Download Anti-Globalization

Anti-Globalization
--Another Type of Globalization
Yingxia Hou
Peng Chen
Agenda
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Definition and influence of Globalization
Pros and Cons of Globalization
Definition, movements and causes of Antiglobalization
Why anti-globalization?
Example victims of globalization
Conclusions and recommendations
What is Globalization?
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Increasing global connectivity.
Integration and interdependence in the
economic, social, technological, cultural,
political, and ecological spheres.
An umbrella term and is perhaps best
understood as a unitary process inclusive of
many sub-processes that are increasingly
binding people and the biosphere more tightly
into one global system.
The influence of globalization
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Industrial - emergence of worldwide production
markets and broader access to a range of goods for
consumers and companies.
Financial - emergence of worldwide financial
markets and better access to external financing for
corporate, national and subnational borrowers.
Economic - realization of a global common market,
based on the freedom of exchange of goods and
capital.
The influence of globalization
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Political - Political globalization is the
creation of a world government which
regulates the relationships among nations
and guarantees the rights arising from social
and economic globalization.
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Social - the achievement of free circulation
by people of all nations.
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Informational - increase in information flows
between geographically remote locations.
The influence of globalization
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Cultural - growth of cross-cultural contacts;
cultural diffusion; "world culture".
Ecological- the advent of global
environmental challenges that can not be
solved without international cooperation, such
as climate change, cross-boundary water and
air pollution, over-fishing of the ocean, and
the spread of invasive species.
Pros and Cons of Globalization
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Pros
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Productivity grows more quickly when countries produce
goods and services in which they have a comparative
advantage. Living standards can go up faster.
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Global competition and cheap imports keep a lid on prices,
so inflation is less likely to derail economic growth.
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An open economy spurs innovation with fresh ideas from
abroad.
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Accelerated the development and innovation of technology
and communication
Pros and Cons of Globalization
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Cons
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Millions of westerns have lost jobs due to imports or
production shifts abroad. Most find new jobs that pay less.
Millions of others fear losing their jobs, especially at those
companies operating under competitive pressure.
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Workers face pay-cut demands from employers, which
often threaten to export jobs.
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Service and white-collar jobs are increasingly vulnerable to
operations moving offshore.
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western employees can lose their comparative advantage
when companies build advanced factories in low-wage
countries, making them as productive as those at home.
Other faces of Globalization
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Globalization= Imperialism
Globalization = Americanization
Globalization = Delocalization
Globalization = Multinational corporations
Globalization = Branding
Globalization = the rich gets richer, the poor gets
poorer
What is anti-globalization?
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The political attitude of people and
organizations that resist certain aspects of
globalization.
social movements
participants are united in opposition to the
political power of large corporations
Self-consciously internationalist, organizing
globally an advocating for the cause of
oppressed people around the world
Anti-globalization Movements
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J18
 June 18, 1999
 London, UK; Eugene, Oregon
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Seattle/N30
 November 30, 1999
 5,000 protesters blocked delegates’ entrance to WTO meetings in
Seattle
 Protesters forced the cancellation of the opening ceremony and lasted
the length of the meeting until December 3
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Genoa
 July 18 – July 20, 2001
 Biggest anti-globalization gathering in
history, 250,000 protesters against the G8
meeting in Genoa, Italy
 3 dead, hundreds hospitalized
Causes of Anti-globalization Movement
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Globalization globalizes money and
corporations, but not people and unions
Outsourcing and offshoring caused millions of
westerns lost jobs or paid less
Fear losing jobs in western countries
Exploitation of the resources in the
developing countries by western countries
Why anti-globalization? (cont’d)
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Economical
 Exploitation of the resources in the third world
country
 Example of Starbucks Vs. Ethiopian Coffee
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Ethiopians demand Starbuck’s support to trademark
3 of its coffees in US
$4, a cup of Cappuccino at Starbucks;
$.50, a day income
of the Ethiopian farmer
at the coffee farm
Why anti-globalization? (cont’d)
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Cultural
 Local or minority culture are facing the fate of
disappearing
 Western culture invaded into developing countries
 Example: McDonalds
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More than 100 countries
30,000 restaurants
Serves 50 million people daily
Why anti-globalization? (cont’d)
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Environmental
 Aggravated pollution, Global warming, losses in biodiversity
and species extinction
 Average global temperatures are estimated to rise 1- 3.5
centigrade (33.8 – 38.5 degrees) by 2050
 Developed industrial countries export hazardous waste to
third world countries
 Example: one global
agribusiness firm closed a terminal
in Brazil's Amazon region for
environmentalists
Why anti-globalization? (cont’d)
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Women and children
90% of the workers at the
sweatshops are women
 Child labor hired by global
companies in developing countries
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Example: 14-year-old workers in Nike factories
in Indonesia
Why anti-globalization? (cont’d)
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Human rights
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More and more strict immigration restrictions in
developed countries, no free move for labors
In sweatshops in developing countries, harsh working
conditions, low pay and overtime working are common
Example: The Pouty Bratz dolls factory in Southern
China
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Working 94 hours a week
17 cents, workers are paid for making each doll;
$19, retail price in US
More than 120 million Bratz dolls sold in US since 2001
Why anti-globalization? (cont’d)
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Social
 The unequal wealth distribution worldwide
 The gap between the developed countries and the
third world counties
 The gap between
the poor and rich
Liberalization influence to Russia’s GDP
Indices of GDP(1991=100), Russia, 1990-2004
120
100
80
60
40
20
0
1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004
Source:http://www.tiger.edu.pl/publikacje/TWPNo85.pdf
Liberalization influence to Czech GDP
GDP Growth Rate of Czech Republic(1990-1999)
8
6
4
2
0
-2
-4
-6
-8
-10
-12
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
Source:http://demography.anu.edu.au/Publications/Conf
erencePapers/IUSSP2001/TablesPhilipov.doc
Globalization impact to unemployment
rates of U.S. IT industry
Globalization might be harmful to
Developed Countries in the future
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China is striving to create global automobile
and electronics brands.
India’s skill-intensive service sectors like IT
and outsourcing are rising very fast.
Western firms would face unprecedented
competition from the two and other
developing countries.
Conclusions
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Anti-globalization movements are the
indication of self-protection.
Globalization already resulted in many
adverse effects and made a portion of people
worse-off.
Globalization makes highly liberalized
countries expose their vulnerabilities to the
rest of the world.
Can All Countries Benefit from
Globalization?
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Establish international monitoring system
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Domestic:
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each country should build up a system that can integrate into
the global market
protectionism in the domestic market
International:
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International institutions should reform to fit into the needs of
the globalization, such as IMF, World Bank, UN
Be more responsible for all the countries, rather than some or
few countries
Be more transparent and be monitored by member countries
from third world
Can All Countries Benefit from
Globalization?
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To enhance corporations between countries and
regions
 Make free trade free and fair for both developing
and developed countries
 Eliminate or reduce the trade barriers
 Get more countries involved into the global market
 Equal and balance development in the global
market
Questions and Comments