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Understanding Globalization Dynamics

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6 views73 pages

Understanding Globalization Dynamics

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mmanjulbb
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© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
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Globalization

Globalization is the process of increasing interdependence and integration among the economies,
markets, societies, and cultures of different countries worldwide. This is made possible by the
reduction of barriers to international trade, the liberalization of capital movements, the development
of transportation, and the advancement of information and communication technologies.[1] The
term globalization first appeared in the early 20th century (supplanting an earlier French term
mondialisation). It developed its current meaning sometime in the second half of the 20th century,
and came into popular use in the 1990s to describe the unprecedented international connectivity of
the post–Cold War world.[2] The origins of globalization can be traced back to the 18th and 19th
centuries, driven by advances in transportation and communication technologies. These
developments increased global interactions, fostering the growth of international trade and the
exchange of ideas, beliefs, and cultures. While globalization is primarily an economic process of
interaction and integration, it is also closely linked to social and cultural dynamics. Additionally,
disputes and international diplomacy have played significant roles in the history and evolution of
globalization, continuing to shape its modern form. Though many scholars place the origins of
globalization in modern times, others trace its history to long before the European Age of Discovery
and voyages to the New World, and some even to the third millennium BCE.[3] Large-scale
globalization began in the 1820s, and in the late 19th century and early 20th century drove a rapid
expansion in the connectivity of the world's economies and cultures.[4] The term global city was
subsequently popularized by sociologist Saskia Sassen in her work The Global City: New York,
London, Tokyo (1991).[5]
Top-left: showing early migration patterns of humans
across the globe as part of the history of globalization.
Top-right: the Namban ship carrying Europeans to trade
with Japan. Middle-left: the headquarters of the United
Nations in international territory within Midtown
Manhattan, New York City. Middle-right: a branch of the
American superstore Walmart, the largest company in the
world by revenue as of 2021, in Richmond Hill, Ontario,
Canada. Bottom: a map of undersea cable connections
around the African continent to and from Europe, Asia, and
across the Atlantic Ocean.

Globalization describes the growing interdependence of the world's economies, cultures, and
populations, brought about by cross-border trade in goods and services, technology, and flows of
investment, people, and information. Countries have built economic partnerships to facilitate these
movements over many centuries.

Economically, globalization involves goods, services, data, technology, and the economic resources
of capital.[6] The expansion of global markets liberalizes the economic activities of the exchange of
goods and funds. Removal of cross-border trade barriers has made the formation of global markets
more feasible.[7] Advances in transportation, like the steam locomotive, steamship, jet engine, and
container ships, and developments in telecommunication infrastructure such as the telegraph, the
Internet, mobile phones, and smartphones, have been major factors in globalization and have
generated further interdependence of economic and cultural activities around the globe.[8][9][10]

Between 1990 and 2010, globalization progressed rapidly, driven by the information and
communication technology revolution that lowered communication costs, along with trade
liberalization and the shift of manufacturing operations to emerging economies (particularly
China).[11][12][13] In 2000, the International Monetary Fund (IMF) identified four basic aspects of
globalization: trade and transactions, capital and investment movements, migration and movement
of people, and the dissemination of knowledge.[14] Globalizing processes affect and are affected by
business and work organization, economics, sociocultural resources, and the natural environment.
Academic literature commonly divides globalization into three major areas: economic globalization,
cultural globalization, and political globalization.[15]

Proponents of globalization point to economic growth and broader societal development as


benefits, while opponents claim globalizing processes are detrimental to social well-being due to
ethnocentrism, environmental consequences, and other potential drawbacks.[16][17]

Globalization, characterized by the increased flow of goods, services, capital, people, and ideas
across borders, leads to greater global interdependence by integrating national economies,
societies, and cultures. This process, intensified since the 1980s by technological advancements
and reduced trade barriers, has profound effects on businesses, cultures, politics, and living
standards worldwide.

Etymology and usage

The word globalization was used in the English language as early as the 1930s, but only ever in the
context of education, and the term failed to gain traction. Over the next few decades, the term was
occasionally used by other scholars and media, but it was not clearly defined.[2] One of the first uses
of a term resembling the more common meaning and usage of the modern word was by French
economist François Perroux in his essays from the early 1960s (in his French works he used the
similar yet distinct term mondialisation, translated as mundialization).[2] Theodore Levitt is
sometimes inaccurately cited as having invented the term in the mid-1980s, although he can more
confidently be credited with popularizing the term and bringing it into the mainstream business
audience during that time.[2]

Though often treated as synonyms, in French, globalization is seen as a stage following


mondialisation, a stage that implies the dissolution of national identities and the abolishment of
borders within the world network of economic exchanges.[18]

Since its inception, the concept of globalization has inspired competing definitions and
interpretations. Its antecedents date back to the great movements of trade and empire across Asia
and the Indian Ocean from the 15th century onward.[19][20]

In 1848, Karl Marx noticed the increasing level of national interdependence brought on by
capitalism, and predicted the universal character of the modern world society. He states:
The bourgeoisie has through its exploitation of the world market given a
cosmopolitan character to production and consumption in every country. To the
great chagrin of Reactionists, it has drawn from under the feet of industry the
national ground on which it stood. All old-established national industries have been
destroyed or are daily being destroyed. . . . In place of the old local and national
seclusion and self-sufficiency, we have intercourse in every direction, universal
inter-dependence of nations.[21]

Sociologists Martin Albrow and Elizabeth King define globalization as "all those processes by which
the people of the world are incorporated into a single world society."[6] In The Consequences of
Modernity, Anthony Giddens writes: "Globalization can thus be defined as the intensification of
worldwide social relations which link distant localities in such a way that local happenings are
shaped by events occurring many miles away and vice versa."[22] In 1992, Roland Robertson,
professor of sociology at the University of Aberdeen and an early writer in the field, described
globalization as "the compression of the world and the intensification of the consciousness of the
world as a whole."[23]

In Global Transformations, David Held and his co-writers state:

Although in its simplistic sense globalization refers to the widening, deepening and
speeding up of global interconnection, such a definition begs further elaboration. ...
Globalization can be on a continuum with the local, national and regional. At one
end of the continuum lie social and economic relations and networks which are
organized on a local and/or national basis; at the other end lie social and economic
relations and networks which crystallize on the wider scale of regional and global
interactions. Globalization can refer to those spatial-temporal processes of change
which underpin a transformation in the organization of human affairs by linking
together and expanding human activity across regions and continents. Without
reference to such expansive spatial connections, there can be no clear or coherent
formulation of this term. ... A satisfactory definition of globalization must capture
each of these elements: extensity (stretching), intensity, velocity and impact.[24]

Held and his co-writers' definition of globalization in that same book as "transformation in the
spatial organization of social relations and transactions—assessed in terms of their extensity,
intensity, velocity and impact—generating transcontinental or inter-regional flows" was called
"probably the most widely-cited definition" in the 2014 DHL Global Connectiveness Index.[25]
Swedish journalist Thomas Larsson, in his book The Race to the Top: The Real Story of Globalization,
states that globalization:

...is the process of world shrinkage, of distances getting shorter, things moving
closer. It pertains to the increasing ease with which somebody on one side of the
world can interact, to mutual benefit, with somebody on the other side of the
world.[26]

Paul James defines globalization with a more direct and historically contextualized emphasis:

Globalization is the extension of social relations across world-space,


defining that world-space in terms of the historically variable ways that it
has been practiced and socially understood through changing world-
time.[27]

Manfred Steger, professor of global studies and research leader in the Global Cities Institute at RMIT
University, identifies four main empirical dimensions of globalization: economic, political, cultural,
and ecological. A fifth dimension—the ideological—cutting across the other four. The ideological
dimension, according to Steger, is filled with a range of norms, claims, beliefs, and narratives about
the phenomenon itself.[28]

James and Steger stated that the concept of globalization "emerged from the intersection of four
interrelated sets of 'communities of practice' (Wenger, 1998): academics, journalists,
publishers/editors, and librarians."[2]: 424 They note the term was used "in education to describe the
global life of the mind"; in international relations to describe the extension of the European Common
Market, and in journalism to describe how the "American Negro and his problem are taking on a
global significance".[2] They have also argued that four forms of globalization can be distinguished
that complement and cut across the solely empirical dimensions.[27][29] According to James, the
oldest dominant form of globalization is embodied globalization, the movement of people. A second
form is agency-extended globalization, the circulation of agents of different institutions,
organizations, and polities, including imperial agents. Object-extended globalization, a third form, is
the movement of commodities and other objects of exchange. He calls the transmission of ideas,
images, knowledge, and information across world-space disembodied globalization, maintaining
that it is currently the dominant form of globalization. James holds that this series of distinctions
allows for an understanding of how, today, the most embodied forms of globalization such as the
movement of refugees and migrants are increasingly restricted, while the most disembodied forms
such as the circulation of financial instruments and codes are the most deregulated.[30]

The journalist Thomas L. Friedman popularized the term "flat world", arguing that globalized trade,
outsourcing, supply-chaining, and political forces had permanently changed the world, for better and
worse. He asserted that the pace of globalization was quickening and that its impact on business
organization and practice would continue to grow.[31]

Economist Takis Fotopoulos defined "economic globalization" as the opening and deregulation of
commodity, capital, and labor markets that led toward the present neoliberal globalization. He used
"political globalization" to refer to the emergence of a transnational élite and a phasing out of the
nation-state. Meanwhile, he used "cultural globalization" to reference the worldwide homogenization
of culture. Other of his usages included "ideological globalization", "technological globalization", and
"social globalization".[32]

Lechner and Boli (2012) define globalization as more people across large distances becoming
connected in more and different ways.[33]

"Globophobia" is used to refer to the fear of globalization, though it can also mean the fear of
balloons.[34][35][36]

History

There are both distal and proximate causes that can be traced in the historical factors affecting
globalization. Large-scale globalization began in the 19th century.[37]
Archaic

The 13th century world-system, as described by Janet Abu-Lughod

The phrase "Archaic globalization" conventionally refers to a phase in the history of globalization
including globalizing events and developments from the time of the earliest civilizations until
roughly the 1600s CE. This term covers the relationships between communities and states and how
they developed through the geographical spread of ideas and social norms at both local and
regional levels.[38]

In this schema, three main prerequisites are posited for globalization to occur:

1. The first is the idea of Eastern Origins, which shows how Western states have adapted and
implemented learned principles from the East.[38] Without the spread of traditional ideas from
the East, Western globalization would not have emerged in the way that it did.

