SS-111 Midterm Coverage PDF

Acquire New Knowledge Here is your first lesson – Read and learn. Unit I. Introduction to the Study of Globalization Desired Learning Outcomes: At the end of the unit, the students must have:...

Acquire New Knowledge Here is your first lesson – Read and learn. Unit I. Introduction to the Study of Globalization Desired Learning Outcomes: At the end of the unit, the students must have: 1. Differentiate the competing conceptions of globalization 2. Identify the underlying philosophies of the varying definitions of globalization 3. Agree on a working definition of globalization for the course Introduction: Why do we need to study the world? At first glance the world, as a concept, is abstract. After all, our daily experiences are considered interactions with our country. When we read news, we read about the Philippines. When we engage in official transactions like paying taxes, we deal with the Philippine government. However, we need to step back a little bit to see that the world “out there” is already here. You likely have relatives who are overseas (OFW). They bringing home part of the world with them. Needless to say that the media and the internet are your windows to the contemporary world. Finally, our consumption habits are global. Dined in a McDonald’s, ridden in a Japanese car, maybe owned a Korean mobile phone and eaten Australian beef. We are already citizens of the world whether we are aware of it or not. Just living your own life, you automatically think about the contemporary world. This course will be your guide. At the outset though, why study this course? 1. Studying outside world is a cure to parochialism- an outlook limited only to one’s immediate community. The person that is closed minded, being concerned only with his/ her family, village or even country. 2. It is also important to study the world for us, to teach us more about ourselves. Knowing other country allow us to compare our society with them. According to Rizal, learning about world will be hunted by the “ghost of comparison” – once you know about other societies, you will not be able to look at your own at the same way. You will start comparing and asking various questions. This drive to compare will happen even when you least expect it; the urge is like a ghost that suddenly appears. 3. We need to study the world because we are interacting with it. Many Filipinos working and living abroad. For others who are planning to work abroad after graduation this course can serves as orientation. For many who will remain in the Philippines must confront the phenomenon of Globalization. Like working in foreign companies operating in our country especially because of the growth of call center industry (BPO) Business Process Outsourcing industry as a whole. Due to internet, cheaper travel costs, and larger trade of goods and services, the world has grown more interdependent. And the Filipinos are increasingly becoming aware of this interdependence. You will not avoid globalization so you might as well study it. Lesson I: The Study of Globalization Why we study the concept of Globalization: 1. Defining the Globalization is shaped by the perspective of the person who defines it. - Globalization is many things to many different people. In other words, each one of us, has our own definition of the so called Globalization and in such thing we have that insights whether it is positive or negative. - Different speeds, axes, points of origin and termination, and varied relationships to institutional structures in different regions, nations, or societies. 2. To paraphrase the sociologist Cesare Poppi. Globalization is the debate and the debate is globalization. - One became part and the parcel of the other. - The meaning of the concept is self-evident, in another, it is vague and obscure as its reaches are wide and constantly shifting. Globalization is a debate about it. 3. Globalization is reality- Keeps changing as human society develops, happened before and keep happening today, and expecting to be happening in the future. Overall, globalization is a concept not easy to define: - In reality defining it has a shifting nature/ changing from time to time. - It can be influence by the people who define it.  - Issues and concerns has a wide range from individual to society, communities to nations and states, and from the benefit we gain from it and to the costs it could carry. (Ritzer, 2003)- “Attitudes toward globalization depend, among other things, on whether one gains or losses from it.” Origin and History of Globalization 5 Different Perspective of Beginning of Globalization: 1. Hardwired (Nayan Chanda 2007)- It is our basic needs to make our life better made globalization possible. Commerce, religion, politics, and warfare are the “urges” of people toward a better life. One can trace the beginning of globalization from our ancestors in Africa. Who walked out from the said continent in the late ice age. 2. Cycles Globalization is a long term- cyclical process. The point of Globalization will disappear and reappear. 3. Epoch There are 6 great epochs of globalization and also called “waves”- it does not returning different from cycle. 1. Globalization of Religion (4th- 7th Centuries) 2. European Colonial Conquest (late 15th century) 3. Intra- European Wars (late 18th- early 19th centuries) 4. Heyday of European Imperialism (Mid19th Century- 1918) 5. Post World War II 6. Post- Cold War Period 4. Events \ (Gibbon 1998)- Roman Conquests before Christ is the origin (Rosenrthal 2007)- Voyage of Columbus was the origin  Apply Your Knowledge Name: ________________________ Score: __________ Course/ Year & Section: ________________ Date: ______________ Direction: Write your answer in the space provided under the following question. Write it in 3-5 sentences. Criteria: (5 points) Insights- 3 points Sentence construction/organization- 2 points Question: Upon reading and understanding your notes from Introduction to Lesson 1, how would you look at Globalization? Is it advantageous to our country or its not beneficial at all? Why/ Why not? - _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ _________________________________________________________.  Lesson II: Definitions and Philosophies of Globalization Globalization - Most accounts view primarily as an economic process. When a newspaper reports that Nationalists are resisting “Globalization” it usually refers to the integration of national markets (marketplace for goods and services within a particular country) to a wider global market (Marketing on worldwide scale) signified by the increase free trade. Global Market National Market Philippines & other/ worldwide Within Philippines only //countries Globalization scholars do not necessarily disagree with people who criticize unfair international trade deals or global economic organizations. In fact, many are sympathetic to the critique of economic globalization. Academics, journalist, political activists view process through various lenses that consider multiple theories and perspectives and academics called it interdisciplinary approach. Manfred Stegger- - Has the best scholarly definition of globalization. - Described the process as “the expansion and intensification of social relations and consciousness across world- time and across world- space” Expansion- refers to both “the creation of new social networks and the multiplication of existing connections that cut across traditional political, economic, cultural and geographic boundaries.”  Social Networks- a social structure made up of set of social actors (individual or organizations) a set of social groups that ties, and other interactions between actors. Trend is using social networking sites online, like fb, utube, etc. Intensification- refers to the “expansion, stretching, and accelerating of these networks.” Not only global connections multiplying, but they are also becoming more closely-knit and expanding their reach. Connection is does accelerating not only in financial, moreover in other fields like, business, culture, and among others. - According to Steger, Globalization processes do not occur merely at an objective, material level but also involve the subjective plane of human consciousness- people begin to feel that the world has become a smaller place and distance has collapsed from thousands of miles to just a mouse click away. Example: using of e-mail you can easily communicate with your family, friends, etc. abroad. No need to travel long distance and a long time to see and to communicate with them. Expansion Intensification Social Media- Establish new global connections Ex between people. ample: Example: Ana, Chiska’s cousin also using Facebook and Allen a Filipino guy met his friend Chiska, met a friend from Australia and later become an American girl in Facebook. her fiancée. NGO’s (Non-Government Organizations) More and more people engage in using networks that connect more specific group--- social media. Users expand throughout the social workers and activists--- from different world. In here, social media is not only for corners of the globe. meeting new friends rather it expands its uses, Example: like in business, information and other Environment Activists from the Philippines platforms it serves. together with others around the world joins in celebrating the Earth Hour. Not only environment activists celebrating  Earth hour, rather whole world are participating. (Al- Rhodan, 2006)- Globalization cannot be contained within a specific time frame, all people, and all situations. Globalization encompasses