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Analysing Globalisation We can use three perspectives to aid us in our analysis of globalisation: •Globalist •Internationalist •Transformationalist The use of these different perspectives is helpful in evaluating how, and on whom, the processes of globalisation impact. We can compare the similarities and differences between the three perspectives, focusing on what globalisation means to each one. Globalisation of Culture Globalist Positive What is Happening? How do we Know? (evidence/examples) Who is affected? (and how?) What are the implications for the future? Pessimist Internationalist Transformationalist What Is Happening? Globalization broadly refers to the expansion of global linkages, the organization of social life on a global scale, and the growth of a global consciousness, hence to the consolidation of world society. Globalisation is an inevitable development, which cannot be resisted. Social processes operate at a global scale, making national boundaries less important. The world becomes less diverse and more homogeneous. Our cultural traits, practices and goods are becoming increasingly global. How Do We Know? Africans rush to buy Western clothes, donated by the USA and shun locally made textiles. 40% of worldwide exports of programming hours come from the USA. Roughly a quarter of the population speak English. Who Is Affected? Western countries are powerful enough to resist change. They can impose their own agenda on the world. Most of what is thought of as global culture originates in the USA, e.g. - Coca-Cola - McDonald's - Disney - MTV Women and unskilled workers are victims of globalisation. The cultural spread of information technology means those not computer literate are left behind. Implications For The Future. More unemployment as unskilled workers are left behind. Globalisation exacerbates the inequalities between countries. Concentration of ownership in the media means fewer voices can be heard. Positive Globalist Culture Globalists see globalisation as an inevitable development which cannot be resisted. Positive globalists see this as a good thing which can improve social relations, sharing of cultures and living standards. What is happening? • Globalisation is about the growing worldwide interconnections between societies. • Cultural traits, practices and goods are becoming increasingly global. • There are huge and fast-growing culture flows between countries. • Ownership of TVs and radios has increased across the world, sharing cultures and different ways of life. How do we know? • • • • • Ownership of cable TV has grown in the UK from 149, 000 to 2, 374, 000 between 1995 and 1998. There has been a dramatic increase in the number of television channels. It was estimated that there would be a doubling of broadcast programme hours in Western Europe between 1986 and 2000. The number of televisions owned in Burkina Faso has risen from 9,000 in 1975 to 100.000 in 1997. In 2000, about a third of households in the UK had cable or satellite, compared with 12% in France and 98% in the Netherlands. Who is affected? (and how) • • • • Public Sphere – space for public debate on policy which is free from government or institutional control Rheingold – whereas television has become entertainment for profit the internet is an electronic forum through which public opinion can be regenerated as citizen engage in rational argument Rheingold greater diversity or plurality of voices to be heard – new forms of participation community and democracy ‘Global village’ Marshall Mcluchan 1960s – new communication technologies allow instant, inexpensive, global communication Implications • • • The growth in global culture flows signals the demise of natural cultures Cultural elitists controlling communications/broadcasting such as the BBC Danger of global environmental pollution however new technologies are likely to reduce levels of pollution and the pollution could be controlled if everybody took some responsibility in reducing unsustainable levels of consumption What is Happening?? • They argue that the significance of Globalisation as a new phase has been exaggerated. • They say that national cultures continue unchanged in the context of cultural Globalisation . • Globalisation ignores ways in