providing IT services and management of that business. solutions. It has a presence in the Philippines with offices and  A good example of this is Toyota Motor Philippines Corporation operations. which is a subsidiary of Toyota Motor Corporation based in  HSBC: The Hongkong and Shanghai Banking Corporation Toyota, Japan. (HSBC) is a global financial services organization with branches  This flow of international capital can also be observed in foreign and services in the Philippines, offering banking and financial portfolio investments, trade flows, external assistance and solutions. external commercial borrowings, and private loan flows.  Accenture: Accenture is a transnational consulting and ECONOMIC GLOBALIZATION - a historical process, the result of professional services firm that operates in the Philippines, human innovation and technological progress. providing a wide range of business and technology services to  Increasing integration of economies around the world, clients worldwide. particularly through movement of goods, services, and capital EFFECT ON GLOBALIZATION ON LABOR CONDITIONS across borders (IMF, 2008). It can be traced from the time when there was economic movement in Increase job opportunities Asia, Africa, and Europe through the Silk Road, a network of trade Upgrade education system and leads to more training routes that connected the Fast, particularly China, and the West. Increase labor standard  These routes also led to the discovery of the Philippine islands Increade labor productivity when Portuguese and Spanish envoys were In search of spices, Pressure firms to correct labor abuses which then spawned colonization. Globalization of Corporation - a company or group of people  In the contemporary period, foreign expatriates come to the authorized to act as a single entity and recognized as such law that country to manage their company’s foreign subsidiaries. operates globally or internationally  Likewise, the Philippines sends thousands of skilled workers to Global Corporation - a company or corporation that operates in the Middle East as construction workers, seafarers, and nurses. more than one country which has significant investments and FOUR (4) INTERCONNECTED DIMENSIONS OF ECONOMY facilities in multiple countries but lack dominant headquarters (Bencrzes, 2014) Global Business - (as mentioned by Michael Porter) business that 1) globalization of trade of goods and services; maintains a strong headquarters in one country, but has investments 2) globalization of financial and capital markets; in multiple foreign location. 3) globalization of technology and communication International Company - one that has headquarters likewise it does business overseas and might have a large presence in multiple 4) globalization of production area. DIMENSION 1 - demonstrated in the establishment of the World The Debate on Economic Globalization's Actors: Trade Organization (WTO) that eases trade among countries. Nation-States vs. Global Corporations  WTO, established in 1995, “ensures that trade flows as smoothly, predictably, and freely as possible” (WTO, 2012). The question of who or what facilitates economic globalization has Another indicator is the emergence of China as a major supplier and been a subject of much debate among scholars. Two primary exporter of manufactured goods that has affected the world economy. perspectives have emerged: China-made products or parts are sent to the United States. 1. The Nation-State as Manager  To meet this demand, China creates more jobs for its citizens. a) Boyer and Drache's Argument: Nation-states, while Another good example of economic globalization of trade and redefined by globalization, still play a crucial role in services is the increasing number of business process outsourcing managing their national economies. (BPO) companies in the Philippines. b) Buffer Against Negative Effects: States often act as a DIMENSION 2 - evident in the liberalization of financial and capital protective layer, mitigating the negative impacts of markets. This is seen in cross-listing of shares on one or more foreign globalization on their domestic economies. stock exchange, cross-hedging and diversification of portfolio, and 2. Global Corporations as Drivers round-the-clock trading worldwide (National Research Council, 1995). a) Ohmae's Argument: The nation-state has lost its DIMENSION 3 - emphasizes that various transactions and significance as the primary economic unit, and global Interactivities that transpire instantly due to the internet and corporations have taken center stage. communication technology. b) Consumer Preference: Examples like H&M, Uniqlo, DIMENSION 4 - best illustrated by the existence of multinational Accenture, Amazon, Alibaba, and FedEx highlight corporations (MNCs) and transnational corporations (TNCs). consumers' preference for global products and services.  