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Globalisation

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Globalisation & Multiculturalism: The Australian Experience Griffith University Southbank 15 September, 2010 Dr Paul Williams Guiding Questions What is ... – PowerPoint PPT presentation

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Title: Globalisation


1
Globalisation MulticulturalismThe Australian
Experience
  • Griffith University
  • Southbank
  • 15 September, 2010
  • Dr Paul Williams

2
Guiding Questions
  • What is Globalisation?
  • How did Australia become globalised?
  • How has Australia economically integrated with
    the world?
  • What is multiculturalism?
  • How did Australia become multicultural?
  • What are Australias migration patterns?

3
Part One
  • Globalisation

4
Defining Globalisation
  • Defies easy definition
  • Two common uses
  • A thing in itself (an outcome)
  • An explanation of change (a process)

5
Defining Globalisation
  • A process in which the economic, political
    cultural separation between nations is breaking
    down an international order is emerging
    (Smith, Vromen Cook 2006).

6
Defining Globalisation
  • A process occurring in the economic, political
    social realms which is the result of the
    dismantling of fixed boundaries around nations,
    cultures and economies (Ryan et al. 1999).
  • Whats common in these definitions?

7
Globalisation covers
  • Economic (trade, transnational corporations
    TNCs)
  • Technological (communication,
  • transport)
  • Media (diversity, reach)
  • Migratory (business, tourism, politics)
  • Cultural (export of ideas, beliefs, fashions)
  • Legal (international treaties, bodies)

8
When did Globalisation begin?
  • Many assume it began in the 1980s 1990s, but
    its as old as imperialism, trade colonialism
  • i.e. a process begun hundreds of years ago!

9
Imperialism / Colonialism
  • Late 1700s early 1900s apex
  • European demand for foreign goods
  • Europes scramble for colonies
  • British, Dutch, Spanish, Portuguese, German,
    French colonise
  • Africa, Asia, South America, Pacific
  • One cause of World War One (1914-1918)

10
Technological Globalisation connecting
Australia to the world
  • Early 1800s - Steam ships
  • 1872 - Australia linked by telegraph line to Java
    (capital could be moved in matter of hours, not
    days or weeks)
  • 1900s telephones
  • 1910s cinema
  • 1920s propeller aircraft
  • 1930s radio
  • 1950s television
  • 1960s jet aircraft
  • 1970s fax machines
  • 1990s internet
  • 2000 - 2.0 web communications

11
Political Cultural Globalisation for Australia
  • Open migration pre-1900
  • 1914-1918 WW1 (League of Nations) failed
  • 1939-1945 WW2 (United Nations)
  • 1940s on mass migration from Europe
  • 1960s on flood of US popular culture
  • 1966-72 end of White Australia Policy
  • 1970s migration from Asia
  • 2000s migration from Africa

12
Some Global Economic Instruments
  • 1944 est. International Monetary Fund (IMF)
    World Bank
  • 1947 - 1995 GATT negotiator of lower tariffs
    various rounds

13
WTO
  • World Trade Organisation (WTO) est. 1995
    successor to GATT
  • deals with rules of trade between nations
  • Goal - to help producers of goods services,
    exporters importers conduct their business
  • Australia plays by WTO rules

14
WTO
15
The problem with trade assistance
16
World Bank
  • Est. 1944
  • Source of financial technical assistance to
    developing countries
  • Comprised of over 180 member countries

17
IMF
  • International Monetary Fund (IMF) est. 1944
  • More than 180 members
  • Promotes international monetary cooperation
    exchange stability
  • Provides temporary financial assistance to
    countries with balance of payments problems

18
Dissent
  • Both the World Bank and IMF as symbols of
    globalisation capitalism are objects for
    dissent and protest

19
Post-war global economic developments
  • 1950s postwar reconstruction
  • 1960s GATT moves to freer trade
  • 1971 end of Bretton Woods agreement
  • Early 1970s oil shocks (quadruple crude oil
    costs)
  • Ushers in new economic thinking in West (incl.
    Australia)

20
Economic Globalisation for Australia
  • 19011970s - Australias trade agriculture
    protected i.e. high tariffs, subsidies, quotas
  • Early 1970s oil shocks (quadruple crude oil
    costs stagflation)
  • New economic problems
  • require new economic
  • thinking