a multitude of processes that involve the economy, political systems, and culture. Social structures, therefore, are directly affect8ed by globalization. (Thomas Larsson, 2001)- Globalization is the shrinkage, of distance getting shorter, things moving closer- somebody on one side of the world can interact, to mutual benefit with somebody on the other side of the world. (Martin Khor)- Globalization is colonization 2 Classifications of Defining Globalization: A. Broad and Inclusive- include variety of issues that deal with overcoming traditional boundaries. It does not shed light on the implications of globalization based on its vagueness. Example: (Ohmae, 1992) - Globalization is the onset of borderless world. B. Narrow and Exclusive- better justified, but can be limiting as well. Its application only to those adhere to such definition. Example: (Robert Cox’s) - Characteristics of globalization trend include the internationalizing of production, new international division of labor, migration from south to north. (Ritzer, 2015)- Globalization is a set of process involving increasing liquidity and the growing multidirectional flows of people, objects, places, and information as well as the structures they encounter and create that are barriers to, or expedite those flows- Globalization is either or both integration or/ and fragmentation. Understanding the concept of Globalization: We will use metaphors, it makes use one term to help better understand another term. In our case we’ll be using Solid- liquid states of matter.  Solid/ Solidity Social relationships and objects remained where they were created. Solidity also refers to barriers that prevent or make difficult the movements of things.(Man- made barriers like Great wall of China and Berlin Wall in Germany) It can be natural or man-made. Like land forms and water forms. (Imaginary lines such as the 9 dash- line used by China in claiming West Phil Sea is modern example of Solid man-made barrier.) Obviously, these examples exists. However, they have tendency to melt. Taken not literally like melting of iceberg. Instead, this process involves like what is happening to today’s global world. It is increasingly becoming liquid. Liquid/Liquidity Takes the shape of its container, not fixed. It refers to the increasing ease of movement of people, information, things, and places in the contemporary world. Space and time are crucial elements of globalization. Example: In global global finance, movement of stock market are a matter of seconds. Liquid Phenomena movements is difficult to stop. Example: videos in internet is not easy to halt if they become viral (trending). Like also, the spreading of Covid Virus in the Philippines increases rapidly and cannot easily to stop. Liquidity and solidity is in constant interaction. Liquidity is one proliferating and increasing today. Therefore, the metaphor which can be describe globalization is liquidity. Liquids do flow and this idea of flow. Flow- refers to the movement of people, thins, places and information brought by the growing “porosity” of global limitations. (Ritzer, 2015). Example:  Filipino are fond of eating not only local foods, moreover they like Korean foods ramen, Sushi, burger and other foods originated from other countries. Because of Covid 19 not only economy of Asian countries were affected also some countries all over the world. Many Filipinos working abroad. Globalization Theories 1. Homogeneity- refers to the increasing sameness in the world as cultural inputs, economic factors, and political orientations of societies expand to create common practices, same economies, and similar forms of government. Homogeneity often linked to cultural imperialism- given culture influences other cultures. Example: Dominant religion in the Philippines is Christianity which was brought by Spaniards back then. Americanization- whereas, the import of non-Americans of products, technologies, images, practices, and behavior that are closely associated with Americans. In the end, rich countries become advantageous in the world economy in the expenses of poor countries. The political realm also suffers homogenization if one takes into account the emerging similar models of governance in the world- it means only one political orientation is growing in today’s society. Example; many countries practice democracy kind of political ideology and presidential, parliamentary kind of government. 2. Heterogeneity- this pertains to the creation of various cultural practices, new economies, and political groups because of the interaction of elements from different societies in the world. As global forces interact with local factors or a specific geographic area, the “glocal” is being produced. There is an intensification of nationalism which leads to greater political heterogeneity throughout the world.  Apply Your Knowledge Name: ________________________ Score: __________ Course/ Year & Section: ________________ Date: ______________ Direction: Write your answer in the space provided under the following question. Write it in 3-5 sentences. Criteria: (10 points) Actual scenario- 5 points Sentence construction/organization- 5 points Question: Do you agree with the idea that the Contemporary World characterized by high liquidity? Why or why not? Give a specific scenario based on your observation aside from the given example in this text.  Lesson III: Approaches to the Study of Globalization Globalization has very confusing processes. Therefore, many scholars discussed “multiple globalizations” instead of just one process. Arjun Appadurai- an anthropologist. For him, Globalization occur in multiple and intersecting dimensions of integration that he calls “scapes”.  Ethnoscape- global movement of people  Mediascape- flow of culture  Technoscape- circulation of mechanical goods and software  Financescape- global circulation of money  Ideoscape- realm where political ideas move around Ideologies of Globalization Ideology- There is no really clear and agreed upon definition of ideology. It is a difficult term to define properly. Some definitions as follows:  A political belief system  Ideas of ruling class  The world view of a particular of social class or social group  Political ideas that embody or articulate class or social interest  Ideas that propagate false consciousness amongst the exploited and oppressed Globalization: process, condition, or ideology?  ‘Globalization” has been used in both popular and academic literature to describe a wide variety of phenomena, including a process, a condition, a system, a force, and an age. In my view, the term globalization should be confined to a set of complex, sometimes contradictory, social processes that are changing our current social condition based on the modern system of independent nation-states. At its core, then, globalization is about the unprecedented compression of time and space as a result of political, economic, and cultural change, as well as powerful technological innovations The slogan ‘globalization is happening’ implies that we are moving from the modern socio-political order of nation states that gradually emerged in the seventeenth century toward the ‘postmodern’ conditionofglobality.Indeed,like‘modernization’andotherverbalnounsthatend inthesuffix‘-ization’,theterm‘globalization’suggestsadynamicbestcapturedby the notion of ‘development’ or ‘unfolding’ along discernable patterns. Such unfolding may occur quickly or slowly, but it always corresponds to the idea of change, and, therefore, denotes the alteration of present condition. 1. Liberalism- ideal of promoting “freedom and democracy” around FREE FLOW OF GOODS & SERVICES the world.  Self-regulating market. One role [of government] is to get out of the way—to remove barriers to the free flow of goods, services, and capital.  This ideology is in a sense the ideology of the “industrialized West”  It has a focus on a particular set of values: the individual, freedom, reason, justice, toleration.  Emphasizes the importance of the individual, both the uniqueness and equality of all individuals. (Individualism)  Has commitment to individual freedom, does not mean that he/she is free what he/she wants to do. There are still constraint being you are not allowed to hurt another individual.  The ability to use ones intellect in taking action (Faith in Reason)  Person should be given of what is due (Justice and Tolerance)  Individual rights is central  Believes in tolerance and pluralism- means different political cultures, moral and cultures can exist together. 2. Conservatism   Preservation of tradition with regards to values, practices and institution. (Tradition)  See tradition as being one of the foundation of society; without it they believe that society would crumble.  They need Stability and security in lives, which the government can provide.  Human beings could not exist outside of society or social group that nurture him/her like, family, friends, community and the nation. (Organic society)  Believes that society is hierarchical, and that authority (who is on top or in charge) develops naturally. (Hierarchy and Authority)  Believes in the importance of owning property, and encourage savings and private investment in property, property is seen in creating a stable world. (Property)  People less damage someone else’s property if they also own property. 