Power, Places And Networks

Question 1

Rising superpower

Answer 1

China
- Worlds largest economy, exerting power over the global economic system through its size.
- Standards of living have tripled since 1978,due to market reforms being introduces.
- GDP grown by 8% since 1997
- Deng brought free enterprise into agriculture, causing a leap in food production. He gave blessing to business entrepreneurship, again boosting the economy.
- 3 gorges dam is the largest power station in the world.
- 50% of the workforce is in the primary sector
- Worlds leading manufacturer

Question 2

Military and Industrial Complex Superpower

Answer 2

• After World War II, the USA had an enhanced status and power.
• The Great Depression led the economy to be focused on wartime production.
• The headquarters of the UN were once based in New York.
• The World Bank and the IMF are based in Washington DC.
• Military dominance over air, sea, and land, with the largest advanced fleets and bases.
• The defence industry employs 1M people
• 1 in 6 households has someone employed in the military.
• 2016, 40 billion dollars invested in the military, twice the amount of healthcare.

Question 3

TNC Global Strategy and Supply Chain

Answer 3

Fender
- Guitar production, makes high class instruments in the US and mass produces guitars in low wage countries.
- In the 1980s, Fender offshored to Mexico which was accelerated when NAFTA was agreed, encouraging tariff free trade between the US, Mexico, and Canada.
- Fender still continued high cost production in the USA. The custom designs attracted a niche audience and established a reputation for skilled labor and premium products.

Question 4

Another TNCs Global Strategy and Supply Change

Answer 4

Facebook
- Leading media TNC
- 2.5 billion monthly users as of 2019
- Grown it’s global share through 50 other countries, including WhatsApp and Instagram
- 70 Regional offices, the major ones in London and Singapore
- Runs on renewable energy

Question 5

Free trade zones

Answer 5

North American Free Trade Agreements
- Made in 1994, between USA, Canada and Mexico.
- One of the largest free trade zones globally
- Aims to eliminate trade barriers
- Promote economic competition
- Increase investment opportunities
- Small firms closed in Canada
- Firms left Canada to the USA
- Increased unemployment In Canada
- US industries moved to Mexico for cheap labor.
- US and Canadian farmers may dump surpluses into Mexico
- Poverty rate has dropped in 2012

Question 6

Powerful Organization

Answer 6

International Monetary Fund
- Works to achieve sustainable growth and prosperity for all of its members
- Had allowed the USA to leverage its funding to induce other countries to support internationally agreed programs
- Provided billions in financial support to 53 of 69 eligible low income countries in 2020 and the first half of 20.
- Carefully monitors the commodity price boom, provides financial support to countries where prices are rising rapidly, and supports multilateral efforts that ensure open commodity.
- Porvides broad support to low income countries through survekllance and capacity building activities as well as concessional financial support to help them maintain a sustainable macroeconomic position.