2. The interactions of early states were not on a global scale and most often were confined to
local regions: Asia, North Africa, the Middle East, and certain parts of Europe.[38] With early
globalization, it was difficult for states to interact with others that were not close. Eventually,
technological advances allowed states to learn of others' existence and thus another phase of
globalization could occur.

3. The third prerequisite has to do with inter-dependency, stability, and regularity. If a state is not
dependent on another, then there is no way for either state to be mutually affected by the other.
This is one of the driving forces behind global connections and trade; without either,
globalization would not have emerged the way it did and states would still be dependent on
their own production and resources to work. This is one of the arguments surrounding the idea
of early globalization. It is argued that archaic globalization did not function in a similar
manner to modern globalization because states were not as interdependent on other states
(as they are today).[38]

Also posited is a "multi-polar" nature to archaic globalization, which involved the active participation
of non-Europeans. Because it predated the Great Divergence in the nineteenth century, where
Western Europe pulled ahead of the rest of the world in terms of industrial production and economic
output, archaic globalization was a phenomenon that was driven not only by Europe but also by
other economically developed Old World centers such as Gujarat, Bengal, coastal China, and
Japan.[39]

Portuguese carrack in Nagasaki, 17th-


century Japanese Nanban art

The German historical economist and sociologist Andre Gunder Frank argues that a form of
globalization began with the rise of trade links between Sumer and the Indus Valley civilization in
the third millennium BCE. This archaic globalization continued during the Hellenistic Age, when
commercialized urban centers enveloped the axis of Greek culture that reached from India to Spain,
including Alexandria and the other Alexandrine cities. Early on, the geographic position of Greece,
Greek demographics and the necessity of importing wheat encouraged Greek city-states to found
outpost colonies[40] and to engage in maritime trade.[41] Trade in ancient Greece was largely
unrestricted: the state controlled only the supply of grain.[3] Greek style, culture and art spread in a
"form of Mediterranean globalization".[42]
The Silk Road in the 1st century

Native New World crops exchanged


globally (clockwise): Maize, tomato, potato,
vanilla, rubber, cacao, tobacco

Trade on the Silk Road became a significant factor in the development of civilizations from China to
the Indian subcontinent, Persia, Europe, and Arabia, opening long-distance political and economic
interactions between them.[43] Though silk was certainly the major trade-item from China, common
goods such as salt and sugar were traded as well; and religions, syncretic philosophies, and various
technologies, as well as diseases, also traveled along the Silk Routes. In addition to economic trade,
the Silk Road served as a means of carrying out cultural trade among the civilizations along its
network.[44] The movement of people, such as refugees, artists, craftsmen, missionaries, robbers,
and envoys, resulted in the exchange of religions, art, languages, and new technologies.[45] From
around 3000 BCE to 1000 CE, connectivity within Afro-Eurasia was centered upon the Indo-
Mediterranean region, with the Silk Road later rising in importance with the Mongol Empire's
consolidation of Asia in the 13th century CE.[46][47]

Early modern

"Early modern" or "proto-globalization" covers a period of the history of globalization roughly


spanning the years between 1600 and 1800. The concept of "proto-globalization" was first
introduced by historians A. G. Hopkins and Christopher Bayly. The term describes the phase of
increasing trade links and cultural exchange that characterized the period immediately preceding
the advent of high "modern globalization" in the late 19th century.[48] This phase of globalization was
characterized by the rise of maritime European empires, in the 15th and 17th centuries, first the
Portuguese Empire (1415) followed by the Spanish Empire (1492), and later the Dutch and British
Empires. In the 17th century, world trade developed further when chartered companies like the
British East India Company (founded in 1600) and the Dutch East India Company (founded in 1602,
often described as the first multinational corporation in which stock was offered) were
established.[49]

Lisbon in the 1570s had many Africans due


to the Atlantic slave trade.

An alternative view from historians Dennis Flynn and Arturo Giraldez, postulated that: globalization
began with the first circumnavigation of the globe under the Magellan-Elcano expedition which
preluded the rise of global silver trade.[50][51]

Early modern globalization is distinguished from modern globalization on the basis of


expansionism, the method of managing global trade, and the level of information exchange. The
period is marked by the shift of hegemony to Western Europe, the rise of larger-scale conflicts
between powerful nations such as the Thirty Years' War, and demand for commodities, most
particularly slaves. The triangular trade made it possible for Europe to take advantage of resources
within the Western Hemisphere. The transfer of animal stocks, plant crops, and epidemic diseases
associated with Alfred W. Crosby's concept of the Columbian exchange also played a central role in
this process. European, Middle Eastern, Indian, Southeast Asian, and Chinese merchants were all
involved in early modern trade and communications, particularly in the Indian Ocean region.

The 1843 launch of the Great Britain, the


revolutionary ship of Isambard Kingdom
Brunel
During the 19th and early 20th centuries,
the United Kingdom was a global
superpower.

Modern

According to economic historians Kevin O'Rourke, Leandro Prados de la Escosura and Guillaume
Daudin, several factors promoted globalization in the period 1815–1870:[52]

The conclusion of the Napoleonic Wars brought in an era of relative peace in Europe.

Innovations in transportation technology reduced trade costs substantially.

New industrial military technologies increased the power of European states and the United
States, and allowed these powers to forcibly open up markets across the world and extend their
empires.

A gradual move towards greater liberalization in European countries.

During the 19th century, globalization approached its form as a direct result of the Industrial
Revolution. Industrialization allowed standardized production of household items using economies
of scale while rapid population growth created sustained demand for commodities. In the 19th
century, steamships reduced the cost of international transportation significantly and railroads
made inland transportation cheaper. The transportation revolution occurred some time between
1820 and 1850.[37] More nations embraced international trade.[37] Globalization in this period was
decisively shaped by nineteenth-century imperialism such as in Africa and Asia.[53][54]

Contemporary

After World War II, work by politicians led to the agreements of the Bretton Woods Conference, in
which major governments laid down the framework for international monetary policy, commerce,
and finance, and the founding of several international institutions intended to facilitate economic
growth by lowering trade barriers. Initially, the General Agreement on Tariffs and Trade (GATT) led to
a series of agreements to remove trade restrictions. GATT's successor was the World Trade
Organization (WTO), which provided a framework for negotiating and formalizing trade agreements
and a dispute resolution process. Exports nearly doubled from 8.5% of total gross world product in
1970 to 16.2% in 2001.[55] The approach of using global agreements to advance trade stumbled with
the failure of the Doha Development Round of trade negotiation. Many countries then shifted to
bilateral or smaller multilateral agreements, such as the 2011 United States–Korea Free Trade
Agreement.

The invention of shipping containers in 1956 helped advance the globalization of commerce.[53][54]
Since the 1970s, aviation has become increasingly affordable to middle classes in developed
countries. Open skies policies and low-cost carriers have helped to bring competition to the market.
In the 1990s, the growth of low-cost communication networks cut the cost of communicating
between countries. More work can be performed using a computer without regard to location. This
included accounting, software development, and engineering design.

Student exchange programs became popular after World War II, and are intended to increase the
participants' understanding and tolerance of other cultures, as well as improving their language
skills and broadening their social horizons. Between 1963 and 2006, the number of students
studying in a foreign country increased 9 times.[56]

D.H. Comet, the world's first commercial jet


airliner, entered service in 1949.

Since the 1980s, modern globalization has spread rapidly through the expansion of capitalism and
neoliberal ideologies.[57] The implementation of neoliberal policies has allowed for the privatization
of public industry, deregulation of laws or policies that interfered with the free flow of the market, as
well as cut-backs to governmental social services.[58] These neoliberal policies were introduced to
many developing countries in the form of structural adjustment programs (SAPs) that were
implemented by the World Bank and the International Monetary Fund (IMF).[57] These programs
required that the country receiving monetary aid would open its markets to capitalism, privatize
public industry, allow free trade, cut social services like healthcare and education and allow the free
movement of giant multinational corporations.[59] These programs allowed the World Bank and the
IMF to become global financial market regulators that would promote neoliberalism and the
creation of free markets for multinational corporations on a global scale.[60]

With a population of 1.4 billion, China is the


world's second-largest economy.

