topic 3: globalisation

Question 1

what is globalisation

Answer 1

more interdependence between countries

Question 2

5 elements of globalisation

Answer 2

capital, goods and services, trade, culture and ideas

Question 3

economic causes of globalisation

Answer 3

The volume and influence of
(TNCs) has increased - many TNCs’ incomes>some countries’. Online purchasing between countries is becoming more common. Stocks are traded across countries and FDI. Some financial businesses (pension funds and investment banks) trade large amounts of currencies in order to make profit

Question 4

political causes of globalisation

Answer 4

Trade blocs (e.g. EU) have
become more influential and have reduced tariffs and other protectionist measures.
IGOs (e.g. IMF, WTO and the World Bank) work to harmonise economies, whilst promoting democratic ideology. Political views and ideology are
expressed in worldwide media outlets e.g. BBC, Fox, CNN.

Question 5

migrational causes of globalisation

Answer 5

International migration has led to extensive family networks living across the globe, leading to the spread of culture and finance (through
remittance).
International tourism has increased - more people can travel abroad for holidays due to lower transport costs.

Question 6

cultural causes of globalisation

Answer 6

Americanisation and Westernisation of other (often developing) parts of the
world.

Question 7

Flow of Commodities causes of globalisation

Answer 7

Goods can easily be imported,
increasing countries interdependence on
one another (some UK bottled water is imported from Fiji, which is 10,000 miles away)
The volume of manufactured goods has increased rapidly due to low cost countries such as Bangladesh and Vietnam

Question 8

technological causes of globalisation

Answer 8

The internet has rapidly allowed the spread of information and knowledge.
Social networking sites have become very popular (Facebook had 1.5 billion
users in 2015). Networks can allow the spread of culture, ideology and opportunities for migration and tourism.
Enormous server farms exist currently (e.g. Microsoft’s data centre in Washington) which store substantial amounts of data

Question 9

economic types of globalisation

Answer 9

• TNCs trade products internationally and use international outsourcing and offshoring to lower costs
• industries move to developing countries to save money on labour, bringing economic growth there
• trade blocs create create economic integration between states and promote development
• sources of income from international companies
• global transactions of money, e.g. buying something that’s shipped from china

Question 10

political types of globalisation

Answer 10

• governments form connections to trade, such as trade deals and trade blocs
• western democracies especially have had a global influence on political ideas, such as development of market economies in former communist states.
• deregulation (removing state regulations) policies allow markets to grow with an international reach.
• international organisations exist to harmonise national economies and political relations, e.g. the UN

Question 11

cultural types of globalisation

Answer 11

• exposure to media sources such as television and social media allow a recognition and understanding of other cultures
• the ability to travel internationally lets people experience cultures
• individuals have greater awareness and understanding of the world events due to education and news sources
• westernisation (the domination of western cultural traits in non-western areas, e.g. well known western brands like starbucks seen in asia)

Question 12

social types of globalisation

Answer 12

• international immigration is creating multicultural societies where people share and adopt cultures (e.g. cultural food shops)
• social networking has revolutionized human connections, as tech platforms enable interactions with people living in other countries and access to international information
• global NGOs and charities are involved in the global improvement of education and health, such as WHO and amnesty international

Question 13

what has globalisation generally lead to

Answer 13

• lengthening of connections = people can now travel further afield and goods are brought in further away
• the deepening of connections where connections are penetrating more in depth into most aspects of life.
• faster speed of connections= people can now talk in real time from different parts of the world and you can travel much faster than previously between different countries etc.

