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Contemporary

The document discusses the concept of globalization, defining it as a multidimensional social process that fosters worldwide interdependencies and exchanges. It explores various theoretical perspectives on globalization, including realism, liberalism, and idealism, and highlights the role of technology and institutions in shaping global interactions. The document also examines the historical development of globalization and its impact on economic systems, emphasizing the differences between market, command, and mixed economies.

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0% found this document useful (0 votes)
13 views18 pages

Contemporary

The document discusses the concept of globalization, defining it as a multidimensional social process that fosters worldwide interdependencies and exchanges. It explores various theoretical perspectives on globalization, including realism, liberalism, and idealism, and highlights the role of technology and institutions in shaping global interactions. The document also examines the historical development of globalization and its impact on economic systems, emphasizing the differences between market, command, and mixed economies.

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deguzmandrcesar
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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CHAPTER 1 Robertson who began to introduce the term

“globality”. However, it was in the 1960’s and


THE CONCEPT OF GLOBALIZATION: IS 1970’s when this term gained worldwide attention.
GLOBALIZATION A PHENOMENON?
Globalization simply puts it as a social process of
1.1 Definition of Globalization reshaping and remaking the world order.
In the area of academe, there is no single Operations of social institutions transcend across
definition of globalization. There are various territories and boundaries with the goal of
competing interpretations emerged vying for expanding its reach – economic, political, and
dominance and universal recognition. The inception technological fibers. Understanding the term
of the term globalization brought much attention globalization, requires a critical examination of its
to the public especially among intellectuals who origin, development, and usage as part of our
have interest to delve the contending forces of understanding of social change within the
this notion. But what is this term globalization? Is spectrum of contemporary world. Thus, the
this a phenomenon? Is globalization a global trend? deployment of new ideas in trans-planetary
setting and the structural emergence of
Globalization refers to a multidimensional set of nationstate project moved communities to be
social processes that create, multiply, stretch, included in a trans-state and transnational
and intensify worldwide social interdependencies domain.
and exchanges while at the same fostering in
people a growing awareness of deepening
connections between the local and the distant
(McGrew, 2003).

For Justine Rosenberg’s definition of globalization,


he argues that globalization as a phenomenon 1.2 Qualities and Characteristics of Globalization
gave rise to the interconnectedness of human (Held & McGrew, 2002)
society that replaced the sovereign state system
with multilateral system of global governance. His 1. Creation and Multiplication of social networks
definition centers on the process, condition, time, and cultural activities which break the traditional
and age of this condition. norms and practices in the political, economic, and
cultural realms of most communities.
From the lens of Ritzer (2008), he described this
phenomenon as the spread of worldwide practices, 2. Expansion and Stretching of social operations
relations, consciousness, and organization of social and connections which is seen in the financial
life. The interconnectedness of social segments markets and trading operations around the globe.
from macro institutions to the smallest sectors of (Examples: World Trade Organization, ASEAN
the world have coincided the fabrics of Economic Community, World Economic Forum and
globalization. European Union)

Globalization, as a theory lies in the works of 3. Intensification and Acceleration of human


many 19th and 20th century scholars and activities which describes the process of world
intellectuals like Karl Marx, MacKinder, and and individual connection works. Consumer markets
andconsumerism continue to rule in this focuses on the shifting distribution of power
postmodern aera where the farthest have the among states (Walt, 1998 and Synder, 2004).
access to reach the central portion of global They explained that the core idea of dominating
events. the world through the employment of power. This
force comes from different angles, depending on
4. Consciousness and Awareness. People, as the the power availability of a nation.However,
primary actors of globalization are the frontliners realists warn that countries may suffer, and
as reflected in their experiences. The human struggle to maintain its power it will be
consciousness is critical on how they impact the overreached and used wrongly.
growing outcomes and markets of globalization.
Realists argue that countries open their
1.3 Is Globalization the same as Westernization? economies to the world is because of two
NO. The concept of Westernization is deeply contending reasons:
rooted in the Western World where often 1. Financial returns of expanding markets offer
associated with the Western culture and values new economic opportunities to the capitalist
(Sairin, 2011). This concept is famously used in (origin country). (Examples: McDonald’s, Chevron,
referring the western value system and it Ford, Coca-Cola, Citibank, Microsoft, and H&M)
influences countries outside its territory and
sovereignty. The political, economic, and 2. The continued centrality of political power and
technological prowess of United States and military strength are obvious forces of
European countries are best described in the interdependence and realistic behavior of the
idea of Westernization. more and most powerful countries.

