Understanding Globalization

Contemporary World Lesson 1 Prelims

Globalization

It is a process of expanding  various sociocultural and socio ecological process from national to international and transactional level.

Global Connected Index

 Is a measurement of flows and interconnections of a country to other global players through exchanges in trade, capital, people and information.

4 Players of Global Connection

1. Trade

2. Capital

3. People 

4. Information

John Aart Scholte ( 2005)

Identifies  macro-structural changes in a globalized society such as product and services integration through commodity value chains, emerging institutional arrangement.

Factors driving Globalization

Reduction of global barriers 

GATT

General Agreement on Tariffs and Trade

Modern Technology Development

Key drivers of globalization that facilitated faster communication and access to data or information.

Positive Impacts of Globalization

1. Level of employment

2. balance of trade

Negative Impact of Globalization

1. Inequity among countries and between rich and the poor 

2. It does not benefit all nations in terms of reducing poverty

4 Multidimensionality of Globalization

1.Economic 

2. political

3. cultural 

4. ecological 

Less Level of Connectedness

It shows that most of the globally connected countries are developed countries based in Europe, but countries from South East Asia have exceeded expectations for global connectivity.