The Coca-Cola Company is an example of an MNC. Based in Reich's Perspective: Atlanta, Georgia, USA, the company only manufactures syrup  Obsolescence of National Entities: Economic globalization can concentrates and sells them to various bottlers that hold lead to the obsolescence of national products, technologies, exclusive territories in different countries including the corporations, and industries. Philippines. Toyota Motor Corporation is also an MNC. Through  Examples: San Miguel Corporation and Jollibee Foods its subsidiaries in Japan and in the other parts of the world, it Corporation, expanding their operations beyond the Philippines, has been selling millions of vehicles every year since 1998. demonstrate this trend. Multinational Corporation (MNC): An MNC is a big company that Gereffi's Argument: does business in several countries, but it still follows a central plan  TNCs as Drivers: Transnational corporations are the primary from its home country. It's like a big tree with many branches, and driving force of economic globalization, accounting for two-thirds the roots are in one place. of global exports.  Example: McDonald's is a multinational corporation because it International Monetary System (IMS): has restaurants in many countries, but its headquarters and  Facilitator of Globalization: The IMS plays a crucial role in main decisions are in the United States. facilitating economic globalization by providing rules,  Procter & Gamble (P&G): P&G is a multinational consumer conventions, and institutions for international trade, investments, goods company with a presence in the Philippines, and capital flows. manufacturing and selling products like Tide, Pampers, and  Historical Systems: The gold standard, Bretton Woods System, Pantene. and European Monetary System are key examples of global IMS.  GLOBAL INTERSTATE SYSTEM - tackles the consequences of In conclusion, economic globalization affects all nations and globalization on governments and institutions that govern nation-state citizens through the increasing integration of economies around relations. the border less world. Its important players are the nation- STATE - body of people politically organized under a government states, global corporations, and the international monetary within a definite territory. A country and it’s government. systems. Though some people believe that economic  A nation or territory considered as an organized political globalization brings unity of all economic movements, community under one government others believe that globalization MARKET INTEGRATION - covers the position of international  Weber (1997) describes the state as a compulsory political financial institutions in global market integration. organization with a centralized government that maintains the  The process by which separate or distinct markets, often in legitimate use of force within a certain territory. different geographic locations, become interconnected,  A community of persons more or less numerous occupying a interdependent, and more unified. definite terrritory completely free of external control and  It involves the removal or reduction of barriers that hinder the possessing an organized government to which the great body of free flow of goods, services, capital, and information between inhabitants render habitual obedience. these markets. NATION - the concept of nation emphasizes the organic ties that  Can occur at various levels, from local and regional to national hold groups of people together and inspire a sense of loyalty and and international, and it is a fundamental aspect of economic belonging—i.e., ethnicity, language, religion, and others (Schattle, globalization. 2014).  Delves into the role of international financial institutions, such as  According to Benedict Anderson, is an “imagined community” the International Monetary Fund (IMF) and the World Bank, in and does not go beyond a given “official boundary”. it is the process of global market integration. These institutions play inherently limited and sovereign. It has boundaries, meaning a significant role in shaping economic policies, providing not anyone can be a Filipino. financial support, and influencing the economic stability of  refers to large group of people who share common countries on a global scale. characteristics such as language, traditions and ethnicity. THE ATTRIBUTES OF TODAY’S GLOBAL SYSTEM Established: Founded on July 22, 1944, 1. Countries or states are independent and govern themselves; with operations beginning in 1947. 