Realists see economic alliance and corporation as


medium of flourishing activities under favorable
CHAPTER 2 security conditions. Economies tend to forge
COMPETING THE THEORETICAL APPROACHES partnership if they see advantages from other
countries. In some cases, political-military alliances
We see globalization in the field of international are sometimes used especially within the bipolar
relations through number of perspectives and world where economic power is utilized to
explanations. Examining the causes of events and strengthen military capability.
analyzing the levels of events require sufficient
facts to better explain the narratives of the 2.2 Liberalism
situation. In our understanding on the lens and Liberalism is a perspective in international
interpretations, it would be more interesting if we relations where actors and institutions emphasize
are going to look into the three prominent relationships, and negotiations. Liberalists observe
theories. The three sociological perspectives that the importance of interaction and communication
will best explain globalization are realism, liberalism, and focus on solving problems and conflicts
and idealism. affecting them. This idea is very evident in
2.1 Realism countries where democratic governance and
institutions play major roles in maintaining national
The realist perspective explaining globalization cohesiveness in managing domestic and
international affairs. belief of liberalism is that economic alliance and
integrating the domestic economy into a regional
Example: or economic bloc will deliver prosperity and
When Chinese government asserted its rights security. Opening to markets to other countries is
over the contested West Philippine Sea, Realist described as an act of country’s commitment to
China has shown its military strength to its global consciousness and moral understanding of
neighbors through giving signal of its multistate interests. (Examples: European Union’s
advantageous capability. On the other hand, Eurozone and Association of Southeast Asian
Liberalist Philippines utilized soft approaches Nations Economic Community (AEC)).
through protesting in the International Criminal 3. International Organizations
Court the act of China pertaining to its
aggressiveness over the West Philippine Sea. Liberals believe that the formation of leading
regional and international organizations like global
Liberalists believe that to avoid international commerce and governance are main instruments in
conflict and problems, and negotiations and the maintenance of peace and solidarity.
dialogues are potential mechanisms in confronting (Examples: Organization of Petroleum Exporting
issues among parties. Countries (OPEC) and North Atlantic Treaty
Three Factors that describe the Transformation Organization (NATO))
of Political-Economic Structure and Development 2.3 Idealism
of Global Interconnectedness:
Idealists and constructivist hold the notion that
1. Spread of Democracy and Institutions values, and norms play pivotal roles in sustaining
Democracy as a frontline of liberalism has been and reforming the process and works of
utilized as a sociopolitical apparatus in challenging individuals, group, and nations. This theory
political actors who act beyond their power and emphasizes on the functions of ideologies,
control. The strong participatory presence of frameworks, systems, and identities in
citizens in key issues affecting the interest and understanding globalization and international order.
welfare of the public could be used as a Its core beliefs centers on the centrality of
reference in balancing the interest of ideas, beliefs, emotions, and collective values that
stakeholders. shape the political and economic landscapes of
the world.
Liberalists see that democracies are venues of
not using threat to intimidate and harm other Alexander Wendt and Hugh Ruggie are the two
nations. Many liberals believe in the vital function most prominent founders of this school of
played by the rule of law as safeguard of self- thought. Idealism presents the changing norms
respect and social stability. and evolutions of individuals, groups, and states
with the goal of influencing the dynamics and
2. Global Economic Ties pattern of social structure.

Liberalists see economic ties and cooperation Furthermore, they value the importance of
such as market integration and economic alliances “appropriateness” and “transparency” in
are fitting fixtures of globalization. The core reshaping and framing rules affecting the general
welfare of its members, may it be individual or and technological developments.
collective. Idealists emphasize appropriate policies
and decisions during the state of conflict as 3. Dispersed knowledge and technology. The
iadvances the moral aspects and ethical dynamics increasing trends in communication revolution make
of actions. it more possible to move data and ideas from
people to people and country to country at
Role of Ideas and Technology in Globalization faster and more convenient way.

