Chapter Eight

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Chapter Eight

• Globalization and the Prospects
• for Global Governance

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Globalization

• the increasingly close international integration
  of markets both for goods and services and for
  capital --IMF
• makes state boundaries less important
• global dissemination of Western culture
• increased interdependence
• global village rapid communication
• provokes strong reactions pro and con

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Global Information Age

• cell phones
• computers
• 250 million worldwide
• Internet information, communication
• cyberspace
• information/communications technology
• digital divide

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Figure 8.1 The Digital Divide
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Media Markets or Monopoly?

• United States most media controlled by large
  corporations
• global diffusion of Western culture
• agenda setting
• important agent of globalization
• New World Information and Communications Order
• WTO World Telecom Pact

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Other Global Issues

• diseases HIV/AIDS, SARS
• spread of harmful pests brown tree snakes
• importation of non-native species
• international organized crime drugs
• global migration crisis 20 million refugees
• failed states
• externalities

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Globalization of Finance

• borrowing, lending, currency trade, commercial
  banking
• single, unified world market
• not centralized in any one state
• high daily turnover in foreign exchange
• 2 trillion
• arbitrage
• digital world economy

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Map 8.1 The International Flow of Finance
Capital
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Map 8.2 The World Trade Organization Goes Global
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Globalization of Trade

• World Trade Organization 147 members
• trade integration extent by which world trade
  volume grows faster than world GDP
• Global Souths trade share has increased
• newly industrialized economies

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Figure 8.2 The Growth of Global Trade
Integration, 1970-2008
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Figure 8.3 The Global South in World Trade
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Multinational Corporations

• primary agents of globalization of production
• strategic corporate alliances
• virtual corporations
• foreign direct investment purchase of stock,
  property, or assets in another country
• difficult for states to control

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Figure 8.4 The Ebb and Flow of Foreign
Investments 1990-2001 Is Globalization a Global
North Phenomenon?
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Figure 8.5 Levels of Globalization
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Discussion

• What are some important ways in which
  globalization of communications is changing the
  world?
• What are the positive and negative impacts of
  globalization on the Global South?
• What are the positive and negative impacts of
  globalization on the Global North?

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Discussion, continued

• In what ways is globalization a potential threat
  to national security?
• How does globalization change the nature of the
  state-centered international system?
• What are ways in which the international
  community can regulate the various aspects of
  globalization?