1
Q
Antarctic convergence
A
a natural boundary in the Southern Ocean which loops all the way around the Antarctic continent and separates cold north-flowing waters from the warmer waters of the subantarctic
2
Q
bandwidth throttling
A
the deliberate slowing of internet service by an internet service provider (ISP)
3
Q
bilateral
A
between two parties
4
Q
Colonialism
A
the policy or practice of a power in extending control over weaker nations or peoples
5
Q
Comparative advantage
A
when a country specialises in producing only those goods that can be produced efficiently and at the lowest opportunity cost
6
Q
Council of the European Union
A
represents the governments of member countries and promotes/defends national interests. The government ministers share power over EU budget and legislation with the European Parliament
7
Q
De-skilling
A
when traditional skills and crafts may be lost when production technology replaces manpower
8
Q
Doha Development Round
A
the trade-negotiation round of the WTO that began in 2001 (also known as the Doha Round or the Doha Development Agenda)
9
Q
Domain
A
a territory or activity over which control is exercised
10
Q
domestic monopoly
A
when a single firm controls a large proportion of the domestic market (25% or greater). This may mean domestic prices are kept high as there is less competition
11
Q
Dutch disease
A
the negative consequences as a result of large increases in a country’s income. It is usually associated with the discovery of natural resources, particularly oil reserves, but can also result from any large increase in foreign currency such as FDI
12
Q
Economies of scale
A
The ability to reduce costs of proportionately by increasing the scale of production
13
Q
Empowerment
A
to give power or authority to someone. Female empowerment involves the fuller participation of women in a nation’s economy and society
14
Q
Europe commission
A
an executive body that is responsible for proposing and implementing EU laws, monitoring treaties and the day-to-day running of the EU. Members are appointed by EU national governments
15
Q
Europe council
A
sets the EU’s overall political direction and priorities. It is made up of the heads of state or government of EU member countries
16
Q
European Parliament
A
represents the 500 million EU citizens and is directly elected by them. Adopts the laws proposed by the Commission. Shares power over EU budget and legislation with the Council of the European Union
17
Q
Fairtrade
A
a value-based organisation and trademark that aims to tackle injustices of the globalised economy. Fairtrade aims to pay farmers a guaranteed minimum price, offer fair terms of trade and make payment of an additional development premium for reinvestment
18
Q
Foreign direct investment (FDI)
A
an investment made by a company, usually a TNC, based in one country into a company based in another country. The investment is usually made to acquire control or to have significant influence over the foreign company
19
Q
G7 + 5
A
a group of 8 countries (Canada, France, Germany, Italy, Japan, UK and USA. Russia was expelled in 2014) which meets annually to discuss economic development. In 2005, G7+5 was formed to include China, India, Brazil, Mexico and South Africa
20
Q
G20
A
an inter-governmental organisation which comprises 19 individual countries plus the EU. It brings together developed and developing countries to discuss key economic issues
21
Q
Global commons
A
those parts of the planet that fall outside national jurisdictions and to which all nations have access
22
Q
Global governance
A
an international process of consensus-forming which, in turn, generates guidelines and agreements ‘governing’ the actions of those same players
23
Q
Global product
A
a product that is marketed and branded throughout the world. Many TNCs produce global products, for example, Coca-Cola, Nike and (Jaguar) Land Rover
24
Q
Glocalisation
A
a combination of the words globalisation and localisation. Used to describe a product that is developed and distributed globally but is adapted to meet local market tastes or needs
25
Horizontal integration
involves improving links between different firms in the same stage of production. This usually occurs when a TNC acquires competitors in the same industry and uses common structures in the hope of making cost savings
26
Incentive gap
The gap between the need for international cooperation and the motivation to undertake it
27
International Monetary Fund (IMF)
A voluntary organisation set up to monitor and conserve global whale stocks and oversee the whaling industry
28
Jurisdictional gap
The gap between the increasing need for global governance in many years (such as health and water security) and the lack of an authority with the power, or jurisdiction, to take action
29
Loss leaders
Goods that supermarkets sell so cheaply that no profit is made in order to use them as an incentive to lure in shoppers
30
Marine protected areas (MPAs)