Ideas are non-material entities of culture; it Innovation as a product of technological


embodies one’s perception of his social world or advancement have rendered national borders
environment. It defines on how values, norms, and irrelevant in international system. Discoveries and
beliefs are used by governments and institutions changes in science and technology make markets
in hold and exercising of power (Nau, 2008). around the world a borderless contact, making
the global economic structure more intertwined.
When ideas are used well based on their intended Because of global reach, economies find this
application, development takes place. It could be trend as a ground of tough competition, with
utilized for linking and transfer of knowledge in a rivals’ states and institutions who have vast
transnational community of nations, scientific, and resources of wealth and power. In addition,
social innovation, and increase in the resourcepoor countries are prone to the damage
understanding of people in their day-to-day life. of these changes. Technology in this day of
Ideas are necessary in this particular scene postmodernity can be used to project global
because the definitions and concepts power at the same time intimidates countries that
constructed are used in interpreting how people are technologically behind. For example, African
act and behave. States and countries from part of the global
Three Important Technological Trends that made south have the difficulty to rise and compete
Significant Changes in the Interaction of Nations with resource-rich countries.
and People: 2.4 Institutions and Globalization
1. Knowledge and technology are significant Institutions consist norms, set of activities, and
determinants of wealth and power. The success regulate structures thatprovide meaning and
of economy of a country requires pool of stability to the social behavior of a group (Peter,
resources like ideas and technology. The 2012). Norms like the rules, guidelines, programs,
technological advancement of a nation is an and the types of activities constitute the
identity of its economic power. operation of an institution. They are understood
2. The fast pace of technological change. From as structures that are parts of a society.
industrialization to modernization, technology has Meyer and Rowan (1977) describe the formation
taken a significant role in business, government, of institution as a symbolic manifestation on the
and individuals. The countless forms of needs of society. The actions and behavior of
technological breakthrough change the cycle of the group members can change and alter the
the 21st century. The advent of fourth movement of community and its people.A different
industrial evolution, the global community is view explained by Giddens (1979), states that
expected to embrace multiple technical changes
institutions will not be recognized as institutions if way of accepting the legitimacy of the norms and
they do not shape the behavior of individuals. values of the organization.

As a set of systems and norms, institutions


convey individuals on how to behave and conform
to the practices of the group as a way of Global governance is directed by two important
accepting the legitimacy of the norms and values institutions: political and economic institutions. The
of the organization. operation of the political and economic life of
globalization depends on how plans are
Global governance is directed by two important implemented and how accountable
institutions: political and economic institutions. The thesesinstitutions are in their actions. Liberalists
operation of the political and economic life emphasize the importance of institutions in
ofglobalization depends on how plans are international order and stability. Domestic and
implemented and how accountable theses international institutions have various roles in
institutions are in their actions. Liberalists maintaining growth and development in both
emphasize the importance of institutions in political and economic realms.
international order and stability. Domestic and
international institutions have various roles in International institutions are classified
maintaining growth and development in both intergovernmental organizations that are formed
political and economic realms. by national governments. These are international
formal organizations that set rules and with the
International institutions are classified purpose of regulating the flow of communication
intergovernmental organizations that are formed and movement of resources. Governments
by national governments. These are international engaged in internationalizing their organizations
formal organizations that set rules and with the because of retaining and asserting control over
purpose of regulating the flow of communication global activities and networks brought by global
and movement of resources. Governments changes and transformations.
engaged in internationalizing their organizations
because of retaining and asserting control over Example:
global activities and networks brought by global The International Monetary Fund (IMF) performs
changes and transformations. globally and countries around the world depend
Example: on the common rules set by the body. Like IMF,
World Trade Organization (WTO) is an international
The International Monetary Fund (IMF) performs institution that plays key role in the management
globally and countries around the world depend of global trade. Its member-economies are bound
on the common rules set by the body. Like IMF, to adhere and behave in accordance to its
World Trade Organization (WTO) is an international guidelines in the conduct of international trade.
institution that plays key role in the management
of global trade. Its member-economies are bound
to adhere and behave in accordance to its CHAPTER 3
guidelines in the conduct of international trade
and conform to the practices of the group as a THE PRACTICE OF GLOBALIZATION
The take-off of globalization has made borders Global Economy
and state business systems decline. The
advances in technology, transportation, finance,
and communications resulted to the increase of Economic Systems - (Marl Christian P. Nicdao)
uniform, standard, and homogenous practices of
nations. The world is totally an integrated
environment composed of different forms of
The global economy of most countries is classified
interrelated drivers of changes and social
into three categories: market, command, and
developments.
mixed economies. In countries where democracy
However, globalization as a new social formation, prevails, its economic system is usually under
adds color to the endless debates and criticisms freedom, choice,and decisions of its citizens. While
of the current mode of state interactions. There countries that are under the control of a single
are identified losers and winners, some will be political party and authority, its system could be
pushed as part of the growth while other might under the practice of command economy.
be pulled due to the absence of core ingredients
of the transformation process. The question here,
how did globalization started? How did affect MARKET ECONOMY
the interrelation of different nations across the
globe.

