Anti-Globalization --Another Type of Globalization CPW4U

What is Globalization? 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: 8 Items/Types 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 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. Social - the achievement of free circulation by people of all nations. Informational - increase in information flows between geographically remote locations.

The influence of globalization Cultural - growth of cross-cultural contacts; cultural diffusion; "world culture". Ecological- the advent of global environmental challenges that cannot 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 Pros (economic)  Productivity grows more quickly when countries produce goods and services in which they have a comparative advantage. Living standards can go up faster.  Global competition and cheap imports keep a lid on prices, so inflation is less likely to derail economic growth.  An open economy spurs innovation with fresh ideas from abroad.  Accelerated the development and innovation of technology and communication

Pros and Cons of Globalization Cons (economic)  Millions of westerners 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.  Workers face pay-cut demands from employers, which often threaten to export jobs.  Service and white-collar jobs are increasingly vulnerable to operations moving offshore.  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  Globalization= Imperialism  Globalization = Americanization  Globalization = Delocalization  Globalization = Multinational corporations  Globalization = Branding  Globalization = the rich get richer, the poor get poorer

What is anti-globalization? 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 J18  June 18, 1999  London, UK; Eugene, Oregon 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 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 Globalization globalizes money and corporations, but not people and unions Outsourcing and offshoring caused millions of lost jobs and lower wages (WEST) Fear losing jobs in western countries Exploitation of the resources in the developing countries by western countries

Why anti-globalization? Economical  Exploitation of the resources in the third world country  Example of Starbucks Vs. Ethiopian Coffee Ethiopians demand Starbuck’s support to trademark 3 of its coffees in US $4 for a Cappuccino at Starbucks; $.50, a day income for the Ethiopian farmer at the coffee farm

Why anti-globalization? (cont ’ d) Cultural  Local or minority culture are facing the fate of disappearing  Western culture invaded into developing countries  Example: McDonalds More than 100 countries 30,000 restaurants Serves 50 million people daily

Why anti-globalization? (cont ’ d) Environmental  Aggravated pollution, Global warming, losses in biodiversity and species extinction  Average global temperatures are estimated to rise 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) Women and children  90% of the workers at the sweatshops are women  Child labor hired by global companies in developing countries Example: 14-year-old workers in Nike factories in Indonesia

Why anti-globalization? (cont ’ d) Human rights  More and more strict immigration restrictions in developed countries, no free movement for labourers  In sweatshops in developing countries, harsh working conditions, low pay and overtime are common  Example: The Pouty Bratz dolls factory in Southern China 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) Social  The unequal wealth distribution worldwide  Gap between the developed countries and developing countries  The gap between the poor and rich

Globalization might be harmful to Developed Countries in the future 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 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? What Should be Done? Establish international monitoring system  Domestic: each country should build up a system that can integrate into the global market protectionism in the domestic market  International: 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