GE104

• Globalization


  A process of economic, political and cultural integration and unification
• Globalization


  • The movement towards the expansion of economic and social ties between countries through the spread of corporate institution
• Advantages of Globalization


  • Developing international trade and companies
  • Enhancing information speed
  • Reducing the probability of beginning a war
• Disadvantages of Globalization


  • Unemployment
  • Great dependence of one country on others
  • Extreme pollution of environment
• Globalization needs permanent control from the governments
• Globalization affects all people's lives
• Globalization has both advantages and serious disadvantages
• Reducing the impact of negative sides of globalization is the main target of modern scientists
• Ethnoscape


  The global movement of people
• Mediascape


  The flow of culture
• Technoscape


  The circulation of mechanical goods and software
• Financescape


  The global circulation of money
• Ideoscape


  The realm where political ideas move
• Industrial globalization


  Development of worldwide production markets and broader access to a range of foreign products for consumers and companies involving particularly movement of material and goods between and within national boundaries
• Financial globalization


  Development of worldwide financial markets and better access to external financing borrowers
• Economic globalization


  Establishment of global common market, based on the freedom of exchange of goods and capital
• Political globalization


  Creation of international organizations to regulate the relationships among governments and to guarantee the rights arising from social and economic globalization
• Informational globalization


  Increase in information flows between geographically remote locations
• Cultural globalization


  Sharing ideas, attitudes and values across national borders
• Elements of Globalization


  • Trade Agreements
  • Capital Flow
  • Migration Patterns
  • Information Transfer
• Trade Agreements


  Bilateral, regional or multilateral economic arrangements designed to reduce or eliminate trade barriers
• Capital Flow


  Measurement of increase or decrease in a nation's domestic or foreign assets
• Migration Patterns


  Impact of labor market fluidity on production costs through the loss (emigration) or gain (immigration) of potential workers especially those with particular skills
• Information Transfer


  Communication trend that helps mitigate the asymmetric functioning of markets and economies
• The Global Economy


  A system of trade and industry across the world that has emerged due to globalization
• The origins of a global economy can be traced back to the expansion of long-distance trade during this period, which Wallerstein has labeled the "long sixteenth century"

  1450-1640
• Economic Globalization


  A historical process, a result of human innovation and technological progress. It refers to the increasing integration of economies around the world, particularly through the movement of goods, services, and capital across borders. It may also refer to the movement of people (labor) and knowledge (technology) across international borders
• Economic globalization remains an uneven process, with some countries, corporations, and individuals benefiting a lot more than others. The series trade talks under the WTO have led to unprecedented reductions in tariffs and other trade barriers, but these processes have often been unfair
• Commodity


  A basic physical asset, often used as a raw material in the production of goods or services. To be traded on the markets, a commodity must be interchangeable with another commodity of the same type and grade. That means that to a trader, gold is gold: no matter where it was mined, or which company mined it. The term for this quality in commodities is fungible
• Capital


  Identified with money, wealth. Growth of wealth, surplus value, formed by the labour. Accumulation of wealth with the help of wage labour
• Labor Market


  Refers to the supply of and demand for labor, in which employees provide the supply and employers provide the demand
• Global Stratification


  The hierarchical arrangement of individuals and groups in societies around the world
• First Typology of Global Stratification

  • First World - The Western Capitalist democracies of North and Europe, and other certain nations (Australia, New Zealand and Japan)
  • Second World - Nations belonging to the Soviet Union
  • Third World - All the remaining nations, almost all of them from Central and South America, Africa and Asia
• Replacement Typology of Global Stratification


  • Developed
  • Developing
  • Undeveloped
• Popular Typology of Global Stratification

  • Wealthy (or high income)
  • Middle-income
  • Poor or low-income
• Modernization Theory


  According to this theory, rich nations became wealthy because early on they were able to develop the correct beliefs, values, and practices
• Dependency Theory


  According to this view, the poor nations never got the chance to pursue economic growth because early on they were conquered and colonized by European ones
• World System Theory


  This theory states that some nations become modernized by exploiting other nations
• Relative Poverty


  The condition in which people lack the minimum amount of income needed in order to maintain the average standard of living in the society in which they live
• Absolute Poverty


  Refers to a condition where a person does not have the minimum amount of income needed to meet the minimum requirements for one or more basic living needs over an extended period of time