Question 14

political international interdependence

Answer 14

• international political issues require countries working together in order to solve them. issues raised must have a unanimous decision from nations.
• countries rely on other countries to intervene if there is political unrest. for example, many nations intervened when there was serbian state sponsored ethnic cleansing leading to kosovo’s independence

Question 15

economic international interdependence

Answer 15

• countries are dependent on the flows of labour, products and services entering the country in order for the eceonomy to grow. labour provides a workforce; products and services mean countries can develop and make more money

Question 16

social international interdependence

Answer 16

• migration has caused social interdependence as there are now diasporas (groups of migrants of the same origin living in another country) all over the world that are dependent on the place they live in
• countries rely on each other for leisure activities, e.g. TV programmes produced in other countries

Question 17

environmental international interdependence

Answer 17

• all nations are affected by other nations’s greenhouse emissions, nuclear waste emissions etc, meaning all countries rely on each other to protect the environment. e.g. nuclear fallout from the chernobyl disaster in ukraine reached uk and france

Question 18

import innovations in transport

Answer 18

▪ Steam power – In the 1800s, Britain was leading the world in the use of steam
technology. This allowed the British to move their goods and armies very quickly into key areas, such as Asia and Africa.
▪ Jet aircraft – Newer and more efficient aircraft have allowed goods to be transported quickly between countries. Increasing competition between affordable airlines (e.g.
EasyJet, RyanAir, Jet 2) has led to more people being able to travel abroad.
▪ Containerisation – There are more than 200 million container movements every year and this is extremely important to the global economy. All sorts of goods are transported
across the world, lower costs of transport is beneficial for both businesses and
consumers.

Question 19

dimensions of globalisation

Answer 19

Capital Capital flows are the movement of money for the purpose of investment, trade or business production.
Labour Flows of labour are the movement of people who move to work in another
country.
Products Flows of physical goods from one country to another.
Services Services are ‘footloose’ industries, meaning they can locate anywhere without constraints from resources or other obstacles.
Services flow as they can be produced in a different country to where they are received
(e.g. international call centres).
Information Any type of information can flow from one place to another via the internet, SMS, phone calls etc. For example, international news.

Question 20

environmental reasons some countries are switched off

Answer 20

• Landlocked countries
  cannot be independent in
  trade (they must rely on its
  neighbours to travel through before participating in trade)
• Poor fertility of land,
  mountainous or arid
  conditions, limited land
  space can all reduce a
  country’s ability to produce
  a commodity for trade
• Some countries are
  vulnerable to Climate
  Change, and so the natural
  environment could change
  to unfavourable conditions
  (sea level rise,
  desertification, etc)

Question 21

political reasons countries are switched off

Answer 21

• The political agenda and
  governance of a country
  may limit flows of people or
  culture (anti-migration policies, censorship, etc)
• Terrorism or active
  conflict within a region can
  be hugely detrimental to
  their global connectivity.
• Corruption within the
  government means money
  is lost rather than invested.

Question 22

economic reasons countries are switched off

Answer 22

• LEDCs, with little finance
  extra, cannot afford to
  invest in ports,
  infrastructure, incentives for TNCs nor education to
  improve the skills of its
  labour force.
• Countries with unstable
  markets or weak
  currencies will deter
  investment and businesses.

Question 23

why may some countries find flow to be a threat

Answer 23

• Importing raw materials and commodities could hurt domestic suppliers and
  industries
• Migrants from abroad could create tensions as they may not be wanted
• Foreign information could be seen as a threat (e.g. China’s Great Firewall)

Question 24

imf (international monetary fund)

Answer 24

The IMF is an organisation based in Washington that loans money to poorer developing
nations. One of the key conditions for recipient nations is that the country opens up its
markets and industries from government control, which in turn leads to privatisation. TNCs
now have the opportunity to enter those markets more easily which would generate financial
activity and tax, but mainly for their host country (which tends to be an MEDC).
The IMF can be seen as more of a hindrance than help; LEDCs fall into debt with their
industries privatised, which in turn could lead to profits leaving their country and potential
environmental or workforce exploitation. Countries which struggle to pay their debt will
have to cut back on funding in key areas such as education and healthcare, which further
damages the country’s economy and welfare.

Question 25

The World Bank

Answer 25

The World Bank, similar to the IMF, loans money to developing nations with the aim of
improving development, and so enabling globalisation. Like the IMF, The World Bank is also
seen as controversial and many critics say both these organisations don’t benefit developing
countries. Instead, they promote LEDCs to increase their debts and limit the government’s
sovereignty.

