4.4 Globalisation

Question 1

Globalisation

Answer 1

Te expansion of world trade in goods and services, together with capital flows . leading to greater international interdependence

Question 2

What are the driving forces of globalisation

Answer 2

• Increase in international trade
• Improvements in transportation
• Worldwide Foreign investment
• Advances in technology and communications

Question 3

How does international trade increase gloablisation

Answer 3

Removing the barriers to trade like taxes and tariffs
Leads to producers becoming incentivised to supply their goods and services in more places
Leads to increased globalisation

Question 4

Development

Answer 4

The process of increasing peoples standard of living and well beling over time

Question 5

Developed country

Answer 5

A country with high GDP per capita and developed industry and service sectors

Question 6

How can you measure development

Answer 6

GDP per capita
Life expectancy
Access to healthcare
Technology
Education/ literacy rates

Question 7

What are the costs of globalisation to producers in developed countries (2)

Answer 7

• Decline of industry because other countries are better than them
• Vulnerable to problems in the worldwide economy- Incomes fall in another country, will affect them

Question 8

What are the benefits of globalisation to producers in developed countries (4)

Answer 8

• Cheaper mor skilles labour abroad
• Advances in techology to make production process better
• Cheaper and wider range of resources
• Wider market to sell to

Question 9

What are the costs of globalisation to workers in developed countries (4)

Answer 9

• Decline of industry and unemployment
• Increase in use of machinery and unemployment
• Increase in dependence on world markets and unemployment (other countries are better at producing so country just imports)
• Increase in immigration and unemployment- More people move to developed countries and the worker is unemployed as they arent competitive on price or skill

Question 10

What are benefits of globalisation to workers in developed countries

Answer 10

• Increased employment due to increased output
• Increased employment due to incrreased investment
  -Increased geographical mobility

Question 11

What are the costs of globalisation to consumers in developed countries (2)

Answer 11

• Less choice due to increase in global brands
• Volatility in price rising- Consumers worldwide competing to buy goods- so price rises

Question 12

What are the bennefits of globalisation to consumers in developed countries (5)

Answer 12

• Wider range of goods/ variety
• Lower prices- more competition
• Better quality and innovative goods
• Greater opportunity to travel
• Improved services because of more skilled professionals

Question 13

Less developed country

Answer 13

A country with a developing economy that had a lower GDP per capita, lower levels of industrialisation and weaker indicators of wellbeing

Question 14

What are the costs of globalisation to producers in less developed countries (3)

Answer 14

• Vulnerability to problems in the worldwide economy- reduction in foreign investment makes it hard to survive
• Increased migration so loss of skilled workers
• Smaller developing industries cant compete against already developed ones in developed countries

Question 15

What are the benefits of globalisation to producers in less developed countries (3)

Answer 15

• Wider markets to sell into
• Advances in technology
• Increase in foreign investments so that costs will lower

Question 16

What are the costs of globalisation to workers in less developed countries (3)

Answer 16

• More use of technology- Unemployment
• Poor working conditions
• Vulnerability to unemployment if global demand falls

Question 17

What are the benefits of gloabalisation to workers in less developed countries (3)

Answer 17

• Increased employment because of increased output overall
• Increased employment due to increased employment
• Increased geographical mobility

Question 18

What are the costs of globalisation to consumers in less developed countries (2)

Answer 18

• Rising prices- More consumers trying to buy the same goods
• Poor quality services because skilles workers migrated to developed countries

Question 19

What are the benefits of globalisation to consumers in less developed countries

Answer 19

• Wider range of goods
• Access to global brands
• Greater opportunity to travel
• Better infrastructuredue to foreign investments