This chapter presents important topics on the Decision making of private individuals
historical development of globalization as well as
dimensions of this phenomenon. It will also explain
how competition works at a global scale by using Economy under the will and interest of the
the ideas of world orders. individuals.

3.1 Globalization in Historical Perspectives

There are key events and developments in the Economic freedom to purchase and sell products,
history of globalization from the time it was services, and properties.
initially observed and describe as a phenomenon
up to the current era of advancement and
modernization. The useful checklist training the
This condition is not planned by a single person
phases of globalization was drawn by Holton
or group that has the ability to manipulate or
(1998), Sholte (2001), and Lawson (2012). The
direct the economy solely.
following chain of events is not of definite, but it
provides a clearer view on the cycle of
globalization.
It promotes competition among businesses and
CHAPTER 4 firms.
COMMAND ECONOMY

State can take over the ownership and operation


of a private company for the purpose of
A central economic planning body handles the maintaining the interest of the nation.
entire decision making.

International Trade - (Liezel L. Alconcel)


The quality and quantity of goods and services
produced is based on the decision of the
government.
Is the process and the system when goods,
commodities, services cross national economy,
and boundaries in exchange for money or goods
Production Quantity Is Dictated, consumer of another country (Balaam and Veseth, 2008).
behavior is directed, and market operation is Globaltrade has grown dramatically since the post
controlled by a single authority. -cold war era because of increasing demand for
goods and services and 16 countries. This
global norm reflects the growing practice of
Its objective is to mobilize resources for the internationalizing and globalizing local products and
common good of the public and for the interest services.
of the nation.

Trade Theories
Private individuals have no say in the economic
operation.
Descriptive Theory – it deals with the natural
order and the movement of trade. It describes
MIXED ECONOMY the pattern of trade under the idea of laissez
faire, a French term which means “leave alone”.
It refers to the notion that individuals are best
Market-driven economies economic agents to solve the problems through
invisible hands rather than government policies. It
also addresses the questions which product to
trade, how much product to offer and produce,
Combination of market and command economies.
and which country to trade in the absence of
government restrictions.

Some sectors are under the directions of the


private individuals while other aspects of the
Prescriptive Theory – it prescribes whether
economy are left within the guidance of the
the government, an important economic
government.
institution, should interfere and restrict the flourished due to the following reasons:
movement of goods and services. This theory
views the government to have participation in
deciding which countries to alter the amount, Higher export than import. Governments impose
composition, and direction of goods. restrictions and policies requiring economy and its
market to produce higher export that products
and services purchased outside the country or
Three Perspectives on International Trade import.Countries used this mechanism to support
their trade objectives and strengthen their
colonial rule and possessions.17
Economic Liberals

