STRUCTURES OF GLOBALIZATION
LEARNING OUTCOMES
At the end of the lesson, you should be able to:
1. define economic, cultural and political globalization and give one example each;
2. identify the other types of globalization; and
3. briefly state how the other types of globalization affect countries and people today
Globalization is a process of interaction and integration among the people,
companies, and governments of different nations, a process driven by
international trade and investment and aided by information technology. This
process has effects on the environment, on culture, on political systems, on economic
development and prosperity, and on human physical well-being in societies around the
world.
A video clip: [Link]
(Understanding our Interconnected World)
This part of the module will introduce you to the different drivers of the
globalization process with more focus on the three main types of globalization,
namely: economic, social and political.
Globalization is primarily of three types, namely, economic, cultural and political:
1. Economic Globalization:
Economic globalization refers to the increasing interdependence of world economies
as a result of the growing scale of cross-border trade of commodities and services, flow
of international capital and wide and rapid spread of technologies.
(Some Multinational companies in the Philippines that dictate the lifestyle and mind sets of the
Filipinos)
No national economy is an island now. To varying degrees, national economies
influence one another. One country which is capital-rich invests in another country
which is poor. One who has better technologies sells these to others who lack such
technologies.
Economic globalization is a worldwide economic system that permits easy
movement of goods, production, capital, and resources (free trade facilitates this)
Example: NAFTA, EU, Multinational corporations.
What is its purpose of NAFTA?
The agreement came into force on January 1, 1994. The goal of NAFTA is to
eliminate all tariff and non-tariff barriers of trade and investment between the United
States, Canada and Mexico.
What is the purpose of economic union?
An economic union is an agreement between two or more nations to allow goods,
services, money and workers to move over borders freely. The countries may also
coordinate social and financial policies to support this common market. The European
Union (EU) is an example of an economic union.
What is meant by multinational corporation?
Multinational corporation (MNC), also called transnational corporation, any
corporation that is registered and operates in more than one country at a time.
Generally, the corporation has its headquarters in one country and operates wholly or
partially owned subsidiaries in other countries.
The products of an advanced country enter the markets of those countries that have
demands for these products. Similarly, the natural resources of developing countries are
sold to developed countries that need them. Thus, globalization is predominantly an
economic process involving the transfer of economic resources form one country to
another.
Economic globalization implies Economic liberalization. Economic
Liberalization is the lessening of government regulations and restrictions in an
economy in exchange for greater participation by private entities; the doctrine is
associated with classical liberalism. Thus, liberalization in short is "the removal of
controls" in order to encourage economic development.
Beginning as early as 6500 BCE, people in Syria were trading livestock, tools, and
other items. In Sumer, an early civilization in Mesopotamia, a token system was one of
the first forms of commodity money. Labor markets consist of workers, employers,
wages, income, supply and demand. Labor markets have been around as long as
commodity markets. The first labor markets provided workers to grow crops and tend
livestock for later sale in local markets. Capital markets emerged in industries that
require resources beyond those of an individual farmer. (From Wikipedia, the free
encyclopedia)
The most visible impacts of globalization are definitely the ones affecting the
economic world. Globalization has led to a sharp increase in trade and economic
exchanges, but also to a multiplication of financial exchanges. ... This acceleration of
economic exchanges has led to strong global economic growth.
2. Cultural Globalization:
Cultural globalization, phenomenon by which the experience of everyday life, as
influenced by the diffusion of commodities and ideas, reflects a standardization of
cultural expressions around the world. ... Although homogenizing influences do indeed
exist, they are far from creating anything akin to a single world culture.
Culture has increasingly become a commodity. Popular books and films have
international markets. Harry Potter has readers almost all over the world. English
movies are seen almost in all countries. Western pop music has become popular in
developing countries. The reverse flow of culture is insignificant. The flow of culture is
mainly from the North to the South. In the last few years, the media owners of the
West have shown interest in entering developing countries.
For example, Murdoch has opened TV channels (STAR News, STAR Movies and
STAR Plus) in India. Cultural globalization has been facilitated by the information
revolution, the spread of satellite communication, telecommunication networks,
information technology and the Internet etc. This global flow of ideas, knowledge and
values is likely to flatten out cultural differences between nations, regions and
individuals.