marine areas where certain activities are limited or prohibited in order to meet specific conservation, habitat protection, or fisheries management objectives
31
Marine reserves
marine reserves are fully protected areas that are off-limits to all extractive uses, including fishing. They provide the highest level of protection to all elements of the ocean ecosystem
32
Member countries of the EU
implement the laws passed by the EU. The Commission ensures that the laws are properly applied and implemented
33
Monopoly
when a single company or group owns all or nearly all of the market for a given type of product or service – there is little choice and little competition. Monopolies tend to be viewed with caution as they are able to control prices
34
Non-governmental organisation (NGO)
a non-profit organisation created by private organisations or people with no participation or representation by any government
35
Organisation of Petroleum Exporting Countries (OPEC)
an organisation or cartel that follows a common approach to the sale of oil
36
Organisation for Economic Cooperation and Development (OECD)
a global ‘think tank’ for 35 of the world’s wealthiest nations which aims to promote policies to improve economic and social prosperity
37
Over-specialization
when the focus of production is on only one or two products, meaning there is often a lack of flexibility and ability to diversify if the same goods can be produced more cheaply overseas
38
Participation gap
this refers to the fact that international cooperation remains primarily the affair of governments, leaving civil society groups on the fringes of policy-making
39
Primary products
goods made up of a natural raw material and that have not been through any manufacturing process (such as oil, timber or fish)
40
Product dumping
when products are exported at a price that is lower in the foreign market than the price charged domestically
41
Purchasing power
the amount that consumers can buy for their money. Increasing trade results in increased competition that lowers prices and gives consumers increased purchasing power
42
single-product economy
a country which relies on one, or a very small number, of products (usually raw materials) for its export earnings
43
Sovereignty
the power or authority countries have to govern themselves
44
Spreading of locational risks
spreading of risk by investing in different geographical locations – ‘Not putting all the eggs in one basket’
45
Status quo
‘existing state of affairs’ or to keep social or political matters the same
46
Tariff
A tax that is paid on goods coming into or going out of a country
47
Terms of trade
The value of a country’s exports relative to that of its imports
48
Trade bloc
where a set of countries trade freely with each other with few, if any, barriers such as tariffs. Countries outside this area that wish to trade anywhere within the trade bloc have to pay an agreed tariff
49
Trade liberalization
also known as free trade and involves removing barriers such as import duties (tariffs) or customs. The theory is that the fewer barriers there are to the flow of goods, the greater trade will be
50
Trade protectionism
the use of barriers such as import duties (tariffs) or customs in order to increase the price of imports and so protect domestic production
51
Transatlantic Trade and Investment Partnership (TTIP)
a new trade deal, being negotiated between the US and EU, with the aim of liberalising ‘one third of global trade’
52
transnational companies (TNCs)
corporations or companies that operate in at least two countries
53
United Nations Environment Programme (UNEP)
the leading global environmental authority and advocate. It arguably sets the global environmental agenda, and seeks to promote the coherent implementation of the environmental dimension of sustainable development (within the United Nations system)
54
Vertical integration
an industry where one company either owns or controls multiple stages in the production and distribution chain
55
World bank
promotes investment globally and provides loans for countries under certain conditions
56
World trade organisation (WTO)
a global organization that deals with the rules of trade between nations
57
Factors that drive globalisation
Culture, flows of people, links, trade, governance, technology, corporations
58
Global village
The instant movement of information by ‘electric technology’ has facilitated this
59
Interconnectedness
The idea emphasis who the rapid development of communication technological, internet, tv, social media, has made it easier for people across the world to communicate instantly. This has led to the perception that the world is shrinking into a single, together community
60
Shared experiences
In global village, events or trends in one part of the world can quickly influence or be shared by people in other parts of the world. For example, news social movements, big event, can spread globally in real time.