3. SOCIALISM  Human beings are tied to one another by the bonds of common humanity. (Community)  We are all brothers and sisters  Socialist believe that natural relationship among humans is one of cooperation rather than competition. (Cooperation)  Socialists are committed to equality. (Equality) Social class as the determining factor of the society. (Social Class)  Disagree with the idea of private property, as they see as one causes of competition and therefore of social inequality. (Common ownership)  Views that all property should be communal Comparison of 3 Ideologies View Liberalism Conservatism Socialism Human Good Imperfect and selfish Good nature  Individual Free to pursue Individual obey the Support the common individual goals power structure good Society Working together Hierarchical- divisions Society is more are natural important than individual Private Used for personal Necessary for stability The cause of inequality Property benefit 4. Fascism  Life is struggle, survival of the fittest  Believes in elitism, some people are born as leaders  A certain nation is powerful than others 5. Capitalism  economic system that is focused on profit  Production is privately own  (MARKET) defining mechanism in ordering society. 6. TOTALITARIANISM  State is handled of 1 or group of persons  They handled everything in the territory  This is the total system of control  Establishes rule by manipulating, terror, and brutality 7. ANARCHISM  No government rule among people  People are good in nature 8. NATIONALISM  Nation is the central principle of political organization 9. ENVIRONMENTALISM  Nature is the central focus of organization 10. FEMINISM  Equality among men and women 11. Justice Globalism- all people are equal, deserve equal rights and opportunities. Distributive justice- socially just allocation of goods. 12. Religious globalism- Struggle against both market and justice globalism as they seek to mobilize a religious values and beliefs that are thought to be under severe attack by the forces of secularism and consumerism. People live in single social unit.  Assess Your Knowledge Unit I: Unit Test Name: ________________________ Score: __________ Course/ Year & Section: ________________ Date: ______________ I: Multiple Choice Instruction: Read each item carefully and write the letter of the correct answer before each number. Strictly NO ERASURES allowed. Erasure means wrong! a.Ethnoscape b. mediascape c. Technoscape d. Financescape _______1. Dinagyang Festival in international media ______6. Internet _______2. Refugee ______7. Diwata I _______3. OFW ______8. National Geographic _______4. Electronic money Channel _______5. Digital media ______ 9. Credit Cards ______10. Online Class ______ 11. “WE ARE ALL BROTHERS AND SISTERS” this phrase/ quote is known to what ideology? a. Socialism b. Feminism c. Conservatism d. all of the above ______ 12. This ideology states that Market is the defining mechanism in ordering society. a. Socialism b. Capitalism c. Anarchism d. Totalitarianism ______ 13. Ana, a Biology teacher has a practice of having an organized, clean, and good classroom management, because, she believes that such practice promotes conducive learning. What type of ideology does she has?  a. Environmentalism b. Totalitarianism c. Anarchism d. Conservatism ______ 14. Humans are good in nature. Therefore, we don’t need government to rule nor guide us. a. Nationalism b. Anarchism c. Conservatism d. Totalitarianism ______ 15. We need to invest in savings and have a property for stability of our life. a. Nationalism b. Anarchism c. Conservatism d. Totalitarianism  Acquire New Knowledge Here is your Second lesson – Read and learn. Unit II. The Structures of Globalization At the end of the unit the Students must have: 1. Define economic Globalization 2. Identify the actors that facilitate Economic globalization 3. Define the modern world system 4. Articulate a stance on global economic integration 5. Explain the role of international financial institutions in the creation of a global economy 6. Narrate a short history of global market integration in the twentieth century 7. Identify the attributes of global corporations 8. Explain the effects of globalization on governments 9. Identify the institutions that govern international relations 10. Differentiate internationalism from globalism 11. Identify the roles and functions of the United Nations 12. Identify the challenges of global governance in the twenty-first century 13. Explain the relevance of the state amid globalization Lesson IV: The Global Economy Here, we will begin our discussion with the economic history which made possible the economic structure that affects Globalization today. 1896- The beginning of Economic system. 1914- Reached its peak. There are various changes and improvement that characterize economic globalization before and at present. Structure of transportation, communication, and capital are comparable then and now. Transportation Railroads and steamships were main invention Communication Telegraph which assisted the early 20th Century Capital Flow of large scale of capital and large scale of immigration became the world norm Remittance- migrants send money to their place of origin(Ex. OFW send money to the Philippines) Problems faced by Global Economic Development: 1. Poor nations and the peoples who inhibit them were and are subjugated by the operations of global economy. 2. Not all portion of the world gained/ gained equal from the growth of the global economy. 3. Not only were or are there losers in this economic competition among geographic areas, but also certain industries and social classes lose out, at least comparison to the winners. 4. Within nations, poor are tend or tended to suffer most when those nations, are forced to repay their debts to others, more developed, nations. In sum, the global economy of the century “was not equally good for everyone and was bad for many” (Frieden, 2006) Surpluses and Deficits A good place to get a quick snapshot of global trade as well as economic flows in and out of the nation-state is by looking at a nation’s trade surpluses and deficits. (Mann and Pluck, 2007). Surplus- an excess of production or supply over demand. Deficit- the amount which something, especially a sum of money is too small.  Economic Chains and Network Trade in goods and services is clearly central to global economy. Most of the trade takes place in interconnected circuits of one kind or another. Most Important Chains and Networks involved in Global Trade: 1. Supply Chains- it begins with raw materials and follows the value- adding process through a variety of inputs and ultimately to a finished products. Example: In the production of T-shirts/Clothes. It begins with the comparatively cheaper raw materials like, cotton, dye, and at various steps along the way workers, machine, etc. added value to the cotton to create a finished/end product which is the t-shirts. In this case the T-shirts have higher value compare to the raw materials during the process. 2. International Production Networks- Involved the networks of producers involved in producing a finished product. Example: Multinational corporations- playing a central role in this process and being the flagships in this networks. 3. Global Commodity Chains a. Producer-Driven Chain- manufacturing their own products and sell it directly to consumers or to the Buyer- Driven Chain. Example: Pepsi, Coke b. Buyer-Driven Chain- Do not manufacture the product they are selling, rather they buy the product and sell it under their brand names. Example: Gasoline Stations like Shell and Petron where gasoline is imported from other countries specifically from Arabian countries. 4. Global Value Chains- highlight the relative value of those economic activities that are required to bring a good or service from conception to, through the different process of production (combining the Physical and input to produce a product) deliver to final consumers, and final disposal after use. Manufacturing delivery consumption disposal of used/waste product Example Diagram: Another example: Metal scrap (disposed cars and other metal products) from USA send to China Back to USA for selling Recycled to kitchen wares/ other metal products Increasing Competition for Commodities The known and an example of competing in commodities is oil. The same as much as happened in natural gas, copper, lithium, nickel silver, gold, as well as even mundane commodities such as wheat, rice, corn, and soybean. China, USA, AND India are among top consumers of such commodities as massive development happened in their economy and the rest of the world. The result of all this was a massive increase in the prices of all sorts of commodities.  Outsourcing Is the transfer of activities once performed by an entity to a business or a businesses in exchange for money. The work of outsourcing most closely and importantly associated with globalization is offshore outsourcing which sending work to companies in other countries. Example: Indian women serving as surrogate mothers from couples from the Israel. BPO/ call center companies from America operating in the Philippines. Consumption While aspects of Globalization that relate to consumption have been mentioned above, this section focuses more directly in consumption itself in a global context. (Sassatelli, 2008) Of particular interest here is the expending of global flows of consumer goods and services of all types and of the financial processes and instruments that expedite those flows. Example: number of credit cards with origins in the US especially visa and master card are increasingly accepted and used throughout more and more parts of the world.