International Trade: Bloomberg Article

What does the standard narrative of globalization claim?

It claims that free trade erased borders and led to unprecedented prosperity, lifting billions out of poverty.

Who is the author of 'The World Is Flat' and what does the book describe?

Thomas Friedman; it describes a technology-enabled leveling of the economic playing field for global competition.

What did Joseph Stiglitz document about globalization?

He documented how globalization exacerbates inequality.

What physical barriers have been constructed due to globalization-related anxiety?

The extension of the wall between the US and Mexico.

What is the main argument of Quinn Slobodian's book 'Crack-Up Capitalism'?

He argues that globalization is not eroding borders but creating new kinds of borders within nations.

What are special economic zones?

Areas where companies operate with little regulation or government interference, benefiting from free trade.

Give an example of a large special economic zone.

China's Shenzhen, a city of about 13 million.

What is the Jebel Ali Free Zone (Jafza) known for?

It hosts more than 9,500 companies across almost 22 square miles in Dubai.

What is the purpose of economic zones?

To make trade easier and increase profit for companies using them.

What significant production statistic is associated with a zone in China?

About 30% of the world's toothbrushes are made in a single zone in China.

How much is spent annually to build more economic zones globally?

Roughly $1.5 trillion.

What is Jamie Peck's view on globalization?

He believes globalization produces uneven outcomes and creates new geographies rather than obliterating them.

How does Singapore exemplify a hybrid model of economic zones?

It combines economic openness with political control, prioritizing tax cuts and regulation for international companies.

What is a notable criticism of economic zones?

They can reinforce inequalities and prioritize profit over labor rights and government oversight.

What is a potential negative use of some economic zones?

They can become havens for human and drug trafficking.

What does Thibault Serlet suggest about reforming countries?

He suggests that reforming small areas like business parks can bypass entrenched interests.

What advantage do economic zones provide to investors and corporations?

They allow avoidance of complex negotiations with lawmakers.

What was the role of economic zones during the Covid-19 pandemic?

They produced essential supplies like N95 masks and gloves while remaining operational.

What does the existence of economic zones suggest about globalization?

It suggests a failure to achieve shared prosperity and questions the narrative of a borderless world.

What is the significance of the planned GIFT City in India?

It is dedicated to a special economic zone aimed at becoming a hub like Silicon Valley.

What is a common characteristic of many economic zones?

They tend to attract and concentrate trade, manufacturing activity, and international capital flows.

What is a criticism of the narrative surrounding globalization?

It often overlooks the uneven benefits and the emergence of new economic divides.

What are Special Economic Zones (SEZs)?

Zones that make trade easier and maximize corporate profit, benefiting investors and firms inside the zones.

What negative impact do SEZs have on workers and firms outside the zones?

They often see fewer gains or worse conditions compared to those inside the zones.

What major trade agreement and technological advancement contributed to the rise of SEZs?

NAFTA (1993) and the Internet boom.

What challenges do low-income workers and migrants face in SEZs?

They often face exploitation or exclusion.

How do SEZs allow elites to bypass national bureaucracy?

They enable faster deregulation and experimentation by circumventing entrenched interests.

What is Thibault Serlet's radical solution regarding zone management?

To remove governments entirely from zone management.

What contradictions of globalization do SEZs reveal?

They create fragmented enclaves of capital instead of one integrated world.

What does the existence of SEZs symbolize in relation to corporate mobility?

A system built for corporate mobility rather than shared prosperity.

How do SEZs affect democracy and accountability?

They thrive within fenced-off 'mini-states' that escape democracy and accountability.

What does Slobodian's term 'crack-up capitalism' refer to?

Capitalism fragmented into islands of deregulation within nations, undermining democracy and equality.

What is the final message regarding SEZs and globalization?

They demonstrate how 'free trade' coexists with hyper-controlled micro-jurisdictions, failing to deliver equality and openness.

What is a significant flaw admitted by proponents of SEZs?

Corruption, land theft, and poor governance.

What does the term 'privatized borders' imply in the context of SEZs?

Borders serve capital interests rather than promoting equality and openness.