Question 26

world trade organisation

Answer 26

The WTO is headquartered in Geneva, Switzerland which aims to liberalise trade by
removing tariffs, subsidies and quotas. The WTO has been criticised because it has failed to prevent the EU and USA from implementing protectionist measures like subsidies,
and so it has been unsuccessful from creating equal opportunities for all countries to trade

Question 27

what is free market liberalisation

Answer 27

This is governance model strongly associated with the policies
implemented by Ronald Reagan in the US and Thatcher in the UK. It is the belief that government interventions in markets would hinder economic growth and development in the long term. As a result of market liberalisation, the banking and finance sectors were
deregulated in the UK which led to London becoming one of world’s major financial centres

Question 28

what is privatisation

Answer 28

Until the 1980s, important assets in the UK, such as railways and utilities,
were owned and run by the government. Thatcher privatised these state-owned industries;
private companies bought and ran these services, which has continued to the present
day. Privatisation allowed the government at the time to raise a lot of money. However,
some critics believe that privatisation compromises the quality of services (such is the
case for northern rail, despite raising prices for consumers there are increasing strikes which
are negatively affecting commuters).

Question 29

how do governments encourage business start ups

Answer 29

Around the world, incentives (grants, tax breaks, infrastructure constructed) are provided by governments in order to attract businesses. After Sunday trading began in the UK, many foreign businesses (e.g. Disney) were attracted to establish shops here to profit from this lucrative opportunity.

Question 29

types of FDI

Answer 29

Offshoring – TNCs set up production facilities in developing countries, which have large,
cheap workforces (e.g. Bangladesh)
▪ Foreign Mergers – TNCs from different countries join to form one larger company
▪ Foreign Acquisitions – A TNC acquires another company from abroad, often in a
hostile way (may involve local job loss, lack of interest in the local environment, etc)
▪ Transfer Pricing – TNCs sometimes channel their profits through subsidiaries in tax
havens (e.g. Ireland)

Question 30

what is censorship

Answer 30

The government restricts the flow of information and knowledge through
state-controlled media outlets and internet restrictions. Censorship can be used to limit a population’s knowledge of foreign culture and ideas (such as democracy) which could undermine a dictatorship government.

Question 31

what is limiting migration

Answer 31

Most countries have some sort of border control and migration
monitoring. With the rise of right-wing, extremist views, (as discussed later in the notes)
more countries have adopted strict migration controls.

Question 32

what is trade protectionism

Answer 32

Trade protectionism involves subsidies, tariffs and quotas which help a country to protect domestic industries. For example, in 2016 Chinese steel flooded global markets at very low prices - “dumping” - due to Chinese government subsidies. This caused major problems for steel industries around the world including the UK Tata Steel Works, which closed and sold all of its plants as it lost £1 million every day.

Question 33

what are free trade blocs

Answer 33

In order to trade more freely between nations, governments may sign agreements with each
other in order to reduce restrictions of the flow of capital and goods. Free trade may also encourage the movement of people, culture and knowledge.

Question 34

benefits of trade blocs

Answer 34

Businesses have a larger potential
market to sell to, and so larger potential revenue to make.
▪ As businesses cater for more demand by increasing their volume of production, many other businesses can benefit by providing raw materials, skilled workers or providing outsourcing
opportunities. Hence increased
business for one may in turn benefit
many in a positive feedback loop.
▪ Trade of essential materials or services become more reliable within a trade bloc. There may be less economic risk and better pathways for essential imports (food, energy, etc).

Question 35

disadvantages of trade blocs

Answer 35

The interests of countries within major trade blocs are focussed upon
themselves. Outside trading countries become excluded and find it very difficult to join in trading. Foreign industries and suppliers can be directly damaged as a result of competition or lack of opportunities due to trade blocs forming.
▪ Trade Blocs still don’t guarantee fair
treatment within, for example the
relationship between Mexico and USA has not strengthened through trade bloc NAFTA.

Question 36

trade restrictions

Answer 36

• tariffs (a tax for importing and exporting goods);
  -non-tariff barriers (NTBs), such as quotas (a limit/fixed number of goods) or requirements;
• and outright bans on products or country import/exports.