- this serves not only the global consumption, but also the flows of global consumers. Thus, globalization means the hyper consumption (buy more than one can afford) and hyper debt (owing more than one will be able to pay back), as well as the problem associated with them, are increasingly likely to become global phenomena and problems. Modern World System Through the global economic activity, countries around the world have been divided according to their economic power in the global arena. World System- is a largely self-contained system with a set of boundaries and a definable life span; that is, it does not last forever. It is composed internally of a variety of social structures and member groups. Modern World System- also known as modern capitalist world- economy. It is a system that rely on economic domination- this means that it is economic forces (and the economy of the world) that pull people, states, and societies toward the arena of worldwide economic transactions. Worldwide Division of Labor and the Development of Modern World System. Not all countries around the world are equal in the modern world system (Wallerstein). 3 Categories of countries thereby creating a worldwide division of Labor A. Core These are areas that dominate the capitalist World- economy and exploits the rest of the system. (ex. USA and Japan) B. Periphery These are areas provide raw materials to the core and are heavily exploited. Ex. Many countries in African region C. Semi- Periphery A residual category that encompasses a set of regions somewhere between exploiting and the exploited. Ex. India International division of exploitation is defined by not state borders but by economic division of the world. 3 things necessary for the rise of Capitalist World- Economy: 1. Geographical expansion- the exploration and colonization in Europe created a wider networks of people and market. (Exchange of commodities to other countries and slave trades. 2. Different parts of the world come to specialized in specific functions- Africa was the source of slaves, and Europe home of peasants and farmers. 3. Core state’s development- the involvement of political sector and how various economic groups used state structures to protect and advance their interests. In here that Europe developed and had advancement in their bureaucratic systems.  Apply Your Knowledge Name: ________________________ Score: __________ Course/ Year & Section: ________________ Date: ______________ Direction: Write your answer in the space provided under the following question. Write your answer in sentence form. (5 points) Question: Write your positive and negative insights in event that “other countries transferring to us/to our country Philippines, their activities also known as outsourcing, like BPO/ call Center Company, among others”. Positive Effects: 1. ________________________________________________________________________ __ 2. ________________________________________________________________________ __ 3. ________________________________________________________________________ __ Negative Effects: 4. ________________________________________________________________________ __ 5. ________________________________________________________________________ __ Lesson V: Market Integration This lesson shows the contribution of the different financial and economic institutions that facilitated the growth of the global economy. We will also look at the multinational corporations that are emerging in today’s economy. Economic Development During and After WWII - During the WWI, the Western World, especially USA and Great Britain, began planning for a more open international economy. - The focus of the planners was on reducing trade barriers and n creating conditions necessary for the free flow of money and investment. - Another concern is the creation of conditions needed for financial stability around the world. These were the background for the meeting in July 1944 at the Mount Washington Hotel in Bretton Woods, New Hampshire, which led to the beginning of the “Bretton Wood System” by the end of the 3 week meeting. Bretton Woods and the Bretton Woods System  Concern serves as backgrounds of Bretton Woods System: Depression- Lack of cooperation among nation states which was associated with high tariffs and other import restrictions and protectionist practices, as well as propensity of governments to devalue their currencies in order to gain an edge in global trade over other countries , which resulted to the exchange rate wars among nations involved more likely. 5 Key elements of Bretton Woods System: (Bordo and Eichengreen, 1993; Boughton, 2007:106-7) 1. Each participating state would establish a ” par value” for its currency expressed in terms of gold or (equivalently) in terms of the gold value of the US dollar as of July 1994. 2. The official monetary authority in each country (a central bank or its equivalent) would agree to exchange its own currency for those of other countries at the established exchange rate, plus or minus a one- percent margin- this made international trade possible. 3. The International Monetary Fund (IMF) was created, to establish, stabilize, and oversee exchange rates. 4. The member states agreed to eliminate, at least eventually, all restrictions on the use of its currency for international trade. 5. The entire system is based on the US dollar Bretton woods has its most powerful effects on global trade, the global monetary order, and global investment. (Peet, 2003) Restrictions on international trade were reduced over the years through various meetings under the auspices of GATT and later the WTO. In terms of monetary order, it was the IMF that took the center stage. The goal was to provide security, as well as flexibility, to the monetary order. The global openness encouraged by Bretton Woods also contributed to the emergence or expansion of social welfare programs, indeed the welfare state, in any countries. Welfare states sought to deal with various problems- recessions, layoffs, and reduction in wages, and bankruptcies of uncompetitive firms. The combination of all these aspects and dimensions of Bretton Woods satisfied many different nations and constituencies and in the process “oversaw the most rapid rates of economic growth and most enduring economic stability in modern history” (Freiden, 2006) Economic organizations associated with Bretton Woods System 1. General Agreement on - A system for liberation of trade that grew out of Bretton Tariffs and Trade Woods that came into existence in 1947. It was (GATT) operated until 1995 when it was superseded by the World Trade Organization (WTO). - Focus on trade of goods, and focuses on tariffs reduction 2. World Trade - Multinational organization headquartered in Geneva, Organization (WTO) Switzerland. - Responsible for the increasingly important trades in services. - Encompasses much of what’s GATT’s mandates but has moved into other areas and issues such as services - Focuses more on not- tariff-related barrier to trade. 3. International Monetary - The goal is macroeconomic stability for both member Fund (IMF) nations and the global economy. (Cardim de Carvalho, 2007). - Deals with exchange rates, balances of payments, international capital flows, and the monitoring of member states and their macroeconomic policies. - It can also give adjustments loan for nations initially largely developed countries. 4. World Bank - Established on 1944 at Bretton Woods and begun its operations in1946 - Officially the International Bank for Reconstruction and Development (IBRD) - Membership is open to all members of IMF - The bank expanded far beyond its original focus in projects involving physical infrastructure (transportation, telecommunication, etc.) capable of generating income. - It deals with the broad range of issues related to economic development including population, education, health, social security, environment, culture, and gender equality among men and women. - Among the Missions of the Bank are: 1. Encouraging the development of productive facilities and resources in less developed countries. 2. Funding for productive purposes when private capital cannot be obtained on reasonable terms; 3. Encouraging international investment in order to promote international trade and development and equilibrium in balance of payments; and 4. Helping member countries improve their  productivity, standard of living, and labor conditions 5. Other important Economic Organizations a. Organization for - Most encompassing club of the world’s rich countries. Economic - It is a highly influential. Cooperation and Development (OECD) b. European Union (UE) - Product of post WWII - Encompasses those nations in Europe that adopted Euro as their basic currency. c. North American - Based on the idea that the USA, Canada, and Mexico Free Trade were to eliminate barriers to trade and investment over Agreement the ensuring 15 years. (NAFTA) d. Organization of - Included the major oil exporters of the day- Iran, Iraq, Petroleum Kuwait, Saudi Arabia etc. Exporting Countries (OPEC) The Multinational Corporation (MNC) - A firm that has the power to coordinate and control operates in more than 2 countries even if it does not own them- means that they operate in an array of economic, political, social, and cultural environments. Portfolio Investment- another form of MNC activity which involves the purchase of equity in companies in other countries but the motivation is financial gain and not to obtain control over those companies. Dicken outlines various ways in which corporations becomes Transnational or Multinational: 1. Greenfield investment- involves the building of totally new facilities in another country. 