In the late 19th and early 20th century, the connectedness of the world's economies and cultures
grew very quickly. This slowed down from the 1910s onward due to the World Wars and the Cold
War,[61] but picked up again in the 1980s and 1990s.[62] The revolutions of 1989 and subsequent
liberalization in many parts of the world resulted in a significant expansion of global
interconnectedness. The migration and movement of people can also be highlighted as a prominent
feature of the globalization process. In the period between 1965 and 1990, the proportion of the
labor force migrating approximately doubled. Most migration occurred between the developing
countries and least developed countries (LDCs).[63] As economic integration intensified workers
moved to areas with higher wages and most of the developing world oriented toward the
international market economy. The collapse of the Soviet Union not only ended the Cold War's
division of the world – it also left the United States its sole policeman and an unfettered advocate of
free market. It also resulted in the growing prominence of attention focused on the movement of
diseases, the proliferation of popular culture and consumer values, the growing prominence of
international institutions like the UN, and concerted international action on such issues as the
environment and human rights.[64] Other developments as dramatic were the Internet's becoming
influential in connecting people across the world; As of June 2012, more than 2.4 billion people—
over a third of the world's human population—have used the services of the Internet.[65][66] Growth of
globalization has never been smooth. One influential event was the late 2000s recession, which was
associated with lower growth (in areas such as cross-border phone calls and Skype usage) or even
temporarily negative growth (in areas such as trade) of global interconnectedness.[67][68]

The China–United States trade war, starting in 2018, negatively affected trade between the two
largest national economies. The economic impact of the COVID-19 pandemic included a massive
decline in tourism and international business travel as many countries temporarily closed borders.
The 2021–2022 global supply chain crisis resulted from temporary shutdowns of manufacturing
and transportation facilities, and labor shortages. Supply problems incentivized some switches to
domestic production.[69] The economic impact of the 2022 Russian invasion of Ukraine included a
blockade of Ukrainian ports and international sanctions on Russia, resulting in some de-coupling of
the Russian economy with global trade, especially with the European Union and other Western
countries.

Modern consensus for the last 15 years regards globalization as having run its course and gone into
decline.[70] A common argument for this is that trade has dropped since its peak in 2008, and never
recovered since the Great Recession. New opposing views from some economists have argued
such trends are a result of price drops and in actuality, trade volume is increasing, especially with
agricultural products, natural resources and refined petroleum.[71][72] The 21st century melting of the
Arctic will also affect global trade, as it is paving the way for shorter trade routes.[73]

Economic globalization

The trade openness index over 5 centuries.


This index is defined as the sum of world
exports and imports, divided by world GDP.
Each series corresponds to a different
source.

Dividends worth CZK 289 billion were paid


to the foreign owners of Czech companies
in 2016.[74]

Economic globalization is the increasing economic interdependence of national economies across


the world through a rapid increase in cross-border movement of goods, services, technology, and
capital.[75] Whereas the globalization of business is centered around the diminution of international
trade regulations as well as tariffs, taxes, and other impediments that suppresses global trade,
economic globalization is the process of increasing economic integration between countries,
leading to the emergence of a global marketplace or a single world market.[76] Depending on the
paradigm, economic globalization can be viewed as either a positive or a negative phenomenon.
Economic globalization comprises: globalization of production; which refers to the obtainment of
goods and services from a particular source from locations around the globe to benefit from
difference in cost and quality. Likewise, it also comprises globalization of markets; which is defined
as the union of different and separate markets into a massive global marketplace. Economic
globalization also includes[77] competition, technology, and corporations and industries.[75]

Current globalization trends can be largely accounted for by developed economies integrating with
less developed economies by means of foreign direct investment, the reduction of trade barriers as
well as other economic reforms, and, in many cases, immigration.[78]

Singapore is the top country in the Enabling


Trade Index as of 2016.

International standards have made trade in goods and services more efficient. An example of such
standard is the intermodal container. Containerization dramatically reduced the costs of
transportation, supported the post-war boom in international trade, and was a major element in
globalization.[53] International standards are set by the International Organization for
Standardization, which is composed of representatives from various national standards
organizations.

A multinational corporation, or worldwide enterprise,[79] is an organization that owns or controls the


production of goods or services in one or more countries other than their home country.[80] It can
also be referred to as an international corporation, a transnational corporation, or a stateless
corporation.[81]

A free-trade area is the region encompassing a trade bloc whose member countries have signed a
free-trade agreement (FTA). Such agreements involve cooperation between at least two countries to
reduce trade barriers – import quotas and tariffs – and to increase trade of goods and services with
each other.[82]

If people are also free to move between the countries, in addition to a free-trade agreement, it would
also be considered an open border. Arguably, the most significant free-trade area in the world is the
European Union, a politico-economic union of 27 member states that are primarily located in
Europe. The EU has developed European Single Market through a standardized system of laws that
apply in all member states. EU policies aim to ensure the free movement of people, goods, services,
and capital within the internal market,[83]

Trade facilitation looks at how procedures and controls governing the movement of goods across
national borders can be improved to reduce associated cost burdens and maximize efficiency while
safeguarding legitimate regulatory objectives.

Global trade in services is also significant. For example, in India, business process outsourcing has
been described as the "primary engine of the country's development over the next few decades,
contributing broadly to GDP growth, employment growth, and poverty alleviation".[84][85]

William I. Robinson's theoretical approach to globalization is a critique of Wallerstein's World


Systems Theory. He believes that the global capital experienced today is due to a new and distinct
form of globalization which began in the 1980s. Robinson argues not only are economic activities
expanded across national boundaries but also there is a transnational fragmentation of these
activities.[86] One important aspect of Robinson's globalization theory is that production of goods
are increasingly global. This means that one pair of shoes can be produced by six countries, each
contributing to a part of the production process.
Cultural globalization

Shakira, a Colombian
multilingual singer-songwriter,
playing outside her home
country

Cultural globalization refers to the transmission of ideas, meanings, and values around the world in
such a way as to extend and intensify social relations.[87] This process is marked by the common
consumption of cultures that have been diffused by the Internet, popular culture media, and
international travel. This has added to processes of commodity exchange and colonization which
have a longer history of carrying cultural meaning around the globe. The circulation of cultures
enables individuals to partake in extended social relations that cross national and regional borders.
The creation and expansion of such social relations is not merely observed on a material level.
Cultural globalization involves the formation of shared norms and knowledge with which people
associate their individual and collective cultural identities. It brings increasing interconnectedness
among different populations and cultures.[88]

Cross-cultural communication is a field of study that looks at how people from differing cultural
backgrounds communicate, in similar and different ways among themselves, and how they
endeavor to communicate across cultures. Intercultural communication is a related field of study.

Cultural diffusion is the spread of cultural items—such as ideas, styles, religions, technologies,
languages etc. Cultural globalization has increased cross-cultural contacts, but may be
accompanied by a decrease in the uniqueness of once-isolated communities. For example, sushi is
available in Germany as well as Japan, but Euro-Disney outdraws the city of Paris, potentially
reducing demand for "authentic" French pastry.[89][90][91] Globalization's contribution to the alienation
of individuals from their traditions may be modest compared to the impact of modernity itself, as
alleged by existentialists such as Jean-Paul Sartre and Albert Camus. Globalization has expanded
recreational opportunities by spreading pop culture, particularly via the Internet and satellite
television. The cultural diffusion can create a homogenizing force, where globalization is seen as
synonymous with homogenizing force via connectedness of markets, cultures, politics and the
desire for modernizations through imperial countries sphere of influence.[92]

Religions were among the earliest cultural elements to globalize, being spread by force, migration,
evangelists, imperialists, and traders. Christianity, Islam, Buddhism, and more recently sects such as
Mormonism are among those religions which have taken root and influenced endemic cultures in
places far from their origins.[93]

McDonald's is commonly seen as a symbol


of globalization, often called
McDonaldization of global society.

Globalization has strongly influenced sports.[94] For example, the modern Olympic Games has
athletes from more than 200 nations participating in a variety of competitions.[95] The FIFA World
Cup is the most widely viewed and followed sporting event in the world, exceeding even the Olympic
Games; a ninth of the entire population of the planet watched the 2006 FIFA World Cup
Final.[96][97][98]

The term globalization implies transformation. Cultural practices including traditional music can be
lost or turned into a fusion of traditions. Globalization can trigger a state of emergency for the
preservation of musical heritage. Archivists may attempt to collect, record, or transcribe repertoires
before melodies are assimilated or modified, while local musicians may struggle for authenticity
and to preserve local musical traditions. Globalization can lead performers to discard traditional
instruments. Fusion genres can become interesting fields of analysis.[99]

Music has an important role in economic and cultural development during globalization. Music
genres such as jazz and reggae began locally and later became international phenomena.
Globalization gave support to the world music phenomenon by allowing music from developing
countries to reach broader audiences.[100] Though the term "World Music" was originally intended
for ethnic-specific music, globalization is now expanding its scope such that the term often includes
hybrid subgenres such as "world fusion", "global fusion", "ethnic fusion",[101] and worldbeat.[102][103]

Use of chili pepper has spread from the


Americas to cuisines around the world,
including Thailand, Korea, China, and
Italy.[104]

Bourdieu claimed that the perception of consumption can be seen as self-identification and the
formation of identity. Musically, this translates into each individual having their own musical identity
based on likes and tastes. These likes and tastes are greatly influenced by culture, as this is the
most basic cause for a person's wants and behavior. The concept of one's own culture is now in a
period of change due to globalization. Also, globalization has increased the interdependency of
political, personal, cultural, and economic factors.[105]

A 2005 UNESCO report[106] showed that cultural exchange is becoming more frequent from Eastern
Asia, but that Western countries are still the main exporters of cultural goods. In 2002, China was
the third largest exporter of cultural goods, after the UK and US. Between 1994 and 2002, both North
America's and the European Union's shares of cultural exports declined while Asia's cultural exports
grew to surpass North America. Related factors are the fact that Asia's population and area are
several times that of North America. Americanization is related to a period of high political
American clout and of significant growth of America's shops, markets and objects being brought
into other countries.

