A new world order

background

* post cold war dominated by capitalism
* opposed by balance during cold war
* globalisation

globalisation key features

* common consumer culture
* smaller distances
* availabilty of information
* disappearance of borders
* greater movement/migration
* development of global culture/corporates

positive impact on africa

* democratic movements encouraged
* USSR no longer able to support communist governments
* US withdrew support from dictatorships
* new economic structures for growth in absence of superpower support
* OAU restructured to AU and focussed of self reliance
* tried to attract foreign investment through NEPAD
* group of 77 created for south-south relation

negative impact on Africa

* not industrialised enough to be internationally competitive
* no skills to attract multinational investment
* rely on imports of manufactured goods
* north-south divide
* economic problems in competitive economy
* Agricultural subsidies mean cheap production of goods that cant compete on international market
* debt from borrowing from other countries

IMF

* regulate international finances by promoting stability
* watches exchange rates between countries
* researches economic performance of countries
* Structural adjustment programmes
* blacklisted by IMF = no borrowing from other banks

World Bank

* original
* reconstruction after WW2
* current
* reduce povery by assisting with development
* provide advisors
* assist after natural disaster
* wealthy members investments funds projects
* low interest loans for infrastructure
* strict guidelines and requirements

WTO

* replaced GATT
* trade in service and goods
* member countries must follow rules and ammend laws to do so
* monitor unfair terms of trade
* protect inventions by enforcing patents
* Dominated by G8
* limited influence against nations

The G20

* larger group of countries that has input into decisions
* includes south countries considered to be developing

Civil Resistance

* fear of job loss/reduced wages
* WTO 1999 demonstrations
* occupy movement
* after 2008 recession
* protest for an economy to favour the poor
* negative environment impact

alternatives

* world social reform
* make poverty history
* fair trade movement
* environmentally friendly productions
* better sweatshop conditions

BRICS

* state capitalism
* governments support local businesses with subsidies and trade tarrifs on imports
* oversee and support capatalist development
* traditions managed and encouraged
* government careful not to loan to much from IMF to avoid debt
* BRIC in 2009 to discuss reforms to global financial institution and ways for developing countries to be involved

SA in 2011 = BRICS
* considered leading emerging economies
* annual meetings
* debate reform of institutions
* have alt bank to parallel world bank