61
Cultural exchange
The global village concept also highlights the mixing and blending of cultures. As people from different backgrounds interact more frequently, there is an increased exchange of ultralight values, ideas and practices.
62
Economic interdependence
Economically, the global village reflects how economies are increasingly independent, with goods, services and capital flowing across borders. This creates global market where local events can have international repercussions.
63
Challenges and opportunities
White the global village offers opportunities for greater understanding and cooperation, it also presents challenges such as the risk of cultural homogenisation, economic disparities and the spread of misinformation.
64
Capital flows
Global investments
65
Labour flows
Many countries depend upon migrants (flows of people)
66
Product flows
Manufacturing goods ‘flow’ around the world. Low production & transportation costs and high consumer demand
67
Service flows
By 2040, India is expected to be the second largest economy in the world. Providing call Centre services for the US and EU companies has supported this.
68
Sewz Canal, march 2021
- evergreen ship got stuck in sewz canal in 2021
- 400 meter long cargo ship
- oil prices increased
- ships had to reroute around South Africa which caused supply chains to be delayed
- $600 million cost for loses
- shipping would take a extra 9 days
69
Globalization - social
- growth of online social networks
- migrant families and diaspora
70
Globalization - cultural
- the growth of global culture
- the GLocalisation of products
71
Globalization - political
- global governance
- global action on climate change
72
Globalization - economic
- transnational corporations (TNCs)
- global money markets
73
What has facilitated globalization?
- transport systems = containerisation, train, car, plane
- improved communication = technology, royal mail, internet, broadband speed, social media
74
Dimensions of globalization - lengthened in distance
Overtime (products and services are sourced routinely from distance places and faraway continents)
75
Dimensions of globalization - deepend
Over time ( a sense of feeling “globally connected” now extends into many different areas of modern life, ranging from the imported food and TV programs we consume to our use of global social media)
76
Dimensions of globalization - become faster
Over time (in recent years, people have begun to talk to one another in real-time using technologies such as Skype)
77
International capital flows
Refers to all money moving between countries that is being used for investment, trade or production
78
The core/periphery model
A concept developed in 1966 to explain how economic development is concentrated is more developed (core), while other less developed (periphery) regions lag behind
79
Core regions
Highly developed, urbanized, industrialized. Advanced infrastructure, strong economy, highly educated, better access to services.
High economic ctivity, including finance, technology, manufacturing.
Attracting investments, talent and innovation.
USA, Germany, Japan. Economic hubs like New York City, London and Tokyo.
80
Periphery regions
Less developed, often rural; weaker infrastructure and levels of education and services.
Often supply raw materials (coffee beans, sugar, tobacco) and labour to core regions and receive less investment. Lower wages and living standards.
Many developing countries in Africa, Latin America and parts of Asia.
81
Semi-periphery regions
May have characteristics of both core and periphery.
Often emerging economics, e.g. BRICs and MINTs.
Brazil, Russia, India, china, South Africa.
Mexico, Indonesia, Nigeria, Turkey.
82
IMF
International organisation that helps countries facing economic crises, when struggling to pay for imports or manage debts.
Provides short term financial assistance, ensure long-term stability.
Requires policy changes, reducing government spending, in exchange for financial support.
83
World bank
Global financial institution, provides long term loans and grants to developing countries.
Reduces poverty and promote economic development, improves infrastructure, education and healthcare.
Boasts economies of low-middle income countries.
Raising funds through borrowing on financial markets.
84
Factors of production
The roots of globalisation lie in international trade and the increasing accessibility of markets.
High productivity, large supplies and demand, large work force, source, resources, transport.
85
Land
All natural resources provided by the earth including minerals, soils, water and forests.
86
Labour
The human resource avalible. The quality and quality of the workforce are key considerations to any producer of goods and services.