Some critics of globalization argue that it harms the diversity of cultures. As a dominating country's
culture is introduced into a receiving country through globalization, it can become a threat to the
diversity of local culture. Some argue that globalization may ultimately lead to Westernization or
Americanization of culture, where the dominating cultural concepts of economically and politically
powerful Western countries spread and cause harm to local cultures.[107]

Globalization is a diverse phenomenon that relates to a multilateral political world and to the
increase of cultural objects and markets between countries. The Indian experience particularly
reveals the plurality of the impact of cultural globalization.[108]

Transculturalism is defined as "seeing oneself in the other".[109] Transcultural[110] is in turn described


as "extending through all human cultures"[110] or "involving, encompassing, or combining elements
of more than one culture".[111] Children brought up in transcultural backgrounds are sometimes
called third-culture kids.

Political globalization

The United Nations headquarters in New


York City

Political globalization refers to the growth of the worldwide political system, both in size and
complexity. That system includes national governments, their governmental and intergovernmental
organizations as well as government-independent elements of global civil society such as
international non-governmental organizations and social movement organizations. One of the key
aspects of the political globalization is the declining importance of the nation-state and the rise of
other actors on the political scene. William R. Thompson has defined it as "the expansion of a global
political system, and its institutions, in which inter-regional transactions (including, but certainly not
limited to trade) are managed".[112] Political globalization is one of the three main dimensions of
globalization commonly found in academic literature, with the two other being economic
globalization and cultural globalization.[15]

Intergovernmentalism is a term in political science with two meanings. The first refers to a theory of
regional integration originally proposed by Stanley Hoffmann; the second treats states and the
national government as the primary factors for integration. Multi-level governance is an approach in
political science and public administration theory that originated from studies on European
integration. Multi-level governance gives expression to the idea that there are many interacting
authority structures at work in the emergent global political economy. It illuminates the intimate
entanglement between the domestic and international levels of authority.

Some people are citizens of multiple nation-states. Multiple citizenship, also called dual citizenship
or multiple nationality or dual nationality, is a person's citizenship status, in which a person is
concurrently regarded as a citizen of more than one state under the laws of those states.

U.S. military presence around the world in


2007. As of 2015, the U.S. still had many
bases and troops stationed globally.[113]

Increasingly, non-governmental organizations influence public policy across national boundaries,


including humanitarian aid and developmental efforts.[114] Philanthropic organizations with global
missions are also coming to the forefront of humanitarian efforts; charities such as the Bill and
Melinda Gates Foundation, Accion International, the Acumen Fund (now Acumen) and the Echoing
Green have combined the business model with philanthropy, giving rise to business organizations
such as the Global Philanthropy Group and new associations of philanthropists such as the Global
Philanthropy Forum. The Bill and Melinda Gates Foundation projects include a current multibillion-
dollar commitment to funding immunizations in some of the world's more impoverished but rapidly
growing countries.[115] The Hudson Institute estimates total private philanthropic flows to
developing countries at US$59 billion in 2010.[116]

As a response to globalization, some countries have embraced isolationist policies. For example,
the North Korean government makes it very difficult for foreigners to enter the country and strictly
monitors their activities when they do. Aid workers are subject to considerable scrutiny and
excluded from places and regions the government does not wish them to enter. Citizens cannot
freely leave the country.[117][118]
Globalization and gender

From the documentary Ukraine Is Not a


Brothel. Radical group Femen protest
against the increase in sex tourism into
Ukraine.

Globalization has been a gendered process where giant multinational corporations have outsourced
jobs to low-wage, low skilled, quota free economies like the ready made garment industry in
Bangladesh where poor women make up the majority of labor force. Despite a large proportion of
women workers in the garment industry, women are still heavily underemployed compared to men.
Most women that are employed in the garment industry come from the countryside of Bangladesh
triggering migration of women in search of garment work. It is still unclear as to whether or not
access to paid work for women where it did not exist before has empowered them. The answers
varied depending on whether it is the employers perspective or the workers and how they view their
choices. Women workers did not see the garment industry as economically sustainable for them in
the long run due to long hours standing and poor working conditions. Although women workers did
show significant autonomy over their personal lives including their ability to negotiate with family,
more choice in marriage, and being valued as a wage earner in the family. This did not translate into
workers being able to collectively organize themselves in order to negotiate a better deal for
themselves at work.[119]

Another example of outsourcing in manufacturing includes the maquiladora industry in Ciudad


Juarez, Mexico where poor women make up the majority of the labor force. Women in the
maquiladora industry have produced high levels of turnover not staying long enough to be trained
compared to men. A gendered two tiered system within the maquiladora industry has been created
that focuses on training and worker loyalty. Women are seen as being untrainable, placed in un-
skilled, low wage jobs, while men are seen as more trainable with less turnover rates, and placed in
more high skilled technical jobs. The idea of training has become a tool used against women to
blame them for their high turnover rates which also benefit the industry keeping women as
temporary workers.[120]
Other dimensions

Scholars also occasionally discuss other, less common dimensions of globalization, such as
environmental globalization (the internationally coordinated practices and regulations, often in the
form of international treaties, regarding environmental protection)[121] or military globalization
(growth in global extent and scope of security relationships).[122] Those dimensions, however,
receive much less attention the three described above, as academic literature commonly subdivides
globalization into three major areas: economic globalization, cultural globalization and political
globalization.[15]

Movement of people

Scheduled airline traffic in 2024

An essential aspect of globalization is movement of people, and state-boundary limits on that


movement have changed across history.[123] The movement of tourists and business people opened
up over the last century. As transportation technology improved, travel time and costs decreased
dramatically between the 18th and early 20th century. For example, travel across the Atlantic Ocean
used to take up to 5 weeks in the 18th century, but around the time of the 20th century it took a
mere 8 days.[124] Today, modern aviation has made long-distance transportation quick and
affordable.

Tourism is travel for pleasure. The developments in technology and transportation infrastructure,
such as jumbo jets, low-cost airlines, and more accessible airports have made many types of
tourism more affordable. At any given moment half a million people are in the air.[125] International
tourist arrivals surpassed the milestone of 1 billion tourists globally for the first time in 2012.[126] A
visa is a conditional authorization granted by a country to a foreigner, allowing them to enter and
temporarily remain within, or to leave that country. Some countries – such as those in the Schengen
Area – have agreements with other countries allowing each other's citizens to travel between them
without visas (for example, Switzerland is part of a Schengen Agreement allowing easy travel for
people from countries within the European Union). The World Tourism Organization announced that
the number of tourists who require a visa before traveling was at its lowest level ever in 2015.[127]
Immigration is the international movement of people into a destination country of which they are not
natives or where they do not possess citizenship in order to settle or reside there, especially as
permanent residents or naturalized citizens, or to take-up employment as a migrant worker or
temporarily as a foreign worker.[128][129][130] According to the International Labour Organization, as of
2014 there were an estimated 232 million international migrants in the world (defined as persons
outside their country of origin for 12 months or more) and approximately half of them were
estimated to be economically active (i.e. being employed or seeking employment).[131] International
movement of labor is often seen as important to economic development. For example, freedom of
movement for workers in the European Union means that people can move freely between member
states to live, work, study or retire in another country.

2010 London Youth Games opening


ceremony. About 69% of children born in
London in 2015 had at least one parent
who was born abroad.[132]

Globalization is associated with a dramatic rise in international education. The development of


global cross-cultural competence in the workforce through ad-hoc training has deserved increasing
attention in recent times.[133][134] More and more students are seeking higher education in foreign
countries and many international students now consider overseas study a stepping-stone to
permanent residency within a country.[135] The contributions that foreign students make to host
nation economies, both culturally and financially has encouraged major players to implement further
initiatives to facilitate the arrival and integration of overseas students, including substantial
amendments to immigration and visa policies and procedures.[56]

A transnational marriage is a marriage between two people from different countries. A variety of
special issues arise in marriages between people from different countries, including those related to
citizenship and culture, which add complexity and challenges to these kinds of relationships. In an
age of increasing globalization, where a growing number of people have ties to networks of people
and places across the globe, rather than to a current geographic location, people are increasingly
marrying across national boundaries. Transnational marriage is a by-product of the movement and
migration of people.
Movement of information

Internet users by region[136]

Region 2005 2010 2017 2023

Africa 2% 10% 21.8% 37%

Americas 36% 49% 65.9% 87%

Arab States 8% 26% 43.7% 69%

Asia and Pacific 9% 23% 43.9% 66%

Commonwealth of
10% 34% 67.7% 89%
Independent States

Europe 46% 67% 79.6% 91%


The global digital divide: Computers per 100 people per
2006

Before electronic communications, long-distance communications relied on mail. Speed of global


communications was limited by the maximum speed of courier services (especially horses and
ships) until the mid-19th century. The electric telegraph was the first method of instant long-
distance communication. For example, before the first transatlantic cable, communications
between Europe and the Americas took weeks because ships had to carry mail across the ocean.
The first transatlantic cable reduced communication time considerably, allowing a message and a
response in the same day. Lasting transatlantic telegraph connections were achieved in the 1865–
1866. The first wireless telegraphy transmitters were developed in 1895.

