Globalization

1. Globalization

2. Foldable • Label in this order: • Culture • Technology • Health/Environment • Economy • What is Globalization?

3. What is Globalization? • Globalization – the increasing interconnectedness of all parts of the world in all areas, especially communication, commerce, culture, and politics • Examples: • Many of the clothes you wear were made in Asia. • You can eat a Big Mac in Moscow, Russia. • You can watch American films in Rome. • A German company can manufacture goods in Argentina and sell them in the U.S.

4. History of Globalization • For thousands of years people have been traveling long distances to trade goods. • People had long interacted with each other based on established trade routes such as the Silk Roads and the trans-Sahara caravan routes • In the 1400s the process was accelerated when European mariners began exploring sea routes to the markets in Asia • By 1500 peoples of the world had established intricate transportation networks that supported travel, communication, and exchange between societies

5. History of Globalization • Before 1500, contact between people of the eastern hemisphere, western hemisphere, and Oceania had only sporadic contact with each other • From 1500 to 1800, networks linked all the world’s religions and peoples • From 1800 to the present, national states, heavy industry, powerful weapons, and efficient technologies of transportation and communication enabled “the West” to achieve political and economic dominance in the world

6. Modern Globalization • The collapse of the Soviet Union and the end of the Cold War abruptly opened up possibilities for trans-global connections that had previously been limited

7. Developing Nations Global Economies Developed Nations Industrialized nations with strong economies and high standards of living Ex – U.S., Japan Includes 20% of nations Good access to education, healthcare Less productive economies, lower standard of living Ex – Guatemala Phillipines Lack adequate education, healthcare Mostly located in Africa and southern Asia

8. Global Economic Ties • Certain events, actions can affect economies of many nations • Global interdependence particularly evident in times of uncertainty • Early 2000s, price of crude oil rose dramatically • Factors: rising world demand, concern over available supply • Oil Prices • All countries depend on oil for energy; rise in prices felt around world • Developed countries like United States faced with higher costs • Poor nations in Africa could not afford to import, faced shortages • Rise in oil prices led to increased demand for alternative energy sources, attempts to reduce consumption

9. Growth and Outsourcing Multinational Corporations • Increasing interdependence and dramatic growth of multinational corporations—large companies operating in multiple countries • Benefits to companies • Outsourcing—having work done elsewhere to cut costs, increase production • Manufacturing facilities in developing countries, where materials, labor relatively inexpensive • Outsourcing • Advocates say: creates jobs and wealth in developing countries • Critics say: fails to improve standard of living, outsourcing causes job loss in company’s home country

10. Global Trade Globalization often leads to or promotes free trade, the exchange of goods among nations without trade barriers such as tariffs. This can lead to consumers purchasing higher-quality goods at lower prices.

11. Effects of Global Trade

12. NAFTA: A Closer Look NAFTA(North Atlantic Free Trade Agreement) began January 1, 1994 allowing for Free Trade between the North American countries of The United States, Canada and Mexico “Free Trade” means that countries may freely trade goods with each other without having to pay a tariff (tax) on those goods. In other words, “free trade” means no trade barriers.

13. NAFTA: Why? The purpose of the agreement is to: Allow free movement of goods and services among the countries. Promote competition in the free trade areas. Protect the property rights of people and businesses in each country. Be able to resolve problems that arise among the countries. Encourage cooperation among countries.

14. Free trade increases sales and profits for Mexico, Canada and the U.S.A., thus strengthening their economies. Lack of tariffs has allowed Mexico to sell its goods in the USA and Canada at lower prices. This makes Mexican products more competitive in these markets and increases Mexico’s profits as it tries to develop its economy. Free trade is an opportunity for the U.S. to provide financial help to Mexico by making jobs available in factories located there. NAFTA: Pros

15. Free trade has caused more U.S. jobs losses than gains, especially for higher-wage jobs. NAFTA: Cons • Factories, called Maquiladoras, are built on the Mexican border and workers are hired there to make goods at a much lower wage than workers would be paid in the U.S.A.

