Acceleration of Globalisation Flashcards
(77 cards)
1
Q
Define Globalisation.
A
A variety of ways in which places and people are now more connected than in the past.
2
Q
How was past Globalisation conducted?
A
Via. Trade, colonialism and co-operation.
3
Q
Give three examples of economic globaliastion on the flash card.
A
- Growth of transnational coorperations accelerates cross-border exchanges of raw materials.
- IT technology and communications technology spread through international economy.
- Online purchasing.
4
Q
Give three examples of Social Globalisation.
A
- International migration making the world increasingly multi-ethnic.
- Global improvements raising life expectancy and literary levels.
- Social interconnectivity e.g. mobile phones, internet and email.
5
Q
Give three examples of Political Globalisation.
A
- Growth of trading blocs.
- Global concerns such as free trade.
- World bank, IMF, and WTO harmonise national economies.
6
Q
Give three examples of Cultural Globalisation.
A
- Succesful Western cultural traits e.g. Americanisation or Macdonaldisation.
- Glocalisation of when old local cultures merge with new culture.
- Circulation of information and ideas due to social media, news reporting ect..
7
Q
Define Capital.
A
Handling of money.
8
Q
Define Commodoties.
A
Usual things, e.g. commodity goods are things that are common like milk.
9
Q
Define TNCs
A
(Transnational corporations) Companies that span over one country.
10
Q
Define GDP.
A
Total amount of money in one area.
11
Q
Define Remittances
A
Things that migrants send home to their families.
12
Q
Define Interdependancy.
A
When countries become overly reliant on each other for financial and political gain.
13
Q
Give examples of Social flows.
A
Migrants, people, services.
International immigration creates family networks across national borders.
Social interconnectivity has grown due to internet providing services.
14
Q
Give examples of Economic flows.
A
Goods, information, services.
TNCs accelerate cross border exchanges of goods. Information supports the growth of spatial divisions for firms. Online purchasing gives services opportunities.
15
Q
Give examples of Environmental flows.
A
People.
The way the environment internationally is treated affecting people’s jobs and houses globally. E.g. farmers and countryside residents.
16
Q
Give examples of Political flows.
A
Goods, Money
The growth of trading blocs allows TNCs to expand to more countries this helps markets and trade grow. The World bank works to harmonise national economies.
17
Q
Give examples of Cultural flows.
A
People.
Western cultural traits effect other countries. Glocalisation, old cultures marge with global influencers changing how people live. People keep in touch using internet, changing tradition.
18
Q
What has Globalisation made Global connections do?
A
Lengthen, Deepen and Quicken.
19
Q
How have Global connections Lengthened?
A
Connections between people and places with products sourced from increasing distances.
20
Q
How have global connections deepened?
A
Products we consume are increasingly coming from external sources and quantity.
21
Q
How have global connections quickened?
A
Skype allows people to talk to each other in real time. And jet aircrafts let us travel quickly.
22
Q
What are features of Low income nations?
A
Poorest people, iscolated from global influences and have few links to other countries.
23
Q
What are features of Middle income nations?
A
Poor people rely on land produce but work for foreign firms. They have cultural and political awareness.
24
Q
What are features of High income nations?
A
Where most people purchase global products and culture. Widely traveled and have flown overseas.
25
Define Time space compression.
Any phenomina that alters the qualities of any factors in space and time
26
How has transport creted a shrinking world?
It improves with technology.
27
Give some features of steam power.
1800s Britain led steam tech. Steam ships moved goods and armies to African and Asian trade routes.
28
Give some features of Railway.
1800 Railways expanded globally. By 1904, 9000km trans-Siberian raileway connected Moscow to China and Japan. Currently a rrailway trip from South to North England can take a day.
29
Give some features about Jet Aircrafts.
200 million individual container movementstake place each year. Everything is shipped in intermodel containers. Chinease vessel Cosco is 366 meters long 48m wide and carries 13,000 containers.
30
Define Containerisation.
Trade and transport of goods while being transported in shipping containers. Includes ship containers, rail flatcars and truck trailers.
31
Why was transport of materials limited before the invention of containers? And when was their invention?
When trade and transport boomed after WW2 containers were invented by Malcolm McLean.
But beforehand goods were shipped in ship holds which often took longer than the actual journey.
32
What were the impacts of the indroduction of containers?
Prices of loading and unloading goods dropped allowing LICs to join in.
