Globalisation

Question 1

What is globalisation

Answer 1

The increased integration of different economies

Question 2

What are the characteristics of globalisation

Answer 2

Increased international movement of labour; Increased international movement of financial capital; Increased specialisation; Increased international trade; Increased trade to GDP ratios

Question 3

What are the causes of globalisation

Answer 3

Improvements in transport; Improvements in IT; Containerisation; Trade liberalisation

Question 4

What is the impact of globalisation on individual countries

Answer 4

Advantages: Higher living standards; Disadvantages: Overdependance

Question 5

What is the impact of globalisation on governments

Answer 5

Advantages: Increased tax revenue; Disadvantages: Increased transfer pricing

Question 6

What is the impact of globalisation on producers

Answer 6

Advantages: Lower production costs through relocation; Disadvantages: It only benefits TNC’s which create high barriers to entry

Question 7

What is the impact of globalisation on consumers

Answer 7

Advantages: Wider choice and lower prices; Disadvantages: Lower conusmer happiness

Question 8

What is the impact of globalisation on workers

Answer 8

Advantages: Increased international opportunities; Disadvantages: Structural unemployment

Question 9

What is the impact of globalisation on the environment

Answer 9

Increased international cooperation; Increase in global warming