1. 7th Grade Social Studies Harold E. Winkler Middle School
Globalization
7th Grade Social Studies Harold E. Winkler Middle School

2. Globalization & Interdependence
Globalization – the world coming together in a single market where communication and trade increases economic and social progress.
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3. Globalization & Interdependence
Nations trade with one another to get things they cannot produce efficiently.
This leads to interdependence in the world, where all countries depend, or rely on each other.

4. Turn and Talk
How do you think globalization and interdependence affects the global society?

5. Why Nations Trade Countries cannot produce everything they need.
Import- goods bought from other countries
Export- goods sold to other countries

6. Why Nations Trade
2005, 10% of all goods produced in the U.S. were exported.
- sold to other countries
The U.S. imports (buys) more than they export (sell).

7. Turn and Talk
What problems might come from the U.S. importing more good than they export?

8. Why Nations Trade
Specialization: producing a product better or cheaper than anyone else.
Can lead to overproduction or a surplus of one type of good.
Some countries have advantages of natural resources or knowledge.
- Ex: Saudi Arabia (oil)
- Ex: U.S. (technology & weapons)

9. The United States produces a lot of oil.
Turn and Talk
The United States produces a lot of oil.
Why do we need more? How do you think this affects our relationship with other countries?

10. Trade Agreements
Trade Agreements/Treaties reduce the barriers to trade between two or more countries

11. Trade Agreements Pros Free Trade = Cheaper goods
Guaranteed people to trade with
Cons
Economic Rules for your country made by other countries
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12. Goal for most countries = Free Trade
Trade Agreements
Goal for most countries = Free Trade
European Union (EU) = Trade agreement consisting of 28 European countries.
North American Free Trade Agreement (NAFTA) = Trade agreement consisting of 3 North American countries.
World Trade Organization (WTO) = established in 1995 to set trade regulations (rules) for all participating countries.

13. European Union

14. NAFTA

15. World Trade Organization

16. The Organization of the Petroleum Exporting Countries (OPEC)
A group of 13 countries that control the supply and price of oil around the world.
OPEC = OIL!!!
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