21
Economic Globalisation for Australia
  • 1979 Margaret Thatcher (UK)
  • 1981 Ronald Reagan (US)
  • 1983 Hawke / Keating (Aust.)
  • End of Keynesian economics
  • Rebirth of supply-side economics

22
Economic changes in Australia since 1980s
  • In theory, smaller government
  • (in practice, still a welfare state)
  • Lower income taxes
  • Lower public spending
  • Currency deregulation (1983)
  • Deregulated labour market
  • Reduction of tariffs
  • Increased foreign investment
  • Sale of public-owned businesses e.g. Qantas,
    Telstra, Commonwealth Bank
  • i.e. a freer economy, BUT
  • Some say GFC inevitable outcome of globalisation

23
Australia the Global Financial Crisis
  • Collapse of Lehmann Bros Sept. 08
  • Grim forecasts for Australia
  • Rudds anti-neo-liberal essay
  • Rudd Government pre-empts stalled demand
  • Dec 2008 1st stimulus package 10.4bn (lump
    sum payments to seniors, families for auto
    industry, local councils)

24
Australia the Global Financial Crisis
  • Feb 09 2nd stimulus package 42bn (lump sum
    payments to most taxpayers up to 950 26bn for
    infrastructure esp. schools (BER) 2.7bn for
    small business)
  • OECD says these packages lowered Australian
    unemployment by 2
  • Similar bailouts in UK, US Europe
  • Is this the end of neo-liberalism a new era of
    big government?

25
Globalisation creates winners losers
  • Winners include
  • Highly skilled white-collar workers in finance
    IT industries
  • Losers include
  • Farmers, lower skilled blue-collar workers in
    manufacturing industries

26
Growth in Australian Finance Industry
27
Winners Losers
28
Winners Losers
29
Global winnersone analysis
  • Recent per capita Gross Domestic Product (GDP) of
    developing nations
  • China 11.1 p.a.
  • India 9.7
  • Philippines 7.5
  • Malaysia 5.4
  • Turkey 5.2

30
Global losersanother analysis
  • North-South divide grows (gap between rich poor
    nations)
  • 1960 - top 20 in the world had income x 30
    that of bottom 20
  • 1970 - 32 times
  • 1980 - 45 times
  • 1989 - 59 times
  • 2010 - 74 times
  • (some dispute this gap)

31
Global losers
  • The richest 1 per cent of people in the world
    receive as much as the bottom 57 percent
  • i.e. lt 50 million richest receive as much as 2.7
    billion poor (Milanovic 2002, p.50)

32
The North-South Divide(or Development Gap)
33
The Global Income Gap
  • Green High Yellow Mid Red Low

34
The Global Digital Divide
35
The Energy Divide (GHGs Climate Change
challenges)
36
Anti-globalisation movements
  • Protest at Group of Eight (G8) meetings
  • Anti-IMF anti-World Bank
  • Pro-debt cancellation
  • Major protests at Madrid (1994) Seattle (N30
    1999) Genoa (2001) Edinburgh (2005)

37
Protests
38
Protests
39
Protests
40
Australias trade patterns
  • 1788-1901 colonies trade with UK
  • 1901-1945 trade mostly with U.K
  • 1945 - present mostly with US, Asia EU

41
Australias trade patterns
  • Heavy reliance upon primary products
  • 1901 - 50 Agriculture
  • 1950s - present Minerals
  • 1945 early 1970s high international demand for
    Australian products esp. wool, wheat, coal iron
    ore
  • 1980s on reduction in tariffs

42
Tariff reduction
  • Until 2005 Cars - 15 tariff
  • From 2005 Cars - 10
  • 2003-2013 TCF 5 to 17.5

43
Australias biggest trading partners
  • EU (incl. UK)
  • USA
  • Japan
  • China Hong Kong
  • Taiwan
  • South Korea
  • Singapore
  • Malaysia
  • India
  • Thailand

44
What does Australia import?
  • Food 5 bn
  • Fuels 10 bn
  • Manufactured goods 16 bn
  • Machinery vehicles 60 bn

45
What does Australia export?
  • Food (18 bn)
  • Fuels (20 bn)
  • Manufactured goods (11 bn)
  • Machinery vehicles (12 bn)
  • Trade deficits

46
Australias biggest exports
  • Coal
  • Tourism
  • Iron-ore
  • Education

47
Foreign Investment in Australia
  • Today, about 30 foreign-owned equity in
    Australia
  • 1 of all firms (or 8,000) foreign-owned
  • Employ 750,000 people
  • Add 78 billion to economy
  • Esp. important to mining
  • Monitored by Foreign Investment Review Board
    (FIRB), over which Treasurer has veto power