87
Capital
Any physical resource regarded as man-made aid for production, such as buildings, factories, machinery. Capital flows can involve the transfer of these physical resources from one place to another. However, in reality it usually refers to the flow of investment finance used to provide this capital.
88
Enterprise
A particular form of human capital describing those who take the risk of establishing busnienesses and organizing the production of goods or provision of services.
89
Diaspora
Large group with similar heritage, living away from homeland
90
Leakage
Loss of profits, e.g. sent abroad by TNCs
91
Profit repatriation
Economic leakage
92
NGO
Non-governmental organisation e.g. water aid
93
De-regulation
Reduction of government power in particular industry, usually to create more competition
94
Globalisation
A process by which national economies, societies and cultures have become increasingly integrated through the global network of trade, communication, transport and immigration
95
Remittances
Remittances can be sent home from people working in other countries. Economic migrants benefit the host country as they are often hard working and pay taxes. Migrants get a better standard of living as they are earning more money. E.G. SOMALIA, In a war-tor country with no formal banking structure, 40% of Somalis rely on money sent from relatives abroad. Amin Yusuf, a 49-year-old journalist in Mogadishu, is deeply concerned about his pregnant wife. They are among the 40% of Somall families who rely on remittances from overseas for basic needs such as food and medicine.
96
Global marketing (standardization)
Is focusing a product on the needs of potential buyers in other countries. It involves new market research, identifying countries where the business’ product might be successful, and then localizing the brand to reflect the needs of those communities.
97
Containerisation
Modern container shipping has changed the way we transport goods around the world and has played an important role in worldwide ‘globalisation’. Thousands of tons of diverse cargo can be delivered for many customers to several dozen ports from single vessel.
98
Coca-cola
Known for its consistent branding, tailors its marketing campaigns to resonate with local cultures white maintaining a universal message of happiness.
99
McDonald’s
This fast food giant adapts its menu to local tastes, offering items like the McAloo Tikki in India and the teriyaki burger in japan, while keeping its core brand idenity intact
100
Nike
Uses global campaigns featuring local athletes to connect with diverse markets, emphasizing empowering and inspiration across cultures.
101
Red bull
This energy drink brand has successfully positioned itself as a lifestyle brand through extreme sports sponsorships and events. While it has a global brand, it tailors its events and sponsorships to resonate with local cultures.
102
Starbucks
Adapts its offerings to local preferences, such as introducing matcha lattes in japan, while maintaining a consistent brand experience worldwide.
103
Protectionism
a deliberate policy by government to imposed restrictions on trade in goods and services with other countries- usually done with the intention of protecting home-based industries from foreign competition.
104
Conglomerates
collection of companies or organisations which may be involved in different business activities but all report to one parent company. Most transnational corporations are conglomerates.
105
WTO
World Trade Organisation, an organisation that regulates world, an organisation that regulates world trade through negotiations of trade barriers
106
R&D
Research and development, quaternary industry
107
Footloose
industries hat can locate anywhere as do not have any ties, and can still serve the needs of customers worldwide
108
Russia invasion of Ukraine 2022
In 2021 Russia massed troops on the boarder of Ukraine and demanded the West to not allow Ukraine to join NATO military alliance.
In 2022 – Full scale invasion of Ukraine. Was supposed to be completed in 10 days – however Russia failed to do this and take Kiev.
Russia claimed the Dombas region (highly populated with Russian nationals) was being threatened by Ukrainians and they wanted to protect their people.
Post invasion there was international condemnation:
- UN said they must withdraw
- International court of Justice
- Russia were expelled from the European Council
- Poland declared the act as terrorism
- Trade blocs
- Freezing of Russian assets
Background to the annexation:
• Russia annexed Crimea in March 2014; it was an exertion of power by military superpower by invading Ukrainian sovereign territory.
• Russia’s President Putin would have expected a reaction from the international community to this annexation – especially other superpowers such as the USA.