2. Merger and acquisition- Ex. the acquisition of Americas Chrysler Corp by the German Daimler- benz now dissolved. 3. Strategic Collaboration- which while they have existed for a quite some time, have grown in number, increased in scale and become increasingly central to a firms transnational strategy. - Strategic collaboration among companies in different countries has various objectives, such as gaining access to specific markets and technologies, sharing the risks associated with market entry, sharing other costs and uncertainties, and achieving economies associated with synergy.  Lesson VI: The Global Interstate System The concept about state is an interesting matter to discuss mostly by the people and scholars of the global politics in today’s contemporary world. This topic will give you significant lessons about the definition of the word state and its roles and functions when it comes to international relations. Also, in this part, the description about the Global Governance in the 21st century is highlighted and the effects as well of globalization to the governments. State- means a community or society politically organized under one independent government within a definite territory and subject to no outside control where people are bound by rules of common behaviour and their violation is accompanied by punishment. It is a political unit that has authority over its own affair and its borders are recognized by other countries. The Functions of the State The main functions are maintaining law, order and stability, resolving various kinds of disputes through the legal system, providing common defense, and looking out for the welfare of the population in ways that are beyond the means of the individual, such as implementing public health measures, providing mass education and underwriting expensive medical research. From a conflict perspective, the state operates in the interests of various dominant groups, such as economic classes and racial and ethnic groups. What is a Global Interstate System? It is the whole system of human interactions. The modern world system is structured politically as an interstate system - a system of competing and allying states. Political Scientists commonly call this the international system, and it is the main focus of the field of International Relations. - It also includes all the cultural aspects and interaction networks of the human population. GLOBAL INTERSTATE SYSTEM: The Development of World Systems and Its Theories The world systems perspective emerged during the world revolution of 1968 and the anti- war movement that produced a generation of scholars who saw the peoples of Global South (then called the “Third World”) as more than an underdeveloped backwater. It is indeed true that history of colonialism and decolonization shaped the structures and institutions of the whole global system. It became widely understood that a global power structure existed and that the people of the non- core had been active participants in their own liberation. In order for you to understand the concept ow world systems, it is necessary for you to be familiarized with the different theories on the development of the World Systems. The definition of the theory refers to the division of labor, be it inter-regionally or transnationally. It aims to analyze the world history of the mankind and social changes in different countries. The theory divides the world into the core, semi- periphery and periphery countries. These theories present the different attributes of the countries mainly in economic aspect. It is indeed a fact that economic programs and efforts of every country is one of the major underpinnings on the development of the global interstate system. CORE NATIONS SEMI- PERIPHERAL NATIONS - Appear to be powerful, wealthy - these regions have a less and highly independent of developed economy and are not outside control. dominant in the international - They are able to deal with trade. bureaucracies effectively: they - in terms of their influence on the have powerful militaries and can world economies, they end up boost strong economies. midway between the core and - Due to resources that are periphery countries. available to them (mainly - however, they strive to get into a intellectual), they are able to be dominant position of the core at the forefront of technological nation, and it was proved progress and have a significant historically that is possible to influence on less developed gain major influence in the world non- core nations. and become a core country. PERIPHERAL NATIONS - these are the nations that are the least economically developed. - one of the main reasons for their peripheral status is the high percentage of uneducated people who can mainly provide cheap unskilled labor to the core nations. - there is a very high level of social inequality, together with a relatively weak government which is unable to control country’s economic activity and the extensive influence of the core nations.  Apply Your Knowledge Name: ________________________ Score: __________ Course/ Year & Section: __________ Date: ___________ Direction: Below are the pictures that represent three countries namely: United States of America, South Korea and Philippines. Identify the following countries if they belong to core, semi- peripheral and peripheral nations. State your insights in the space provided. Criteria: Total of 10 points per item Content- 7 points Clarity of handwriting- 3 points 1. USA ______________________________________ ___ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ https://www.storyblocks.com/ South Korea _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________  _________________________________________ _________________________________________ _________________________________________ _________________________________________ https://www.vectorstock.com/ 2. Philippines _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ _________________________________________ https://www.cleanpng.com/ _________________________________________ _________________________________________ Lesson VII. Contemporary Global Governance Concept of Contemporary Global Governance Global governance or world governance is a movement towards political cooperation among transnational actors, aimed at negotiating responses to problems that affect more than one state or region. It aims to prepare professionals to face challenges that require specific legal and economic competencies, as well as a wide range of technical knowledge and skills to manage cultural mediations. It is certainly necessary because humanity increasingly faces transnational problems such as violence and pandemics that routinely reach across borders. Special mention to today’s pandemic in the world, the rapid spread of Corona Virus or simply called the COVID -19. This viral contagion resulted to many deaths among the population in different places and even debts among the countries especially the developing ones, from the core countries for the sustenance of their country’s necessities. This calls all nations to help together in giving solution to this pandemic and urge the humanity to cooperate with the There is a series of specific factors behind the emergence of global governance.  1. Declining Power of Nation- States Nation- States defined as a typical sovereign country dominated by a particular ethnicity mainly in the nations of Europe. In simple explanation, this is a kind of state that always based on fiction so that the equality of citizens demanded by liberal states was held to be compatible with the national homogeneity of the nation. But as different ethnic groups demanded recognition and rights and as refugees advocated for rights within the nation- states, the tension between legal quality and national recognitions set the nations of Europe against the states and established their own kind of government. 2. Flows of Digital Information through the Internet It is difficult, if not impossible, for a nation- state to stop such flow and in any case, it is likely that such action would be politically unpopular and bring much negative reaction to the nation- state involved in such an effort. For example, China’s periodic efforts to interfere with the internet have brought great condemnation both internally and externally. It is for the reason that Chinese government block website contents and monitors individual’s internet access. 3. Illegal Mass Migration If states are unable to control this flow, then there is a need for some sort of global governance to help deal with the problem. The flow of criminal elements, as well as their products (drugs, laundered money, those bought and sold in sex trafficking, etc.), is a strong factor in the call for global governance (Levy and Sznaider, 2006). Photo by: Ibrahima Guisse  4. Inability to control the Country Another set of issues that has led to calls for global governance involves horrendous events within nation- states the states themselves either foment and carry out, or are unable to control (Nordstrom, 2004). For example, the Sudan government is responsible for ‘ethnic cleansing’ and crimes against humanity in Darfur, one of the world’s poorest and most inaccessible regions (2004 Human Rights Watch). It is for the reason that black Africans from Darfur rebelled against the country’s Arab Muslim leadership demanding improved infrastructure in the region, proceeds from oil wealth and power- sharing government. The Sudanese government retaliated by sending its military forces to quell the rebellion. This is a conflict in which hundreds of thousands of people Conflict in Darfur were killed and millions of them were displaced. https://genocidememorialproj The government is also accused of burning and ect.wordpress.com/ destroying villages in parts of Darfur and of slaughtering men, women and children. 