Question 37

what are trade agreements

Answer 37

lower the costs of trade, certain restrictions can
be removed or lessened in return for
another country doing the same. All
trade agreements are overlooked by
the World Trade Organisation
(WTO) to ensure they are fair.
An example of a trade agreement is
the North American Free Trade
Agreement (NAFTA). This
agreement has lowered and removed
tariffs on imports and exports
between Canada, the USA, and
Mexico. NAFTA has been criticised
for its effectiveness.

Question 38

KOF index

Answer 38

The KOF index measures globalisation of countries for political, economic and social
indicators. It’s measured on a scale from 1 to 100, where 100 is the most globalised nation.
▪ Political (39% weighting on overall
score)
-Membership of international
organisations and trade blocs like EU,
WTO, IMF, NAFTA
-Number of foreign embassies located
in the country
-Participation in international treaties
▪ Economic (37% weighting on overall
score)
-Long distance flow of goods and
services and capital
-Flows of FDI
▪ Social (24% weighting on overall score)
-Personal contact through international
phone calls and tourist numbers
-Information flow through the number of
internet users per 1000 people
-Cultural proximity through things like
the number of McDonalds

Question 39

A T Kearney Index

Answer 39

AT Kearney Index is a measure of
globalised cities, by a London business. It
considers political, communication,
technology and political factors.
▪ Economic integration
-Imports and exports
-FDI
▪ Personal contact
-Telephone traffic
-Travel and tourism
-Remittances
▪ Technological activity
-Internet users
-Internet hosts
-Secure servers
▪ Political engagement
-Membership of international
organisation
-Signatories to international treaties
-Number of embassies

Question 40

Simple measures that are the most common statistical
measures of wealth and productivity:

Answer 40

● GNI (Gross National Income) is the value of goods and services by a country;
similar to GDP, but GNI also takes into account overseas earnings.
● PPP (Purchasing Power Parity) is the expenditure of a country’s population and
reflects the cost of living.
● Income per capita is the mean average income per person (income of the country
by population size). This average can easily hide inequality; the few high earners
have a larger influence of GDP than a majority of low earners.
● GDP (Gross Domestic Product) measures the total value of goods and services
produced in a country. Using GDP as a simple economic measure may be inaccurate
as GDP doesn’t include any informal earnings or black market economies.
Furthermore, GDP is measured in US Dollars, therefore can vary as exchange rates
vary daily.

Question 41

composite statistical measures (more reliable than simple as they contain a range of factors) of development

Answer 41

➔ Economic Sector Balance considers all four main economic sectors - Primary,
Secondary, Tertiary, Quaternary - and describes the composition of a country’s
industry (often displayed as a bar chart). As a country develops, primary industries
usually decline and their earning reduce whilst secondary and tertiary become more important (according to the Clarke-Fisher Model).
➔ Gender Inequality Index (GII) measures female participation and treatment within society and considers:
● Reproductive health – Maternal mortality ratio, adolescent birth rates
● Empowerment – Proportion of parliamentary seats held by women,
● Employment – Labour force participation rates of women
➔ Human Development Index (HDI) is a measure of social development and considers:
● Life expectancy
● Wealth (GDP per capita)
● Education (Literacy levels and average number of years in education)

Question 42

TNCs

Answer 42

TNCs usually work by having their headquarters,
production, and sales all in different countries across the globe , meaning they are a
crucial aspect of globalisation.
These corporations can provide raw products, manufactured
goods, services, or information - they exist in different industries
(sectors). However, TNCs are not
entirely beneficial, as some exploit the environment and population in favour of maximising
profits and manufacturing efficiency.
The Headquarters of TNCs are usually located in high income countries . HQ is responsible
for the big decisions, such as investments, meetings with global organisations etc.
This map shows the Headquarters of Fortune 500’s largest companies. The majority of headquarters are heavily concentrated within the USA, Europe, Japan, as well as many in the emerging economy of China. Products that are made for consumer audiences, such as smartphones, use global supply
chains as a way to spend less money on manufacturing . TNCs may often invest in the
source of raw materials also in order to save money in the supply chain. E.g. many TNCs
that provide food (like fruit) invest in plantations to lower the cost and remove the ‘middle
man’.