• Crimea is strategically important to Russia & Putin would have gauged the likely response and calculated that it wouldn’t escalate into armed conflict.
- Russian invaded Ukraine in 2022
- Exertion of power
- Military superpower
- Attempting to influence geopolitical events To their advantage
- Both states part of Union of Soviet Socialist Republicans USSR - until its collapse in 1990s
- Ukraine gained independence as a sovereign state
- Following independence - Ukraine still largely pro-Russian
- Large population of Russians live in Ukraine
- Ukraine relays on Russian for energy supplies
- 2014 political revolution took place = Euromaidan movement demanded closer ties with EU and overthrew governance
- Russians response was to annexe Crimea, port, important for Russia's trading, Russia's naval fleet, Sevastopol, Black Sea coast
- Armed conflict continued in eastern Ukraine government forces for control of the industrialized provinces
- Ukraine prioritized its requests to join NATO alliance to gain protection from further invasion.
- Aid from the west - Putin saw as a threat
-
109
China expansive international policy
Investment in Africa:
-
• China’s influence as an emerging economy hasn’t been confined to development within its own borders.
• China has chosen to strategically expand its wealth and influence by investing internationally, this has been done through two key policies.
- Chinas role in Africa = extract a range of raw minerals, energy resources, minerals like copper, and precious metals,
- Supports industrial expansion in china
- Ensure there is secure flow of these materials to coastal ports - does this by developing infrastructure - needs to gain political support and stability
- Investing in less economically developed African countries - to developed housing, healthcare and education
- A joint project with Ethiopia to build the grand renaissance dam to provide HEP
- Development of port Mombasa in Kenya, $14 billion road and bridge link to Nairobi
- Modernization of Benguela’s railway linking to republican of Congo resources
- Construction of new international airport in Angola
Chinas role in Africa
- Buying up land for food production
- Extraction of resources
- Expansion of textile industries by Chinese’s companies offshoring and outsourcing
- Infrastructure
- Investment in HEP projects, airports and special economic zones
- Migration of Chinese
- Loans in exchange for goods and commodities
- Construction industry
- Establishing food and retail industries
- Rapid growth in trade with African countries
The belt and road initiative (BRI):
- In 2013, the president, launched an infrastructure development project to boost trade and increase economic growth
- Involves building a network of overland roads, railways and pipelines and maritime routes through ports and shipping lanes
- Estimated to cost more than $1 trillion
- Involves construction in more than 60 countries
- Modern Silk Road
The china - Pakistan corridor:
- A shared $46 billion project between 2 countries to build a highway of roads, railways, pipelines from china to the port of Gwadar on the Arabian Sea.
- It gives china more direct access to imported commodities from Africa and oil from Iran
A rail and road corridor:
- Into Europe that crosses central Asian countries and should help these landlocked economies to develop with improved access to markets for their products
- Chinese government want to improve international co-operation and that the trade generated may kick start a new era of globalization
- Form of economic imperialism, giving china too much leverage over the other countries often those that are smaller and less developed
- China will be using its foreign exchange assets to underwrite many of the projects but will expect some input or repayment from .
