Responses+to+Readings


 * __Readings from “The Debate about Globalisation”

__** 1. Explain the functions of the WTO. - The World Trade Organization works to reduce tariffs and other barriers to the free movement of capital, goods, and services between countries. - Holds up meetings where the members negotiate over the trade rules.  2. Read Marshall McLuhan’s definition of “global village” and explain it in your own words (p.2). - Different Countries can now have easy access to different parts of the world. People can now easily communicate with each other and trade goods faster.  3. Explain why you think a “global village” exists - People nowadays use modern technologies that are easier to use such as the Internet, radio, computers, televisions, and cellphones. - Cheap and fast travel has made distant places seem near and familiar.  4. Describe the changes that have taken place as a result of globalization - Interconnected Global Society - Made poor countries poorer; Created enormous wealth for the rich and advanced countries.

5. Define the term “globalization” - Globalization is the spread of businesses, trends, and companies all over the world. - Cluster of powerful processes that are binding the world together.  6. List 4 effects of globalization - Made poor countries poorer - Created enormous wealth for the rich and advanced countries - Uncontrolled globalization is blamed for damaging the environment, destroying local industries and traditions - Easy trade (Import/Export) among countries  7. Explain how globalization is not a new idea (p.3). - Even before people already use technologies that have been passed backward and forward between communities  8. Describe how global trade operated in the past - Before people tried to find new sea routes to trade goods.  9. Which country spearheaded the first Industrial Revolution? - Britain

10. Define the term “Industrial Revolution.” - Harnessing of steam power heralded the age of factories, mass production, railroads, and a series of technological advances that have been continuous ever since. <span style="font-family: Arial,Helvetica,sans-serif; font-size: 80%;"> <span style="font-family: Arial,Helvetica,sans-serif; font-size: 14.4pt;">11. How different was the role of government in “Pre Industrial Age” to the “Industrial Revolution” age? - During the Industrial Revolution, Workers and their families were crowded into cities and factories, often appalling conditions. <span style="font-family: Arial,Helvetica,sans-serif; font-size: 80%;"> <span style="font-family: Arial,Helvetica,sans-serif; font-size: 14.4pt;">12. Upon what beliefs is the economic system of capitalism founded on (p.3)? - It contradicted traditional ethics. If individuals and businesses followed their self-interest rather than altruism, they would achieve the best possible economic outcome for everyone. <span style="font-family: Arial,Helvetica,sans-serif; font-size: 80%;"> <span style="font-family: Arial,Helvetica,sans-serif; font-size: 14.4pt;">13. What did governments create in response to the poor working conditions in factories? - They established the Factory Acts, A new rule to protect the people against abuses. It limited hours of work and the exploitation of women and children. <span style="font-family: Arial,Helvetica,sans-serif; font-size: 80%;"> <span style="font-family: Arial,Helvetica,sans-serif; font-size: 14.4pt;">14. Explain how Free Trade and Protectionism work. Create a diagram to portray how they work. - Free Trade, eliminating barriers to the free movement of goods between countries; Protectionism, protected their own industries at home by imposing tariffs on competing imports or giving the home industries financial help (Subsidies). <span style="font-family: Arial,Helvetica,sans-serif; font-size: 80%;"> <span style="font-family: Arial,Helvetica,sans-serif; font-size: 14.4pt;">15. After WWII, what role did the state play in ensuring the well being of its citizens (p.4)? - International institutions were set up to work toward renewed freedom of international trade. <span style="font-family: Arial,Helvetica,sans-serif; font-size: 80%;"> <span style="font-family: Arial,Helvetica,sans-serif; font-size: 14.4pt;">16. What trend started in the 1980’s? Describe how it worked (p.4) - “Roll Back the State”, Industries owned by the state were privatized, income taxes were lowered, and state spending was cut. <span style="font-family: Arial,Helvetica,sans-serif; font-size: 80%;"> <span style="font-family: Arial,Helvetica,sans-serif; font-size: 14.4pt;">1. Describe the role of the WTO, the IMF, and the World Bank. - World Trade Organization (WTO), works to reduce tariffs and other barriers to the free movement of capital, goods, and services between countries. -International Monetary Fund (IMF), maintain stable rates of exchange between currencies. -World Bank, Lends money to countries that have run into financial difficulties.
 * <span style="font-family: Arial,Helvetica,sans-serif; font-size: 14.4pt;">From the Section: Trade, Wealth and Poverty (p5-7) **

2. Explain what is expected when the `WTO asks a country to “restructure” its economy (p6). -It means that the country has to cut tariffs and taxes to encourage business activity. Cutting taxes reduces the state’s income, but its government is also told to save money and balance its budget. <span style="font-family: Arial,Helvetica,sans-serif; font-size: 80%;"> <span style="font-family: Arial,Helvetica,sans-serif; font-size: 14.4pt;">3. What are MEDCs and LEDCs? Name three of each (p.7)? - More economically developed countries (MEDCs): USA, UK, Europe - Less economically developed countries (LEDCs): Africa, South East Asia, Mexico