Question 43

pros of TNC

Answer 43

Overall, TNCs make products, produce jobs, invest
in countries, and sometimes contribute to cultures. Some TNCs
are very powerful, and can even have political influence, e.g.
the pressuring of some countries to reduce taxes and create
SEZs so that the TNC will invest there.

TNCs are very influential to a country’s level of globalisation and
interconnectivity; some TNCs have larger revenues than entire
countries’ GDPs. Furthermore, in 2016, the top 200 TNCs accounted for 25% of the world’s economic activity but only employed 1% of the world’s population. TNCs create links between countries and with other companies. Linkages are created in
order to benefit the TNC, and often includes expanding the company.

Question 44

TNC links through FDI

Answer 44

TNCs create links with other countries by investing in them , which benefits the country as this creates jobs and contributes to the economy. TNCs can be investments into a factory, for example, but they may also take the form of mergers and acquisitions.

Question 45

TNC links through integration

Answer 45

TNCs often expand their company by creating linkages
between other companies. There are two types of integration:
● Horizontal integration: taking ownership of part of the supply chain, e.g. buying a
plantation
● Vertical integration: taking ownership of another company , often one that is in a
similar industry. The food industry is a prime example of vertical integration. A lot of
large companies control the majority of smaller companies,

Question 46

cons of TNC

Answer 46

Natural disasters (e.g. 2011 Tohoku Tsunami) can disrupt
supply chains which in turn can affect production and hit profits. A TNC’s need for
interdependence and global logistics can have major implications on global markets.
Alternatively, the collapse of the Rana Plaza factory in Bangladesh in 2013 (1134 people
were killed) impacted many garment TNCs. The TNCs relying on the garment factory lost
profit and their production source, and the whole industry faced intense scrutiny over TNCs
exploiting workers and providing unsafe working conditions.

Question 47

outsourcing

Answer 47

TNCs that provide tertiary industry products (services) will often
outsource tasks to other companies in order to save money and time. TNCs like
Apple outsource their manufacturing process so that profits can be maximised.

Question 48

offshoring

Answer 48

Companies that make manufactured products will often have their
factories in LICs due to lower labour costs, better taxes, weaker regulations for
workers and weaker environmental regulations. This leads to much dispute about the
ethical issues with TNCs exploiting poorer citizens in order to maximise their
products.

Question 49

glocalisation

Answer 49

The adaptation of goods or services by a TNC is to meet local needs or tastes, which
would increase custom within a select region. There are many examples of glocalisation:
- Grocery shops based in Bangladesh don’t wrap their vegetables, because customers
judge their purchases on the feel of the food (called a wet market)
- McDonalds have created a menu without any beef or pork burgers in India, due to
the large population of Hindus and Muslims
- Car makers must change the orientation of the car to suit which side of the road a
person will drive on.

Question 50

global shift

Answer 50

how manufacturing and industrial activity has shifted from different
parts of the world. Prior to the 1960s, manufacturing industries were located in the west in
Europe and the US. However after the 1960s, industries relocated to the East in countries
like China and India, due to their large, unskilled workforce.

Question 51

outsourcing of services to india

Answer 51

Many Indian citizens can speak fluent English (“the language of business”) and the Indian
government have invested in infrastructure such as broadband capacity, which has attracted high tech companies.

Question 52

benefits of outsourcing services to india

Answer 52

Workers receive middle class wages which has meant that their disposable incomes
have increased
Other businesses have seen more customers and more spending, especially
the likes of shopping malls and nightclubs -
positive multiplier effect.
People running the companies where services are outsourced to have seen increasing profits.

Question 53

negatives of outsourcing services to india

Answer 53

Many workers believe that they are exploited, with long shifts and still lower pay than MEDC workers.
Employees have become demotivated due
to the repetitiveness nature of their work.
The inequality between the richest and
poorest is increasing as the poorest are not
well educated and cannot benefit from
outsourcing jobs.