Exportless high valued product and import less


For David Ricardo, his influential work, Law of high valuedproduct.It prevented and monopolized
Comparative Advantage explains that free trade the production and manufacturing operation of
efficiency is attainable if two countries can the colonies.
produce more goods and trade products
separately. The advantage of this theory in
international trade is derived from the principle The benefits of colonial powers.Mercantilism is
of specialization and division of labor of Adam adopted to increase and sustain the colonial
Smith (Nau, 2009). Countries have different power and its authority to direct and control the
resources and talents; they are better at economic activity of the colony.
performing in that economic activity than other
economic activities. Economic liberals explain the
importance of free trade and the role of 3. Structuralists
individual’s preference in choosing economic
activity. It includes making decisions, and choices
on comparing the costs of products to be
The Modern World System (MWS) theory
produced and traded, the availability of the
developed by Immanuel Wallerstein, explains the
product, and the efficiency of producing and
contact of economies between core, semi-
buying products.
peripheral, and peripheral countries in the world.
The core states have the absolute advantage
over the other through unequal exchange and
Mercantilists extraction of raw materials from the periphery
and semi-periphery. This system, as part of the
structure of global capitalism, involves
Mercantilism is an economic theory that emerged exploitation, and transformation in some ways.
from about 1500-1800. This period was the
emerging era of nation-states and the formation
of more central governments.This system Why Do Countries Engage in International Trade?
Economies usually aim for a variety of products
and services available in the market. It offers
➢ Use of Excess Capacity in Demand. consumers to choose and buy products that are
competitive prices, degree of importance, and will
offer higher satisfaction.
The inadequate domestic demand pushes business
organizations to expand their market base
outside the national territory. This is usually ➢Reduction of Risk.
done by the firms and companies that have the
resources and capital to operate in the
transnational market. Giant brands like Nestle,
Pepsi, McDonald’s, Toyota, and Starbucks are Importing products is seen as an alternative to
known for expanding their operations outside countries that are vulnerable to supply shortage.
their home country. These countries that have a high volume of
imported goods are economies that confront the
demand and supply condition of the local market.

➢Cost Reduction and Increase of Profit.

➢Foreign Policy Tool.

A market leader for a particular good or service


may garner a lower production cost by increasing
its market in global rather than domestic. This The membership of a country to regional market
enables a firm to increase its profit while integration and economic relationships is part of
reducing its operating costs. its foreign policy. Enhancingthe economic and
political affiliation of a country is very important
in sustaining its international status in a global
market.
➢Cheaper Supplies.

Transnational Corporations - (Mat Leinard V.


a country imports goods from other countries Cabradilla)
because of inexpensive raw materials and supplies
used for production. The availability of buying
cheaper materials from other countries lowers the
cost introduction which might result in an The role of Multinational Corporation (MNCs)
increase in the profit of businesses. in the 21st is distinct and interesting to
investigate. The movement of ideas, capital,
investment, technology,and people are affected
by the operations of MCNs. As the global
➢Addiction to Product Line. economy is becoming complex and
competitive,MCNs continue to offer innovations
and new products and services. For several years,
the term MCNs was used to refer to a firm are unjustifiable and discriminatory.Examples of
operating in different countries around the common trade practices are issues relating to
world. Because of the magnitude of global price, labor, wages,health, and environmental
production and networks, the term transnational concerns that failed to meet the regulatory
corporation(TNC) became the more acceptable standards of the body.There are number of
name. This refers to business organizations and regional economic blocs around the world based
firms that compete in regional or global markets. on the size and area. For the western part of
It operates in countries and makes investments in the globe, European Union and North America
research, technology, facilities, distribution, and Trade Agreement while in Asian and Pacific,
production.TNC can control and monopolize the Association of SoutheastAsian Nations Economic
global market especially if it has huge pool of Community and Asia Pacific Economic Cooperation
resources making it one of the most powerful areleading market integrations in the region.
economic actors in the world.The number of TNCs There are also major economic institutions who
from north and west's business operations in the are major players in the operation and
south where cheap labor and raw material are management of global trade, investment, and
available.TNCs are very powerfuleconomic finance. Currently, the 19 international economies
institutions because of their global influence in have the World Trade Organization, World Bank,
investment and network distribution. Sometimes, InternationalMonetary Fund, Asian Development
TNC is being compared to states in terms of Bank, and the newly formed Asian Infrastructure
value and power. Investment Bank.

International Economic Institutions and Market World Trade Organization


Integration - (Frederich L. Arellano)

(WTO)In 1995, General Agreement on Tariffs


The formation of economic integration is designed and Trade (GATT) of theAmerican
to address and enhance the level of government was replaced and succeeded by
competitiveness of member economies in trade. WTO with 151 members as of 2008 and
Free trade is the primary consideration of accounts for 90% of the world’s trade.It is
regional economic integrations.Free Trade Area based in Geneva, Switzerland and leads by
(FTA)is a trading bloc which involves the a director general selected by consensus
reduction of internal tariffs to zero of member among its members.
economies while retaining different external
tariffs.This policy aims to promote free flow of
goods and services as well as to increase the Primarily, WTO has the following main functions:
volume of trade within the region.However, there
are criticisms on FTAs like the unfair trade
practice.UnfairTradeis the conduct of trade by
Implementation of the latest GATT agreements
a business fir or government that violates and
breaks the international trade agreements that
B. A venue for trade negotiations Multilateral Investment Guarantee Agency (MIGA).