48
Foreign Investment
49
Current or coming Free Trade Agreements (FTAs)
  • Australia's Free Trade Agreements
  • Singapore - Australia
  • Thailand - Australia
  • Australia - United States
  • Australia New Zealand
  • Australia-Chile

50
Key foreign investors
  • US (half of all foreign businesses)
  • UK (make more profits than US firms)
  • Also New Zealand, South Africa, Hong Kong,
    Germany Japan

51
Foreign Investment
  • Arguments for
  • Access to capital (especially risk capital)
  • Provides overseas markets infrastructure
    skills technology

52
Foreign Investment
  • Arguments against
  • Outflow of dividends
  • Displaces domestic companies form profitable
    sectors (much FI is merely acquisition)
  • Does not transfer technology or skills
  • Inhibits growth of indigenous firms
  • Loss of control of companies
  • Loss of local culture

53
Big Questions
  • Is globalisation inevitable?
  • Does globalisation erode the sovereignty of
    individual nation-states?
  • Do nations have a say in how connected they are
    to the world?

54
Globalisation Sovereignty
  • Thesis
  • As globalistion advances, national borders become
    less important
  • Individual governments become less powerful
  • Transnational corporations become more powerful

55
For loss of sovereignty
  • Economy
  • National economies are not islands affected by
    international developments
  • e.g. currency exchange rates terms of trade
    FTAs, WTO, IMF, World Bank (can impose conditions
    e.g. Thailand in late 90s)
  • Australias future dictated by trade blocs e.g.
    EU, ASEAN, NAFTA, APEC, Aust-US
  • Cannot control TNCs completely

56
For loss of sovereignty
57
For loss of sovereignty
  • Politics
  • International obligations on labour, environment
    human rights (UN, ILO, Amnesty, Red Cross)
  • Military
  • Maintenance of defence obligations (e.g. ANZUS),
    Iraq, Afghanistan
  • Peace-keeping duties (East Timor, Solomon
    Islands, Bougainville)

58
For loss of sovereignty
59
For loss of sovereignty
  • Cultural
  • Proliferation of global media (WWW, world music,
    newspapers, cinema Hollywood Bollywood)
  • Social
  • Expenditure on social infrastructure limited by
    need to remain internationally competitive,
    especially since 1980s i.e. lower pensions etc

60
Against loss of sovereignty
  • Nations make conscious choice to pursue free
    trade
  • Control over slowing or reversing free trade (see
    France US)
  • Control over TNCs at local level e.g. over
    investment, mergers, labour, health safety,
    environmental protection
  • Control over local media ownership content
  • Control over immigration

61
Democracy Vs Terrorism?
  • Does globalisation mean westernisation (or
    McDonaldsisation)?
  • Does this mean the inevitable spread of western
    liberal democratic values?
  • Or has globalisation (post-Cold War) helped the
    spread of terrorism?

62
Part Two
  • Multiculturalism in Australia

63
Defining Multiculturalism
  • A disputed, emotional term
  • Originated in bicultural Canada 1960s
  • Recognition of the diverse cultures of a plural
    society based on three principles
  • We all have an ethnic origin (equality)
  • All our cultures deserve respect (dignity)
  • Cultural pluralism needs official support
    (Parliament of Canada 1987)
  • i.e. cultures existing side by side (NOT a
    melting pot)

64
Defining Pluralism
  • A position in society in which political and
    economic power is diffused and fragmented, rather
    than concentrated in one class or élite group.
  • (Boyce et al 1980)

65
Origins of Australian Human Settlement
  • Indigenous (Aboriginal and Torres Strait
    Islanders)
  • At least 30,000 years ago, up to 120,000 years
    ago
  • Travelled on land bridge from Southeast Asia, and
    land bridge to Tasmania

66
Australia and her Neighbours
67
Timeline of Attitudes to Indigenes
  • 1788 to mid 1800s subjugation (occasionally
    extermination)
  • Mid 1800s to mid 1960s paternalism
    assimilation
  • 1960s-1980s integration
  • 1990s self-determination (ATSIC 1990 Mabo 1993)

68
The Australian Settlement
  • Australia in 1901 founded on 5 bipartisan
    pillars (Kelly 1992)
  • White Australia (WAP)
  • Industry Protection
  • Wage Arbitration
  • State Paternalism
  • Imperial Benevolence
  • By 1980s, all had been slowed or reversed

