Globalisation

Gloablization

is the process by which people, their cultures, money, good and information are transferred between countries which few or no barriers

Global flows

new degrees of connectedness between and within economies

examples of global flows

social- tourism
cultural- religion
political- international organisations (eg- UN)
economic- remittances
environmental- paris climate agreement
technology- instagram

Shrinking world effect (time-space compression)

when the relative distance between places becomes smaller due to things such as outsourcing and instant communication

Containerization

The transporting of goods in standard-sized shipping containers.

Glocalisation

The modification of global products and ideas to suit local cultures.

Infaltion

rise in the general level of prices of products

Phillips Curve

a curve that shows the relationship between inflation and unemployment

Stagflation

a period of slow economic growth and high unemployment (stagnation) while prices rise (inflation).

an example of stagflation

in 1970's (challenged ideas of Keynesianism)

Keynesianism

Belief in aggressive government intervention to combat recession & promote economic growth by creating a multiplier effect

multiplyer effect

the idea that an initial amount of spending (usually by the government) leads to increased consumption & spending resulting in an increase in national income greater

Neoliberalism

a view tending to favour free-market capitalism and deregulation. the belief that government spending increases inflation

intergovernmental organisations

to create a system so that the world's inhabitants can work more successfully together resulting in peace and security, and also to deal with the economy.

examples of intergovernmental organisations

IMF (international monetary fund)
WB (world bank)
WTO (world trade organisations)

IMF (International Monetary Fund)

organization which gives loans to poor countries

World Bank

An agency of the United Nations that makes loans to countries for economic development, trade development, and debt consolidation.

WTO (World Trade Organization)

the only global international organization dealing with the rules of trade between nations

trade blocs

Voluntary international organisations that exist for trading purposes, bringing greater economic security to the nations that join due to reduced tariffs and trade barriers

Tarrifs

Taxes on imported goods

example of a trade bloc

NAFTA

tax breaks and subsidies

a giveaway of cash or public resources that is intended to encourage a particular activity or lower the price of a product

example of subsidy (UK)

Nissan was given money in order for it to invest in the uk

example of tax breaks (UK)

Canary Wharf

examples of china's efforts to increase globalisation

- open door policy in 1978
- set up export processing zones

Export processing zone

areas where governments create favourable investment and trading conditions to attract export-oriented industries

TNCs (Trans-national corporations)

Companies that are located in or produce and sell products in more than one country
Factories tend to be located in poorer countries where labour is cheaper so they make more profit

TNCs +ives and -ives

Advantages:
+They create jobs
+They spend money to improve local infrastructure
+New technology and skills are brought to poorer countries

Disadvantages:
-Employees in poorer countries may be paid less than employees in richer countries
-Employees often have to work long hours in poor conditions
- Profits go back to richer countries and are not reinvested in the poorer countries

Ltd. (Limited)

to show that it is a limited company (a company whose owners only have to pay part of its debts if it fails)

Switched on countries

very open and globalised countries (eg USA)

Switched off countries

closed off and not globalised countries (eg north korea)

two speed economy

economies whose industries experience unevenly distributed rates of growth

KOF Index

measures the progress of globalization, combines economic, political, and social factors.

AT Kearney Index

Measures the globalisation level of countries.
Has 4 criteria;
- personal (eg remittances)
- political (eg. treaties)
- technological (eg. number of internet users)
-economical (eg. international trade)

3 main factors causing counteis to become more globalised

- open door policies for trade
- TNCs outsourcing
- FDI

Open Door Policy

A policy proposed by the US, under which ALL nations would have equal opportunities to trade in China.

Outsourcing

obtaining key products from alternative, cheaper locations - often abroad

FDI

Foreign Direct Investment - Investment made by a foreign company in the economy of another country

Green GDP

Gross domestic product which takes into account environmental destruction and/or health consequences of environmental problems.

economic growth +ives

- more money invested in healthcare and education
- transport is developed
- safer housing

economic growth -ives

- exploitation of employee
- uneven benefit throughout population
- environmental damage

Rural-urban migration

the movement of people from the countryside to the city

Reasons for Rural to Urban Migration

people looking for jobs, education and conveniences

BRICS

Brazil, Russia, India, China, South Africa

MINT

Mexico, Indonesia, Nigeria, Turkey

Megacity

City with more than 10 million people

factors that increase urbanisation

- rural to urban migration
- natural increase

international migrants

people that move between countries

Internal Migrants

People moving within a country.