Question 54

outsourcing of manufacturing to china

Answer 54

In the 1990s, cities such as Shenzhen and Dongguan offered investors a large pool of
cheap labour for manufacturing and other secondary employment. Since then, the volume
of TNCs outsourcing to China has vastly increased.
Sweatshops - that previously have accelerated China’s globalised status - have now
become less popular due to cheaper labour elsewhere and the bad reputation Chinese
products have. Instead, sweatshops are moving to Bangladesh and Vietnam, whilst new
technological outsourcing opportunities move into China, offering higher wages.

Question 55

benefits of outsourcing manufacture to china

Answer 55

New production methods and techniques
brought by TNCs have now been adopted
by local companies, so causing local
economic development.
Locals, especially in rural areas who would
otherwise be dependent on subsidence
farming, now earn a wage.

Question 56

costs of outsourcing manufacture to china

Answer 56

Many employees have been exploited and
their working conditions are dangerous -
chemical contact, long hours, limited human
rights, relaxed health & safety regulations.
The environment has been degraded.
Rivers and waterways become polluted
with arsenic, lead and other dangerous
chemicals. The air becomes polluted with
particulates, that increase asthma suffers
and pollution-related fatalities.

Question 57

deindustrialisation

Answer 57

During the 1970s, many factory workers in Europe and America lost their jobs as TNCs
relocated or outsourced their manufacturing to the East. This caused a variety of social and
economic impacts, which can be seen in cities such as Detroit and Glasgow:
▪ Dereliction and Contamination - Many textile companies located in UK Northern cities
closed and so the building they previously occupied became abandoned and derelict.
Other areas suffered from abandoned chemical and industrial waste, which has
infiltrated the soil and local waterways.
▪ As a direct consequence of companies moving away, rates of unemployment will
increase. This can lead to depopulation, as residents migrate away to find alternative
employment. Furthermore, deprivation of inner city areas especially will increase and
crime rates may increase.

Question 58

urban pull factors

Answer 58

• Migrants are attracted to the city for:
  ▪ Employment Opportunities
  Large businesses and TNCs provide a wide range of jobs, with the opportunity to be
  promoted to better roles and so higher wages.
  ▪ Services
  There is a better access to services in urban cities, as the distance needed to travel is
  reduced and there is more likely to be specialised facilities in the city than in rural
  areas. This can include education, healthcare, government embassies and offices, etc.
  ▪ Infrastructure
  Transport links - roads, railways, bus routes, etc - are faster and more reliable in urban
  areas. There may be less congestion (if you are moving from a honeypot village,
  congested due to tourists, to the suburbs). Also, there is better internet and broadband
  connection in urban areas, due to the ease of installation here rather than in the
  countryside. There are usually street lights which makes people feel safer to go out at
  night.

Question 59

rural push factors

Answer 59

• Migrants are deterred from rural living by…
  ▪ Poverty
  People may not able to earn enough (decreasing earning of farming, seasonal tourist
  employment) and there are very few job opportunities, therefore there can be high
  poverty and deprivation in rural regions.
  ▪ Conflict (e.g. Darfur, Sudan)
  There may be a scarcity of resources which can cause conflict between different
  groups, as they fight for resources (such as water, land for agriculture or natural
  resources) and wealth.
  ▪ Land Reform
  In some regions, locals are unable to prove that they own the land they claim to own,
  thus TNCs (with government support) claim the land instead. This is very common with
  native, indigenous communities, who have little voice against powerful TNCs.
  ▪ Agricultural Modernisation
  An increase and advancement of agricultural machinery has meant that less people
  are required on farms, causing rising unemployment and so forcing economic migration
  of the unemployed.
  ▪ Climate and Natural Disasters
  A rare circumstance, but the occurrence of droughts or crop failures can force
  migration in search of food or water. Alternatively, for regions regularly affected by
  earthquakes, storm surges, landslides, etc. families may feel pressured to move
  elsewhere to avoid economic loss or fatalities.