The Internet has been instrumental in connecting people across geographical boundaries. For
example, Facebook is a social networking service which has more than 1.65 billion monthly active
users as of 31 March 2016.[137]

Globalization can be spread by Global journalism which provides massive information and relies on
the internet to interact, "makes it into an everyday routine to investigate how people and their
actions, practices, problems, life conditions, etc. in different parts of the world are interrelated.
possible to assume that global threats such as climate change precipitate the further establishment
of global journalism."[138]

Globalization and disease

In the current era of globalization, the world is more interdependent than at any other time. Efficient
and inexpensive transportation has left few places inaccessible, and increased global trade has
brought more and more people into contact with animal diseases that have subsequently jumped
species barriers (see zoonosis).[139]

Coronavirus disease 2019, abbreviated COVID-19, first appeared in Wuhan, China in November
2019. More than 180 countries have reported cases since then.[140] As of April 6, 2020, the U.S. has
the most confirmed active cases in the world.[141] More than 3.4 million people from the worst-
affected countries entered the U.S. in the first three months since the inception of the COVID-19
pandemic.[142] This has caused a detrimental impact on the global economy, particularly for SME's
and Microbusinesses with unlimited liability/self-employed, leaving them vulnerable to financial
difficulties, increasing the market share for oligopolistic markets as well as increasing the barriers
of entry.

Measurement

One index of globalization is the KOF Index of Globalization, which measures three important
dimensions of globalization: economic, social, and political.[143] Another is the A.T. Kearney /
Foreign Policy Magazine Globalization Index.[144]

2006 A.T. Kearney /


Foreign Policy
2014 KOF Index of
Magazine
Globalization
Globalization Index
Rank Country
Rank Country
1 Ireland
1 Singapore
2 Belgium
2 Switzerland
3 Netherlands
3 United States
4 Austria
4 Ireland
5 Singapore
5 Denmark
6 Denmark
6 Canada
7 Sweden
7 Netherlands
8 Portugal
8 Australia
9 Hungary
9 Austria
10 Finland
10 Sweden

Measurements of economic globalization typically focus on variables such as trade, Foreign Direct
Investment (FDI), Gross Domestic Product (GDP), portfolio investment, and income. However, newer
indices attempt to measure globalization in more general terms, including variables related to
political, social, cultural, and even environmental aspects of globalization.[145][146]

The DHL Global Connectedness Index studies four main types of cross-border flow: trade (in both
goods and services), information, people (including tourists, students, and migrants), and capital. It
shows that the depth of global integration fell by about one-tenth after 2008, but by 2013 had
recovered well above its pre-crash peak.[25][67] The report also found a shift of economic activity to
emerging economies.[25]

Support and criticism

The European Union–Mercosur free trade


agreement, which would form one of the
world's largest free trade areas, has been
denounced by environmental activists and
indigenous rights campaigners.

Reactions to processes contributing to globalization have varied widely with a history as long as
extraterritorial contact and trade. Philosophical differences regarding the costs and benefits of such
processes give rise to a broad-range of ideologies and social movements. Proponents of economic
growth, expansion, and development, in general, view globalizing processes as desirable or
necessary to the well-being of human society.[147]

Antagonists view one or more globalizing processes as detrimental to social well-being on a global
or local scale;[147] this includes those who focus on social or natural sustainability of long-term and
continuous economic expansion, the social structural inequality caused by these processes, and the
colonial, imperialistic, or hegemonic ethnocentrism, cultural assimilation and cultural appropriation
that underlie such processes.

Globalization tends to bring people into contact with foreign people and cultures. Xenophobia is the
fear of that which is perceived to be foreign or strange.[148][149] Xenophobia can manifest itself in
many ways involving the relations and perceptions of an ingroup towards an outgroup, including a
fear of losing identity, suspicion of its activities, aggression, and desire to eliminate its presence to
secure a presumed purity.[150]

Critiques of globalization generally stem from discussions surrounding the impact of such
processes on the planet as well as the human costs. They challenge directly traditional metrics,
such as GDP, and look to other measures, such as the Gini coefficient[151] or the Happy Planet
Index,[152] and point to a "multitude of interconnected fatal consequences–social disintegration, a
breakdown of democracy, more rapid and extensive deterioration of the environment, the spread of
new diseases, increasing poverty and alienation"[153] which they claim are the unintended
consequences of globalization. Others point out that, while the forces of globalization have led to
the spread of western-style democracy, this has been accompanied by an increase in inter-ethnic
tension and violence as free market economic policies combine with democratic processes of
universal suffrage as well as an escalation in militarization to impose democratic principles and as
a means to conflict resolution.[154]

On 9 August 2019, Pope Francis denounced isolationism and hinted that the Catholic Church will
embrace globalization at the October 2019 Amazonia Synod, stating "the whole is greater than the
parts. Globalization and unity should not be conceived as a sphere, but as a polyhedron: each
people retains its identity in unity with others"[155]

Public opinion

As a complex and multifaceted phenomenon, globalization is considered by some as a form of


capitalist expansion which entails the integration of local and national economies into a global,
underregulated market economy.[156] A 2005 study found a large increase in articles negative
towards globalization in the years prior. In 1998, negative articles outpaced positive by two to
one.[157] The number of newspaper articles showing negative framing rose from about 10% in 1991
to 55% in 1999. This increase occurred during a period when the number of articles concerning
globalization nearly doubled.[157]

International polls have shown that residents of Africa and Asia tend to view globalization more
favorably than residents of Europe or North America. In Africa, a Gallup poll found 70% viewed
globalization favorably.[158] The BBC found that 50% of people believed that economic globalization
was proceeding too rapidly, while 35% believed it was too slow.[159]

In 2004, Philip Gordon stated that "a clear majority of Europeans believe that globalization can
enrich their lives, while believing the European Union can help them take advantage of
globalization's benefits while shielding them from its negative effects". The main opposition
consisted of socialists, environmental groups, and nationalists. Residents of the EU did not appear
to feel threatened by globalization in 2004. The EU job market was more stable and workers were
less likely to accept wage/benefit cuts. Social spending was much higher than in the US.[160] In a
Danish poll in 2007, 76% responded that globalization is a good thing.[161]

A 1993 US survey showed more than 40% of respondents were unfamiliar with the concept of
globalization. When the survey was repeated in 1998, 89% had a polarized view of globalization as
being either good or bad. Discourse on globalization, which began in the financial community,
shifted to a heated debate between proponents and disenchanted students and workers.
Polarization increased dramatically after the establishment of the WTO in 1995; this event and
subsequent protests led to a large-scale anti-globalization movement.[157] Initially, college educated
workers were likely to support globalization. Less educated workers, who were more likely to
compete with immigrants and workers in developing countries, tended to be opponents. The
situation changed after the Great Recession. According to a 1997 poll 58% of college graduates said
globalization had been good for the US. By 2008 only 33% thought it was good. Respondents with
high school education also became more opposed.[162]

According to Takenaka Heizo and Chida Ryokichi, as of 1998 there was a perception in Japan that
the economy was "Small and Frail". However, Japan was resource-poor and used exports to pay for
its raw materials. Anxiety over their position caused terms such as internationalization and
globalization to enter everyday language. However, Japanese tradition was to be as self-sufficient as
possible, particularly in agriculture.[163]

Many in developing countries see globalization as a positive force that lifts them out of poverty.[164]
Those opposing globalization typically combine environmental concerns with nationalism.
Opponents consider governments as agents of neo-colonialism that are subservient to
multinational corporations.[165] Much of this criticism comes from the middle class; the Brookings
Institution suggested this was because the middle class perceived upwardly mobile low-income
groups as threatening to their economic security.[166]
Economics

Hu Jintao of China and George W. Bush


meet while attending an APEC summit in
Santiago de Chile, 2004.