As they could be packed and sealed theft and insurance cost dropped for countries. $5.83 wnet to $0.16 per tonne after their invention.
33
Give a figure for loading of containers.
In 1965 only 1.7 tonnes could be loaded an hour, after up to 30 tonnes could.
34
What were the long term impacts of containerisation?
* Ships became larger so less clustered sea.
* Parts became fewer so distrabution by train and lorry was easier to handle.
* Increase in productivity reduced strikes putting less stress on government trade wise.
* They benefited China as over 90% if containers were made in China so they gave the HIC a massive economic boost. Boosted social and Cultural flow and also encouraged trade between the East and West.
35
Tell the card about EasyJet and its link to Globalisation.
* Founded 1995 and started off flying London and Luton to Edinburgh and Glasgow. Famous for £29 flights.
* After 1996 it expanded to 300 international flying routes such as Morocco and Israel.
* 2014 it owned 200 aeroplanes carrying 65 million people and had a revenue of £4 billion.
* It encouraged cultural and scoial flow to new areas e.g. Talin in Estonia, £40 pound flight became a popular destination for stag and hen celebrations.
36
How did the telephone help shrink the world?
1860, Atlantic telegraph cables replaced a three week boat journey which revelutionised business communications. Also helped Africa undergo glocalisation of new rural areas.
37
How did Broadband help shrink the world?
1980-1990 when it was introduced it meant large amounts of data could be moved quickly through cyberspace. Today over 1 million km of undersea cables owned by TNCs and national governments link the world together with emails, tweets ect.
38
How has GPS helped shrink the world?
First global positioning system launched in 1970. Currently which broadcast position and time data globally. Deliveries can be tracked helping growth of global production networks.
39
What is the internet?
Funded by US defence department during cold war. 1960 linked a few research computers to each other called ARPANET. But 2014, 5 billion links are on facebook daily.
40
How does ICT effect economic globalisation?
ICT allows managers of distant offices to stay in touch more easily. This helped TNC's expand. Everytime a Marks and Spenser barcode is scanned in UK an automatic adjustment is made to the size if a sample in Kenya.
41
How does ICT effect Social globalisation?
Long distance social relationships through ICT use, supports migration. Since 2003 skype has allowed migrants to speak to their famalies.
42
How has ICT effected Cultural Globalisation?
Language and Music have been adapted, imitated and hybridised over the years. 2012 Psy Gangnam style, 1.8 million views on youtube.
43
How has ICT effected Political Globalisation?
Social media and networks are used to raise awareness about political issues and globally fight for change. E.g. Greenpeace spreads environmental support schemes online, ISIS spreads terrorism.
44
How have mobile phones benefitted interconnectivity in Africa?
Where communication and infrastructure is poor.
* 2005, 6% of Africans owned a mobile phone . 2015, 70% due to lower prices and growth of the provider, Kenya Safaricam.
* 2007 Safaricam launched M-Pesa a service allowing credit to be directly transferred between phones.
* This revolutionised Kenyan business as people could pay for fees with phones and farmers could check market prices before selling products.
45
What can governments do to block foreign direct investment? And what reasons would they have for doing it?
Global flows can cause failure of a nation's industry as its threatened by imports of raw materials, not everyone likes culture change e.g. migrants also information can leak threatening government news to citezens.
Govornments can protect themselves form foreign direct investment by e.g. blocking trade routes.
46
Why do International governments try to create a free trade consensus?
To avoid another depression like in 1980.
47
What does the World Trade Organisation do?
Advocates trade libertarianism especially for manufactured goods. Asks countries to stop protecting themsleves in factor of untaxed trade.
However they failed to stop UK and USA from subsidising their own food producers harming LIC farmers who want fair trade. Causes LICs to struggle.
48
What does the World Bank do?
Lends money on a global scale from Washington, gives grants to developing countries e.g. 2014 loaned $470 million to apahillapeanes for poverty reduction programmes.
However they have strict rules on grants which can suggest the aided countries have their hands tied.
49
What does the International Monetary Fund do?
Channels loans to LICs as LICs run free market economies. This allows TNCs to enter LICs more easily. However rules are strict and can cause LIC goverments to have to cut back on education, healthcare, sanitation and housing programmes.
50
Define Osterity Rates.
A rule that prevents a country from developing too much.
51
What are the four types of foreign direct investment?
Offshoring, Foreign mergers, Foreign equesitions and Tranfer Pricing.
