Globalisation

• The global economy refers to all economic activity that takes place across national borders. The global economy includes international trade, foreign investment, and financial transactions between countries.
• The global economy refers to all economic activity that takes place across national borders. The global economy includes international trade, foreign investment, and financial transactions between countries.
• It is possible for the characteristics of globalisation to be reversed. Certain political or economic climates can result in a backward movement of development instead of an accelerated one. For example, the first and second world wars minimised connections between countries. Other examples include the Great Depression, when protectionism (limiting trade from foreign competition by increasing restrictions) became popular.
• Increasing transport and communications have contributed to the theory of time-space compression. Coined by David Harvey, a Marxist geographer, time-space compression is the way that places are becoming theoretically closer together, and distance is getting smaller. This can be directly related to the theory of a shrinking world.
• Different political ideologies are being driven around the world, such as the increased influence of capitalism and democracy, which is so dominant in the West.
• 𝘾𝙐𝙇𝙏𝙐𝙍𝘼𝙇 & 𝙎𝙊𝘾𝙄𝘼𝙇 𝘼𝘿𝙑𝘼𝙉𝙏𝘼𝙂𝙀𝙎:

  • products and info can move easily and can be accessed by more people, e.g. through migration, tourism and social media

  
  

  • a global culture is created (e.g. Hollywood film industry, promoting American culture and values, and English is the world-dominant language) connecting the world further.
• Economic & Political Advantages:

  • global trade and TNCs have reduced inequalities, improved development in poorer countries, and helped companies gain more profits.
  • the free movement of people has helped fill the gaps in some countries' workforces, e.g. by taking on unwanted roles.
  • countries can work together e.g. the Paris Agreement in 2015 (193 states + the EU) to reduce global warming.
• Disadvantages:

  • globalisation does not affect everyone equally, so inequalities have increased and the gap between rich and poor has widened.
  • some poorer countries are exploited for HIC gain, which deepens this divide.
  • further, the spread of Western ideals erodes other cultures, creating a homogenous global culture.
  • more environmental damage has also been caused by the acceleration of globalisation.
• Globalisation began in the 19th century, with the Industrial Revolution and the development of railways and larger ships meant trade and transport boomed during this time because products could be more easily and cheaply transported around the world.

  In the 20th century, the development of aeroplanes and containerisation shipping progressed this further.

  The 21st century is defined by its technological advances and interconnectivity due to developments in ICT, the internet, social media, etc, and has made worldwide communication significantly easier.
• Benefits of globalisation:

  • economic growth
  • innovation and technology transfer
  • reduced poverty
  • cultural exchange
• Disadvantages of globalisation:

  • income inequality
  • labour exploitation
  • environmental impact
  • cultural homogenisation
• Because globalisation is such a varied process, we can divide it into four different types:

  • political
  • social
  • cultural
  • economic
• 𝙋𝙊𝙇𝙄𝙏𝙄𝘾𝘼𝙇 𝙂𝙇𝙊𝘽𝘼𝙇𝙄𝙎𝘼𝙏𝙄𝙊𝙉:

  • Political globalisation describes the growth of trade blocs as different countries seek to work together to increase the prevalence of free trade.
  • Important organisations in political globalisation are the World Bank, IMF (International Monetary Fund), World Trade Organisation and the United Nations.
• Globalisation is the process of becoming more globally connected on a variety of scales
• Aspects influenced by globalisation

  • Movement of people
  • Knowledge
  • Ideas
  • Goods
  • Money
• Globalisation leads to a 'borderless world'
• Countries are connected economically, politically, socially, and culturally
• Examples of globalisation on different scales

  • Buying products made in other countries
  • Talking to people across the globe on social media
  • Embracing other countries' cultures such as music or food
• Even environments are globalised as pollutants from other countries can affect climate
• In the 21st Century, societies are globalised
• Globalisation is necessary for societies to thrive