Contemporary World- Prelims
CONTEMPORARY ISSUES
Definition: Contemporary issues refer to current and relevant topic or challenges that societies, individual, or the world face in the present time. These issues are subject to ongoing debate, analysis, and actin as they have a significant impact on people’s lives and the overall state of the world.
Examples:
- Climate change
- War and peace
- Political polarization
- Artificial intelligence
- Wealth inequality
- Healthcare access
- Data privacy
- Racial inequality
GLOBALIZATION
- Globalization describes how the world’s cultures and economies are connected and dependent on each other.
- Through trade agreements between countries, globalization allows businesses to buy and sell across borders with lower tariffs and no or fewer limits on imports and exports.
- Overall, the goal of governments in favor of globalization is to make it easier to do business worldwide.
Signs of Globalization
- Increase in international trade at a faster rate than the growth in the world economy.
- Increase in international flow of capital including foreign direct investment.
- Greater transborder data flow, using such technologies such as Internet, communication satellites and telephones.
- Greater international cultural exchange, for example through the export of Hollywood and Bollywood movies.
- Some argue that even terrorism has undergone globalization. Terrorists now have attacked places all over the world.
- Spreading of multiculturalism and better individual access to cultural diversity, with on the other hand, some reduction in diversity through assimilation, hybridization, Westernization, Americanization or Sinosization of cultures.
Globalization in the Philippines
- The country is taking part in the process of globalization ever since the country signed agreements with World Trade Organization in 1995.
- Now, globalization is very effective in the Philippines, it has allowed major changes in the nation like more labor, and more Filipino and foreign companies has emerged in the nation in order to help the country’s developing economy.
- Globalization can make the Philippines into a better nation if the Philippines leaders to make their economy more advance through global trading and allowing more foreign investors to help boost the economy. And by accomplishing those goals, the Philippines should be able to reduce the poverty level as well as increase labor force for job opportunities for those that are in need for living. However, since the poverty level I still increasing, most Filipinos has managed to find work overseas and they have managed to seek better living than in the Philippines. The most effective factor in the Philippines is education. The society’s mentality is to be educated and it’s with education that people in the nation see their opportunity for a better life in the future.
Advantages
- Peaceful Relations: Most of the countries have resorted to trade relations with each other in order to boost their economy, leaving behind any bitter past experiences if any.
- Employment: Considered as one of the most crucial advantages, globalization has led to the generation of numerous employment opportunities. companies are moving towards the developing countries to acquire labor force.
- Education: A very critical advantage that has aided the population is the spread of education. With numerous educational institutions around the globe, one can move out from the home country for better opportunities elsewhere.
- Product Quality: The product quality has been enhanced so as to retain the customers. Today the customers may compromise with the price range but not with the quality of the product. Low or poor quality can adversely affect consumer satisfaction.
- Cheaper Prices: Globalization has brought in fierce competition in the markets.
- Communication: Every sing information is easily accessible from almost every corner of the world. Circulation of information is no longer a tedious task, and can happen in seconds. The Internet has significantly affected he global economy, thereby providing direct access to information and products.
- Transportation: Considered as the wheel of every business organization, connectivity to various parts of the world is no more a serious problem. Today with various modes of transportation available, one can conveniently deliver the products to a customer located at any part of the world.
- GDP Increase: Gross Domestic Product, commonly known as GDP, is the money value of the final goods and services produced within the domestic territory of the country during an accounting year.
- Free Trade: Free trade is a policy in which a country does not levy taxes, duties, subsidies or quota on the import/export of goods or services from other countries. There are countries which have resolved to free trade in specific regions. This allows consumers to buy goods and services, comparatively at a lower cost.
- Travel and Tourism: Globalization has promoted tourism to great heights. International trade among different countries also helps in increasing the number of tourists that visit different places around the world.
- External Borrowing: With the help of globalization, there is opportunity for corporate, national, sub-national borrowers to have better access to external finance, with facilities such as external commercial borrowing and syndicated loans.
Disadvantages
- Health Issues: Globalization has given rise to more health risks and presents new threats and challenges for epidemics. The dawn of HIV/AIDS. Having its origin in the wilderness of Africa, the virus has spread like wildfire throughout the globe in no time. Foor items are also transported to various countries, and this is a matter of concern, especially in case of perishable items.
- Loss of Culture: with large number of people moving into and out of a country, the culture takes a backseat. People may adapt to the culture of the resident country. They tend to follow the foreign culture more, forgetting their own roots. This can give rise to cultural conflicts.
- Uneven Wealth Distribution: It is said that the rich re getting richer while the poor are getting poorer. In the real sense, globalization has not been able to reduce poverty.
- Conflicts: it has given rise to terrorism and other forms of violence. Such acts not only cause loss of human life but also huge economic losses.
- Environment Degradation: The industrial revolution has changed the outlook of the economy. Industries are using natural resources by means of mining, drilling, etc. which puts a burden on the environment.
Global Economy
- Is the world economy or worldwide economy.
- It is all the economies of the world-the economy of every country-which we consider together as one giant economic system.
- It includes everything we all buy, sell and own on this planet.
Global Marketing
- Involves planning, producing, placing and promoting a companies products or services in the global market.
Market Integration
- An indicator that explains how much different markets are related to each other.
- Ex. Prices among diff. location or related goods follow the same patterns over a long period of time.
International Financial Institutions in the Creation of Global Economy
- Chartered by more than one country and therefore are subjects to international law.
- Its owners or shareholders are generally national governments.
