Globalisation

Question 1

What is globalisation?

Answer 1

A multidimensional set of social practices that create and intensify worldwide social interdependencies.

Question 2

What are the essential characteristics of modern globalisation?

Answer 2

• The gradual evolution of patterns of social and economic interactions from local to global.
• Involves the movement of populations.
• The spread of knowledge and ideas.

Question 3

What are some significant historical events that have allowed Globalisation to develop?

Answer 3

• World War II: Globalisation was assisted by the rise of world trade and TNCs.
• Great depression: Tariff walls.
• Invention of the internet: an expansion of communications.

Question 4

When was the United Nations founded?

Answer 4

1945.

Question 5

What is the UNs mission?

Answer 5

The UNs mission is to maintain world peace, develop good global relations between countries, promote cooperation in solving the world problems and encourage human rights.

Question 6

What is the UNs guiding principe?

Answer 6

Promoting economic and social development will help bring about lasting world peace and prosperity.

Question 7

What areas does the UN assist in?

Answer 7

Involvement in war, human rights, humanitarian assistance, economic and social development.

Question 8

How has the UN assisted in involvement in war?

Answer 8

Providing a forum for mediation in the Arab-Israeli conflict; war crime tribunals; conducted over 35 peacekeeping missions.

Question 9

How has the UN assisted in human rights?

Answer 9

Universal Declaration of Human Rights; aid for refugees fleeing war, persecution or famine; territorial and hostage-taking issue settlement.

Question 10

How has the UN assisted in humanitarian assistance?

Answer 10

Responds to emergencies caused by international disasters; immunisations.

Question 11

How does the UN assisted in economic and social development?

Answer 11

Expert training and advice; promoting workers rights and conditions; impriving agricultural techniques; helps developing nations obtain funds.

Question 12

What is the ‘law of Comparative Advantage’?

Answer 12

Total wealth is maximised if each state specialises in limited varieties of production and trade with others. E.g Australia specialises in producing coal and China specialises in producing rice. Formulated by David Ricards (British politician and economist).

Question 13

What does the ‘economy of scale’ mean?

Answer 13

Economies of scale exist when the production of additional units costs gradually less money. The more you produce the cheaper it is to produce.

Question 13

What does OPEC stand for?

Answer 13

Organisation of Petroleum Exporting Countries.

Question 13

What three financial structures had been put in place to restore the economy after the Second World War?

Answer 13

International Monetary Fund (IMF), International Bank for Reconstruction and Development (World Bank), General Agreement of Tariffs and Trade (World Trade Organisation… WTO)

Question 14

How does the IMF play a role in the stabilisation of currency markets?

Answer 14

It would provide short-term loans to restore any currency crisis or potential bankrupcy of a government. It would also oversee a system of fixed exchange rates based on the value of the US dollar and the price of gold.

Question 15

What is ‘ethical consumption’?

Answer 15

Buying and producing goods using ethically acceptable means.

Question 16

What is an example of ethical consumption?

Answer 16

Products from Oxfam - coffe beans, toys, clothes; RSPCA poultry.

Question 17

What is the ‘Demonstration Effect’?

Answer 17

When people are exposed to a demonstration of how they could live, they may want to follow.

Question 18

What is an example of the Demonstration Effect?

Answer 18

Womens rights in Saudi Arabia.

Question 19

What is a Transnational Corporation?

Answer 19

Companies that operate beyond the scale of a single nation-state.

Question 20

What is a ‘Sweat Shop’?

Answer 20

An outsourced producer in a poorer country, who work longer hours, paid cheap wages with lower standards of health and safety.

Question 21

How can sweatshops be seen as BOTH a ‘neccessary evil’ and a ‘stepping stone’ for developing countries on their path to prosperity?

Answer 21

Some people believe that TNCs have benefit to poorer countries because they pay higher wagers than local average, have higher labour standards and introduce high technology and capital. Levels of poverty have reduced because of TNCs, and TNCs give them opportunity to work and make money.