International
Relations-PSC 201
VU
LESSON
37
GLOBALIZATION
AND ITS IMPLICATIONS
Globalization
implies increased flow of
information and interaction around the
world. To say more
things
are
flowing does not mean
that they are flowing more
equitably or that all the flows
are beneficial. While
flows
among developed states may be
increasing dramatically, increases are
far less dramatic for
developing
states.
Advocates
of Globalization
Globalization
is promoted by governments of rich
countries and major international
organizations
dominated
by rich countries:
-
Organization
for Economic
Cooperation
and Development
(OECD),
intergovernmental
think
tank from world's 29
richest
countries.
OECD states produce
2/3
of world's
goods
and services
-
International
Monetary Fund, which makes
loans to countries facing
bankruptcy
-
World
Bank, which makes
loans
for development projects
-
World
Trade Organization, which oversees
world trade and aims to
promote it further
Why
is the World Globalizing?
Technological
changes, particularly in communications (phone
and Internet connections)
and transportation
(cars,
ships, planes) move not
only ideas but also
money and services now.
Technology makes access to
new
markets
possible and also enables
flexible productions processes. Transnational
linkages are not driven
by
economics
but by bonds forged across
countries both directly by
immigration and indirectly
by
transnational
loyalties and allegiances. Deliberate
policy choices (Liberalization of
trade, foreign direct
investment,
and capital) are pursuing a
more global economy and
culture.
Reconsidering
Globalization
Globalization
involves a major change in where power is
located in the world. Globalization
involves a
change
in how much states can
control these flows of
people, information,
etc.
International
institutions and regimes
like WTO, EU, NAFTA,
ILO, and other international
organizations
can,
within limits, restrict the freedom of
states. Globalization is a complex phenomenon,
which is likely to
lead
to greater concentrations of power in
some cases and, at the same
time, empowering of some who
are
not
yet empowered.
Relevant
Vocabulary
Flexible
enabling
use of different
options
Regimes
rulers in power
Enables
allows or promotes
Transnational
across several nations
Suggested
Readings
Students
are advised to read the
following to develop a better understanding of the
various principals
highlighted
in this hand-out:
Globalization
and its challenges in the
21st Century
www.bisa.ac.uk/bisanews/0109/Globalization.htm