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Short Quiz Part 2

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Haise Sasaki
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21 views2 pages

Short Quiz Part 2

Uploaded by

Haise Sasaki
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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1. Relate globalization and the contemporary world.

In the contemporary world, globalization has become a defining feature of international


relations. It refers to the increasing interconnectedness and interdependence of the world's
economies, cultures, and populations. The growth of international trade and investment has
been one of its most significant impacts. As barriers to trade and investment have been reduced,
the movement of goods, services, and capital across national borders has increased dramatically,
leading to the emergence of global supply chains and the integration of national economies into
a single global marketplace. Globalization has also facilitated the spread of technology, ideas,
and culture across the world, leading to the growth of global networks and the sharing of
knowledge and information. However, globalization has also had its downsides, including
increased inequality, environmental degradation, and the erosion of cultural diversity. Overall,
globalization has had a profound impact on the contemporary world, shaping the way we live,
work, and interact with one another, and creating both benefits and challenges that must be
addressed to ensure a sustainable and equitable future.

2. What are the key concepts related to economic globalization? Explain briefly.

a. Free trade: The movement of goods and services across national borders without tariffs,
quotas, or other barriers to trade. Free trade is often promoted as a means of increasing
economic efficiency and promoting economic growth.
b. Foreign direct investment (FDI): The investment of capital by a firm in a foreign country in
order to establish operations or acquire assets. FDI can bring benefits such as increased
capital, technology, and employment opportunities, but it can also lead to negative
consequences such as the exploitation of labor and the depletion of natural resources.
c. Multinational corporations (MNCs): Companies that operate in multiple countries, often with
global supply chains and a significant presence in developing countries. MNCs can bring
benefits such as job creation and technology transfer, but they can also be criticized for
exploiting labor and natural resources, and for engaging in tax avoidance.
d. Globalization of finance: The increasing integration of financial markets across national
borders, resulting in the ability of firms and investors to move capital and access financial
services more easily. This has led to increased financial instability and crises, as well as the
concentration of wealth in the hands of a few.
e. Offshoring and outsourcing: The practice of moving jobs or operations to a foreign country,
often to take advantage of lower labor costs. This has been a key driver of economic
globalization, but has also led to job losses and wage stagnation in developed countries.

These concepts are interconnected and have both positive and negative consequences for
economic growth, development, and inequality. It is important to carefully consider the
impacts of economic globalization and to develop policies that promote equitable and
sustainable economic growth.

3. Globalization has profoundly affected capitalism by increasing competition between firms,


making capital more mobile, and leading to the emergence of large multinational corporations.
This has been accompanied by the spread of neoliberal economic policies, which prioritize free
markets, deregulation, and privatization. However, globalization has also contributed to
increased inequality both within and between countries, as some regions and populations have
benefited more than others. This has led to social unrest and political instability in many parts of
the world. Overall, the impact of globalization on capitalism has been both challenging and
reinforcing, and it is up to policymakers and society as a whole to manage these changes in a
way that promotes sustainable and equitable economic growth.

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