C. A dispute settlement body International Settlement Centre of Investment


responsible for resolving trade problems Disputes(ISCID).

D. Review and assess national and International Monetary Fund (IMF)


international trade laws and policies

The IMF was created as the flagship institution


E. Assist members and developing of the Bretton Woods Agreement with 189-
economies by providing technical assistance member countries. The IMF is responsible for
and training programs supervising the exchange rate system, providing
loan programs to economies experiencing balancing
payments adjustments, and reviewing domestic
World Bank economic policies.It Mandated to ensure the
stability of the international monetary system
including exchange rates and international
payments. The IMF is keen on monitoring foreign
Officially called the International Bank for
monetary transactions as it has a direct effect
Reconstruction and Development (IBRD), or World
on a country's financial climate. It reflects on the
Bank is an international agency with 189 member-
amount owed by the country from another
countries operating in 130 countries
country as well as indicates the economic
worldwide.Formed by BrettonWood agreement
operation like what it produces, consumes,and
in1944to finance the reconstruction of war-torn
buys with its money.
countries brought by the devastation of World
War II.World Bank is composed of four associated
agencies:
European Union

International Development Association (IDA). This


agency focuses on poor and third world The European Union (EU) is a political economic
economies in the world by providing financial regional organization of 28 member-economies in
assistance and loan programs. Europe. Founded in 1985, EuropeanEconomic
Country (EEC) was formed by six countries:
Belgium, Germany, France, Italy, Luxembourg, and
the Netherlands. Since then, other
International Finance Corporation (IFC).
Europeancountries joined the regional bloc making
it as Europe’s most influential and powerful body.
The EU is guided by its core values, considered Settlement of differences or disputes by
as an integral part in the way of life of its peaceful manner;
citizens. It believes in the following values:
(1)Human dignity, (2) freedom, (3) democracy, (4)
equality, (5) rule of law, and(6) human rights. Renunciation of the threat or use of force; and

Association of Southeast Asian Nations (ASEAN) Effective cooperation among themselves

The Association of Southeast Asian Nations Chapter 5


(ASEAN) was founded in August 1967 in Bangkok,
Thailand with Indonesia, Malaysia,
Philippines,Singapore, and Thailand as its founding
GLOBAL GOVERNANCE
fathers. Brunei Darussalam,Vietnam, Myanmar, and
Cambodia joined the organization making up today
the 10 member-countries. The ASEAN Political-
Security Community, ASEAN Economic Challenges like civil wars, hunger and poverty,
Community,andASEAN Socio-Cultural sexual abuse, climate change, and poor
Communityarethethreemain pillars of ASEAN.As infrastructures are most common problems where
Stated in the Treaty of Amity and Cooperation in collective efforts are needed. Governments
Southeast EastAsia (TAC) of 2976. The ASEAN usually respond based on the need and the
Community functions under its six fundamental urgency of the problem affecting their
principles (ASEAN.org). sovereignty and interests. It is problematic in
some respects when institutions and bodies do
not agree and show
Mutual respect for the independence, sovereignty,
equality,territorial integrity, and national identity
of all nations; commitments to theses global problems. These
institutions at the international level are filled
with complexities and difficulties in analyzing their
specific power and jurisdiction over a problem.
The right of every State to lead its national
Their contacts and linkages are very political and
existence freefrom external interference,
are backed by interests of their nations and
subversion or coercion;
citizens.