The literature analyzing the economics of free trade is extremely rich with extensive work having
been done on the theoretical and empirical effects. Though it creates winners and losers, the broad
consensus among economists is that free trade is a large and unambiguous net gain for
society.[167][168] In a 2006 survey of 83 American economists, "87.5% agree that the U.S. should
eliminate remaining tariffs and other barriers to trade" and "90.1% disagree with the suggestion that
the U.S. should restrict employers from outsourcing work to foreign countries."[169]

Quoting Harvard economics professor N. Gregory Mankiw, "Few propositions command as much
consensus among professional economists as that open world trade increases economic growth
and raises living standards."[170] In a survey of leading economists, none disagreed with the notion
that "freer trade improves productive efficiency and offers consumers better choices, and in the long
run these gains are much larger than any effects on employment."[171] Most economists would
agree that although increasing returns to scale might mean that certain industry could settle in a
geographical area without any strong economic reason derived from comparative advantage, this is
not a reason to argue against free trade because the absolute level of output enjoyed by both
"winner" and "loser" will increase with the "winner" gaining more than the "loser" but both gaining
more than before in an absolute level.

In the book The End of Poverty, Jeffrey Sachs discusses how many factors can affect a country's
ability to enter the world market, including government corruption; legal and social disparities based
on gender, ethnicity, or caste; diseases such as AIDS and malaria; lack of infrastructure (including
transportation, communications, health, and trade); unstable political landscapes; protectionism;
and geographic barriers.[172] Jagdish Bhagwati, a former adviser to the U.N. on globalization, holds
that, although there are obvious problems with overly rapid development, globalization is a very
positive force that lifts countries out of poverty by causing a virtuous economic cycle associated
with faster economic growth.[164] However, economic growth does not necessarily mean a reduction
in poverty; in fact, the two can coexist. Economic growth is conventionally measured using
indicators such as GDP and GNI that do not accurately reflect the growing disparities in wealth.[173]
Additionally, Oxfam International argues that poor people are often excluded from globalization-
induced opportunities "by a lack of productive assets, weak infrastructure, poor education and ill-
health;"[174] effectively leaving these marginalized groups in a poverty trap. Economist Paul Krugman
is another staunch supporter of globalization and free trade with a record of disagreeing with many
critics of globalization. He argues that many of them lack a basic understanding of comparative
advantage and its importance in today's world.[175]

The flow of migrants to advanced economies has been claimed to provide a means through which
global wages converge. An IMF study noted a potential for skills to be transferred back to
developing countries as wages in those a countries rise.[14] Lastly, the dissemination of knowledge
has been an integral aspect of globalization. Technological innovations (or technological transfer)
are conjectured to benefit most developing and least developing countries (LDCs), as for example in
the adoption of mobile phones.[63]

There has been a rapid economic growth in Asia after embracing market orientation-based
economic policies that encourage private property rights, free enterprise and competition. In
particular, in East Asian developing countries, GDP per head rose at 5.9% a year from 1975 to 2001
(according to 2003 Human Development Report[176] of UNDP). Like this, the British economic
journalist Martin Wolf says that incomes of poor developing countries, with more than half the
world's population, grew substantially faster than those of the world's richest countries that
remained relatively stable in its growth, leading to reduced international inequality and the incidence
of poverty.

Of the factors influencing the duration of


economic growth in both developed and
developing countries, income equality has
a more beneficial impact than trade
openness, sound political institutions, and
foreign investment.[177]

Certain demographic changes in the developing world after active economic liberalization and
international integration resulted in rising general welfare and, hence, reduced inequality. According
to Wolf, in the developing world as a whole, life expectancy rose by four months each year after
1970 and infant mortality rate declined from 107 per thousand in 1970 to 58 in 2000 due to
improvements in standards of living and health conditions. Also, adult literacy in developing
countries rose from 53% in 1970 to 74% in 1998 and much lower illiteracy rate among the young
guarantees that rates will continue to fall as time passes. Furthermore, the reduction in fertility rate
in the developing world as a whole from 4.1 births per woman in 1980 to 2.8 in 2000 indicates
improved education level of women on fertility, and control of fewer children with more parental
attention and investment.[178] Consequently, more prosperous and educated parents with fewer
children have chosen to withdraw their children from the labor force to give them opportunities to be
educated at school improving the issue of child labor. Thus, despite seemingly unequal distribution
of income within these developing countries, their economic growth and development have brought
about improved standards of living and welfare for the population as a whole.

Per capita gross domestic product (GDP) growth among post-1980 globalizing countries
accelerated from 1.4 percent a year in the 1960s and 2.9 percent a year in the 1970s to 3.5 percent
in the 1980s and 5.0 percent in the 1990s. This acceleration in growth seems even more remarkable
given that the rich countries saw steady declines in growth from a high of 4.7 percent in the 1960s
to 2.2 percent in the 1990s. Also, the non-globalizing developing countries seem to fare worse than
the globalizers, with the former's annual growth rates falling from highs of 3.3 percent during the
1970s to only 1.4 percent during the 1990s. This rapid growth among the globalizers is not simply
due to the strong performances of China and India in the 1980s and 1990s—18 out of the 24
globalizers experienced increases in growth, many of them quite substantial.[179]

The globalization of the late 20th and early 21st centuries has led to the resurfacing of the idea that
the growth of economic interdependence promotes peace.[180] This idea had been very powerful
during the globalization of the late 19th and early 20th centuries, and was a central doctrine of
classical liberals of that era, such as the young John Maynard Keynes (1883–1946).[181]

Some opponents of globalization see the phenomenon as a promotion of corporate interests.[182]


They also claim that the increasing autonomy and strength of corporate entities shapes the political
policy of countries.[183][184] They advocate global institutions and policies that they believe better
address the moral claims of poor and working classes as well as environmental concerns.[185]
Economic arguments by fair trade theorists claim that unrestricted free trade benefits those with
more financial leverage (i.e. the rich) at the expense of the poor.[186]

Globalization allows corporations to outsource manufacturing and service jobs from high-cost
locations, creating economic opportunities with the most competitive wages and worker
benefits.[84] Critics of globalization say that it disadvantages poorer countries. While it is true that
free trade encourages globalization among countries, some countries try to protect their domestic
suppliers. The main export of poorer countries is usually agricultural productions. Larger countries
often subsidize their farmers (e.g., the EU's Common Agricultural Policy), which lowers the market
price for foreign crops.[187]

Global democracy

Democratic globalization is a movement towards an institutional system of global democracy that


would give world citizens a say in political organizations. This would, in their view, bypass nation-
states, corporate oligopolies, ideological non-governmental organizations (NGO), political cults and
mafias. One of its most prolific proponents is the British political thinker David Held. Advocates of
democratic globalization argue that economic expansion and development should be the first phase
of democratic globalization, which is to be followed by a phase of building global political
institutions. Francesco Stipo, Director of the United States Association of the Club of Rome,
advocates unifying nations under a world government, suggesting that it "should reflect the political
and economic balances of world nations. A world confederation would not supersede the authority
of the State governments but rather complement it, as both the States and the world authority would
have power within their sphere of competence".[188] Former Canadian Senator Douglas Roche, O.C.,
viewed globalization as inevitable and advocated creating institutions such as a directly elected
United Nations Parliamentary Assembly to exercise oversight over unelected international
bodies.[189]

Global civics

Global civics suggests that civics can be understood, in a global sense, as a social contract between
global citizens in the age of interdependence and interaction. The disseminators of the concept
define it as the notion that we have certain rights and responsibilities towards each other by the
mere fact of being human on Earth.[190] World citizen has a variety of similar meanings, often
referring to a person who disapproves of traditional geopolitical divisions derived from national
citizenship. An early incarnation of this sentiment can be found in Socrates, whom Plutarch quoted
as saying: "I am not an Athenian, or a Greek, but a citizen of the world."[191] In an increasingly
interdependent world, world citizens need a compass to frame their mindsets and create a shared
consciousness and sense of global responsibility in world issues such as environmental problems
and nuclear proliferation.[192]

Baha'i-inspired author Meyjes, while favoring the single world community and emergent global
consciousness, warns of globalization[193] as a cloak for an expeditious economic, social, and
cultural Anglo-dominance that is insufficiently inclusive to inform the emergence of an optimal
world civilization. He proposes a process of "universalization" as an alternative.

Cosmopolitanism is the proposal that all human ethnic groups belong to a single community based
on a shared morality. A person who adheres to the idea of cosmopolitanism in any of its forms is
called a cosmopolitan or cosmopolite.[194] A cosmopolitan community might be based on an
inclusive morality, a shared economic relationship, or a political structure that encompasses
different nations. The cosmopolitan community is one in which individuals from different places
(e.g. nation-states) form relationships based on mutual respect. For instance, Kwame Anthony
Appiah suggests the possibility of a cosmopolitan community in which individuals from varying
locations (physical, economic, etc.) enter relationships of mutual respect despite their differing
beliefs (religious, political, etc.).[195]

Canadian philosopher Marshall McLuhan popularized the term Global Village beginning in 1962.[196]
His view suggested that globalization would lead to a world where people from all countries will
become more integrated and aware of common interests and shared humanity.[197]

International cooperation

Barack Obama and Dmitry Medvedev after


signing the New START treaty in Prague,
2010

Military cooperation – Past examples of international cooperation exist. One example is the
security cooperation between the United States and the former Soviet Union after the end of the
Cold War, which astonished international society. Arms control and disarmament agreements,
including the Strategic Arms Reduction Treaty (see START I, START II, START III, and New START)
and the establishment of NATO's Partnership for Peace, the Russia NATO Council, and the G8 Global
Partnership against the Spread of Weapons and Materials of Mass Destruction, constitute concrete
initiatives of arms control and de-nuclearization. The US–Russian cooperation was further
strengthened by anti-terrorism agreements enacted in the wake of 9/11.[198]
Environmental cooperation – One of the biggest successes of environmental cooperation has been
the agreement to reduce chlorofluorocarbon (CFC) emissions, as specified in the Montreal Protocol,
in order to stop ozone depletion. The most recent debate around nuclear energy and the non-
alternative coal-burning power plants constitutes one more consensus on what not to do. Thirdly,
significant achievements in IC can be observed through development studies.[198]

