GLOBALISATION

AT-Kearney Index

Foreign Policy Globalisation Index tracks and assesses changes in four key components of global integration,

• trade and financial flows

• movement of people across borders

• international telephone traffic and Internet usage

• participation in international treaties and peacekeeping.

Brain Drain

Refers to a situation where all or the majority of intelligent, skilled or capable resources within a given field or geographic region leave the area because of various factors including lack of high paying jobs.

Capitalism

An economic system based on private ownership of investment capital and wealth production, whereby goods are sold for profit.

Censorship

The suppression of speech, public communication, or other information, on the basis that such material is considered objectionable, harmful, sensitive, or "inconvenient." Censorship can be conducted by governments, private institutions, and corporations.

Commodities

A reasonably interchangeable good or material, bought and sold freely as an article of commerce.

Communism

A socio-economic system or organisation, where all land and property is owned by the community or the State, so that every person contributes and receives according to their abilities and needs.

World Trade Organization (WTO)

Members seek substantial reductions on tariffs and trade barriers and the elimination of preferences on a mutually advantageous basis.

World Bank

Formed to finance economic development. It uses bank deposits placed by the worlds wealthiest countries to provide loans for development in countries that agree to certain conditions concerning repayment and economic growth.

Westerisation

The westernisation of a country, place, or person is the process of them adopting ideas and behaviour that are typical of Europe and North America, rather than preserving the ideas and behaviour traditional in their culture.

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Upward transition zone

A country or city with predicted industrial and economic increase (e.g. Mexico, Iceland, "The Asian Tigers").

Urbanisation

An increase in the proportion of people living in urban areas compared to rural areas.

Trans national corporation(TNC)

A company which operates in different countries to where they are originally based.

Transition town

Grassroot community projects that aim to increase self-sufficiency to reduce the potential effects of peak oil, climate destruction, and economic instability. (eg/ Kinsale, Ireland).

Trade protectionism

The use of methods such as tariffs and quotas to attempt to boost a countries exports or reduce its imports.

Trade Blocs

A group of countries that act together to promote trade and a free movement of goods/services between member states.

Time-space compression

The reduction in time taken to travel between two places due to improvements in transportation or communication technology.

Tariffs

A tax paid on goods coming into or going out of a country.

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Switched-off places

Countries that do not connect with others

Subsidies

Grants given by governments to increase the profitability of key industries.

Spiral of deprivation

with the closure of the manufacturing industry and high unemployment, parts of places experience a spiral of social and economic decline leading to deprivation.

LINK ‘RUST BELT’

Special Economic Zones

Regions where the government offer incentives to attract industry.

Remittances

Income sent home by individuals working elsewhere.

Quotas

A government-imposed trade restriction that limits the number or monetary value of goods that a country can import or export during a particular period. Countries use quotas in international trade to help regulate the volume of trade between them and other countries.

Privatisation

When national public services become owned by private businesses.

Outsourcing

A business contracts outside businesses to complete some of their work, with the aim to reduce costs.

Offshoring

Company moves parts of its operations to another country, often to save money.

Open-door policy

Is a term in foreign affairs initially used to refer to the United States policy established in the late 19th century and the early 20th century that would allow for a system of trade in China open to all countries equally.

Non-Governmental Organisations (NGOs)

Is any non-profit, voluntary citizens' group which is organised on a local, national or international level

Nationalism

A political movement focused on national independence or the abandonment of policies that are viewed by some people as a threat to national sovereignty/culture.

Lorenz Curve

A graph to show and measure any inequality by comparing it to a line of perfect equality.

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Localism

Localism describes a range of political philosophies which prioritise the local. Generally, localism supports local production and consumption of goods, local control of government, and promotion of local history, culture and identity.

Liberalisation

A reduction in government control within industry, creating opportunity for greater participation from private businesses and TNCs.

KOF Index

Index of Globalisation which takes into account the social, economic and political globalisation of a state.

IMF (International Monetary Fund)

A fund of 189 member countries with the aim to aid each other to achieve financial stability and provide loans for development.

Hub city

Cities with a major influence based on: finance, law, political strength, innovation and ICT.

Glocalisation

The adaptation of a good offered by a TNC to suit a local market.

Global shift

The global shift is the movement of economic activity from HICs to NICs and LICs.

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Global culture

Is culture which transcends national borders and exists in many different places around the world

Gini coefficient

measures how far wealth distribution within a country deviates from perfect equality. The Gini index is shown as a % and the coefficient between 0 and 1. The larger the number the greater the concentration of wealth will be amongst a few.

Gender Inequality Index

This index is a composite measure to quantify the loss of achievement within a country due to gender inequality. It uses three dimensions to measure opportunity cost: reproductive health, empowerment, and labour market participation.

Free trade

A pact between two or more nations to reduce barriers to imports and exports among them. Under a free trade policy, goods and services can be bought and sold across international borders with little or no government tariffs, quotas, subsidies, or prohibitions to inhibit their exchange.

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Free market Liberalisation

The lessening of government regulations and restrictions in an economy in exchange for greater participation by private entities; the doctrine is associated with classical liberalism.

FDI

An investment by one country or business with an interest in another country

Elite migration

Highly skilled migrants who are very wealthy and are generally from an upper-class society.

Diaspora

'To scatter about' - People displaced from their homeland, voluntarily or forced.

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Cultural diffusion

The spread of cultural beliefs and social activities into different cultures.

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Cultural erosion

The reduction of a culture due to globalisation.

CASE STUDY: RUSTBELT

Region of the United States that was the country’s manufacturing heartland that underwent dramatic industrial decline, resulting in widespread unemployment, increased poverty, decay, and population loss.

(regions such as Ohio and Indiana)

Due to:

Foreign competition, increased labour costs, failure to modernize equipment and infrastructure, and technological advancements that replaced workers.

CASE STUDY: CHINA

‘open door policy’

‘censorship’

‘special economic zones’

Evidence:

EXPANSION OF INFRASTRUCTURE

\-world’s longest railway network developed.

\-82 airports built since 2000

GLOBAL SHIFT

\-share of global trade value rose from 3%(2001) to 10% (2013).