Non-interference in the internal affairs of one


Political globalization refers to intensification and
another;
increasing level of interrelations among nations in
the world. These structural processes raise the problems and public policy issues are being solved
issue of state sovereignty, the growing at a global level. It involves a range of actors
implications of intergovernmental organizations, including states, national and regional bodies that
and the prospects of regional and international have the willingness and commitment to confront
governance. (Steger, 2003). These features of a specific problem (WHO, 2015). It involves
globalization confront to the framework of the management, authority, cooperation, and
nation-state with the emergence of new mechanisms that are aimed to attain certain
conceptual views and grounds. goals. This international process is bounded by
consensus and agreements where members are
expected to perform based on the guidelines and
This chapter presents the political dimension of policies.
globalization as a primary component in studying
contemporary world. This includes examining the
nature if global governance and how these The downside of global governance is establishing
nations and states work in globally competitive its sovereignty and accountability to all decision
environment. It will answer questions on who are framed and actions implemented. States may not
responsible to issues at the international level? conform and deviate from the norms set by
Are national governments responsible and international institutions like UN and WTO
accountable to the problems arising at a global especially if it will compromise its economic and
scale? Is there such thing as global governance political interest. The idea of establishing
and government. collectivist approaches in international arena
remains a challenge to organizations that have
the power and resources. All have well-
Global Governments and Governance orchestrated governance practices, but the
concept of “governments” remains very elusive.

The term global government is a response on the


actions of various stakeholders on finding out Three Existing Gaps and Issues in Global
pressing global problems like climate change and Governance
issues on peace and security. The world has no
global government and global authority. There are
political and economic bodies operating worldwide 1. Jurisdiction Gap
but no single organization possesses a global
authority in enforcing and compelling others to
follow. The lack of global governance in taking actions
to problems affecting key sectors arises from
the absence of authority. This involves the need
What the world has is the idea of global to create power and jurisdiction to governments
governance. This term refers to domestic and international organizations that have the
institutions and governments on how large-scale commitment in confronting issues like unemployment,
human rights, peace, and crimes.

INDIVIUALISM

2. Incentive Gap

• it is a political system that values the


significance of individuals over collective goals.
Global governance is formed with the participation
of countries that have the interest to deal
problem affecting their sovereignty. It is an issue
between the rich and poor countries of the world • freedom of the people is the primary
because of uneven distribution of authority and consideration.
control over decisions and policies.

• government values choices and preferences of


3. Participation Gap its people at a very personal level.

Member-states sometimes disagree on issues that • it is built in two elements: individual freedom and
are harmful to their interests. They do not expression are important in the sense that
involve in decisions that are crucial to the individuals just like state have sovereignty; and
economic and political welfare of their sovereignty. the pursuit of economic interest among individuals.

Political Systems COLLECTIVISM

The kind of political system used by a country • is a philosophy that stresses the importance of
has implications to the success of its economy the collective goals over individual freedom and
and the overall governance. Political System interests.
means the system, or the form of practice
employed by the state. Udayanskar (2012)
identified two dimensions of political system. First, • the state, as the primary economic
a country emphasizes the importance of managerviews collective action as the best
individualism as opposed to collectivism. Second, a strategy in establishing the welfare and interest
system in which a country is either democratic or of the nation.
totalitarian in its form of government.

• According Plato, social stratification must be


Individualism vs Collectivism built in order for the society and the entire
economy and the government be managed
properly and orderly.

• totalitarian countries do not recognize the


conduct of fair and honest election, the
Democracy vs Totalitarianism presence of media, and civil liberties.

DEMOCRACY • decision making of the states is exclusive only


on a single political party if not a ruler who has
full control in the political, economic, and social
• Democratic institutions and governance focus affairs if its government.
on the role individuals in political decision making.

Political Layers and Geopolitics


• the practice of direct participation in modern
societies involves representation, where individuals
periodically elect someone who has the ability to States in contemporary world are hungry for
represent them in the government. power. Power is the ultimate goal to contain and
control other states and nations that do not
enjoy much power are considered as powerless
• in a representative democracy, competitive states in international arena. Realists define
elections occur where candidates freely compete power as capabilities of a country o state like
for votes through conduct of fair and honest population of its people, resources,
election. territory,economic, and military strengths
(Chomsky, 2006; Nau, 2008).In a typical discourse,
power is described as the ability of a person,
• elected officials are accountable for their group, or institution to affect the behavior of
actions in the government and operation of the others against their will.
state.