(CULTURAL DIVERSITY)
Cultural globalization is a merging or “watering down” of the world’s cultures e.g.,
food, entertainment, language, etc. This is heavily criticized as destructive of local
culture. The globalization of technology destroys local culture and making the world
more similar. This is also known as cultural unification. Globalization also brings new
values that are not dear to us. Now many cultures are able to interact with each other
which causes the individuality of that culture to fade.
Example of this is the Simpsons which is shown in over 200 countries in the world.
As this flow of culture is mainly from the center to the periphery, from the North to the
South, and from the towns and cities to villages, it is the culture of villages of poor
countries which will be the first to suffer erosion.
Examples of these are the ethnic minorities in the different provinces of the
Philippines like the Aetas of Zambales, the Lumads of Mindanao and the Igorot of
Benguet and the Mountain Province.
Negative Influences
There are a number of negative impacts globalization has had on cultural diversity,
including the influence multinational corporations have on promoting a consumer
culture, exploitation of workers and markets and influencing societal values. This
increased availability of commercial media and products can "drown out" local cultural
influences.
Loss of individualism and group identity occur when globalization encourages a
'Western ideal of individualism'. This promotes a homogeneous set of values and
beliefs. The adoption of Western Culture and ideologies is seen as many computer-
mediated technologies are developed, marketed, and processed via western markets.
The dominant population and culture of the day determine the next greatest technology
along with the next commercialized gadget that will be offered up to the masses and
longed for by those who are at arm’s reach of financially obtaining these devices.
Globalization allows further colonization which impacts intellectual property and
cultural rights. Global access to information has opened the gateway to acquiring
cultural property and information. Many view that ‘if it is out there it is free for the taking’,
which includes cultural signs, songs, dance, rituals and other cultural artifacts. These
icons of a culture are viewed as a living heritage and are an integral part of identity
(Smith, 2000). Using images, reselling them and mis-representing these rights are
considered property theft and a heinous crime against communities. It is difficult to
monitor or control what is out on the Internet and therefore difficult to prevent and
prosecute appropriately.
Positive Influences
The technological global mecca can be empowering for various cultures as it allows
self-representation and information sharing on a whole new level. Technology
provides a medium where depiction of images and portrayals of self-identity can provide
the means in which truism can be established. Global media centers allow cultures a
distinctive voice to promote awareness and provide public knowledge and
understanding of their stories and identities. It also allows for the communication of their
relevant accounts and commentaries on issues that are important in preserving the
culture and knowledge acquisition of cultural ways - allowing them to retain their
diversity. Being in charge of their own media production companies allows control of
their artifacts, signs and symbols that are regarded as cultural property. When cultures
are in control of their own public images they are better equipped to manage and
represent their images appropriately without misrepresentation.
3. Political Globalization:
Political globalization refers to the growth of the worldwide political system,
both in size and complexity. ... The creation and existence of the United Nations is
called one of the classic examples of political globalization.
Since long, efforts have been on to bring the whole world under one government.
The League of Nations and the UN have been the efforts in that direction. It is believed
that the world under one government will be safer and freer from conflicts: The UN (an
international organization formed in 1945 to increase political and economic cooperation
among its member countries) has belied expectations, but a number of regional
organizations like European Union, ASEAN, APEC and SAARC, and multicultural
economic organizations such as WTO have come up.
There are 195 countries in the world today. This total comprises 193 countries that
are member states of the United Nations and 2 countries that are non-member observer
states: The Holy See and the State of Palestine. The UN’s main responsibility is to
maintain International Peace and Security. The United Nations came into being in 1945,
following the devastation of the Second World War, with one central mission: the
maintenance of international peace and security. The UN Security Council has that
primary responsibility.
The member-states remain sovereign, but through their obligations and
commitments, they have, to some extent, integrated themselves to the concerned
international organizations and groupings. The amount of political co-operation that
exists between different countries is necessary.
(Political Globalization is based on agreements and cooperation of states)
Globalization of Politics
Traditionally politics has been undertaken within national political systems. National
governments have been ultimately responsible for maintaining the security and
economic welfare of their citizens, as well as the protection of human rights and the
environment within their borders. With global ecological changes, an ever more
integrated global economy, and other global trends, political activity increasingly takes
place at the global level.