69
Timeline of Australian Migration
  • 1788 1840 British Irish convicts and free
    settlers
  • Early 1800s indentured Chinese labourers
  • 1830s German settlement in SA Qld
  • Mid 1800s Italians in rural NSW north Qld

70
Timeline of Australian Migration
  • 1850s to late 1800s Chinese to gold rushes in
    NSW, Victoria Qld
  • Mid to late 1800s Kanaks in Nth Qld
  • 1901 WAP introduced on Federation
  • 1946 on southern European migration (Greeks
    Italians)

71
Postwar resettlement
  • 1945 Australias population 7 million
  • 1940s - special report finds Australia in urgent
    need of larger population for development
    self-defence (populate or perish)
  • Target til 1972 1 p.a. increase in population
    through increased immigration
  • Slows during 1972-75, resumes after 1975

72
Ben Chifley Arthur Calwell
  • Ben Chifley
  • Arthur Calwell

73
Migration Categories
  • 3 main categories of migration
  • Economic (skill-based)
  • Family reunion
  • Humanitarian (refugees)

74
Postwar resettlement
  • United Kingdom - assisted passages (Ten Pound
    Poms)
  • Assisted migration also from Malta, The
    Netherlands, Italy, Greece, West Germany, Turkey,
    Austria, Spain, Belgium Yugoslavia
  • So-called New Australians (a derogatory term
    today)
  • 6.5 million people migrated to Australia since
    1945
  • 2010 - Australias population 22.5 million

75
Snowy Mountains Hydro-Electric Scheme
  • 25 years to build (1949-74)
  • Cost (at that time) of AUD800 million (today
    AUD6 billion)
  • 100,000 people employed from at least 30
    different nationalities
  • 70 of all the workers were migrants

76
Snowy Mountains Hydro-Electric Scheme
77
Timeline of Australian Migration (cond)
  • 1950s Baltic Eastern European
    (anti-communist)
  • Late 1950s end to Dictation Tests
  • 1966 limited non-European migration
  • 1973 multiculturalism end of WAP

78
Timeline of Australian Migration (cond)
  • Mid 1970s - SBS Radio
  • Late 1970s Vietnamese migration
  • 1980s Mainland Chinese
  • Early 1980s SBS TV
  • 1988 John Howard (PM 1996-2007) expresses
    concerns over Asian migration
  • 2000s African (sub-Saharan)
  • Net overseas migration 1992-93 30,042 2006-07
    177,600
  • 2009 Rudd Govt cuts permanent skilled
    migration program intake from 133,500 to
    115,000.
  • Population now a political issue!

79
Prime Minister Hawke 1983-91
  • Hawkes (1989) three dimensions of
    Multiculturalism policy
  • Cultural identity
  • Social justice
  • Economic efficacy

80
XenophobiaFear of Foreigners
  • Fears of job losses (economic sustainability)
  • Fears of urban decay (infrastructural
    sustainability)
  • Fears of water shortage (ecological
    sustainability)
  • Fears of lost Australian identity (cultural
    sustainability)

81
Political backlash
  • 1997 xenophobia exploited by Pauline Hanson
    One Nation Party
  • 1998 Qld state election 22.7 vote
  • Declines by 2001
  • Liberal-National Govt assumes tough line on
    immigration as a result
  • Labor 2007-09 also adopts tough rhetoric)

82
A New PM - 2010
83
A New Xenophobia?
  • Late 2001 MV Tampa, SIEV IV 2001 federal
    election
  • Pacific Solution (Nauru)
  • We will decide who comes to this country, and
    the circumstances under which they come. (PM
    John Howard 2001 election campaign)

84
SIEV IV 6 October, 2001
85
A New Xenophobia?
  • Post 9/11 post-Bali bombing (2002) antagonism
    against Muslim extremists
  • Cronulla riots (Christmas 2005)
  • New PM Julia Gilard does not support a big
    Australia

86
Summary Conclusions
  • Globalisation is international
    inter-connectedness
  • Australia in past 60 years has changed
    politically, economically, socially and
    culturally
  • Australia was once a protected economy since
    1980s an open economy
  • Australia until 1950s almost totally British
  • Since 1950s, non-British migration changed the
    face of Australia
  • Immigration and globalisation will continue for
    Australia
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