110
Economic interdependence - trade
- more countries participate
- gives them access to products and services
- countries rely on other countries to supply their needs and also to buy their exported products
- trading relationships are important - Russia = gas to Europe
111
Economic interdependence - TNCs and investment
- TNCs operate in several countries and outsource services and operations to other businesses
- companies from industrialised nations invest in developing countries
- lower costs in labour and land
112
Supply chains
- product parts may be assembled in different countries
- this allows for the product to be assembled at another location before distributed globally
- just in time production
113
Political interdependence - intergovernmental organisation
- global systems are supported by international organisations
- provides stability, dialogue and consensus between nations
- International Monetary Fund IMF and World Bank - facilitate international capital flows through the global financial system
- world trade organisation - overseas trading system
- United Nations - leading organisation for global governance
114
Security and stability - political interdependence
- globalisation will lead to greater political stability
- nations may co-operate more with each other as members
- make it easier for governments to work together
115
Social interdependence
116
Globalization and flows
- Globalisation = the idea of global village
- The interaction of prices, supply and demand increasingly operates at a global scale giving rise to a world economy
- World economy affected by global events
- The focus of globalisation has been primarily on economic relationships such as international trade, direct investment and capital flows
- Society - migration, social networks
- Culture - cultural diffusion, westernisation
- Technology - higher productivity, transfer to LEDC’s, communication
- Environment - impacts and degradation, environmental concerns - globally
- Politics - trading groups, governmental and global institutions
- Economy - trade and aid, TNC’s, capital flows (movement of money for purpose)
Factors of production
- Land - all natural resources provided by earth
- Labour - Human Resources available in any economy
- Capital - any physical resource that can be regarded as a human made aid for production for example buildings, factories, machinery
- Enterprise - form of capital describing those who take the risk of establishing businesses and organising the production of goods or provision of services
Form of globalisation Process caused by Characterised by
Economic - Increase in free trade - long distance flows of goods capitals and services and market exchanges
- Growth in TNC’s
- More efficient transport
Cultural/social - Migration - Spread of ideas, information and images
- Global communication networks
- Western culture
Political - Growth of western democracies - Diffusion of government policy and development of market economies
- Decline of communist economies
117
Apple
APPLE
- Producer and retailer of computer technology and mobile devices
- California, USA = headquarters
- High tech products and services
- Started in 1976
- Growing reputation in quality - attract niche market
- Since 2000 it has had a experienced phenomenal growth because of development of internet and WiFi
- In 2019 it was the largest IT company by revenue, third largest mobile phone manufacture, number one global brand by value $234 billion
- 137,000 - full time employees
- 510 retail companies in 22 countries
Success is from =
- Stylish and well designed products
- Slick market and branding - brand loyalty from costumers
- Products updated regularly
- Fit the markets needs
- Diversification into new technology and platforms as they evolve
Spatial organizations and linkages
- WiFi chips from America, Europe and Asia
- Manufacturing - employed other countries 2.5million
- Other campus 6000 people, Texas
- Global campuses and research in USA, Ireland, Asia, china,
- Apple employed 90,000 people in all 50 states of America
- Agglomeration - high tech industries where info exchange and access well qualified and expert staff
- European, middle eastern and African headquarters - 6000 employees
- Outsourced - products to partner companies - Hong Kong longest running partner
- 511 retail stores - over half in USA, 115 in Europe and Middle East and 42 in china
Production linkages
- Outsource production because of low production costs
- Work long hours and low wages
- Special economic zone SEZ - invectives to attract international companies
- A global leader in supply chain management for spatial organisation
- Arranges for components to be shipped directly for assembly of products in china
- Reduces stock pilling in California in warehouses
- Investors management reduces costs and generation higher profitability compared to competitors
- Since 2018 - expanded production,
Impacts on countries in which it -operates
- Controversial claims about its business operations
- Impacts countries where operated
- Reflects general criticisms at TNCs
Ireland
- European HQ, cork
- 1980
- 12.5 percent corporation tax
- 6000 workers
- 100 logistics team
- Ships to over 50 countries
- Inspiration for local education, research and development
- Infrastructural movements in the city
- 90 nationalities working here
Tax practices
- Subsidiary firms declare profits
- Pay a lower rate of tax
- Tension between USA and EU as each claimed apple owed them tax on their profits
- £13 billion in unpaid taxes for 2004 - 2014
- Accommodate large TNCs such as apple
- China manufactures most of products
- Majority of profit is intellectual property
China
- 1.3million employees
- 5 million jobs in country
- Supply other high tech firms
Labour conditions
- Live on site
- 62 hours a week
- 300 dollars per month
- Poor working conditions
Health and safety
- Toxic chemicals
Student and child labour
- Student found working in 2017 against the policy’s they weren’t allowed too
- China employees allowed to if clarified as interns or trainees
- Apple against it because of there social responsibility
Environmental issues
- 100% renewable energy
- Own companies energy
- Generated form solar power
- Removed all PVC plastics ad toxic chemicals
- Promotes recycling
- $1.5 billion green climate bond
Trading and marketing
- 45% of. Sales in 2019 were from USA
- China second largest sales
- Service revenue - 13.5billion in 2013 to 50 billion in 2020
118
Globalisation
Definition = the integration between nations, economies and cultures, through communication, investment and trade.