Under globalization, politics can take place above the state through political
integration schemes such as the European Union and through intergovernmental
organizations such as the International Monetary Fund, the World Bank and the World
Trade Organization. Political activity can also transcend national borders through global
movements and NGOs. Civil society organizations act globally by forming alliances with
organizations in other countries, using global communications systems, and lobbying
international organizations and other actors directly, instead of working through their
national governments.
Other types of Globalization
1. Financial globalization
Refers to the Interconnection of the world’s financial systems e.g., stock markets. It is
more of a connection between large cities than of nations
Example: What happens in Asian markets affects the North American markets.
2. Technological Globalization
Technological globalization is speeded in large part by technological diffusion, the
spread of technology across borders. ... While the diffusion of information technologies has
the potential to resolve many global social problems, it is often the population most in need
that is most affected by the digital divide.
Technological revolution has meant the “Global Village” has expanded to everything
corner of the globe with growth in travel communication and computer technology, and
mobile (smart) phones communications. I can be around the world live, in 1 second by
internet or smart phone or 12 hours by plane. The remotest village can now use hand crank
computers to communicate via internet. Some regions have no phone networks; they have
jumped ahead to cellphone networks only. Connection between nations through technology
such as television, radio, telephones, internet, etc. was traditionally available only to the rich
but is now far more available to the poor. Much less infrastructure is needed now.
3. Ecological Globalization
Ecological globalization refers to global environmental issues including: - population
growth. - access to food. - worldwide reduction in biodiversity. - the gap between rich and
poor.
Seeing the Earth as a single ecosystem rather than a collection of separate ecological
systems because so many problems are global in nature.
Example: International treaties to deal with environmental issues like biodiversity, climate
change or the ozone layer, wildlife reserves that span several countries
4. Sociological Globalization
Globalization, according to sociologists, is an ongoing process that involves
interconnected changes in the economic, cultural, social, and political spheres of society. As
a process, it involves the ever-increasing integration of these aspects between nations,
regions, communities, and even seemingly isolated places.
A growing belief that we are all global citizens and should all be held to the same
standards – and have the same rights.
Example: the growing international ideas that capital punishment is immoral, and that
woman should have all the same rights as men.
5. Geographical Globalization
Geographers don’t see the world in terms of relationships between countries anymore.
They now see a borderless world, dominated by worldwide concerns about ecological
concerns, politics, culture, economics and other relationships existing; all influenced by
networks of world cities.
References:
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GLOBAL INTERSTATE SYSTEM
LEARNING OUTCOMES:
At the end of the lesson, you should be able to:
1. identify the actors in international relations;
2. differentiate internationalism from globalization;
3. discuss the importance of the study and practice of international relations
There are three actors in the international field. One is that of the (national)
government, which in all states the coercive force monopolizing sphere of states. The
second sphere of power is that of social groups (the family, church, corporation,
institution, and so on), and the third is that of the individual's personal interests.
This Module differentiates interstate system, international relations,
internationalism and intersocietal relations. It talks about the importance of
international relations and the institutions that govern international relations.
(Relations that exist between nations)
Interstate system refers to a system for international relations. It also refers to
Institutions that Govern International Relations. International relations is an academic
discipline that focuses on the study of the interaction of the actors in international
politics, including states and non-state actors, such as the United Nations (UN), the
International Monetary Fund (IMF), the World Bank, and Amnesty International.
Internationalism is a political principle which transcends nationalism and advocates
a greater political or economic cooperation among nations and people. Supporters of
this principle are referred to as internationalists, and generally believe that the people of
the world should unite across national, political, cultural, racial, or class boundaries to
advance their common interests, or that the governments of the world should cooperate
because their mutual long-term interests are of greater importance than their short-term
disputes. (From Wikipedia, the free encyclopedia).
Thus, the international field is a complex of individuals acting in different international
capacities and roles, representing different international groups, and interacting at
different international levels. What provides most coherence to this complex is the state,
which in international law takes precedence over (can command) all other
organizations, at least within its boundaries. Indeed, for totalitarian states, the
international relations of all their groups and people are integrated into state policy and
rigidly controlled, including the actions of their citizens representing international
organizations. This control by the state and the complex of relations between the
diverse international actors can be made more coherent by dividing international
relations into interstate, intersocietal, and interpersonal.