2. These countries interact with each other through diplomacy; Functions: The IMF is primarily 3. International organizations facilitate these interactions (i.e. UN); responsible for promoting international 4. International organizations also take on lives of their own monetary cooperation and exchange rate stability. Its key roles in market integration NATION-STATE - a political community that emanates from civic include: society to legitimately execute peace. Thus, the civic society is the basis of the people's oneness INTERNATIONAL Lender of Last Resort: The IMF provides  Relatively modern phenomenon in the human history whereby it MONETARY FUND financial assistance to member countries composed of two non-interchangeable terms; nation and state. (IMF) facing balance of payments problems. This helps stabilize economies and INTERSTATE SYSTEM - a system of competing and allying states. prevent financial crises. The 194 member states of UN prove that globalization has affected Economic Policy Advice: The IMF offers the dynamics of nation-states in the context of their agency as economic policy advice to member states, legitimate holders of force in their jurisdiction. aiming to improve fiscal and monetary Globalization has, in a way, reshaped the role and functions of policies, reduce inflation, and enhance nation-states as governing bodies in their United Nations (UN) financial stability. particular territories. Established: The World Bank was Established: Founded on October 24, 1945. established in 1944, and the World Bank Members: 194 member states. Group includes several institutions. Functions: The UN serves as a forum for Functions: The World Bank Group focuses international cooperation, diplomacy, and UNITED NATIONS on poverty reduction and economic problem-solving. Its functions include (UN) development in developing countries. Its maintaining international peace and roles in market integration encompass: security, promoting economic and social Infrastructure Financing: It provides long- development, upholding human rights, and WORLD BANK providing humanitarian assistance. term loans and grants for infrastructure GROUP projects (e.g., roads, power plants, Established: Founded on April 7, 1948, as a schools) that can improve market access specialized agency of the United Nations. and economic development. Members: 194 member states Poverty Alleviation: The World Bank WORLD HEALTH Functions: WHO is responsible for global supports projects and policies aimed at ORGANIZATION public health. It sets international health reducing poverty and fostering economic (WHO) standards, conducts research, monitors growth, thus contributing to market health trends, provides technical assistance development. to countries, and responds to health The integration of the global market started when big American emergencies, including pandemics. corporations began to emerge after the Second World War with the Established: Founded on November 16, rise of new conglomerates. The rise of American, Japanese, and 1945, as a specialized agency of the United UNITED NATIONS European global corporations paved the way for the further Nations. Members: 193 member states EDUCATIONAL, development of international trade. Functions: UNESCO promotes international SCIENTIFIC, AND collaboration in education, science, culture, Iwan (2012) identifies the differences among international, CULTURAL and communication. Its activities include multinational, transnational, and global companies: ORGANIZATION protecting cultural heritage, advancing International companies are importers and exporters with (UNESCO)  education, supporting media freedom, and investments outside their home countries. fostering cross-cultural understanding.  Multinational companies (MNCs) have investments in other Established: Founded on December 11, countries, but do not have a coordinated product offering in each 1946, as a subsidiary of the United Nations. country. They are more focused on adapting their products and Members: 194 member states services to each individual local market. UNITED NATIONS Functions: UNICEF works to improve the  Global companies have investments and are present in many CHILDREN’S well-being of children worldwide. It provides countries. They typically market their products and service to FUND (UNICEF) humanitarian aid, supports access to each individual local market. education, healthcare, and nutrition,  Transnational companies (TNCs) are more complex advocates for children's rights, and organizations that have investments in foreign operations, have responds to emergencies affecting children a central corporate facility but give decision-making, research Established: Founded on July 22, 1944, and development, and marketing powers to each individual with operations commencing in 1947. foreign market Members: 190 member countries CONCLUSION - On the whole, international financial institutions play INTERNATIONAL Functions: The IMF promotes international an important role in the social and economic development programs MONETARY monetary cooperation and exchange rate of transnational nations. They are instrumental in the functionality of FUND (IMF) stability. It provides financial assistance to the global economy reliant on global corporations. member countries facing balance of payments problems and offers policy advice  on economic and financial matters. The totality of norms, laws, policies, and bodies that define, comprise, Established: Officially established on and facilitate transnational relations between citizens, states, cultures, January 1, 1995, succeeding the General intergovernmental, and non-governmental organizations. Agreement on Tariffs and Trade (GATT).  