globalization

Globalization

Our globalized economy

12.04.2023 Daniel Delank „Globalization – Our globalized economy“

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Introduction


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Agenda

1. Globalization Defined Basic data Definition

2. Sources of Globalization Internationalization Liberalization

3. Levels of Globalization Eras of Globalization Differences

4. Implications Inevitability? Role of the State?


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WTO Protest, Seattle 1999

Impressions


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Globalization: A Definition

“A set of processes that are widening, deepening, and accelerating the interconnectedness among societies ”

(Kegley & Raymond)

“…processes whereby social relations acquire relatively distanceless orborderless qualities, so that human lives are increasingly played out in the world as a single place.”

(Jan Aart Scholte) “…technological, political, economic, and cultural dimensions that connect individuals, governments, and firms across national borders.”

(Rosa Gomez Dierks)

Globalization as ‘Deterritorialization’ Breakdown of borders of Space and Time


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Aspects of Globalization

Industrial globalization

Financial globalization

Political globalization

Informational globalization

Culturalglobalization


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1. Internationalization of Economic Activity Trade & Finance

2. Global Liberalization Domestic and International

3. Technological Changes IT Revolution (Speed and Cost)

4. Improvements in Transportation EX: Containerized Shipping

5. Globalized Production Structures Stateless Corporations’ (DaimlerChrysler)

Sources of Globalization


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Growth in World Trade

A Traders Era


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Growth in World Trade


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Clip

Emotions


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Data Transmission Costs


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Death of Distance

Call Centers in India


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Transportation Costs


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1. Greater international cultural exchange multiculturalism, cultural diversity (Hollywood movies)

2. Greater international travel and tourism

3. Greater immigration including illegal immigration

4. Spread of local consumer products (e.g., food) to other countries

5. World-wide fads and pop culture Pokémon, Sudoku, Origami, YouTube.

6. World-wide sporting events FIFA World Cup and the Olympic Games.

7. Formation or development of a set of universal values

Characteristics


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1. Technical/legal Development of a global telecommunications infrastructure and greater transborder data flow using such technologies as the Internet

2. Increase in the number of standards applied globally e.g. copyright laws, patents and world trade agreements.

3. The push by many advocates for an international criminal court and international justice movements.

Characteristics


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1. A. Eras of Globalization First Era of Globalization (about 1850-1914) Interwar Period (1920-1939) Cold War Era (1945-1989) Second Era of Globalization (1989-Present)

2. Differences of Current Era of Globalization Trade Finance Technology

Levels of Globalization


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The start of Globalization

The walls come down…

The Destruction of the Berlin Wall


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The start of Globalization

…and the (World Wide) Web goes out.

Tim Berners-Lee


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Questions for a Globalized Economy

1. Does globalization enrich the many or the few?

2. Does it help or harm workers? the environment?

3. Is it a source of freedom or a barrier to freedom?

4. What role for the governments?

5. Is globalization inevitable?

Overall, is globalization a positive or

a negative development????

Questions?


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Positive and negative effects

Positive Negative


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Positive or Negative?

Viewing both the Productivity grows more quickly when countries produce goods and services in which they have a comparative advantage. Living standards can go up faster.

Global competition and cheap imports keep a lid on prices, so inflation is less likely to derail economic growth.

An open economy spurs innovation with fresh ideas from abroad.

Export jobs often pay more than other jobs.

Unfettered capital flows give the U.S. access to foreign investment’ and keep interest rates low. (Baker)

The Pros for globalization show that prices will be kept at one set price and that money will be quickly made by all. That help with foreign countries could also speed up technology as well. Technology could help the underdeveloped countries in the long run, and help everyone overall economically.


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Positive or Negative?

Millions of Americans have lost jobs due to imports or production shifts abroad. Most find new jobs - that pay less.

Millions of others fear losing their jobs, especially at those companies operating under competitive pressure.

Workers face pay-cut demands from employers, which often threaten to export jobs.

Service and white-collar jobs are increasingly vulnerable to operations moving offshore.

U.S. employees can lose their comparative advantage when companies build advanced factories in low-wage countries, making them as productive as those at home. (Baker)

Quote

”Globalization is a highly contested domain,and there are no absolute lines fordemarcating it””People are less mobile than goods, moneyor ideas; in a sense they remain”nationalised”, dependent on passports,visas, and residence qualifications”

12.04.2023 23Daniel Delank „Globalization – Our globalized

economy“

Quote

”Economic globalization is constructing new

forms of social organization that aresupplanting, or will eventually

supplant thetraditional states as the principal

economicaland political units of world society”

”Globalization is perceived as a powerful

transformative force, which is responsible for

a ”massive shake-out” of societies,economies, institutions of

governance andworld order”12.04.2023 24

Daniel Delank „Globalization – Our globalized economy“


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Sources

Literature: - Herlmut Schmidt: „ Globalisierung. Politische,

ökonomische und kulturelle Herausforderungen.“

Website:

- www.wikpedia.de (04.04.2006) englisch - www.globalisationguide.org/ (03.04.2006) german - www.globalization101.org/ (03.04.2006) german- www.globalization.com/ (03.04.2006) german

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