GlobalizationIES Fracisco de Quevedo 4A

What is globalization?

Things to think about

A computer software firm can have an American CEO, an office in Bombay, and clients in Spain. (Multinationals*)

A student in South Africa can learn calculus and algebra by watching videos on kahnacademy.com

A factory can go out of business because workers in another country will work for a fraction of those wages (off-shoring*)

What does the dictionary say?

The development of an increasingly connected global economy marked especially by free trade, free flow of capital (investment*), and the use of cheaper foreign labor

Put simply

Capitalism is the free movement of goods and services. They are bought and sold at a market price (what buyers are willing to pay)

Globalization is the expansion and acceleration of capitalism across borders

But, more than goods and services and money are exchanged…

Culture, Ideas, Values, Problems

Culture is exchanged Is culture lost? What ideas are exchanged? What values? Human rights? Science?

What do smart people say?

Thomas Friedman – The World is Flat Globalization is good: it reduces poverty

and empowers everyone New technology, the large amount of

information on the internet, and capitalism have made it easier for anyone anywhere to be successful

Points out the rise of China, India, and Brazil

What do the smart people say?

Robert Reich – globalization creates economic growth

Globalization has also increased domestic inequality in many countries

Jobs that do not require a university degree (manufacturing) can be “off-shored”

How do you protect the middle class?

What has caused Globalization?

Technological Development (Transportation, acceleration of global investment)

The Internet The End of the Cold War

Dominance of Capitalism

Problems with Globalization

Immigration Pollution and Climate Change Terrorism Public Health

How do we solve global problems?

When global problems cross borders, a national solution will not do

We need to form global solutions Do we need global governance to

enforce these solutions?

Climate Change How are globalization and climate

change related? Can globalization occur without

climate change? How can globalization help us fight

climate change What can you do? What does Ban Ki-moon think?

What do you think?

Is our globalized economic system (Capitalism) good or bad?

Is it an engine for progress and growth?

Or is it a tool for the powerful? How are you involved in this huge

global economic system? What do you want your role to be?