which key cultural forms remain deeply national. How do we know? (evidence/examples) • Examples of the press agree with the InterNationalists perspective. The only examples of global press in the UK are the Financial Times & The Wall Street Press. • In the UK in 1999, only a third of households had cable or satellite showing a resilience to global challenges. • MTV Europe and Star television in India provide limits of globalization- in each case, consumers rejected global broadcasting and this be replaced with domestically produced material. Who is affected? (and how?) • May affect whole country or nation e.g. general public. • This is because factors such as the press are profoundly national in it’s organisation and not globalised. What are the implications for the future? • The history of the telegraph suggests that there is nothing dramatically new about recent communication technologies and global communication, and cautions us regarding the more apocalyptic claims which are made about ‘the information revolution’. • Therefore, there are no major implications for the future. What's happening? Different cultures are being expressed and made more familiar by different forms of media such as Television and radio. This globalisation of culture is decoded differently by different countries ( e.g. different countries interpret he programmes in their own ways especially when the programmes deal with politics and other more serious ideas. How Do We Know? This TV schedule shows the variety of different cultures that an English audience can experience on a ‘normal’ days TV scheduling. The dominant cultures are that of ‘American’ sitcoms and ‘Australian’ soap operas. How Do We Know? 1 Ne -Yo ‘So Sick’ 6 2 Embrace‘Natures Law’ 3 Orson -‘No Tomorrow’ 4 5 Pink- ‘Stupid Girls’ Corin Bailey Rae- ‘Put Your Records On’ 7 8 9 10 PCD- ‘Beep’ BEP – ‘Pump it’ Chico -‘Chico Time’ Kanye West -‘ Touch The Sky’ Sugababes - ‘Red Dress’ 6 of the top ten selling single in the chart this week are American! Showing the globalisation of American culture, in this case music. (see also TV scheduling on previous page) Who is affected? (and how?) • According to Mc Grew globalisation is real and having a significant impact on social life but, unlike extreme globalists who see globalisation as having a fundamental effect on all areas of life, it only has an impact on certain aspects of life. Also according to Mc Grew globalisation has had the most effect on politics and states. • Mattelart & Schiller assume that the audience attend to assume that viewing western capitalist TV entails the inculcation of western values and contributes to everyday life. This in general effects countries who watch and/or listen to imported culture. •Miller argues that such methods do not effect everyday life i.e. media and music because countries ‘decode’ such things like TV differently. •It is also argued that culture flows such as TV help the developed countries get richer. What are the implications for the future? • The matter is complex and diverse, unpredictable and varies. • Outcomes less unidimensional were as inter-nationalists and globalists see it more unidimensional. • Natural cultural identity is a growing problematic notion. • Political, economic and communication flows are historically unprecedented, the direction remains uncertain since globalisation is a contingent process replete with conflict and tension Globalisation of the Global Economy Globalist What is Happening? How do we Know? (evidence/examples) Who is affected? (and how?) What are the implications for the future? Internationalist Transformationalist What is Happening? Economic Globalists understand globalisation as a phenomenon concerning the growing integration of the national economies of most states in the world, based on 5 interrelated drivers of change: •Growing international trade •Increasing financial flows •Increased communications •Technological advances •Increased labour mobility According to the globalist interpretation the outcome of growing integration is that a single world wide economy is emerging and functioning. Globalists consider that in a single global economy in the making, economic processes have a significant impact in other distant parts of the world i.e. the threat of economic disruption in one continent