Interstate relations are those authoritative actions, understandings, or
commitments of the governmental authorities--the leaders--of one state to or with the
governmental authorities of another state or its groups or citizens, either bilaterally or
through international organizations. For example, this would not only include the
obvious international conferences, military aid, state visits, treaties, and the like, but
also nationalizations of foreign business, expelling foreign newsmen, arresting a foreign
national, applying duties to foreign goods, censoring foreign magazines. Thus, any
authoritative actions of a state's governmental elite against any citizen or group or
another state is part of interstate relations.
Intersocietal relations are those authoritative actions, understandings, or
commitments of the authorities of groups within one state with those groups or citizens
of another state, or those relations within groups whose membership and organizations
transcend states. The latter would include, for example, multinational corporations with
foreign subsidiaries, the Catholic Church, or international professional associations.
Also, included in intersocietal relations are companies selling goods to the citizens of
other states, contacts between foreign firms, or a company contracting with a foreign
firm.
And interpersonal relations (in international relations) are those relations of or
between citizens of different states acting in their personal interests. Tourists, migrants,
foreign students, the international jet set, exemplify such interpersonal relations, as do a
portion of international mail, telegrams, phone calls, and cross-border air and surface
traffic.
Although international relations are interstate, intersocietal, and interpersonal, the
scope of these relations depends on the type of state. For example, the relations
between libertarian and totalitarian states can be interstate, intersocietal, and
interpersonal. But, virtually all the foreign relations of a totalitarian state are controlled
by the state, including much of the foreign relations of what would be the autonomous
international relations of groups and individuals in libertarian societies. Thus, the
interstate relations of a totalitarian state compose nearly all its relations, while those of a
libertarian state would be of small scope compared to societal and individual relations.
This creates a basic asymmetry in the international relations between libertarian or
welfare-liberal states and totalitarian ones.
International relations is the study of the interaction of nation-states and non-
governmental organizations in fields such as politics, economics, and security.
Professionals work in academia, government, and non-profits to understand and
develop cooperative exchanges between nations that benefit commerce, security,
quality of life, and the environment.
The study and practice of international relations is interdisciplinary in nature,
blending the fields of economics, history, and political science to examine topics such
as human rights, global poverty, the environment, economics, globalization, security,
global ethics, and the political environment.
The study and practice of international relations in today’s world is
valuable for many reasons:
1. International relations promote successful trade policies between nations.
2. International relations encourage travel related to business, tourism, and
immigration, providing people with opportunities to enhance their lives
3. International relations allows nations to cooperate with one another, pool
resources, and share information as a way to face global issues that go beyond
any particular country or region.
4. International relations advances human culture through cultural exchanges,
diplomacy and policy development
5. International relations goes beyond peace and war, past poverty and business;
rather it explores the key players in world politics, intrinsic political patterns, and
identifies the theories for how resolution and cooperation can be reached.
Major Theories of International Relations:
Theories of international relations are essentially a set of ideas aimed at explaining how
the international system works.
1. Realism
Realism focuses on the notion that states work to increase their own power
relative to other states. The theory of realism states that the only certainty in the
world is power; therefore, a powerful state—via military power (the most
important and reliable form of power)—will always be able to outlast its weaker
competitors. Self-preservation is a major theme in realism, as states must always
seek power to protect themselves.
2. Liberalism (Idealism)
Also called “liberal internationalism,” liberalism is based on the belief that the
current global system is capable of engendering a peaceful world order. Rather
than relying on direct force, such as military action, liberalism places an
emphasis on international cooperation as a means of furthering each nation’s
respective interests
3. Constructivism
Constructivism rests on the notion that rather than the outright pursuit of material
interests, it is a nation’s belief systems—historical, cultural and social —that
explain its foreign policy efforts and behavior.
4. Marxism
A theory that closely analyzes social classes, aims to dismantle the capitalist
structure of the international system, as it states that capitalism is no longer
practically sustainable in the modern world. Marx believed that private property
should be replaced by cooperative ownership, with the emphasis placed entirely
on satisfying human needs for consumption, rather than creating private profit.
5. Feminism
Gender issues are a significant concern within global politics, and feminism as an
international relations theory seeks to regulate the power derived from (or denied
on the basis of) an individual’s gender. The significance of feminism in
international relations is evidenced by the role women play in promoting more
just and fair international relations policies.