Rules and norms put everything in order. Members: 164 member countries.  Though global governance is rule-based, it has no central WORLD TRADE Functions: The WTO administers global authority, However, there are systems for international ORGANIZATION trade rules, facilitates negotiations on trade relationships that bind the states, people, and society together. (WTO) agreements, and provides a forum for INSTITUTIONS OF G.G - these have limited or demarcated power to dispute resolution in international trade enforce compliance (United Nations, International Criminal Court, disputes. It aims to promote free and fair World Bank). trade among its members. UN SIX(6) ORGANS Established: Founded on August 8, 1967. Members: ASEAN consists of 10 member 1) General Assembly is the central deliberative and the only organ states: Brunei, Cambodia, Indonesia, Laos, where all member-states have equal representation in Malaysia, Myanmar, the Philippines, discussion and consideration, and policymaking. ASSOCIATION 2) Security Council is the organ which has the commitment to Singapore, Thailand, and Vietnam. OF SOUTHEAST preserve peace and security. Functions: ASEAN promotes regional ASIAN NATION 3) Economic and Social Council is the main organ for cooperation, stability, economic cooperation, and (ASEANS) policy review, policy dialogue, and advice on social, economic, integration among Southeast Asian nations. Its functions include political and security and environmental issues. cooperation, economic development, and 4) Trusteeship Council is the organ tasked to administer cultural exchange. international oversight for 11 trust territories and to make sure Established: Informally founded in the that adequate procedures are taken for independence and 1970s, with meetings beginning in the selfgovernment. 1990s. Note that it became the Group of 5) International Court of Justice is UN’s prime judicial organ. Seven (G7) in 2014 when Russia was 6) Secretariat is the organ tasked to execute the daily activities as suspended. Members: The G8 originally assigned by the five other organs. GROUP OF included Canada, France, Germany, Italy, FUNCTIONS EIGHT (G8) Japan, Russia, the United Kingdom, and  The main function of UN is to maintain peace and security for all the United States. of its member-states. Functions: The G8 (now G7) is an informal  The UN does not have its own military but it has peacekeeping forum of major industrialized democracies. force which are supplied by the member states It discusses global economic issues,  The UN aims to protect human rights and provide humanitarian security, and international relations. assistance when needed Established: Founded on April 4, 1949.  The UN plays an Integral part in social and economic NORTH Members: NATO has 30 member countries development through its UN Development Program ATLANTIC Functions: NATO is a military alliance  The UN likewise annually publishes the Human Development TREATY focused on collective defense and security. Index to rank countries in terms of poverty, literacy, education, ORGANIZATION It aims to ensure the security and stability of and life expectancy (NATO) its member states through mutual defense  UN General Assembly – occupies the central position as the and cooperation. chief deliberative, policymaking, and representative organs of Established: The World Bank was the United Nations. established in 1944, and the World Bank CHALLENGES OF GLOBAL GOVT IN THE 21ST CENTURY Group as a whole consists of five  Climate Change, Poverty, Violent Conflict, Intolerance, and institutions, including the International Bank Extremism present direct threats to the unity and well-being of for Reconstruction and Development the International or Global Community. (IBRD) and the International Development  Attacks on cultural rights and cultural heritage, particularly in WORLD BANK Association (IDA). Members: The World Syria, Iraq, and Mali threaten the Inter-Cultural Tolerance GROUP Bank has 189 member countries (as of my THREE (3) POINTS TO ADDRESS last knowledge update). I. Openness of Mind and Out-of-Box Thinking is Crucial - Functions: The World Bank Group provides emphasize openness and transforming new ideas into norms, financial and technical assistance to like teaching about the Holocaust and promoting internet literacy. developing countries for infrastructure II. International Community must Build Resilient Societies - foster development, poverty reduction, and inclusion, fight exclusion, and ensure women’s participation in economic development. all sectors. Established: Founded on July 26, 2001, as III. New Thinking about PeaceBuilding - focus on legitimate and a successor to the Organization of African effective peace efforts, with preventive measures involving Unity (OAU). UNESCO’s educational and intercultural programs. Members: