Globalization, Trade, and Colonialism: Key Concepts and Theories

Globalization

The increasing or expedited flows of people, stuff, and ideas.

6 Paradigms of Globalization

Economic, Political, Technological, Multinational Corporations, Cultural, Environmental.

Dominant Paradigm in Scholarship and Media

Economic.

Flawed Question "Is Globalization Good or Bad?"

Too simplistic—globalization has both positive and negative effects depending on perspective and context.

Two Ends of Globalization Spectrum

Rapid corrosive effect (negative social change) vs. potential social/political/economic improvement (positive social change).

McDonaldization (4 Factors)

Efficiency, Calculability, Predictability, Control.

Most Important Transportation Item (Not about Transport)

The pallet—key for logistics and global supply chains.

Hot Dog Example

Symbol of cultural blending, migration, and globalization through food and tradition.

Commodity

Anything that has value and can be exchanged.

T and O Map

Medieval map style by Muslim cartographers showing trade routes and Jerusalem or Mecca at the world's center.

Basques and Salt

Basques used salt and air to preserve cod up to 10 years—major advance in trade and preservation.

Cod Story

Shows pre-Columbian and early global connections; an example of how trade networks existed long before "modern globalization."

Cod Timeline

Vikings, Basques, English, Hanseatic League, Americans (in order of cod trade importance).

Trans-Saharan Trade

Gold and salt trade connecting North and West Africa through Timbuktu; ended in 17th century due to new sea routes and instability.

Silk Road

Network of land trade routes connecting East Asia to the Mediterranean (200 BCE-1500 CE); ended due to maritime trade and Chinese isolationism.

Capitalism

Economic system based on private ownership of property and means of production.

Socialism vs. Communism vs. Capitalism

Socialism—state ownership; Communism—collective ownership; Capitalism—private ownership.

Adam Smith

Wrote "The Wealth of Nations"; described the "invisible hand" guiding markets toward rational outcomes.

Free Trade vs. Protectionism

Free trade removes tariffs and barriers; protectionism imposes tariffs to protect domestic markets.

Free Markets vs. Captive Markets

Free markets encourage competition; captive markets restrict consumer choice, often under imperialism.

Industrial Revolution

Began in Britain (late 1700s) then spread to the US; transition to industrial production.

Caribbean and Capitalism

Sugar plantations used enslaved labor; early example of global capitalist production.

200-mile Limit

US/Canadian policy restricting foreign access to North Atlantic fisheries.

Outsourcing of Legality

Corporations move production to countries with weaker labor/environmental laws.

Predatory Capitalism

Exploitative form of capitalism prioritizing short-term profit over ethical or sustainable outcomes.

Scramble for Africa

European competition to colonize Africa (1880s); formalized at the Berlin Conference (1884-85).

Berlin Conference (1884-85)

Meeting where European powers divided Africa into colonies without regard for existing cultures or borders.

Direct vs. Indirect Rule

Direct: colonizers hold all power (French model). Indirect: use of local leaders under colonial control (British model).

Protectorate vs. Colony

Protectorate—local rulers kept under guidance; Colony—direct rule by the colonizing power.

The Colonial Project

Systematic exploitation of colonies for resources and labor under moral or racial justification.

Social Evolution Theory

Victorian idea ranking societies as savage-barbarian-civilized; later challenged by anthropology.

Cultural Relativism vs. Ethnocentrism

Cultural relativism judges cultures on their own terms; ethnocentrism views one's culture as superior.

Official vs. Substantive Citizenship

Official: legal recognition; Substantive: ability to fully participate in society.

Imagined Communities

Concept by Benedict Anderson—nations are socially constructed through shared identity and symbols.

Timeline of Global Colonization

1500s-Spanish/Portuguese; 1600s-Dutch/British; 1700s-French/British; 1800s-High Imperialism; 1900s-Decolonization.

World Systems Theory

Immanuel Wallerstein's model dividing world into Core, Semi-Periphery, and Periphery based on economic relationships.

Fair Trade

Trade model ensuring producers in developing nations receive fair compensation and better working conditions.

Who Benefits from Fair Trade?

Small farmers and local producers gain income stability and access to markets.

Infill

Starbucks practice of opening locations close together to dominate local markets and shape urban routines.

Big Mac Index vs. Tall Latte Index

Big Mac: compares currency purchasing power. Tall Latte: adds class, culture, and perception to comparison.

Starbuckization vs. McDonaldization

Both standardize experience; Starbucks emphasizes lifestyle branding, McDonald's efficiency.

Neoliberalism

Global spread of free-market capitalism emphasizing privatization and deregulation.

Bretton Woods (1944)

Created the World Bank (WB) and International Monetary Fund (IMF); foundation of postwar economic order.

Neoliberal Expansion Timeline

1970s-end of gold standard; 1980s-Reagan & Thatcher promote deregulation; 1990s-global SAP policies.

Structural Adjustment Programs (SAPs)

Economic reforms imposed by WB/IMF emphasizing deregulation, privatization, and currency devaluation.

Three Hallmarks of SAPs

Deregulation, Privatization, Currency Devaluation.

Debt Spiral / Poverty Trap

Cycle of borrowing and debt repayment that prevents economic growth.

Race to the Bottom

Countries compete to lower regulations/taxes to attract foreign investment.

NGO (Non-Governmental Organization)

Private, nonprofit group addressing development or social issues outside state control.

Nationalization

Process where the state takes control of industries or resources from private or foreign ownership.

Zambia and Copper

Postcolonial Zambia nationalized copper; debt crisis and SAPs led to privatization and loss of national profits.

Commodity Chains

Global path a product takes from raw material to consumer—shows interconnectedness of production and consumption.