Question 60

challenges faced by growing cities

Answer 60

▪ Strain on services like education and healthcare
▪ Overcrowding and the development of “slums”
▪ Rising crime rates
▪ Poor sanitation due to open sewers and defecating outdoors
▪ Lack of green space
▪ High levels of congestion, which causes air pollution

Question 61

elite international migrants

Answer 61

Generally skilled or very wealthy people, with the ability to move to global hubs (e.g. London, Paris, New York). An example of elite migrants
would be Russian Oligarchs, who pay Investors Visas and purchase properties in
Mayfair, Kensington and Belgrave. (It is thought that Oligarchs purchasing elite property
in London has caused UK house prices to escallate, which questions the ‘trickle down’
theory that they’re money would eventually improve other UK citizens, through business
and tax)

Question 62

economic international migrants

Answer 62

Many cities like Riyadh, Dubai, London and New
York attract workers who work for very little and are skilled in a particular profession
(often construction). Economic migration can fill skills gaps and advance a country’s
development. However, unless carefully monitored, could lead to escalating urban
populations and a rise in illegal migrants.

Question 63

benefits of migration on host country

Answer 63

• Can help fill skills gaps.
• Working migrants contribute to the economy through paying taxes and buying goods & services.
• Increase in cultural and
  demographic diversity.
• Young migrants can help to
  balance an ageing population, or
  increase a dwindling population
  over time.
• Businesses have a larger pool of potential employees or customers.

Question 64

benefits of migration on source country

Answer 64

▪ Migrants send back remittances which
can aid in development and reduce poverty without government intervention.
▪ Migrants become skilled and can come back to set up their own businesses, encouraging local economic growth and employment opportunities.
▪ Reduced service spending for the government as population declines

Question 65

costs of migration on host country

Answer 65

Rise of far right organisations, hate crime and racial tensions IF lack of understanding between migrants and original population.
▪ There could be strains on
services (e.g. healthcare,
education) due to an increasing
population
▪ House price inflation due to
higher demand

Question 66

costs of migration on source country

Answer 66

• Brain drain due to skilled workers
  leaving
• Migrants tend to be young, so elderly
  family are left behind and can become
  isolated
• Decline in services due to low customer
  numbers, which can lead to the negative
  multiplier effect, in turn reducing other
  businesses and services
• Agricultural land not taken care of, with
  potential dereliction

Question 67

components of culture

Answer 67

▪ Language – National languages as well as different dialects and accents.
▪ Traditions – Everyday behaviour and manners that have been passed down through
generations.
▪ Religion – There are major religions across the world.
▪ Food – National dishes and diet reflect animals, crops, spices that are found locally

Question 68

recent changes to culture

Answer 68

Traditional Asian diets, for example, are low in meat. However, as China develops, the
middle class population is growing and so people are starting to adapt their diets to western
influences (introduced by Western TNCs). From 1990s till 2015, meat consumption per
capita rose from 5kg to 50kg. This change to Chinese diet has had various impacts:
● Obesity has increased, especially within this growing middle class population.
● A rise in cattle rearing has led to a rise in methane emissions which in turn is increasing Global Warming.
Alternatively, changes to culture aren’t always for the worst.
In China, research conducted showed that only 25% of disabled people were employed which suggested stigma against disabled individuals. However, in the 2012 Paralympics, the Chinese came first with their team. The Paralympics could show how global attitudes towards disabilities positively.

Question 69

how can culture be influenced

Answer 69

media, migration, TNCs and businesses and social media.

Question 70

examples of resisting culture change

Answer 70

France – The French government has attempted to control globalisation by restricting
foreign language media (40% of all broadcast must be French).
China – ‘The Great Firewall of China’ prevents information unfavourable of the government
or foreign media outlets. Within China, you cannot access the BBC, use Facebook or search
for politically sensitive information (such as Tiananmen Square).
Iran – In the early 2000s, the government banned Barbie dolls and confiscated them all from
stores as they weren’t seen as appropriate for the Islamic State.

