Please enable JavaScript.

Coggle requires JavaScript to display documents.

globalization (what (economic globalization :chart: (:arrow_left: 3 facets…

- - - - harmonising their policies, regulations & legislation under IGOs (EU, WTO etc.). affects how states regulate banking, food standards, & organise markets
      - being exposed to information flows through the internet
  - - - increases in international trade
        
        1992-2014 exports went from $3-17 trillion. varies by country. exports were 24% of GDP for US; 254% of GDP for SG
      - increases in financial globalization
        
        FDI (foreign direct investment): investment in assets like manufacturing facilities. long-term focused. influx into Asia in 1980s
        
        Portfolio Investment: short-term speculative investment in stocks & currencies, 'hot money'. less stable
      - changes in economic production
        
        complex process of making a product's components. 'value-chain' :heavy_division_sign:ed among countries. more movement in labor; more outsourcing. MNCs making more products & profit
- - - - control high-value industries. other countries are falling even further behind
    - - inequality soared in China. those who are illiterate, unschooled, & lack capital are staying poor
    - - moving to countries with cheap labour, weak labour laws, low tax rates, & less oversight
  - - - global forms of governance are not very popular. it can be shut down by states. EU not being used as a model
      - new countries have formed & others want to
      - power of non-state actors like terrorists is exaggerated
    - - due to rise of global governance & non-state actors
  - - - lifted millions out of poverty in the last 2 decades. In China, poverty fell by 68% from 1981-2005. emerging middle class in many countries
    - - developing countries are closing the economic gap with the developed countries
    - - flows of goods, finance, & people is leading to specialization, innovation, more efficiency & lower costs
- - - - millions of Europeans immigrated, telephone, postal service, commercial shipping. before WW1 globalization was extensive
    - - trade routes b/w Europe & Asia, but few people involved
    - - accelerated in 1980s. internet might make it different, penetrates all corners of globe with instant individualized communication
  - - - internet, cellphones :iphone:, satellite TV :tv:
    - - less expensive to transport goods, particularly with containerization
    - - closed economies using import-substitution/communism didn't deliver growth ultimately. by 1980s end, most countries had turned to liberalism, open economies, & export-oriented growth strategies