52
Define Offshoring
TNCs can build their own new production facilities in offshore low wage economies. Fender motorcycle company had a Mexican plant built in 1987.
53
Define Foreign Mergers.
Two firms in different countries merge to form one entity.
54
Define Foreign equesitions.
When a TNC takes over a foreign company. 2010 US kraft took over Cadbury UK.
55
Define Transfer Pricing.
TNCs take profits from subsidary companies in lower tax countries. E.g. Starbucks from Ireland.
56
What are the procesess of free market liiberalisation?
1. Goverment intervention in markets impedes economic development.
2. As wealth increases trickle down will occur from richer society to poorest.
57
Define trickle down.
Positive impacts on poorer people caused by increased wealth in richer people.
58
Define Privatisation.
Governments allowing foreign investors to gain a stake in privatised national services and infrastructure. Normally includes saverign wealth funds.
59
Define Encouraging business start ups
Methods allowing foreign-owned businesses to make more profit.
60
Define Soverign wealth funds.
Goverment owned investment funds and banks typically associated with countries with large oil reseviours.
61
Define Trade blocs.
International organisations that exist for trading purposes bringing greater economic strength and security to nations that join.
62
What is the EU?
Lrgest trading bloc in the world creted after WW2.
Aims to create a single market for goods, services, capital and labourby promoting free trade between members.
Now has it's own currency the euro and is multi-govermental.
63
What is ASEAN?
Multi-govermental organisation that aims to eliminate tariffs for free trade. Has allowed Indonesia's manufacturing industry to thrive and Phillapenes have gained recognition.
Promotes peace and stability before nations.
64
Difference between EU and ASEAN?
EU trade blocs tand to have more power than ASEAN's. As EU has western funding so more wealth and ASEAN has Eastern funding with more LICs.
65
Define open door policy.
Allowing access through trade and tourism ect, through globalisation between countries.
66
What was China like before the open door policy?
Strictly communist, would not interact with other countries. Iscolated, led by Mao Zedong. And had very high poverty levels.
67
What did Deng Xiopong do when he introduced the open door policy?
Before policy, only trade was satallites with USSR. After policy he introduced four special economic zones for South China. With tax incentives and agricultural reforms to attract the west.
68
How did the open door policy benefit China?
Created a lot of FDI. It became a large exporter of labour intensive manufactures. This created a Pacific triangle between China, Japan and other eastern HICs.
From 1970-1987 Chinas exports multiplied by 20 and imports multiplied by 50. China's income per capita rose to 5.4.
1991 China's bilateral trade surpluse ammounted to almost $13 billion.
69
What are the current open door policies of China?
* China exports more rare earth minerals due to WTOA ruling.
* TNCs allowed to invest in some sectors of China's domestic market. E.g. chemical industries.
70
What are the current closed door policies of China?
* Little to no google or Facebook in China's market.
* Only 34 foreign films can be screened in cinemas each year.
* Strict controls on foreign TNCs in some sectors.
71
What does the KOF index measure?
Globalisation levels, scale 1-100 higher value being greater globalisation.
72
What are the pros and cons of the KOF Index?
Pros: Index allows globalisation changes to be compared over a large number of countries over 30 years.
Avaliable for 158 countries from 1970-2006. Calculated by 24 variables.
Cons: Cultural globalisation mostly refers to US domination of cultural products.
73
What does the Kearney Index measure?
Measures economic integration, personal contact, technological connectivity and political engagement. Values 0-1.
74
What are the pros and cons of the Kearney Index?
Pros: Covers 96% of world's GDP, 84% of population allows country comparison over time.
Cons: Only 64 countries in the Index and uncertainty on cultural trends.
75
Why is North Korea a switched off place?
Last 70 years its been iscolated from world as its ran by an autocracy.
Citezens have no acess to internet or social media. There are no undersea data cables to anywhere else internationally.
76
Why is the Sahel region a switched off place?
Poor management of natural human resources. Extreme environmental conditions so infrastrucure cost is high and little chance for railway and ICT networks.
They are linked slightly to HICs through trade, but their wages are so low global brands do not see them as valuable trading markets meaning they stay switched off from customer networks.
77
In what ways has the Sahel region recently become more switched on?
Neighbouring country Nigeria has had rapid economic growth.
Some sahelians are interacting internationally in some ways. E.g. Mali folk musicians have a large youtube following and conflicts in the region are linked to Alqaeda global terror network.