Question 71

widening inequality gap

Answer 71

Average incomes have risen in all continents since the 1950s but the poorest parts of
Africa have seen very little and slow growth.
▪ The increase in wealth of Europe and North America has resulted in the widening gap
between the richest and poorest in the world.
▪ Absolute poverty has fallen across but still is high.
Since the 1970s, income per capita in Asia has risen significantly due to Japan and South
Korea’s modernisation (In 2010, income per capita in Asia stood at US$7000).
Incomes in some African countries - especially sub-Saharan countries - has remained
stagnant. However, within Africa there are big disparities and so Africa (like other continents)
should not be viewed as a whole. In Northern Africa, countries like Algeria and Tunisia are
much wealthier than Southern African countries due to natural oil wealth.
The Gini Coefficient measures the inequality wealth shared across a population and scores
a country from 0 to 100.
0 represents perfect equality, whereby everyone has the same income.
100 represents perfect inequality where one person has all the income.

Question 72

how is globalisation causing conflict

Answer 72

Within Europe, far right parties and organisations have become more popular and support
for them has increased. This has accelerated since the expansion of the EU in 2004 (eight
Eastern European countries have been added) and so an increase in the flow of migrants.
For example, Germany has accepted the largest number of migrants of any EU country but
growing concern and tensions over such a large influx has lead to the rise of Pegida. In
France, the National Front received 25% of the votes during a national election, which
suggests the French’s views towards migrants and cultural diversity is becoming less
accepting.

Question 73

how has globalisation not helped environmentally or politically

Answer 73

The
Mekong River, for example, flows from China through Myanmar, Laos, Cambodia and
Thailand. Since the 1990s, various dams have been constructed along the river, causing
increasing political tensions between the countries. Increasing pressures for national
governments (increasing population, desire to develop, etc) will increase conflicts between
states for: fossil fuels, rivers, islands for naval bases, land for living or farming.

Question 74

how do some cultures protect their identity

Answer 74

Despite cultural diffusion and erosion, some cultures and indeginous communites have
strengthened their identity. Tourists are attracted to experience their culture or witness their
traditional lifestyle (e.g. Papau New Guinea). Alternatively, indigeonous (live in one
location) or nomadic (travelling between locations) have grouped together, to support each
other and maintain their traditional lifestyles. Despite TNCs threat to drill for oil within their
territories, indigenous communities continue to prosper in Canada (called the First Nations),
Siberia and Alaska.

Question 75

issues with TNC’s sustainability

Answer 75

growing insecurity over
energy, food and water. An increasing middle class and the growing global population
will continue to increase demand. TNCs have developed global production networks through cheap labour and low transport costs, which has helped TNCs to minimise costs and maximise profits. However, many people criticise the environmental costs (e.g. high carbon emissions) associated with TNCs success and instead adopt “localism” as a way of life

Question 76

what is localism

Answer 76

the reduction of
globally sourced goods instead purchasing locally-sourced, sustainable products to protect
the environment and vulnerable individuals.

Question 77

pros of localism

Answer 77

Local suppliers can generate more revenue and they can provide more jobs for locals.
▪ Lower carbon emissions are food transported over shorter distances.
▪ Deliveries can be much quicker and may cost less.

Question 78

disadvantages of localism

Answer 78

Foreign suppliers in developing
countries may lose out and jobs may be lost abroad.
▪ Overall cost is higher, due to higher wages and manufacturing costs.
▪ Low income families may not have the financial ability to afford local produce.

Question 79

what is a transition town

Answer 79

Totnes, in Devon, is the world’s first transition town which has its own currency (the Totnes
Pound). The Totnes Pound encourages spending in independent stores, therefore benefiting
the local economy rather than chains or TNC stores.

Question 80

aims of transition towns

Answer 80

aim to support local economies and they promote:
➔ Reducing consumption through reusing and recycling
➔ Reducing waste, pollution and environmental damage
➔ Meeting local needs through local production

Question 81

fairtrade

Answer 81

Fairtrade aims to secure better pay to producers and growers and includes coffee, cocoa
and bananas. The Fairtrade certification provides consumer confidence that suppliers are
being paid a fair price for what they produce. However as the scheme continues to grow, it’s
increasingly difficult to ensure profits are distributed properly to the growers and producers.