HSB4U Applying Theories to Globalization

Sociology and Globalization: Examining Inequality

Transition to Sociological Perspective  Almost everything we’ve done so far has been either an introduction to globalization or an anthropological view of globalization.  Now we’re going to look at a sociological perspective.  This perspective examines the social inequalities that result from Globalization.  Sociologists study institutions, and economics is an institution.  We will examine economics to understand social inequalities.  Some terms that will help us to understand these social inequalities include: World Income Inequality and Income distribution.

“Canada’s richest 86 people have as much wealth as the poorest 11.4 million”  “In 1999, the 86 wealthiest Canadians had a net worth of nearly $120 billion — equivalent to the bottom 10.1 million Canadians — but that increased to nearly $180 million in 2012.”  Is that an equal income distribution? Gerster, J. (2014, Apr 3). Canada’s richest 86 people have as much wealth as the poorest 11.4 million. The Toronto Star. Retrieved from

Income Distribution (Nation Master. (N.d.). Economy statistics. Income distribution; richest 10% (most recent) by country. Retrieved April 13, 2012 from

Globalization’s Effect on Social Inequalities Let’s look at the Globalization Basics sheet on p. 41 of your Course Handouts. Then, we’ll look at p. 42 of your Course Handouts.

Important Points  Transnationals prefer to set up their assembly-line operations in low-wage, low tax countries because it keeps their production costs down.  Think of conditions for a labourer in Ontario vs. conditions for a labourer in Alang, India.  In developed societies, the labourer has rights that make production more expensive (like wages, benefits, labour conditions, number of work hrs, quality of the air, etc. ).  Developing countries have lower wages and work standards so the production of things becomes cheaper in poorer countries.

The Result can be Unfair Economic Distribution  The developed countries can exploit the developing countries.  The profits of creating this much cheaper manufacture aren’t primarily going into the pockets of the labourers, they are going to the multinational corporations and developers.

Is the income distribution equal? Conference Board of Canada. (2011, Sept.). World income inequality. Retrieved April 12, 2012 from

Debrief – Is Globalization Good or Bad?  Globalization is not necessarily good or bad.  It’s effects can be good or bad, or the way it’s done can have good or bad consequences.  The problem is: the benefits of globalization aren’t necessarily distributed equally.  Do you think there’s a bias in this chapter of the text?

Theories on Globalization Course TextBlue Book Dependency Theory World-System Theory The New International Division of Labour Theory

Activity  In groups of 4, pick two (2) theories that you feel best apply to the examples of globalization that you’ve seen in the course (i.e. Monsanto, Shipbreakers, Beef Inc.).  Examples of how to set up your notes will be provided.  Look at both your course text and the Blue Book.

HOMEWORK  Read the Competing Perspectives articles on page 344 (The Council of Canadians) and page 345 (World Bank President Refute Protesters’ Claims) of your text.  Which side would you take?