5. Global Financial Crises There are problems that single nation cannot hope to tackle on their own. Some nations (e.g. the nations in Southeast Asia) have often been, and are being, victimized by such crises. Unable to help themselves, such nations are in need of assistance from some type of global governance. For example, the monetary assistance of China to the countries that need recovery from some economic loss. China is the largest market in the world due to its large population. In last decade around 8% of the total manufacturing output in the world came from China itself and China ranked 3rd worldwide in industrial output. Plus, China is the largest steel producer in the world, producing 45% of the world’s steel. All these led to the high growth in their GDP. Plus, following are the examples based on true events of neo colonialism that are spreading by China: 1. Chinese government had given loan to Sri Lanka for building airport and Hambantota port. Sri Lankan government failed to recover the loan amount and, on that basis, gave access of hambantota port to China for 99years on lease. Revenue part will be taken care by China.  2. China also gave loan to Malaysia, South Africa, Venezula, are the countries facing debt trap and due to which gave some or the other access to their assets and stake to China. The above examples are known as Debt Trap Diplomacy means when a higher income country gives a loan to middle- or lower-income countries with the alleged intention of making power and money from the debtor country when it is unable to repay the debts. This loan is not publicly disclosed. This diplomacy is only applicable in bilateral relationships and not multilateral relationships INSTITUTIONS THAT GOVERN INTERNATIONAL RELATIONS International Relations is concerned with relations across boundaries of nation-states. It addresses international political economy, global governance, intercultural relations, national and ethnic identities, foreign policy analysis, development studies, environment, international security, diplomacy, terrorism, media, social movements and more. In this section, the institutions that govern International Relation is highlighted for those are greatly influence countries in many governmental matters and concerns. United Nations The main function of the United Nations is to preserve international peace and security. Chapter 6 of the Charter provides for the pacific settlement of disputes, through the intervention of the Security Council, by means such as negotiation, mediation, arbitration, and judicial decisions. The Security Council may investigate any dispute or situation to determine whether it is likely to endanger international peace and security. At any stage of the dispute, the council may recommend appropriate procedures or methods of adjustment, and, if the parties fail to settle the dispute by peaceful means, the council may recommend terms of settlement. The official Logo of UN  Roles of United Nations 1. To maintain international peace and security, and to that end: to take effective collective measures for the prevention and removal of threats to the peace, and for the suppression of acts of aggression or other breaches of the peace, and to bring about by peaceful means, and in conformity with the principles of justice and international law, adjustment or settlement of international disputes or situations which might lead to a breach of the peace; 2. To develop friendly relations among nations based on respect for the principle of equal rights and self- determination of peoples, and to take other appropriate measures to strengthen universal peace; 3. To achieve international co-operation in solving international problems of an economic, social, cultural, or humanitarian character, and in promoting and encouraging respect for human rights and for fundamental freedoms for all without distinction as to race, sex, language, or religion; and 4. To be a center for harmonizing the actions of nations in the attainment of these common ends World Bank and International Monetary Fund The World Bank and the IMF, often called the Bretton Woods Institutions, are twin intergovernmental pillars supporting the structure of the world’s economic and financial order. Both have taken on expanding roles, and there have been renewed calls for additional expansion of their responsibilities, particularly in the continuing absence of a single global monetary agreement. The two institutions may seem to have confusing or overlapping functions. However, while some similarities exist (see the following figure), they are two distinct organizations with different roles.  The World Bank is internationally recognized and supported that provides technical and financial assistance to many developing countries in the world. Also, it aids their advancement, in an economy with a primary goal of reducing poverty. World bank has the largest knowledge of developing countries. Also, they are the largest source when it comes to funding. The World Bank provides long-term loans for various development projects of 5 to 20 years duration. The International Monetary Fund (IMF) is an international organization that aims to accomplish a number of different goals. These include reducing global poverty, encouraging international trade, and promoting financial stability and economic growth. The IMF has three main functions: overseeing economic development, lending, and capacity development. EFFECTS OF GLOBALIZATION TO GOVERNMENTS One of the key concepts of state sovereignty is the government. It is a group of people who have ultimate authority to act on behalf of state. Each state has its own right to self- determination and that other country should not intervene in the affairs of the state unless there are extraordinary reasons to do so. Each state is autonomous unto itself and responsible within its own system of government to those who are governed. A civil society within a state can also act as a counterweight or as a supplement to government. Civil society includes the private economy, educational institutions, churches, hospitals, fraternal organizations and other non-profit organizations. There have been several challenges to the government and ultimately, to state autonomy. We can divide these challenges into four: traditional challenges, challenges from national or identity movements, global economics and global social movements. Traditional Challenges Challenges from National or Identity Movements External intervention can The next challenges are part of a national or identity generally be described as movement. It is important to know that a nation has invasion by other countries. cultural identity that people attached to, while a state is For example, when Saddam a definite entity due to its specific boundaries. However, Hussein was the ruler of Iraq different people with different identities can live in in 1990, he decided to take different states. For example, the Kurds reside in several over the oil field of Kuwait. different countries including Iraq, Iran and Turkey. The He invaded Kuwait and took Catalans live primarily in Spain but we can also find it over. As a result, he was some of them in France. dislodged by an international Global movements such as Al- Qaeda and ISIS, are coalition led by the United another example of national or identity movements. States. They are structured around the fundamentalist version of Islam. Global Economics Global Social Movements The third major source of Social Movements are movements of people that are challenge comes from global spontaneous or that emerge through enormous economics. It demands the grassroot organization. states to conform to the rules For example, the human rights movements create a of free market capitalism. It public sentiment, value and agenda. This advocate focuses on free trade and certain rights like what we call human rights. If a dismantling trade barriers. country decides that they are going to have a certain A specific example to expand policy and if that policy violates the international global economic influence is standard of human rights, there is a challenge to the the use of IMF and the World ability of the states to fully implement it. Bank in forcing government There is also an increased role in international reforms in poorer country organizations like the United Nations and the International Criminal Court in Hague, the role of non- governmental organizations like Amnesty International and the role of global media. The Relevance of the State amid Globalization The state is the distinctive political community with its own set of rules and practices that is more or less separate from other communities. It has four elements: people, territory, government and sovereignty. The first element of the state is a permanent population. This does not refer to nomadic people that changes residences in indefinite time. The permanent presence in one location is strengthened by the second element of a state, a defined territory and its pertained to the boundaries of the state. The third element is the government that regulates relations among its people and with other states. This means that the state is a formally constituted sovereign political structure encompassing people, territory, and its institutions on the one hand, and maintaining its autonomy from other states on the other hand. It is important to differentiate the idea of nation from state. Nation refers to a people rather than any kind of formal territorial boundaries or institutions. It is a collective identity grounded on a notion of shared history and culture. If we talk about the Philippines as a state, we may refer to the Philippine government, the Philippine territory and its internal and external sovereignty. In other words, the state is a political concept while a nation is a cultural concept. The role of the nation-state in a global world is largely a regulatory one as the chief factor in global interdependence. A variety of arguments are made including that nation- states continue to be the major players on the global stage (Gilpin, 2001), that they “retain at least some power in the face of globalization” (Conley, 2002, pp.378-399), that they vary greatly in “ their efficacy in the face of Globalization” (Mann, 2007, p.472), and that the rumors of the demise of the nation- state are greatly exaggerated. A related point is that it would be a mistake simply “to see globalization as a threat to, a constraint on, the nation- state; it can be also be an opportunity for the nation- state” (Conley, 2002, pp. 378- 399).  