16. Companies with Maquiladoras • Honda • Honeywell, Inc. • Hughes Aircraft • Hyundai Precision America • IBM • Matsushita • Mattel • Maxell Corporation • Mercedes Benz • Mitsubishi Electronics Corp. • Motorola • Nissan • Philips • Pioneer Speakers • Samsonite Corporation • Samsung • Sanyo North America • Sony Electronics • Tiffany • Toshiba • VW • Xerox • Zenith

17. United States They can move their factories to Mexico and ship the goods to the US with no tariffs. They would not have to pay the workers in Mexico as much as in the United States. They would be able to sell their product for cheaper, but still make a good profit Many American factory workers lose their jobs because the owners move the factories to Mexico. American factory workers cannot move to Mexico to keep their jobs. Goods made in Mexico would cost a lot less because labor is cheaper there. Mexico They would not like foreign owned factories because they would create competition and hurt Mexican owned businesses. Maquiladoras would provide jobs for Mexicans, but the profit made by maquiladoras would go back into the US economy, not into Mexico’s It would provide a job in a country where there are not enough jobs However, the wages are very low and the working conditions are not good Building factories creates pollution. An environmentalist would want to make sure that Mexico had laws to protect the environment. Maquiladors: Good or Bad?

18. Global Environmental Issues • Climate Change • Fresh Water Challenge • Deforestation • Land Conservation

19. Climate Change • The change in global climate patterns during the 20th century is attributed to to the increased levels of atmospheric carbon dioxide produced by the use of fossil fuels.

20. Causes • Climate change is caused by factors such as: • biotic processes • variations in solar radiation received by Earth • plate tectonics • volcanic eruptions • human influences.

21. Consequences • Higher Temperatures • Changing Landscapes • Wildlife at Risk • Rising Seas (salt water) • Risk of Drought, fire and floods • Stronger Storms & storm damage • Heat-related illness & Disease • Economic Losses

22. What is being done? • Kyoto Protocol - a treaty that would require countries across the world to tackle the causes of climate change.  • it called for a total reduction in carbon dioxide emissions, which contribute to the greenhouse effect, by 5% below 1990 levels. • Cutting Emissions • EU member states committed to a 8% reduction in emissions and reported a 11% reduction from 1990 to 2010. 

23. Fresh Water Challenge • Pressures on the resources of the planet are putting our access to fresh water at risk. Many people are already feeling this strain, and so too is nature – as rivers, lakes and other freshwater ecosystems face collapse across the planet. 

24. Consequences • Lack of access to water for drinking, hygiene, and food security inflicts enormous hardship on more than one billion people • Health related issues such as spread of disease • Reduced food production

25. What is being done? • Better public and community control of water utilities; • Repairing old water systems, • Using less water for agriculture by using drip irrigation • Stopping pollution of the water we do have • Increasing water conservation and focusing resources on watershed management.

26. Deforestation • Deforestation is clearing Earth's forests on a massive scale, often resulting in damage to the quality of the land. Forests still cover about 30 percent of the world’s land area, but areas the size of Panama are lost each and every year. • Causes: • Agriculture – clearing land for crops • Logging operations – wood & paper products

27. Consequences • Loss of habitat for millions of species. • Leading cause of climate change: • Removing trees deprives the forest of portions of its canopy, which blocks the sun’s rays during the day and holds in heat at night. This disruption leads to more extreme temperatures swings that can be harmful to plants and animals.

28. What is being done? • Greenpeaceinvestigates, exposes and confronts environmental abuse by corporations around the world, and takes action with its supporters. • Wilderness Act, Lacey Act and the Roadless Ruleprotect U.S. forests and stop illegal wood products from entering the U.S. marketplace. • Treaties like the Convention of International Trade in Endangered Species (CITES)to help protect forests and the endangered plant and animal species that rely on forests for habitats.

29. Land Scarcity • The growing world population is putting strains on the livable land space on Earth. Less land is available for humans, animals, and plants. The causes of land scarcity is a growing population and over-use of available land.

30. Causes • Increasing population: by the year 2050, it is estimated that the population of the Earth will be over 9 billion people.

31. Consequences • Desertification • Deforestation • Loss of Ecosystems • Animal and Plant Extinction

32. What is being done? • Education and empowerment: Many believe overpopulation is a result of ignorance and inaccessibility. So to curb it, many suggest that programs aimed at spreading awareness will help minimize population stresses. • Environmental protection and research for alternative resources: A population can only grow as much as its resources, so various initiatives are aimed at preserving the environment (which is being damaged by this overpopulation issue) and looking into alternative sustainable resources. • Accessibility to reproductive health care: There are countless organizations dedicated to helping women and youth have access to reproductive health care.