Economic cooperation – One of the biggest challenges of globalization in contemporary times is


that many believe the progress made in the past decades is now being undone. The backsliding of
globalization has led to the coinage of the term slobalization. Slobalization is a new, slower pattern
of globalization.[199]

Anti-globalization movement

Anti-TTIP demonstration in Hannover,


Germany, 2016

Anti-globalization, or counter-globalization,[200] consists of a number of criticisms of globalization


but, in general, is critical of the globalization of corporate capitalism.[201] The movement is also
commonly referred to as the alter-globalization movement, anti-globalist movement, anti-corporate
globalization movement,[202] or movement against neoliberal globalization. Opponents of
globalization argue that power and respect in terms of international trade between the developed
and underdeveloped countries of the world are unequally distributed.[203] The diverse subgroups
that make up this movement include some of the following: trade unionists, environmentalists,
anarchists, land rights and indigenous rights activists, organizations promoting human rights and
sustainable development, opponents of privatization, and anti-sweatshop campaigners.[204]

In The Revolt of the Elites and the Betrayal of Democracy, Christopher Lasch analyzed[205] the
widening gap between the top and bottom of the social composition in the United States. For him,
our epoch is determined by a social phenomenon: the revolt of the elites, in reference to The Revolt
of the Masses (1929) by the Spanish philosopher José Ortega y Gasset. According to Lasch, the
new elites, i.e. those who are in the top 20% in terms of income, through globalization which allows
total mobility of capital, no longer live in the same world as their fellow-citizens. In this, they oppose
the old bourgeoisie of the nineteenth and twentieth centuries, which was constrained by its spatial
stability to a minimum of rooting and civic obligations. Globalization, according to the sociologist,
has turned elites into tourists in their own countries. The denationalization of business enterprise
tends to produce a class who see themselves as "world citizens, but without accepting ... any of the
obligations that citizenship in a polity normally implies". Their ties to an international culture of
work, leisure, information – make many of them deeply indifferent to the prospect of national
decline. Instead of financing public services and the public treasury, new elites are investing their
money in improving their voluntary ghettos: private schools in their residential neighborhoods,
private police, garbage collection systems. They have "withdrawn from common life". Composed of
those who control the international flows of capital and information, who preside over philanthropic
foundations and institutions of higher education, manage the instruments of cultural production and
thus fix the terms of public debate. So, the political debate is limited mainly to the dominant classes
and political ideologies lose all contact with the concerns of the ordinary citizen. The result of this is
that no one has a likely solution to these problems and that there are furious ideological battles on
related issues. However, they remain protected from the problems affecting the working classes:
the decline of industrial activity, the resulting loss of employment, the decline of the middle class,
increasing the number of the poor, the rising crime rate, growing drug trafficking, the urban crisis.

D.A. Snow et al. contend that the anti-globalization movement is an example of a new social
movement, which uses tactics that are unique and use different resources than previously used
before in other social movements.[206]

One of the most infamous tactics of the movement is the Battle of Seattle in 1999, where there were
protests against the World Trade Organization's Third Ministerial Meeting. All over the world, the
movement has held protests outside meetings of institutions such as the WTO, the International
Monetary Fund (IMF), the World Bank, the World Economic Forum, and the Group of Eight (G8).[204]
Within the Seattle demonstrations the protesters that participated used both creative and violent
tactics to gain the attention towards the issue of globalization.
Opposition to capital market integration

World Bank Protester, Jakarta, Indonesia

Capital markets have to do with raising and investing money in various human enterprises.
Increasing integration of these financial markets between countries leads to the emergence of a
global capital marketplace or a single world market. In the long run, increased movement of capital
between countries tends to favor owners of capital more than any other group; in the short run,
owners and workers in specific sectors in capital-exporting countries bear much of the burden of
adjusting to increased movement of capital.[207]

Those opposed to capital market integration on the basis of human rights issues are especially
disturbed by the various abuses which they think are perpetuated by global and international
institutions that, they say, promote neoliberalism without regard to ethical standards. Common
targets include the World Bank (WB), International Monetary Fund (IMF), the Organisation for
Economic Co-operation and Development (OECD) and the World Trade Organization (WTO) and free
trade treaties like the North American Free Trade Agreement (NAFTA), Free Trade Area of the
Americas (FTAA), the Multilateral Agreement on Investment (MAI) and the General Agreement on
Trade in Services (GATS). In light of the economic gap between rich and poor countries, movement
adherents claim free trade without measures in place to protect the under-capitalized will contribute
only to the strengthening the power of industrialized nations (often termed the "North" in opposition
to the developing world's "South").[208]

Anti-corporatism and anti-consumerism

Corporatist ideology, which privileges the rights of corporations (artificial or juridical persons) over
those of natural persons, is an underlying factor in the recent rapid expansion of global
commerce.[209] In recent years, there have been an increasing number of books (Naomi Klein's 2000
No Logo, for example) and films (e.g. The Corporation & Surplus) popularizing an anti-corporate
ideology to the public.
A related contemporary ideology, consumerism, which encourages the personal acquisition of
goods and services, also drives globalization.[210] Anti-consumerism is a social movement against
equating personal happiness with consumption and the purchase of material possessions. Concern
over the treatment of consumers by large corporations has spawned substantial activism, and the
incorporation of consumer education into school curricula. Social activists hold materialism is
connected to global retail merchandizing and supplier convergence, war, greed, anomie, crime,
environmental degradation, and general social malaise and discontent. One variation on this topic is
activism by postconsumers, with the strategic emphasis on moving beyond addictive
consumerism.[211]

Global justice and inequality

Global justice

Differences in national income equality


around the world as measured by the
national Gini coefficient, as of 2018[212]

The global justice movement is the loose collection of individuals and groups—often referred to as a
"movement of movements"—who advocate fair trade rules and perceive current institutions of
global economic integration as problems.[213] The movement is often labeled an anti-globalization
movement by the mainstream media. Those involved, however, frequently deny that they are anti-
globalization, insisting that they support the globalization of communication and people and oppose
only the global expansion of corporate power.[214] The movement is based in the idea of social
justice, desiring the creation of a society or institution based on the principles of equality and
solidarity, the values of human rights, and the dignity of every human being.[215][216][217] Social
inequality within and between nations, including a growing global digital divide, is a focal point of
the movement. Many nongovernmental organizations have now arisen to fight these inequalities
that many in Latin America, Africa and Asia face. A few very popular and well known non-
governmental organizations (NGOs) include: War Child, Red Cross, Free The Children and CARE
International. They often create partnerships where they work towards improving the lives of those
who live in developing countries by building schools, fixing infrastructure, cleaning water supplies,
purchasing equipment and supplies for hospitals, and other aid efforts.
Countries by total wealth (trillions USD),
Credit Suisse

Social inequality

Global share of wealth by wealth group,


Credit Suisse, 2017

The economies of the world have developed unevenly, historically, such that entire geographical
regions were left mired in poverty and disease while others began to reduce poverty and disease on
a wholesale basis. From around 1980 through at least 2011, the GDP gap, while still wide, appeared
to be closing and, in some more rapidly developing countries, life expectancies began to rise.[218] If
we look at the Gini coefficient for world income, since the late 1980s, the gap between some regions
has markedly narrowed—between Asia and the advanced economies of the West, for example—but
huge gaps remain globally. Overall equality across humanity, considered as individuals, has
improved very little. Within the decade between 2003 and 2013, income inequality grew even in
traditionally egalitarian countries like Germany, Sweden and Denmark. With a few exceptions—
France, Japan, Spain—the top 10 percent of earners in most advanced economies raced ahead,
while the bottom 10 percent fell further behind.[219] By 2013, 85 multibillionaires had amassed
wealth equivalent to all the wealth owned by the poorest half (3.5 billion) of the world's total
population of 7 billion.[220]

Critics of globalization argue that globalization results in weak labor unions: the surplus in cheap
labor coupled with an ever-growing number of companies in transition weakened labor unions in
high-cost areas. Unions become less effective and workers their enthusiasm for unions when
membership begins to decline.[187] They also cite an increase in the exploitation of child labor:
countries with weak protections for children are vulnerable to infestation by rogue companies and
criminal gangs who exploit them. Examples include quarrying, salvage, and farm work as well as
trafficking, bondage, forced labor, prostitution and pornography.[221]
Immigrant rights march for
amnesty, Los Angeles, on May
Day, 2006

Women often participate in the workforce in precarious work, including export-oriented


employment. Evidence suggests that while globalization has expanded women's access to
employment, the long-term goal of transforming gender inequalities remains unmet and appears
unattainable without regulation of capital and a reorientation and expansion of the state's role in
funding public goods and providing a social safety net.[222] Furthermore, the intersectionality of
gender, race, class, can be overlooked by scholars and commentators when assessing the impact of
globalization.[223]

In 2016, a study published by the IMF posited that neoliberalism, the ideological backbone of
contemporary globalized capitalism, has been "oversold", with the benefits of neoliberal policies
being "fairly difficult to establish when looking at a broad group of countries" and the costs, most
significantly higher income inequality within nations, "hurt the level and sustainability of growth."[224]

Anti-global governance

Beginning in the 1930s, opposition arose to the idea of a world government, as advocated by
organizations such as the World Federalist Movement (WFM). Those who oppose global
governance typically do so on objections that the idea is unfeasible, inevitably oppressive, or simply
unnecessary.[225] In general, these opponents are wary of the concentration of power or wealth that
such governance might represent. Such reasoning dates back to the founding of the League of
Nations and, later, the United Nations.
Environmentalist opposition

Deforestation of the Madagascar Highland


Plateau has led to extensive siltation and
unstable flows of western rivers.

a shows carbon footprint (CF) hotspots of


foreign final consumption in China. b–d
show carbon footprint hotspots of the
consumption of the United States, Hong
Kong, and Japan, respectively. Among all
foreign regions, the United States, Hong
Kong, and Japan have the largest CFs in
China, contributing ~23.0%, 10.8%, and
9.0%, respectively, to the total foreign CF in
China in 2012.