can have an immediate economic impact in others. How do we know? Evidence used in support of global thesis; • Since the 1970`s trading and investment relationships have developed to indicate much more intense cross national integration than ever before • Dramatic improvements in global travel and advances in communication technology • Larger proportion of manufactured and agricultural goods exported than ever before • Amount of trade taking place in the form of transfer of goods at various stages of production i.e. goods result of productive contributions from various states in the world • All forms of foreign investment have greatly increased Who is affected and how? • • • • • • Consumers – principal beneficiary because of quicker access to new technology, cheaper imports and creation of millions of jobs. Poor- first time ever there has been a sustained fall of those living in poverty. Developing nations- integrated global market accelerates the transfer of technology from richer to poorer countries Environment – increased pressure as “shrinking” of the world can facilitate global pollution. Global population- as organised crime syndicates and terrorist networks can make effective use of global communications and technology causing world wide threat Developing nations- have never been as far behind the developed nations in monetary value. Implications for the future This process is inevitable, economic factors determine the political and cultural and economic evidence is the most significant; • Positive Globalists see all states and peoples benefiting in the long term • Pessimistic Globalists see threats to a range of groups, including the poor of the southern hemisphere, unskilled workers in the north, women, and all of us as victims of pollution What is Happening? •Concept of economic globalisation has been exaggerated and its impacts overstated. •Rejects beliefs of globalists and transformationalists that globalisation is a fact of life. •Emphasises the continuities with international economy patterns in past. Argues that international economy interactions are nothing new and that there is certainly no inevitable evolutionary path towards a single global economy. •The growing and demanding international links in trade and investment are accompanied by the continued dominance of independent statebased economic units. How do we know? • Argue that the evidence is that trade remains predominantly regional, but unlike its transformationalists they look to developments within national economics rather than by states to explain it. • The general increase in the level of int. trade over the past 50 years only makes a return to around the level of attained prior to WW1. • World merchandise exports: 1913 = 12% of world domestic product 1950 = 7% 1970 = 12% 1990 = 17% • Therefore world trade has increased as domestic output has gone up. • Capital flows between advanced states remain the most important indicator of what is happening in the int. economic system. Who is Affected? • Current developments favour the strong and threaten the vulnerable. • International economic governance is still directed by the stronger and richer economies and is largely in their interests. • The advanced economies remain in control of decisions about the direction in which economic matters should develop. • National economies and regional groups of economies with high incomes such as those centred on the USA, Japan and EU have the political power to block or at least postpone and dilute moves in global trade that threaten their interests. • Poor and isolated economies with low GDP are as vulnerable economically to the rules of the powerful as they were politically to imperial powers in the past. Implications for the Future • What we are facing is more a ‘conjunctural change towards greater int. trade and investment within an existing set of economic relations,’ as opposed to ‘the development of a new economic structure.’ • Developing nations face deterioration of their trade balances. • Developed countries will continue to dominate most markets for high value added goods. WHAT IS HAPPENING? • • • • GLOBALISATION IS HAPPENING BUT THE RESULTS ARE UNPREDICTABLE. THIS REJECTS THE GENERALISATIONS MADE BY THE GLOBALISTS AND SAY NATION STATES REMAIN MILITARY, ECONOMICALLY AND POLITICALLY POWERFUL. HOWEVER, THEY BELIEVE THE STATES NEED TO CONTROL GLOBOLISATION ASIT CAN HAVE MATERIAL IMPACTS AND EFFECTS. THESE EFFECTS ARE UNEVEN AND WARRANT CONCERN. THE STRENGTH OF GLOBAL ECONOMIC FORCES NEEDS TO BE RECOGNISED, BUT IN ORDER TO TRANSFORM GOLBALISATION THE STATES NEED TO RESIST THEM AND NEGOTIATE CONTROLS OVER THEM. UNLIKE GLOBALISTS, THEY SAY STATES AND CULTURAL COMMUNITIES STILL HAVE THE AGENCY TO EITHER EMBRASE OR RESIST CHANGE AND NOT THAT ECONOMIC FACTORS DETERMINE WHAT GOES ON IN THE POLITICAL AND CULTURAL REALMS. THEREFORE POLITICAL AND CULTURAL GROUPINGS ARE SHAPED BUT NOT FULLY DETERMINED BY ECONOMIC CONDITIONS. ECONOMIC GLOBALISATION EMPOSED NEW CONSTRAINTS UPON THE WELFARE REGIME WHICH HAS GENERATED NEW DEMANDS, WHICH ENVITE A CONTINUING REFORM OF THE WELFARE STATE. GLOBALISATION IS REDEFINING THE ROLE AND FUNCTIONS OF NATIONAL GOVENMENTS, EMPHASISING ITS POTENTIAL STRATEGIC COODINATING ROLE (OPPOSES INTERVENTIONALISTS, WHICH REDISTRIBUTE STATE OF POST-WAR ERA). AN EXAMPLE OF A TRANSFORMATIONALIST IS SCHOLTE AND IN 2001 HE STATES “STATES ARE BY NO MEANS POWERLESS IN THE FACE OF ECONOMIC GLOBALISATION. AFTER ALL GOVERNMENTS AND CENTRAL BANKS CONTINUE TO EXERT MAJOR INFLUENCE ON MONEY SUPPLIES AND INTEREST RATES. RECENT YEARS HAVE SEEN INCREASED INTERGOVERNMENTAL CONSULTATIONS TO OBTAIN TIGHTER OFFICIAL OVERSIGHT OF OFSHORE FINANCE.” HOW DO WE KNOW? • • THEY POINT TO SUCCESFUL DEVELOPMENT OF REGIONAL ECONOMIC GROUPINGS THAT ENABLE PARTICULAR STATES TO BENNEFIT FROM GREATER ECONOMIC ACTIVITY WITHOUT SUCCUMBING TO UNLIMITED MARKET PRESSURES. REGIONALISATION IS A TERM USED BY GLOBALISTS BUT TRANSFORMATIONALISTS USE THE TERM LOOSELY TO EXPLAIN ECONOMIC ACTIVITY ACROSS STATE FRONTIERS BUT THEY EXPLAIN THAT THE STATES RETAIN SOME ABILITY TO NEGOTIATE WITH OTHERS TO ESTABLISH RULES FOR TRADE AND PLACE THEIR OWN REGULATIONS ON WHAT CAN BE TRADED. EVIDENCE TO SUPPORT THEIR PERSPECTIVE ARE; 1. 2. 3. THE NORTH AMERICAN FREE TRADE AGREEMENT EU EAST ASIA BASED UPON JAPAN • THE EVIDENCE COLLECTED BY THE EUROPEAN COMMISSION SHOWED THAT TRADE WAS WITHIN THE BLOCKS RATHER THAN BETWEEN THEM. A STUDY FROM 1995 SHOWED THAT ONLY 10% OF OUTPUT WAS EXPORTED. EXAMPLES • THE FOLLOWING COUNTRIES HAVE BENNEFITED FROM GLOBAL ECONOMIC INTERGRATION BUT HAVE TAKEN STEPS TO LIMIT ASPECTS OF ECONOMIC GLOBALISATION MALAYSIA – IMPOSED EMERGENCY CONTROLS ON THE MOVEMENT OF CAPITAL IN REACTION TO THE ASIAN FINANCIAL CRISIS FRANCE – IMPOSED LIMITS ON THE IMPORT OF AMERICAN CULTURAL PRODUCTS AND STILL HOLDS SUBSIDIES FOR ITS FARMERS AMERICA – THE STEEL WAR – TRADE TARRIFS ON IMPORTS OF STEEL INTERSTATE CO-OPERATION HAS BEEN SEEN TO RESIST UNWANTED GLOBAL DEVELOPMENT. FOR EXAMPLE IN THE WAKE OF ASIAN, SOUTH AMERICAN AND RUSSIAN FINANCIAL CRISIES IN THE 1990’S, CERTAIN COUNTRIES COLLABORATED TO DEVELOP A NEW FINANCIAL ARCHITECTURE IN ORDER TO LIMIT THE POSSIBLE EFFECTS IN THE FUTURE WHO IS AFFECTED • THE MULTINATIONAL COMPANIES ARE AFFECTED BECAUSE RESTRICTIONS AND REGULATIONS ARE BEING PLACED UPON THEM WHICH IN TURN LIMITS THEIR DEVELOPMENT. • THE NATION STATES ARE AFFECTED BECAUSE THE POSSIBLE TAKEOVER OF THE MULTINATIONALS MEANS MINIMAL FLOW OF CAPITAL BETWEEN COUNTRIES. • WOMEN ARE AFFECTED AS THE IMPORTANCE OF NETWORKS FACILITATED BY THE INTERNET HAS INCREASED, THEREFORE ALLOWING WOMEN TO CAMPAIGN ON ECONOMIC ISSUES ON A TRANSNATIONAL BASIS. SASSEN SAYS, “NEED AND AGENDAS OF WOMEN ARE NOT DEFINED BY STATE BORDERS THEREFORE SEEING THE FORMATION OF CROSS-BORDER SOLIDARITIES AND NOTIONS OF MEMBERSHIP ROOTED IN GENDER, SEXUALITY AND FEMINISM. IMPLICATIONS FOR THE FUTURE • ECONOMIES ARE ADAPTING BUT ARE NOT BEING TAKEN OVER HOWEVER, IF STEPS AREN’T TAKEN TO LIMIT MULTINATIONAL CORPORATION’S TRADING, THEN THERE IS FEAR THAT GOVENMENTS MAY LOSE POWER. • FUKUYAMA – “GOVERNMENTS STILL HAVE THE CAPACITY TO HAVE AN IMPACT ON GLOBAL TRADING PATTERNS. NATION STATES SHOULD WORK TOGETHER TO EXERCISE CONTROLS OVER GLOBAL ECONOMIC INSTITUTIONS, SO THAT MULTINATIONAL CORPORATIONS DON’T DOMINATE THE GLOBAL ECONOMY”. • IN ORDER TO MAINTAIN POWER WITHIN THE GOVERNMENT, THEN GOVERNMENTS NEED TO STRESS INVESTEMENT IN HUMAN CAPITAL AND TECHNICAL SKILLS, WHICH WILL MAKE NATIONAL ECONOMIES MORE COMPETITIVE RATHER THAN PASSIVE WELFARE BENEFITS (HELD AND MCGREW/2000) BY RUKUDZO AND PHILLIP