This process is not new.
It is speeding up = time-space-compression
Social -> people, migration, communication
Economic -> TNCs, goods, trade
Political -> international agreements, trade blocs,
Cultural -> food, music, film, religion
Dimensions
Flows = movement around the world
- Information -> communication, media, knowledge, ideas, technology
- Labour -> migration (international and national), Nepal to Qatar for World Cup to build stadium
- Capital -> money, investment, economy, FDI foreign direct investment, 1996 = $400 billion, 2016 = $1500 billion
- Services and information -> tertiary economy, economic activity (banking), 1970s - deregulation of global markets, opened up global investment, HIC - high level jobs, LIC/NEE - customer service = call centre India
- Products -> capital goods
- Trade -> shift of production to LIC/NEE, China produced 28% of all goods in 2018
Patterns of
Production Distribution Consumption
Past HICS - manufacture goods HICs
Detroit - cars, USA
Present Deindustrialisation occurred Containerization HICs and NEEs as they grow in wealth
LICS/NEE - TNC and FDIs
Future USA - wants production back NEEs - continue to consume due to high populations
Systems and relationships
- Ways of working e.g. across boarders
- Just in time production
Financial
- Global finances, world banks, IMF, world trade organisation, flow of capital
Transport
- Containerization, created reduction in transportation time, air travel = cheaper/cost better now, migration
Security
- Contribute and limit migration, laws around trade of goods / visas, stricter passport controls
Communication
- 1960s = satellites, rising communication, submarine cables, communication, 50% worlds finances flows through London
Management and info systems
- Making companies efficient, through outsourcing or offshoring
- Outsourcing - moving to another countries and they do it - other company makes product for you
- Offshoring - business moving it - doing from another country - shell
Trade agreements
Continuing to group together to govern flows of products/goods
- Global trade = WTO, IMF, WB
- Integration = increasing down list - everything applied for the one above going down 1-4
1. - free trade area = eliminated internal barriers but maintains external barriers, USMCA, USA, Mexico and Canada
2. - costumes union = one common external barrier, EU
3. - common market = EU, free movement of people and resources
4. - political union = EU, as above + uniform set up of economic policies (euro)
Positives =
- Global -> global peace, cooperation
- National positive -> allows counties to compete on a global level, movement of labour, economic migrants, TNCs
Disadvantages =
- USMCA -> exploitation of cheap labour in Mexico, maquiladora - manufacturing on the boarder, creating loss of jobs for Americans, cheap labour, poor conditions
- Brexit -> deglobalisation, new trade agreements that are no longer close, Japan, build new relationships
- Nationalist and popularist - bring back to Britain - blame globalization + free trade for loss of jobs
119
Globalisation benefits
- Economic growth
- Jobs created
- Greater technological advancements
- Integration of governments
- Trading
- Better standard of living
- Brain gain
- International cooperation
- Migration
120
Globalization costs/negitives
- Loss of country’s identity and culture
- Conflict and international disputes
- Less developed countries suffer due to power of HICS and TNCs
- Environmental issues
- Religion disputes
- Dense population
121
122
Increased economic growth
Global trade and FDI creates new jobs and stimulates a multiplier effect - china became second largest economy
123
Improved living standards
Additional wealth enables countries to invest in infrastructure and imrpove education and health care - sustainable goals
124
Cultural integration
Cultures and ideas cna flow freely across boarders, promoting culture awareness and diversity - K-pop
125
Political stability and global governance
As countries become more interdependent, they become more likely to work together and international cooperation can be promoted - Paris climate agreement
126
Environmental degradation
Deforestation and increased carbon emissions present a significant threat to the plant both locally and globally
127