The African Union has 55 INTERNATIONALIZATION - the increasing importance of member states (as of my last knowledge AFRICAN UNION international trade, international relations, treaties, alliances and update) (AU) others. Functions: The AU promotes political and International - between or among nation. economic integration in Africa, peace and Internationalism - basically anchored on the opinion that nationalism security, and sustainable development on should be outrun because links that bind people of different countries the continent. It also works to address are more powerful than those that disconnect them (Anora, 2014). regional conflicts and crises. Moreover, in order to avert wars, Immanuel Kant (1795) Established: Founded on April 30, 1948. stated that agreements among nations must be reached. Members: The OAS has 35 member countries in the Americas (as of my last Globalism - the operation or planning of economic and foreign policy ORGANIZATION on a global basis. knowledge update). OF AMERICAN  It emerged as an attitude that seeks to understand all the Functions: The OAS promotes democracy, STATES (OAS) interconnections of the modern world and to highlight patterns human rights, and regional security in the Americas. It also provides a forum for that underlie them. diplomatic dialogue and conflict resolution  It pursues to describe and explain a world that is characterized by a network of connections that span multicontinental distances. CONCLUSION - Overall, the global interstate system is a facet of CONCLUSION - the political scope of globalization. Cooperation contemporary political globalization that seeks to form collaboration among nation-states is the only way to reform and advance the roles among nation-states through the establishment of intergovernmental and functions of interstate relationships despite real challenges being organizations. It is rooted on the idea of internationalism. faced by United Nations. CONTEMPORARY GLOBAL GOVERNANCE - presents the United A WORLD OF REGIONS Nations’ role, function, and the challenges of global governance.  Movement towards political cooperation among transnational GLOBAL DIVIDES: The North and The South actors, aimed at negotiating responses to problems that affect The world has been divided in different ways. Becauseof historical more than one state or region. factors, countries have beencategorized as first world, second world and third world. In recent times, nation states have been identified either as the Global North or Global South. Most often they are Millennium Development Goals (UN) defined based on their wealth and development. 1. Eradicate Extreme Poverty and Hunger - share of poor people Global Divide reduced by 50 percent from 1990-2015  North - South Divide can be related to an economic division 2. Achieve Universal Primary Education - 90 percent of children in between richer and poorer countries. primary school  This explains the reason why it is considered to be more of a 3. Promote Gender Equality and Empower Women - equal number socio political and economic classification. of girls and boys started school  Brandt Line - a line that was proposed by Willy Brandt in 1980. It 4. Reduce Child Mortality - 17,000 fewer children died each day is an imaginary line dividing the world into two regions based on than in 1990 their GDP per capita. 5. Improve Maternal Health - maternal mortality fell by 45 percent since 1990 GLOBAL NORTH GLOBAL SOUTH 6. Combat HIV/AIDS and other Diseases - fewer people infected Nations of European Union Africa by HIV/AIDS and malaria each year Singapore Latin America 7. Ensure Environmental Sustainability - 2.3 billion people gained South Korea Middle East access to clean drinking water Australia Brazil 8. A Global Partnership for Development - debt service decline; New Zealand India foreign aid increased G8 (France, Germany, Italy, Sustainable Development Goals (SDGs) - aim to transform our United Kingdom, Japan, Philippines world. They are a call to action to end poverty and inequality, protect United States, and Russia) the planet, and ensure that all people enjoy health, justice and prosperity. It is critical that no one is left behind. GLOBAL NORTH 1. No Poverty It is generally viewed to be more affluent and economically stable 2. Zero Hunger countries and generally includes the United States of America, 3. Good Health and Well-Being Canada, the member nations of the G8 (Group of *), the four 4. Quality Education permanent members of the UN Security Council. 5. Gender Equality  This includes countries that lie below the equator namely 6. Clean Water and Sanitation Australia and New Zealand. 7. Affordable and Clean Energy  We could find in the North the More Economically Developed 8. Decent Work and Economic Growth Countries (MEDCs) in the world. Some countries which lay in 9. Industry, Innovation, and Infrastructure the North part of the divide are Canada, United States, 10. Reduced Inequalities Greenland, and Russia. They are considered the “richer” and 11. Sustainable Cities and Communities more stable countries.