In international relations, geopolitics is defined as


• constitutional laws are provided to safeguard a focus and concentration of a country's location,
the welfare and interest of the people. environment, and geography as the basis of its
national interests (Nau, 2008). United States and
China have ideal geography because of its vast
land and territory, Israel on the other hand, has
TOTALITARIANISM
struggles when it comes to defending the
territory because it is surrounded by Islam
majority
• is built on the idea that society and citizens
have no right and freedom of expression.
countries. India enjoys its huge territory but US and USSR.
have some challenges when it comes to territorial
security and military relationships with neighboring
countries Pakistan and China. 2. Tri-polar or tri-polarity - exists if there are
only three states dominating the distribution if
global order. United States, Japan, and Europe
Unilateralism were considered as potential powers during the
Second World War. They controlled some areas
under the respective military instruments and
The economic growth experienced by China and interests. In the area global economic power,
other emerging economies in the world are Japan, China, and United States are the most
dependent on the American market. On the favored nations identified by scholars as the
political angle, American military power is three leading economic giants of modern time.
considered as the most highly valued military
force in the world with billions of dollars annually
spent by the government. Its military presence in 3. Multipolar or multi-polarity - is situation when
some countries in Asia and Pacific, Middle East more states are involved in the distribution of
and Africa, global power. This geological condition is described
as an alignment if the powerful and emerging
powers in the world. The currentsituation of the
Europe and South America is a remarkable globe could be described as Multipolar because of
manifestation of its control in global defense state
operation. However, the global stability of power
enjoyed by the Americans can only be sustained
if it will employ the liberal values of freedom, actors joining the prestige of superpowers.
democracy, and human rights (Balaam, and Veseth, Europe, China, Japan, Russia, United States, and
2008). major alliances are key players in the distribution
of power.

Multilateralism
Isolationism

The idea of multilateralism includes three powers


in international system. Isolationists believe that major powers and states
exclude the use of force and military in the
international system. War and attacking other
1. Bipolar - it happens if there are only two nations are unethically acceptable in the
great powers dominating the distribution of power. international political economy. It is already
The Cold War era is fitting example of bipolarity, enshrined in the international law. Realist-
the global power was highly contested between isolationist stresses that United States must
disengage itself using military force over other
military interests.
2. Security Council - it is responsible in the
maintenance of peace and security. it has the
power to impose sanctions or punish members or
Global Political Institutions other bodies for the purpose of restoring
international peace and security.

United Nations
3. Economic and Social Council - commonly called
as ECOSOC. its main function is to coordinate,
The United Nations or UN is an international review, and recommend policies relating to
organization established in 1945 with the League economic, social and environmental issues. It
of Nations as its original body. Currently, the serves as the main agency of UN in monitoring
organization has 193-memberr states performing and evaluating key results in sustainable
various capacities and divisions. As theworld's development.
most powerful binding political organization, UN
can act on the issues confronting humanity in
the 21st century such as peace and security, 4. International Court of Justice - ICJ is the
climate change, sustainable development, human principal body or court of UN. Its role includes
rights, disarmament, terrorism, humanitarian and setting legal disputes among concerned states
health emergencies, gender equality, governance, and provides opinions on legal matters. This is the
food production, and more. UN operates worldwide only UN organ that operates outside United
in providing aids and support services to global States with headquarters in the Peace Palace,
problems in countries where it is needed. Netherlands.

5. The Secretariat - it is headed by the UN


Secretary - General who sits as its Chief
Administrative Officer at the appointment of the
Organs of United Nations secretary general is done through the
recommendation of the Security Council for a five
-year term. this organ is responsible for the day
1. General Assembly- this is UNs main deliberative -to-day work and operation of the UN including
and decision-making body represented by all its its peacekeeping mission and thousands of
193 members. The assembly holds general debate international staff stationed in different
from September - December in its headquarters countries.
in New York. Two thirds of vote are required to
decide range of issues like peace and security,
budget, and admission if new members to the 6. Trusteeship Council
organization.
North Atlantic Treaty Organization

NATO was formed initially as a political association,


and not a military alliance. Realists argue that
during its proposal in 1949, the idea of collective
security arrangement was the main feature of
NATO. Its purpose was not directedagainst the
threat of Soviet Union but to strengthen political
commitment of governments in Western Europe.
However, liberalists point out the belief that
NATO was established to back up and save the
economic and political problems of Europe from
the damages of war. The economic alliances of
Europe's powerful countries transformed the
region as a major hub in industrialization.
Itsdevelopment transformed NATO as a
conventional military alliance and protected
Europe from the threat of Soviet Union

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