Environmentalism is a broad philosophy, ideology[226][227][228] and social movement regarding


concerns for environmental conservation and improvement of the health of the environment.
Environmentalist concerns with globalization include issues such as global warming, global water
supply and water crises, inequity in energy consumption and energy conservation, transnational air
pollution and pollution of the world ocean, overpopulation, world habitat sustainability,
deforestation, biodiversity loss and species extinction.

One critique of globalization is that natural resources of the poor have been systematically taken
over by the rich and the pollution promulgated by the rich is systematically dumped on the poor.[229]
Some argue that Northern corporations are increasingly exploiting resources of less wealthy
countries for their global activities while it is the South that is disproportionately bearing the
environmental burden of the globalized economy. Globalization is thus leading to a type of"
environmental apartheid".[230]

Helena Norberg-Hodge, the director and founder of Local Futures/International Society for Ecology
and Culture, criticizes globalization in many ways. In her book Ancient Futures, Norberg-Hodge
claims that "centuries of ecological balance and social harmony are under threat from the pressures
of development and globalization." She also criticizes the standardization and rationalization of
globalization, as it does not always yield the expected growth outcomes. Although globalization
takes similar steps in most countries, scholars such as Hodge claim that it might not be effective to
certain countries and that globalization has actually moved some countries backward instead of
developing them.[231]

A related area of concern is the pollution haven hypothesis, which posits that, when large
industrialized nations seek to set up factories or offices abroad, they will often look for the cheapest
option in terms of resources and labor that offers the land and material access they require (see
Race to the bottom).[232] This often comes at the cost of environmentally sound practices.
Developing countries with cheap resources and labor tend to have less stringent environmental
regulations, and conversely, nations with stricter environmental regulations become more expensive
for companies as a result of the costs associated with meeting these standards. Thus, companies
that choose to physically invest in foreign countries tend to (re)locate to the countries with the
lowest environmental standards or weakest enforcement.

The European Union–Mercosur Free Trade Agreement, which would form one of the world's largest
free trade areas,[233] has been denounced by environmental activists and indigenous rights
campaigners.[234] The fear is that the deal could lead to more deforestation of the Amazon
rainforest as it expands market access to Brazilian beef.[235]

See also

Civilizing mission – Rationale or justification for colonialism


Business portal
Cosmopolitanism – Idea that all human beings are members of a single
World portal
community
Politics portal
Deglobalization – Process of diminishing global interdependence
Economics portal
Environmental racism – Environmental injustice that occurs within a
racialized context
Eurasianism – Socio-political movement in the Russian Federation

Franchising – Business arrangement licensing a brand and model

Free trade – Absence of government restriction on international trade

Global civics – Global approach to civics

Global commons – Concept in political economic theory

Global mobility

Global public goods

Global regionalization – Process where large regions are divided into smaller ones

Globalism – Group of ideologies that advocate the concept of globalization

Korean Wave – Global rise in popularity of Korean culture

List of bilateral free-trade agreements

List of globalization-related indices

List of multilateral free-trade agreements

Middle East and globalization – Overview of globalization in the Middle East

Neorealism (international relations) – Theory of international relations

North–South divide

Outline of globalization – Overview of and topical guide to globalization

Postdevelopment theory – Sociological theory

Technocapitalism – Changes in capitalism associated with the emergence of new technology


sectors

The No-Nonsense Guide to Globalization

Transnational cinema

Transnational citizenship – Political concept

Triadization – Macroeconomic philosophy

United Nations Millennium Declaration – United Nations General Assembly resolution adopted in
2000

Vermeer's Hat – 2007 book by Timothy Brook


World Englishes – Indigenized varieties of English

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Further reading

Ampuja, Marko. Theorizing Globalization: A Critique of the Mediatization of Social Theory (Brill,
2012)

Conner, Tom, and Ikuko Torimoto, eds. Globalization Redux: New Name, Same Game (University
Press of America, 2004).

Eriksen, Thomas Hylland. "Globalization." in Handbook of Political Anthropology (Edward Elgar


Publishing, 2018).

Frey, James W. "The Global Moment: The Emergence of Globality, 1866–1867, and the Origins of
Nineteenth-Century Globalization." The Historian 81.1 (2019): 9. online ([Link]
ibrary/journal/1G1-582097534/the-global-moment-the-emergence-of-globality-1866-1867)
Archived ([Link]
l/1G1-582097534/the-global-moment-the-emergence-of-globality-1866-1867) 3 December 2019
at the Wayback Machine, focus on trade and Suez Canal

Gunder Frank, Andre, and Robert A. Denemark. ReOrienting the 19th Century: Global Economy in the
Continuing Asian Age (Paradigm Publishers, 2013).

Hansen, Valerie (2020). The Year 1000: When Explorers Connected the World―and Globalization
Began. Scribner. ISBN 978-1501194108.

Hopkins, A.G., ed. Globalization in World History (Norton, 2003).

Lechner, Frank J., and John Boli, eds. The Globalization Reader (4th ed. Wiley-Blackwell, 2012).

Leibler, Anat. "The Emergence of a Global Economic Order: From Scientific Internationalism to
Infrastructural Globalism." in Science, Numbers and Politics (Palgrave Macmillan, Cham, 2019)
pp. 121–145 online ([Link]
[Link]) .

Mir, Salam. "Colonialism, Postcolonialism, Globalization, and Arab Culture." Arab Studies Quarterly
41.1 (2019): 33–58. online ([Link]

Olstein, Diego (2015) "Proto-globalization and Proto-glocalizations in the Middle Millennium." In


Kedar, Benjamin and Wiesner-Hanks, Merry (Eds.), Cambridge World History. Volume 5: Expanding
Webs of Exchange and Conquest, 500–1500 CE. Cambridge University Press, pp. 665–684

Pfister, Ulrich (2012), Globalization ([Link]


h-pfister-globalization?set_language=en&-C=) , EGO – European History Online ([Link]
[Link]/) , Mainz: Institute of European History ([Link] ,
retrieved: 25 March 2021 (pdf ([Link] ).

Pieterse, Jan Nederveen. Globalization and culture: Global mélange (Rowman & Littlefield, 2019).

Rosenberg, Justin. "Globalization Theory: A Post Mortem," International Politics 42:1 (2005), 2–74.

Steger, Manfred B. Globalization: A Very Short Introduction (4th ed. Oxford University Press, 2017)

Steger, Manfred B. Globalization in the 21st Century ((Rowman & Littlefield, 2024)

Van Der Bly, Martha C.E. "Globalization: A Triumph of Ambiguity," Current Sociology 53:6
(November 2005), 875–893

Wallerstein, Immanuel. "Globalization or the Age of Transition? A Long-Term View of the


Trajectory of the World System," International Sociology 15:2 (June 2000), 251–267.

External links

Comprehensive discussion of the term at the Site Global Scholia has a profile for
Transformations ([Link] globalization (Q7181).

[Link]) Archived ([Link] Library resources about


141330/[Link] Globalization

p) 12 October 2009 at the Portuguese Web Archive Online books ([Link]


[Link]/cgi-bin/ftl?st=wp&su=Glob
Globalization Website (Emory University) Links, Debates, alization&library=OLBP)
Glossary etc. ([Link] Resources in your library (https://
[Link]/cgi-bin/ftl?st=wp
6/[Link] &su=Globalization)
Resources in other libraries (http
BBC News Special Report – "Globalisation" ([Link] s://[Link]/cgi-bin/ftl?st
[Link]/1/hi/in_depth/business/2007/globalisation/[Link] =wp&su=Globalization&library=0
CHOOSE0)
m)
Globalization ([Link] collected news and
commentary at The Guardian

"Globalization" Stanford Encyclopedia of Philosophy ([Link]


n/) Analysis of the idea and its history.

OECD Globalization statistics ([Link]

Mapping Globalization, Princeton University ([Link]


html)

List of Global Development Indexes and Rankings ([Link]


6/[Link]

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