Globalization

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Globalization

• Globalization and the Geography of Networks

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Definition

• A set of processes that
• increase interactions
• deepen relationships
• heighten interdependence without regard to
  country borders.
• Does NOT include the free movement of people.
• A set of outcomes that are felt from these global
  processes.
• Unevenly distributed and manifested throughout.

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Background Info.

• Its neither an inevitable nor an irreversible
  set of processes. De Blij and Murphy
• Understanding the origin and continued growth is
  very hard to do.
• There is no set pattern to its spread/effects.

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Background Info. Cont

• The backbone of globalization is TRADE.
• Opened the doors for the dispersion of the
  following, though it does not dictate it or
  govern the dispersion exclusively
• Cultural traits
• Ideas
• Pop culture elements
• Capital

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FREE TRADE

• Definition
• Goods and services trade without interference of
  government imposed costs.

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Free Trade Encompasses

• International trade of goods without tariffs
  (taxes on imports) or other trade barriers (e.g.,
  quotas on imports)
• International trade in services without tariffs
  or other trade barriers
• The free movement of labor between countries
• The free movement of capital between countries

• The absence of trade-distorting policies (such as
  taxes, subsidies, regulations or laws) that give
  domestic firms, households or factors of
  production an advantage over foreign ones
• Trade-distorting policies to enforce property
  rights so as to ensure the above conditions

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Free Trade cont

• Free trade raises the well-being of all
  countries by inducing them to specialize their
  resources in those goods they produce relatively
  most efficiently in order to lower costs. -De
  Blij and Murphy
• As a result, a nations growth rate and access to
  technology is increased.
• This is known as the Washington Consensus

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Timeline of Growth

• Stage One (G.1) (1492-1776)- The Age of
  Exploration
• Retrogression Period (1776-1815) due to the
  Atlantic Wars
• Stage Two (G.2) (1815-1947)- The Age of
  Industrialization
• Retrogression Period WWI, Great Depression, and
  WWII
• Stage Three (G.3) (1947- Present)- Post WWII
  From Containment to the Free Market Competition

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Anti-Globalization(Global Justice Movement)

• A social movement established to combat the
  effects of globalization.
• Believes that Core Periphery nations are
  destroying semi-periphery and periphery national
  economies to gain greater wealth.
• Forcing them into foreign direct investment and
  removing protections on domestic production.
• Target WTO, W.Bank, and Intl Monetary Fund.

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Anti-Globalization cont

• Rely heavily on protests and demonstrations to
  spread messages.
• Free trade is not free rather, it builds up a
  global economic network that sends most benefits
  to the core. -De Blij and Murphy

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Role of Networks

• A set of interconnected nodes without a center.
• Types
• Financial
• Transportation
• Trade
• Government/Non-Government
• Education
• Media
• ETC

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How Do Networks Work?

• They link everything that the dominant interests
  view as valuable and discard what is not
  valuable.
• Networks have really flourished the in recent
  years due to technology.
• Some places more connected than others, thus
  there is a spatial unevenness of globalization
  and its outcomes.

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Networks cont

• Ideally, networks should be horizontally
  structured, have no center, and encourage
  interaction amongst nodes.

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Specific Types of Networks

• Development
• Networks set up by various organizations to
  counter top down decision making by higher up
  powers
• Examples of Efforts
• Promote Participatory Development
• Locals participate in development decisions.
• Local Exchange Trading System
• People barter and trade services/goods for things
  needed. (I.E., Vancouver Island and Berkeley)

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Specific Types of Networks

• Media Networks
• Main way popular culture elements are diffused.
  (I.E., Music, McDonalds, Apple vs. IBM)
• Corporate Networks
• Vertical Integration vs. Horizontal Integration
• VI Corp that has ownership in a variety of
  points along the production and consumption of a
  commodity chain. (Time Warner)
• HI When the consumer spends, the money is going
  towards the same parent co. (Macys)
• Global retail can be very damaging to small,
  locally owned businesses.

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Networks The Effects of Time-Space Compression

• Definition
• Establishes that certain places are more
  interconnected than ever through communication
  and transportation networks. (I.E., Global cities
  in core periphery)
• Periphery nations are farther removed than ever.
• TSC is hugely impacted by Technology.
• How does technology create such a great divide
  between the periphery and the core?

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Effects of TSC on Global Cities

• Allows an individual to see the network of
  interactions that these cities maintain in terms
  of globalized processes.
• Finances
• Media
• Air Travel
• Technology

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TSC on Global Cities cont

• Most globalized cities
• London
• New York
• Tokyo

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The Globalization of McDonalds
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