International Financial Institution
- International Monetary Fund
- Multilateral Development Bank
· World bank group
· African development Bank
· Asian development Bank
· Inter- American Development Bank
· European Bank for Reconstruction and Development
Membership of IFIS
- Only sovereign countries are admitted
- Borrowing developing countries or develop donor countries
- Not limited to countries from the region
- Has its own independent legal and operational states
IMF Main Objectives
- Provide temporary financial assistance to member countries
- Provide financing for development to developing countries through long term loans (20 yrs maturities)
- Very long-term loans or credit (30 yrs maturities)
Global Corporation
- One that has significant investments and facilities in multiple countries but lacks a dominant headquarters.
- Governed by the laws of the country they are incorporated
International Company
- One that has headquarters and governed by the rules and regulations on the locations of its headquarter but may also have foreign subsidiaries of other countries which is governed by local laws
Global Governance
- A movement towards political cooperation among transnational actors, negotiating responses to problems that affect more than one state or region.
- It is not a singular system
World System
- Deals with inter-regional and transnational division of labor, which divides the world into core countries, semi-periphery countries and the periphery countries.
- Core countries Focus on higher skill, capital-intensive production.
- Periphery countries- focuses on low skill, labor intensive production and extraction of raw materials
- Semi- periphery- has dynamic characteristic, in part as a result of revolutions in transport technology.
World System Theory
- Also known as world-system analysis or world-system perspective.
- A multidisciplinary, macro scale approach to world history and social change which emphasizes the world system as the primary unit of social analysis.
UNITED NATIONS
About the Organization
- The Unites Nations (UN) is an intergovernmental organization was established on October 24, 1945 to promote international co-operation.
- A replacement for the ineffective League of Nations, the organization was created following the Second World War to prevent another such conflict.
- At its founding, the UN had 51 member states; there are now 193.
- The UN Headquarters is situated in Manhattan, New York City.
- The organization is financed assessed and voluntary contributions from its member starts.
- Works in affiliation with six official languages: Arabic, Chinese, English, French, Russian and Spanish.
The Charter of the UN
- The United Nations Charter is the treaty that forms and establishes the international organization called the United Nations.
- It was signed on June 26, 1945, in San Francisco, at the conclusion of the United Nations Conference on Internation Organization, and came into force October 24, 1945.
- The Stature of the International Court of Justice is an integral part of Charter.
- Purpose
- To take effective collective measures for the prevention and removal of threats to the peace.
- To develop friendly relations among nations based on respect for the principle of equal rights and self-determination of peoples.
- To achieve international co-operation in solving international problems of an economic, social, cultural, or humanitarian character, and in promoting and encouraging respect for human rights and for fundamental freedoms for all without distinction a to race, sex, language or religion.
Objectives of UN
- Maintaining international peace and security.
- Promoting human rights.
- Fostering social and economic development.
- Developing friendly international relations among world nations.
- Providing humanitarian aid in cases of famine, natural disaster and armed conflict.
- Solving international problems for any nature (economic, cultural, social)
Principles of the UN
- All Member States have sovereign equality.
- All Member States must obey the Charter.
- Countries must try to settle their differences by peaceful means.
- Countries must avoid using force of threatening to use force.
- The UN may nit interfere in the domestic affairs of aby country.
- Countries should try to assist the United Nations.
Organizational Structure of the UN
Six Principals Organs of the UN:
1. The General Assembly
- Main Function: Assessing member countries and deciding on the budget.
- The only organ where every member state is represented.
- Consists of committees.
- Convenes annually in September, special sessions can also be held.
- Voting on important questions or recommendations on peace and security, budgetary concerns and the election, admission, suspension or expulsion of members- is by a two-thirds majority of those present and voting.
2. The Secretariat
- Includes an international staff working in duty stations around the world.
- Primarily has an administrative function.
- The Secretary General holds office for five years per term.
- Current Secretary General is António Guterres
- It services the other principal organs of the United Nations and administers the programmes a policy laid down by the.
- The Secretariat has around 43,000 staff members around the world.
3. The Security Council
- UN’s most powerful organ.
- It deals with threats to international peace and security.
- It has 15 members, 5 of which are permanent: the USA, China, Russia, Britain and France.
- Permanent members have veto power when the Council decides on important issues.
- Its powers include the establishment of peacemaking operations, the establishment of international sanctions, and the authorization of military action through Security Council resolutions.
4. The International Court of Justice
- The principal judicial organ o the UN.
- Based in the Hague, Netherlands.
- Consists of 15 judges elected by the General Assembly and Security Council/
- Applies international law.
- Its main functions are to settle legal disputes submitted to it by states and to provide advisory opinions on legal questions submitted to it.
- No appeals can be made by parties to its judgement.
5. The Economic and Social Council (ECOSOC)
- Central platform for debate, and innovative thinking on sustainable development.
- The principal body for coordination, policy review, policy dialogue and recommendations on economic, social and environmental issues, as well as for implementation of the internationally agreed development goals.
- ECOSOSC engages a wide variety of stakeholders- policymakers, parliamentarians, academics, major groups, foundations, business sector representatives and 3200+ registered non-governmental organizations.
- The work of the Council is guided by issue-based approach.
6. The Trusteeship Council
- Established to help ensure that trust territories were administered in the best interests of their inhabitants and of international peace and security.
- Authorized to examine and discuss reports from the Administering Authority in the political, economic, social and educational advancement of the peoples of Trust Territories.
- In consultation with the Administering Authority, to examine petitions from and undertake periodic and other special missions to Trust Territories.
Main Agencies of UN
- Food and Agriculture Organization (FAO)
- International Civil Aviation Organization (ICAO)
- United Nations Educational, Scientific and Cultural Organization (UNESCO)
- International Labour Organization (ILO)
- World Bank Group 9WBG)
- International Monetary Fund (IMF)
- World Health Organization (WHO)
- United Nations Industrial Development Organization (UNIDO)
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