What are the impacts of superpowers on the global economy, political systems and the physical environment? Flashcards
(11 cards)
How Superpowers have a global influence
superpowers = is a nation which is able to project its power and influence anywhere in the world. It is a dominant force.
Power = is mostly of an economic, political or military nature. In some instances, power is also projected through culture.
It is not evenly distributed. Some nations have a disproportionate influence over global and regional decision making: other word within organisations such as the Unite Nations (UN) and economic blocs as a consequence, exercise little individual influence. They simply participate in power sharing.
superpowers exercise various forms or power:
Economic = wealth and advanced development enable them to buy resources and influence trade patterns. (The most important form of power as it allows them to buy resources and influence trade patters)
Military = based on the possession of nuclear and other weapons, as well as monitoring the rest of the world by satellites and soy technology.
Cultural = influences the way people behave and involves the global promotion of a distinctive way of life and a particular set of values.
EMEGRING SUPERPOWER
their power is often based on increasing economic importance and sometimes resources e.g. BRAZIL, RUSSIA, CHINA, INDIA and Oil rich Gulf States.
Example is BRAZIL as it acts as a regional power but its economic and military influence is still confined. CHINA = lacks cultural and geographical dominance like us.
WEF
-swiss not- for profit organisation- working across national borders- an IGO.
-promotes= public and private co- operation, with its aim to improve the state of the world by bringing together business, political, academic and leaders of society to shape global, regional, and industry agendas
- founded in 2971, to help resolve disputes and promote global thinking. discussed issues of corruption and terrorism, together w economic systems and social issues. its members think internationally and encourage Govs to promote global links.
TNCs gain a lot from gov policies, so networking w world leaders is useful for them
IMF
- founded in 1944 at Bretton woods after the second world war. its job was to stabilise global currencies after the depression in 1930 and the devastation caused by ww11.
- 44 countries initially joined to create a fund to be used for loans to help those countries facing heavy debt, helping to stabilise their currencies and economies. the thinking was that capitalism would be promoted.
- 2016- 189 members, however members weren’t all equal bc their individual voting rights are proportional to the amounts they have invested in the fund.
- 8 countries control 47% of the votes
-example- most of their work is managing debt; Africa 1980s- it imposed conditions on many borrowing countries, to cut spending on health and education in return for stabilising their debt.
world bank
- founded at Bretton woods in 1944, its role is to finance development, its first loan was to France for post war construction
- also focuses on addressing the effects of natural disasters, but its main role has been to help capitalism function- making loans to developing countries for development projects.
- gained a bad rep in the 1970s for financing projects that were environmentally damaging- rainforest clearance, or so costly that countries were unable to repay loans.
- now it aims to eliminate poverty
- 40% of votes lie in the hands of eight of the largest contributors.
WTO
–its focus is on trade and its rules. it aims to free up global trade and reduce trade barriers- by negotiating free trade agreements and ensuring members maintain its rules.
-one country- one vote= more fair, however no votes have ever been taken, decision making is by mutual agreement, but most by bargaining favours the EU.
-focused of poverty reduction- removing farm subsidies- stimulate efficient production.
results have been that, in many developing countries, cheaper imports then undercut local farmers= forced out of business.
-nevertheless a combo of globalisation and wto agreements has led to an explosion in trade since 1950w.
role of tncs as global players
change is taking place in their distribution;
- 2006, 6/10 top ten inc = American ,
- chinese companies are growing rapidly
- american car manufacturers- traditionally in top 10, have lost ground. 5 companies in the top 10 between 2006-15 dropped out.
-walmost produce the same revenue as Sweden!!!
TNCs as global players in trade
-huge impact, 1960-2010, trade increased by 46% per decade! 2000s= trade increased by 85%!
bc;
global shift in manufacturing to Asia by TNCS. since 1990, the shift has led to rapid increase in exports from developing countries, which speeded up during 2000s.
-shifted economic power away from western economies into emerging, but also made TNCS V POWERFUL.
-TRADE OCCURS BETWEEN DIFF COMPANIES
-TNCS now account for 80% global trade
TNCS- players in technology
-1995- WTO introduced its agreement on trade related aspects of intellectual property rights. it requires all WTO members to protect and enforce their intellectual property rights- to register any new tech under patent law.= exclusive ownership and possession of intellectual property by a state to an inventor for a fixed period of time- anyone else wishing to use must pay.
- trips favour TNCs, apple and Microsoft spend a lot on developing new ideas. TNCs feel justified in registering any new tech as theirs.
- usa = highest number of patents registered
2 issues illustrate the importance of patents=
1- patents developed by pharaceutical companies make medicine unaffordable poorer countries. for example many new treatments for HIV are v expensive. early ARV= toxic, so later and less damaging versions were more desirable- more ££- provided a wide spread barrier to HIV treatment in Africa.
global cultural influence
- tv shows, western culture= global, bringing arts of diff forms via the media into homes, theatres or aircraft flying around the world.
- music is broadcast globally on tv and youtube. programmes like the Simpsons are available in almost every country.
- the same globalisation occurs w food- as people return from holiday, wanting the same flavour food to remind them of their visit, the influence of international foods in supermarkets in uk has spread