33. Global Health IssuesIncreased Trade = Spread of Disease As far back as the Middle Ages, disease spread throughout the world because of international trade (small pox, bubonic plagues). Today, there is an increase in the spread of disease because of increased trade among nations. Global Health places a priority on improving health, achieving equity in health for all people worldwide, and the protection against global health threats.

34. W135 SARS E.coli O157 West Nile Fever Lyme Borreliosis Emerging/re-emerging infectious diseases 1996 to 2003 Legionnaire’s Disease Multidrug resistant Salmonella Cryptosporidiosis E.coli O157 E.coli non-O157 Typhoid SARS BSE Malaria nvCJD Diphtheria West Nile Virus Reston virus Influenza (H5N1) Echinococcosis Lassa fever Nipah Virus Yellow fever Cholera 0139 Reston Virus RVF/VHF Venezuelan Equine Encephalitis Buruli ulcer Dengue haemhorrhagic fever O’nyong-nyong fever Ebola haemorrhagic fever Human Monkeypox Dengue haemhorrhagic fever Cholera Cholera Equine morbillivirus Ross River virus Hendra virus

35. Global Public Health Problems Global Public Health Problems SARS/other infectious diseases Persistent Organic Pollutants, Climate Change Hazardous and Nuclear Waste Bioweapons

36. International Organizations • World Health Organization (WHO) • UNICEF • World Food Programme (WFP)

37. World Health Organization (WHO) • Maintain an effective international system that is able to assess the global public health risks and is prepared to respond rapidly to unexpected, internationally-spreading events and to contain specific public health threats. • International Regulations on hazardous waste trade are required to protect populations from disease posed by trading across international borders. * WHO 2003

38. UNICEF • The United Nations Children's Fund (UNICEF) is a United Nations Program headquartered in New York City that provides long-term humanitarian and developmental assistance to children and mothers in developing countries.

39. World Food Programme • Is the food assistance branch of the United Nations and the world's largest humanitarian organization addressing hunger and promoting food security.

40. Warm-Up How do you think technology affects globalization?

41. Technological Revolution • Technological advances are considered to be the driving force behind the globalization process • Along with Agricultural and Industrial Revolutions, the world is currently experiencing a Technological Revolution • Advances in technology has made our world “smaller” • As technology improves and evolves interactions between people all over the globe increases

42. Transportation • Improvements in transportation has helped fuel globalization • Whether by air, land or sea resources and products travel across our globe much faster than any other time in human history • Relaxation of international trade laws and tariffs makes transporting resources and material less expensive

43. Information Technology • Improvements in the early 1990s in computer hardware, software, and telecommunications greatly increased people’s ability to access information and economic potential • Information Technology(IT) is the use of systems(computers and telecommunications) for storing, retrieving and sending information • Forms of Information Technology • The Internet • Social Media • Computers • Cell Phones • Tablets • Television • Radio

44. The Internet • The internet has revolutionized the computer and communication world like nothing before • The internet is a global system of interconnected computer networks that connects people, communities and countries all around the world • The internet has transformed how people: • Communicate • Find information • Shop • Advertise • Make money

45. Internet Usage over the Years

46. You Got This… What areas of our lives would improvements in IT effect?

47. IT Improves the Economy • The Internet has provided businesses(small and large) the ability to reach a larger number of individuals • Building a web site has become one of the “must haves” for any business venture • The Internet has provided business with another channel to reach out to potential customers both near and far • Online Shopping has become extremely popular over the years • It allows people to shop at their convenience from the comforts of home without the hassle of crowded stores and long check out lines.

48. IT Improves Health Care • Information Technology is improving health care in many ways: • Improves responses to outbreak situations • Provides patients with access to their medical records from any location via secured internet sites • Provides health care providers with quick access to patients’ medical records • New technologies help doctors in different ways • Example- digital watch on top of pill caps will allow doctors to monitor the use of medication by their patients

49. IT Improves Education • Information Technology improves educational opportunities by allowing educators and students to overcome barriers of distance and by enhancing the content being presented • The internet has provided students an opportunity to extend the reach of their learning • Computers and internet connections are available in most classrooms across the country • IT technology has also improved “distance learning” • Example- online courses

50. IT Improves Journalism and Media • The internet has ushered in a new age of journalism • The internet has made publishing and accessing news easier and cheaper than any other form of communication • The internet also provides access to news through articles, pictures and videos(combination of television and newspapers) • Social Media is the newest and most popular form of sharing and receiving news in society • Examples- blogs, twitter, Facebook, YouTube, etc.