economic migrants

people who move for economic purposes

Elite migrants

Migrants who are able to move easily due to the valuable skills and or wealth

Low-wage migrants

people who move and become cheap labour workers in another country

global hubs

are 'cores' that demonstrate high connectivity to the rest of the world.
they are very globalised and diverse, have high natural and human resources, and have good education and healthcare due to governments investment.

cultrural diffusion

The spread of different beliefs, governments, and religions from a culture to another.

cultural imperialism/ westernisation

The dominance of one culture over another, this is mainly the influence of western countries

ethnic enclave

a small area occupied by a distinctive minority culture

development

social and economic development of a country that leads to a stronger economy and better quality of life. it is often a result of political advancement which over all makes a HIC become a LIC

sectors of development

demographic, political, social, environmental, cultural

example of demographic development

life expectancy increasing

example of political development

freedom of speech

example of social development

excess to clean water

example of cultural development

increases years in education

example of environmental development

sustainability

`two types of variable

single and composite

economic measures of development

GDP, GNI, GDP per capita, PPP (purchasing power index)

social measures of development

HDI (life expectancy, GNI and literacy rate), gender inequality index.

environmental measures of development

green GDP, ADI (air quality index), % of waste recycled.

inequality measures of development

lorenz curve, gini coefficient

reasons globalisation has increased he mixing of cultures

- migration due to open borders and better transport
- rural to urban migration

main reasons for migration to the uk

job opportunities, healthcare and education, equality and war (in home countries)

what are the issues caused by mass migration?

- strain on services
- xenophobia

Immigration-

Movement of individuals INTO a country

Emmigration-

movement of individuals OUT of a country

net migration

immigration - emigration

Ethnoscapes

an area that clearly indicates that a culture is dominant

example of an ethnoscape

China town

Diaspora

A dispersion of people from their homeland

the British values

democracy, the rule of law, individual liberty, mutual respect and tolerance of those with different faiths and beliefs

ways a country can control globalisation

- censorship
- limit migration into the country
-trade protectionism
-cultural protection
-resource nationalism

censorship

restricting access to ideas and information (eg the great firewall of china and state controlled media in north Korea)

Limiting Migration examples

Trumps wall & Brexit due to fear of cultural erosion

trade protectionism

the government increasing tariffs in order to limit the import of goods and services. to protect domestic businesses

Cultural Protectionism

The process of attempting to protect, maintain and promote the unique aspects of a culture.

examples of cultural protectionism

- in France, 40% of songs on the radio must be French
- Canadas first nations (over 600 groups of native people who are being given back the right to their land as well as compensation)

Resource Nationalism

the tendency of people and governments to assert control over natural resources located on their territory.

privatisation

when government run businesses are taken over by the private sector

an example of privatisation

the trains in the UK

Nationalism

when the government take control of a private sector business

an example of nationalism

the TNC Bechtel (USA) owned all of Bolivias water supply due to the IMFs structural adjustment policy

increased localism

he increase of goods produced and bought within a local area for the benefit of people

ecological footprint

the impact of a person or community on the environment, expressed as the amount of land required to sustain their use of natural resources.

Sustainability

the ability to grow and maintain at a certain level or rate without causing harm to the environment

local action examples

'the Winchester action on climate change'

Transition Towns

A settlement where individuals and businesses have adopted 'bottom-up' initiatives with the aim of making their community more sustainable and less reliant on global trade.

local sourcing +ives and -ives

+more spending on local businesses
+reduces TNCs and therefore worker exploitation
+increases self sufficiency
-can be viewed as exclusive
-fewer TNCs= less employment
-some products have to be produced under synthetic conditions which may harm the environment and is expensive.

Ethical consumption

a deliberate choice of product for ethical reasons considering the social and environmental cost of the good purchased.

ethical consumption case study-

M&Ss 'Plan A'
- 100 commitments to source responsibly, to reduce waste and to help the community (2007)
- new goals (2020)- continue to be carbon 0, and to have 100% recyclable packaging by 2022

ethical consumption case study 2-

Fairtrade
+prioritises paying workers a fair wage
- not everyone can afford to buy the products resulting in less pay for the workers