Inequalities
There is a growing gap between rich and poor both within and between countries
128
Cultural erosion
The spread of western culture leads to the dilution or loss of culture elsewhere - indigenous languages
129
Economic migration
Movement of migrants to improve financial income or standard of living
130
Global common
An area that does not belong to one country, but instead belongs to everyone, including the atmosphere, international waters, outspace, and antartica
131
Global governance
The process of global management where multiple nations act together in matters that affect the entire world j
132
Global hubs
Cores that demonstrate connections to the world through trade ideas and migration. TNCs and foreign direct investors will show an interest to base here
133
Globalisation
The growing interdependence of countries through cross border transactions - technology, migration, capital, knowledge and culture
134
Interdependence
Nations rely on each other economically, politically, socially and environmentally
135
Offshoring
Company moves parts of its operations to another country to save money
136
Trade bloc
A company whihc operates in different countries to where they are originally based
137
WTO
Members seek substantial reductions on tariffs and trade barriers and the elimination of preferences on a mutually advantageous basis
138
Flows of labour
Movement of people who move to work in another country - migration that will contribute to the work force
139
Flows of products
Flows of physical goods from one country to another - international - because of technological advancements (transportation and communication)
140
Flows of services
Footloose - they can locate anywhere without constraints from resources or other obstacles - high level or low level (skills, trained and qualified/no, finance high or low, HICs/LICs)
141
Flows of information
Flow from one place to another via the internet, SMS, phone calls, fast broadband and connections, social media, real time data, database
142
Global marketing
Increase recognition and profit on a international level - awareness of a brand
143
WTO
Members seek substantial reductions on tariffs and trade barriers and the elimination of preferences on a mutually advantageous basis
144
Factors affecting globalisation
Technology
International relationships
Systems - financial, transport, security, communication, management, trade agreements
145
Benefits of interdependence
Migrants become involved in work - employment
Can send remittances back to home country
146
Issues with interdependence
Host country dependent on migrant workers
Countries can become dependent on remittances
Unequal flows can cause overpopulation
Exploitation of migrations - poor wages and working conditions
147
Uhnequal flows of money
Benefits =
Receiving money - imrpove quality of life
Aid and remittances - help homes
Sending money - lower labour costs
Problems =
Dependent on higher wages
Pressure on governments - increase tax + laws - tncs invest
TNCs profit
148
Unequal flows of technology
Benefits =
Economies of LICs can develop - trade deals
HICs development of technology
Production overseas
Problems =
Adnavce their economy - improve quality of life - LICs left behind
Employees have little - little income poor conditions
Manufacturing jobs lost - unemployment
149
Global supply chains
TNCs use supply chains to increase profits
Production occurs usually in secondary industry sector
150
Special economic zones
Areas within a country that do not have the same trading regulations as the country they are located in
- less strict
- lower tariffs
- lower taxes
151
Special and differential treatment agreemnts
WTO to help developed markers with poor access to markets
152
Trade and investments globally
FDI risen from $400 billion to $1500 billion in 20 years
Manufactured goods has since eased from $8 trillion 2006 to $11 trillion 2016
Human Geography
flashcards
Decks in class (13)
# Cards
-
Urbanisation41
-
Gentrification7
-
Social and economic issues associated with Urbanisation10
-
Urban climate17
-
Urban drainage8
-
Urban waste and disposal10
-
Other contemporary urban environmental issues16
-
Sustainable urban development30
-
Changing place129
-
GSG152
-
apple case study9
-
bananas case study1
-
antarctica37
