Globalisation Flashcards
(21 cards)
what is globalisation?
the increasing interdependence between countries through trade, goods and services as well as culture and ideas
what are Trade blocs?
groups of countries that make agreements to reduce barriers to trade between them
what is FDI
foreign direct investment - when a company or individual invests in business interests in another country, like building a factory or buying a company
what has caused a spread of culture and finance?
international migration
what are the three important innovations in transport that you have learnt about in the 19th and 20th centuries?
steam power
jet aircraft
containerisation
what was the technological advancement in the 19th and 20th century?
telegraph
what are the four pieces of technology that have helped speed up globalisation in the 21st century?
telephones
broadband and fibre optic cables
GPS
internet
what 5 flows make up the dimensions globalisation? (CLIPS
Capital
Labour
Information
Products
Services
what are the environmental reasons for a country being switched off from globalisation?
-Landlocked
-Poor land fertility may mean lack of products to trade
-vulnerability to climate change
what are the political reasons for a country being switched off from globalisation?
-the political agenda and governance of a country
-terrorism or active conflict
-corruption
what are the economic reasons for a country being switched off from globalisation?
- cannot afford to invest in incentives for TNC’s in LIDC’s like infrastructure
-countries with weak economies will deter investors
What is the IMF and what do they do?
International monetary fund - they are an organisation that loans money to poorer developing nations
what is privatisation?
when the government sells state owned assets or services to private companies
what do the World Bank do?
they are like the IMF and loan money to developing nations with the aim of improving development, and so enabling globalisation
what is the WTO and what do they do?
world trade organisation - aims to liberalise trade by removing tariffs, subsidies and quotas
what is offshoring?
TNC’s set up production facilities in developing countries, which have large, cheap workforces.
what are the three ways national governments can hinder or limit the effects of globalisation?
-censorship - restricting the flow of info and knowledge through media outlets and internet restrictions
-limiting migration
-trade protectionism - a tax or duty imposed on goods when they are moved across a political boundary
what is the KOF index?
measures globalisation of countries for political, economic and social indicators.
measured from 1-100 where 100 is the most globalised
what are the simple measures of globalisation?
-GNI - the value of products and services
-PPP - expenditure of a country’s population
-income per capita - the mean average income per person
-GDP - values of goods and services in a country
what is outsourcing?
TNC’s that provide tertiary industry services outsource tasks to other companies to save time and money
what is glocalisation?