Apply Your Knowledge Name: ________________________ Score: __________ Course/ Year & Section: __________ Date: ___________ Direction: Write your own insights about the following questions. Criteria: Total of 10 points per item Content- 7 points Clarity of handwriting- 3 points 1. Do you consider United Nations as a world government? Why or why not? Discuss your answer in the space provided below. _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ Do you believe in the concept of China’s Money Trap? Explain your answer. _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ Unit III: A World of Regions Lesson I: Global Divides: The North and the South (focus on Latin America) Lesson II: Asian Regionalism Desired Learning Outcomes: At the end of the unit, the students must have: 1. Define the term “Global South” 2. Differentiate the Global South from the Third World 3. Analyze how a new conception of global relations emerged from the experiences of Latin American countries 4. Differentiate between regionalization and globalization 5. Identify the factors leading to a greater integration of the Asian region 6. Analyse how different Asian states confront the challenges of globalization and regionalization Introduction: The world of today is rapidly transforming from a world of states into a world of regions and states. Over the past decade, the role played by regions in both local and global governance has undergone significant transformations. A global proliferation of region-building continues to result in a growing interconnectedness of local and global governance and give rise to a proliferation of regional actors, institutions and groupings. “Regionalism has certainly gained importance over the last decade. Good governance is increasingly a matter of multiple actors functioning at different levels. This calls for new thinking about the place of both states and regions in today’s world. The diversification of region-building initiatives over the last decade or so brings with its new challenges for both global and local governance. On the one hand, there is a proliferation of economic regional trade arrangements. “Regional organizations are increasingly playing a role in peace and security governance,” Dr. Van Langenhove (key figure of the United Nations University) says. Lesson I: Global Divides: The North and the South (focus on Latin America) This topic is mainly focused on the definition and concepts of Global South as it is one of the models in studying regionalization as relates to globalization in the contemporary world. In order for you to further understand the lesson, please read the context below entitled The Global South by Nour Dados and Raewyn Connell. The phrase “Global South” refers broadly to the regions of Latin America, Asia, Africa, and Oceania. It is one of a family of terms, including “Third World” and “Periphery,” that denote regions outside Europe and North America, mostly (though not all) low-income and often politically or culturally marginalized. The use of the phrase Global South marks a shift from a central focus on development or cultural difference toward an emphasis on geopolitical relations of power. From its earliest days, sociology had concepts for describing global difference. From Auguste Comte and Herbert Spencer to Emile Durkheim and Lester Frank Ward, sociologists discussed social progress by drawing broad distinctions between “advanced” and “primitive” institutions and societies. They located the primitive both in the past, and in the colonized world of their own day.  From the fifteenth to the nineteenth century, empire and colonization had brought a flood of information about other societies to the intellectuals of Europe and North America. The societies identified in early sociological texts as the most primitive were the San people of Southern Africa, the indigenous people of Tierra del Fuego, and the Aboriginal people of Australia. It is no accident that these were three of the southernmost populations known to European colonizers; they were literally the most distant. Thus, European colonial expansion provided the historical context that underpins the way we use these terms now. Cotton Production The idea of the South was placed firmly on the table by the famous Italian Marxist Antonio Gramsci whose essay “The Southern Question” began with the idea that southern Italy had, in effect, been colonized by capitalists from northern Italy. Gramsci explored the difficulties southern peasants and northern workers faced in forging an alliance with one another. In Italian social thought, most later treatments of the “NorthSouth differential” addressed only variations in economic development. But the connection with colonialism was revived in another forum: development economics. In the 1950s and 1960s, the Argentine economist Raúl Prebisch popularized the distinction between “core” and “periphery” of the world economy. With other critics of orthodox economics, Prebisch analyzed underdevelopment and struggled for reform of the world trade system. Advancement of Technology in Global South Cheap labor in the Global South  The NorthSouth language provided an alternative to the concept of “globalization,” contesting the belief in a growing homogenization of cultures and societies. The idea of a powerful Global North and a resistant Global South was promoted by the Zapatista revolt in Mexico, the “African Renaissance,” and the World Social Forum launched in Brazil. Industrial growth in Asia, and the emerging BRIC (Brazil, Russia, India, China) group in world politics, complicated the North-South picture. But other changes in the global economy, especially the huge growth of finance capital centered in New York, London, Frankfurt and Tokyo, reinforced the economic advantage of the old imperial centers. Recently, the North-South concept has acquired increased sophistication. Intellectual movements, such as subaltern studies from India have emphasized the history of resistance to empire. Peruvian sociologist Aníbal Quijano’s notion of the “coloniality of power” emphasizes the legacy of colonialism in contemporary culture and politics. The idea of the South as a region of distinctive intellectual production is articulated in Boaventura de Sousa Santos’ Conocer desde el Sur and Raewyn Southern Theory, offering new Connell’s agendas for sociology. North-South terminology, then, like core-periphery, arose from an allegorical application of categories to name patterns of wealth, privilege, and development across broad regions. The term Global South functions as more than a metaphor for underdevelopment. It references an entire history of colonialism, neo-imperialism, and differential economic and social change through which large inequalities in living standards, life expectancy, and access to resources are maintained.  