6. Postmodernism
The postmodernism paradigm believes in the arbitrary nature of modernity. It
subscribes to the notion that the existing arrangements were merely created by
human beings and that what is conceived to be the truth is in the actual sense a
“choice” made by a predecessor (Burchill & Linklater, 2009). That is, it denies the
notion of objective truth.
BASIC CONCEPTS FOR GLOBAL RELATIONS
The following are some basic concepts related to global relations:
1. Nation-state, the primary or fundamental unit in IR; a political entity within a
defined territorial area possessing legal and political authority over that area
2. National interest, those elements constituting a nation's most vital needs and
objectives, including such factors of self-preservation, independence,
sovereignty, territorial integrity, military security, and economic well-being
3. Sovereignty, considered to be the enabling concept of world politics, whereby
nation-states possess authority not only within their own territorial entities but
possess membership in the international community
4. Balance of power, a term used in various ways, but the traditional concept
involves creating/maintaining an equilibrium in the international order so that one
nation/alliance does not become preponderant over others
5. Bipolar, a world political system in which power is concentrated in two power
centers
6. Unilateral, a national acting on its own, independently, in the pursuit of its foreign
policy objectives, as opposed to a bilateral or multilateral approach
7. Multilateral, relationships among more than two states of other international
actors for the purpose of collective action
8. Hegemony, preponderant influence or dominance of one nation (or group) over
other
9. Interdependence, the increasing interrelationship and mutual dependence
among nations, especially in an economic sense
10. Geopolitics, the use of geography as an element of power; theories and
concepts emphasizing location, size, and geographic factors as primary
influences in IR.
11. Imperialism, a policy or course of action that through which a state imposes
control over others; identified with the acquisition of colonies or colonial authority
12. Diplomacy, the range of actions taken by a nation to represent and pursue its
interests
13. Weapons of mass destruction, generally deemed to be nuclear weapons with
massive destructive capabilities but may also include exceptionally devastating
conventional arms as weak as certain biological and chemical weapons.
14. International political economy, study of the politics/policies of trade, monetary
and other economic relations among nations and their connection to
transnational forces
15. Just war doctrine, moral criteria identifying when a 'just war' may be undertaken
and how it should be fought
16. Free trade, the flow of goods and services across national boundaries
unimpeded by tariffs or other restrictions
17. Cartel, an association of producers or consumers (or both) of a certain product,
formed for the purpose of manipulating the price on the world market
18. Mercantilism, the economic theory and political ideology opposed to free trade;
it shares with the realism belief that each state must protect its own interests
without seeking mutual gains through international organizations and agreement
19. Fascism, an authoritarian and/or totalitarian political system, often based on a
corporate state and centering around a powerful supreme leader; usually
emphasizing militarism and nationalism and characterized by regimentation,
propaganda, and prejudice.
20. Clash of civilizations, thesis put forward by Samuel Huntington that argues that
past and future global conflicts can be traced along the fault lines between the
nine major world civilizations
21. Intellectual property rights, rights of creators of books, films, computer
software, and similar product to receive royalties when their products are sold
22. Sustainable development, economic development approaches based in long-
term considerations; meeting current needs without destroying resources that will
be needed in the future
Institutions that govern International Relations
The Bretton Woods Institutions—the IMF and World Bank—have an important role
to play in making globalization work better. They were created in 1944 to help restore
and sustain the benefits of global integration, by promoting international economic
cooperation.
The WTO came into being in 1995, succeeding the General Agreement on Tariffs
and Trade (GATT) that was established in 1947. First of all, the IMF makes loans to
"developing" countries to help them build infrastructure. ... In short, we can say that
the IMF and the WTO play a huge role in globalization.
The International Monetary Fund is an international organization that aims to
promote global economic growth and financial stability, to encourage international
trade, and to reduce poverty.
The World Trade Organization (WTO) is an international body whose purpose is to
promote free trade by persuading countries to abolish import tariffs and other barriers.
As such, it has become closely associated with globalization. The WTO is the only
international agency overseeing the rules of international trade
The IMF's key roles are the following: To promote international monetary
cooperation, to facilitate the expansion and balanced growth of international trade and
lastly, to promote exchange stability.
References:
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