Globalisation Critique

• Economic Challenges of Globalisation

  • Notion that globalisation would advance economic growth and development for all was challenged by the global financial crisis in 2008-2009
  • Other indicators suggest globalisation has 'peaked' or stalled, global trade growth has slowed significantly in recent years
  • Ongoing geopolitical tensions between USA and China, with escalating tariffs being used have limited trade growth
• Social Challenges of Globalisation

  • Growth in international economic migration offers bilateral benefits for some nations e.g. migrants from the Philippines working in the UAE, some destinations, however, experience racial tensions and conflict of culture
  • Transfer of manufacturing jobs from HDEs to lower cost economies causes unemployment, wage stagnation and related problems of deprivation in some areas of HDEs
• Political Challenges of Globalisation

  • Many communities feel they have not benefited from global integration and that their lives have been made worse
  • This recognition and perception has led to the rise of 'populist' movements, which reject existing political establishments
  • Populist 'nation-first' campaigns contributed to political events in 2016: UK vote starting Brexit, election of Donald Trump on a 'Make America Great Again' platform
• Brexit and Globalisation

  • When voters decided to reject EU membership, it was seen by many as a rejection of greater integration and globalisation
  • Sovereignty = The 'Leave' campaign used the 'Take back control' slogal to persuade votes that the UK had lost the power to make its own decisions
  • Immigration = With freedom of movement in the EU, nearly one million East European migrants had entered the UK since 2004
  • Inequality = Widening gap between rich and poor, Gini coefficient increase from 0.27 in 2973 to 0.35 in 2016
  • Pro-nationalism = Some prefer the idea of an independent UK
• 'Make America Great Again' and Globalisation

  • Trump was elected US president with a promise to return jobs to American workers, with more protectionist policies
  • Removed the US from Trans-Pacific Partnership trade agreeent
  • Rhetoric about building a wall between USA and Mexico to prevent illegal immigration
  • Encouragement of US car manufacturers to build factories in the US
  • Withdrawl from Paris Climate Agreement
  • Increase on tariffs on goods from China and Asia
• Benefits of Globalisation

  • Growth and Development = investment in LDCs reduces poverty, TNCs create jobs and stimulate growth, internet provides opportunities
  • Integration = Free trade removes barriers and gives more access to LDCs, nations work co-operatively to tackle global environmental issues, greater cultural understanding and tolerance
  • Stability = Global governance has meant great sharing of information and more political integration so the world is a safer place, more co-operation demonstrated in hazard events
• Costs of Globalisation

  • Inequality and Injustice = inequality of income and opportunities increased, LDCs still have disadvantaged access to trade, HDE governments have ore influence, TNCs have more political influence and can exploit LDCs
  • Environmental Impacts = TNCs investment in LDCs to develop resources or manufacturing is not always sustainable, trying to achieve global action on climate change is difficult
  • Conflict = increasing international migration can lead to social and cultural conflict and rise in extremism