Global South: Highlighting the Latin America Studying the State: A Global South State-led change in Latin America by Esteban Nicholls Recent Latin America history illustrates with particular poignancy the relevance of studying the state and the need to continue to update our theoretical tools to understand its inner workings and changes. In 1998, led by Hugo Chavez, Venezuela led a series of unprecedented transformations (both good and bad). One of the most important ones was the return of the belief in the state as a force for positive change in a society plagued by inequality, poverty and political instability. One of Chavez’s main campaign promises was to liberate Venezuela, both from imperialism and neoliberalism, and the figure of the state was central to the doctrine later know as twenty-first-century socialism. Following in Chavez’s footsteps, many South American countries began to embrace (some more than others) Chavez’s doctrine, which, aided by high commodity prices, made it easier to enlarge the state apparatus and rely on its spending to direct resources to the region’s poorest. But as Chavismo hoped to change society, especially ‘savage neoliberalism’ through the state, it also undertook important structural changes in the state itself. In 1999, Venezuela convoked a Constituent Assembly with the purpose of changing the country’s constitution. With great support from the population the Assembly drafted a new constitution and undertook sweeping changes in the apparatuses of the state. Venezuela changed its name to the Bolivarian Republic of Venezuela and expanded the branches of government from three to five: in addition to the executive, judiciary and legislative, it elevated the electoral tribunal to a full branch of government (electoral power), and created a ‘citizen’s power’ branch, which was meant bridge the gap between those in power and regular citizens. To be sure, these changes were and still are controversial, but they inspired similar transformations in Ecuador, Bolivia and Nicaragua, and others. Like in Venezuela, other countries (Ecuador ad Bolivia) spearheaded political reform by drafting new Constitutions. The new Constitutions of Bolivia and Ecuador, like the one in Venezuela, brought the role of the state back to the centre of political, economic, social, and cultural life. In the case of Ecuador, its Venezuelan-inspired constitution not only expanded the branches of govern also to five, but also expanded the role of the state into new ‘epistemic’ territories by adopting much of indigenous people’s narratives (and potentially practices) into the realm of the state. In this sense, the environment or ‘nature’ more generally became the subject of rights and the country’s indigenous populations’ ‘cosmovisions’ (cultural understandings of the world) were given formal recognition by the state through the Constitution. Bolivia followed a similar path—one that continues to this day under the leadership of President Evo Morales—Bolivia’s first indigenous President. Countries like Argentina and Brazil, while not replicating the Venezuelan template to the extent that Ecuador and Bolivia did, also undertook reforms to bring the state back in to the centre of their own political economies. While not limiting our analysis of the state to these countries (see, for example, Carlos Flores’s insightful article on the Mexican state), their experience is a valuable methodological source for an analysis of the state, its contradictions, its possibilities, and the ways in which it exercised power. The chronological proximity of the cases analysed in this collection means that the articles look at processes of statecraft from a privileged vantage point. It is also worth noting that many of the countries analysed were led by governments that, as noted earlier, embraced the notion of a state-centric development model and are thus particularly well suited as case studies for critically evaluating the ‘whereabouts of the state’. Other cases, like the Mexican case (Flores’s article), or the case of Nicaragua or Zambia (Dan Banik and Benedicte Bull’s article) present an interesting counterpoint to evaluate state forms that while not following the Venezuelan template, reveal how state power is constructed through its linkages to elites—elites that congregate for illicit purposes, as in the Mexican case, or political elites in the cases analysed by Banik and Bull’s. THIRD WORLD OR GLOBAL SOUTH? Paulo Fagundes Visentini With the end of the bipolar system, the academic mainstream of International Relations considered that the concept of Third World had no longer operational or theoretical consistency, given that the countries of the Second World (socialist) were converting themselves into “Market Democracies”. The expression Third World was coined by French demographer Alfred Sauvy, in 1952, as an analogy to the Third State (people without privileges) from the time of the French Revolution. The Third World encompassed very distinct nations, but they had in common the fact that they had constituted the colonial or semi-colonial periphery. In addition to objective factors such as an expanding and young population and abundant natural resources, their limited level of development pointed to potential economic expansion and for the articulation of political organizations such as the Movement of Non-Aligned Countries. There was the pursuit of development, anti-colonialist and neutralist ideology, as well as the rejection of accession to military blocs and to the great power politics. Rather than creating a theoretical fad, the introduction of the Global South concept represented a strategy to depoliticize the meaning of Third Worldism. The Global South is not defined by a positive agenda, but by a negative one because, after all, the North is also global, is it not? Thus, according to the new concept there is no sense in the existence of the Group of 77 or the Non- Aligned Movement. All Southern States would be diluted in globalization, and the largest nations would enjoy the status of “emerging markets.” However, the unequal and combined development process, which is part of the essence of the world capitalist system, continued to follow its 1 Editor, Titular Professor of International Relations at Universidade Federal do Rio Grande do Sul (UFRGS). Coordinator of the Brazilian Centre for Strategy & International Relations (NERINT). E-mail: [email protected] Editor’s Note 8 Austral: Brazilian Journal of Strategy & International Relations v.4, n.8, Jul./Dec. 2015 course. Soon after, initiatives such as the IBSA Dialogue Forum, the autonomist and developmental diplomacy of the BRICS (with Russia and China forming a new Second World) and other variable geometry coalitions came into place. The Non-Aligned Movement continued existing (and growing) and the 60th anniversary of the Bandung Conference demonstrated the importance and continuity of the Third Worldism. Hence the constant criticism of any reference to the movements linked to South-South Cooperation, the BRICS and the minimal questioning of international rules defined by the great powers of the North Atlantic. There is a crisis and globalization, in order to sustain itself as a system, needs to avoid any misconduct of other States, no matter how small. Politicians, military, diplomats, journalists and academics are confronted with this situation fostered by the “international community” (powers that speak on behalf of others). Despite the denial of the importance of the regions that compose the Third World / Global South, what is observed in them is an increasingly fierce strategic dispute, which in a previous edition was called “Economic War”. In Latin America the progressive regimes that emerged in this century are under strong pressure from powers and international organizations. Africa has become a playing field between governments and Euro-US companies on the one hand, and the Chinese and other members of the BRICS on the other. In the Middle East, the armed conflict reached the size of a general war, while in Asia an attempt to form political, military and economic blocs can be observed. So, this issue of the Austral journal is dedicated to those regions, including an article by Professor Beatriz Bissio, which was one of the editors of the famous Third World Journal. It is very important for the new generations of internationalist scholars to be aware of concreteness, activities and complexities of Third World initiatives consecrated by the UN, such as the New International Economic Order and New World Information and Communication Order. Differences between Regionalization and Globalization  Lesson II: Asian Regionalism Asian regionalism is the product of economic interaction, not political planning. As a result of successful, outward oriented growth strategies, Asian economies have grown not only richer, but also closer together. Also, it could bring huge benefits not just to Asia, but to the world. It could help sustain the region's growth, underpin its stability, and—with the right policies—reduce inequality. Asian Regionalism: Context and Scope In the early stages of Asia's economic takeoff, regional integration proceeded slowly. East Asian economies, in particular, focused on exporting to developed country markets rather than selling to each other. Initially, they specialized in simple, labor intensive manufactures. Now, though, Asian economies are becoming closely intertwined not because the region’s development strategy has changed but it remains predominantly nondiscriminatory and outward-oriented. Interdependence is deepening because Asia's economies have grown large and prosperous enough to become important to each other, and because their patterns of production increasingly depend on networks that span several Asian economies and involve wide-ranging exchanges of parts and components among them. Emerging Asian economies that had opened up their financial markets—Indonesia, the republic of Korea, Malaysia, the Philippines, and Thailand—were worst hit, but nearly all Asian economies were eventually affected. Most then used the crisis as an opportunity to pursue wide-ranging reforms in finance as well as in other areas of weakness that the crisis exposed. Asia emerged with a greater appreciation of its shared interests and the value of regional cooperation. Since the crisis, Asia has become not only more integrated, but also more willing to pull together. Factors leading a greater integration of the Asian Region The entire world is moving towards integration, it is inevitable. But a regional partnership is the first step, we can see this in the EUROPEAN UNION, AFRICAN UNION, UNION OF SOUTH AMERICAN NATIONS, and there is more on the way. In Asia, the southeast Asian countries have already formed ASEAN (ASSOCIATION OF SOUTHEAST ASIAN NATIONS. This regional power block appears to work fine, the member states fit very well together because of the following factors: 1) Mutual benefit - when it comes to trade,