\ 12. Responsible Consumption and Production GLOBAL SOUTH 13. Climate Action It includes most nations located in Africa, Latin America, and the 14. Life Below Water developing parts of Asia with the exception of Japan. 15. Life on Land  The area below the North-South Divide is known as the 16. Peace, Justice, and Strong Institutions South/developing, or “Poor side”. These countries are known as 17. Partnership for the Goals developing countries, meaning the GDP, HDI and general standard of living within these countries are considered inferior 2030 Agenda for Sustainable Development was adopted at the to that of countries in the “North”. United Nations Summit in New York from 25 to 27 September 2015.  Some examples of these countries include Somalia, Vietnam,  The Agenda is a broad and universal policy agenda, with 17 Haiti and India. Sustainable Development Goals (SDGs), with 169 associated Causes of Global Divide that formed the Global North and South targets which are integrated and indivisible. a) Political Power  Building on the Millennium Development Goals (MDGs), the b) Economic Dependency 2030 Agenda seeks to guide Member States to transform their c) Importation/Exportation of Resources approach to achieve inclusive, people-centered and sustainable development with no one left behind. DIFFERENCES & CHARACTERISTICS OF THE G.N. & G.S. 1) Global North - developed societies of Europe and North America, GLOBAL NORTH ADVANTAGES which are characterized by established wealth, technological - Low poverty and Child advancement, political stability, zero population growth and Mortality, paired with high dominance of world trade and politics. educational, industrial, and  Established Wealth 2) Global South - developing countries which represent mainly economic development and  Technological agrarian economies in Africa, India, Latin America, and others low gender related illiteracy Advancement that are not as economically sound and politically stable. DISADVANTAGES  Political Stability Why is the South at such a disadvantage?  Zero Population Growth - Over consumption and Of the many possible reasons for the south’s woes, the one factor  Dominance of World food wastage, paired with that stands out is colonization. When the countries that are Trade and Politics expensive health care, and considered MEDC are listed down, it becomes apparent that the most produces the most carbon of these countries were, at some point in history, imperialists. From dioxide and waste the 13th century, most countries that were powerful have stayed powerful, such as France and the United Kingdom. And therefore, GLOBAL SOUTH ADVANTAGES most countries that were inferior have stayed inferior. However, like - Source of natural any aspect in history, there is always an exception, as the United resources, and raw materials States, a former British colony, has developed into the most powerful used by the north country in the world. (Guttal, 2016) DISADVANTAGES EFFECTS OF GLOBALIZATION ON THE FORMATION OF THE  Developing Countries - High fertility rates GLOBAL NORTH AND GLOBAL SOUTH  Not economically stable accompanied by unstable a) Inequality - The wealthy becomes wealthier, and the poor  Not politically stable governments, and less becomes poorer technological advancements, b) Technological Change - The technological advancements being while the economy is an advantage for regions in the Global North, making it difficult dependent on regions from the for Global South to catch up. north c) International Institutions - A bias favoring regions within the CONCLUSION Global North. a) The Global North and South emerged during the1970s Closing the Gap: What can we do to alleviate the growing divide b) The Global Divide is caused by Political Power, Economic and inequality in the regions within the Global North and Global Dependency and Importation or Exportation of Resources South? c) The Global North-South divide is a categorization of nation  Lobbying for International Free Trade states based on factors like economic development, political  Improving the Quality of Education stability as well as living standards.  Improving the Quality of Healthcare d) This division was fashioned out of the Cold war era  Promoting Gender Equality categorization of countries into the First, Second and Third  Ensuring Environmental Sustainability World.  Achieving UN Millennium Development Goals (MDG’s) e) The Global North-South divide is not simply based on  Being a part of the realization of the UN Sustainable geographical orientation for there are Asian countries that Development Goals (SDG’s) belong to the Global North. f) The perspective as well as countries that fall under such categorization is in a state of flux and is constantly changing. g) The effects of globalization in the formation of the global north and south, includes Inequality, Technological Change, and International Institutions