1.

Introduction

Globalization has various definition. Different discipline have their own definition of the term
globalization, to sociologist’s globalization is the development of uniform global institutions
expediting the process of social change and leading to the emergency of a “world society”.

Globalization is a distinguishing trend and features of the modern society. As a term it had its
origin in French and American writings in the 1960s.But it become into popular usage in the
1980s.

Globalization is a social process that has resulted in greater inter connectedness and integration
of people and nations across the borders. The term globalization was coined as early as 1959. It
was informed by Webster dictionary for the first time 1961. It has emerged from the adjective
“global” meaning worldwide .The term has enormous social implications different sociologists
define the term globalization differently to cite some examples, to George Ritzier globalization
refers to the rapidly increasing worldwide integration and interdependence of societies and
cultures. To Anthony Giddens, “Globalization can thus be defined as the intensification of
worldwide social relations which link distant localities such a way that local happenings we
shaped by events occurring many miles away and vice versa. (Rath, 1995:p2)

To U. Beck, globalization is the process through which sovereign national states are criss crossed
and undermined by transnational actors and varying prospects of power, orientation, identities
and networks. (Rath, 1995:p2)

1.1 Objectives of this paper.

The main objectives of this paper is to provide concepts of Globalization, the major effects of
globalization on culture, economy and politics , the major contemporary theorists and their
concepts ,the major theories of globalizations such as cultural theory ,economic theory , political
theory, and other theories such as neoliberalism.

1.2 Historical Background of Globalization

The intellectual ancestry of globalization traced back in the writings of Adam Smith, Marx, and
J.smill, Hecksher and Ohlin, J.M .Keynes & Lenin

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Globalization has been in existence since the rise of trade links between Sumer and the – us
valley civilization in the third millennium B.C. According to Thomas Loren Friedman, the period
of globalization where classified into three phases. The first phase of globalization was the
period between 1492-1800 which involves as globalization of countries .The second phase of
globalization was the period from 1800 to 2000,which involves globalization of companies and
the third and final phase was after 2000 and continuing till present which involves globalization
of individuals..(Rath,1995:p3)

Globalization is an historical process the began with the first movement of people out of Africa
into other parts of the world .The migrants, merchants, and others ideas ,customs and products
have always taken into new lands. In the 15 th and 16th century the discovery of American and the
opening up of new trade routes to Africa and Asia brought the world closer together. In 18 th
century the increasing of colonization and industrialization rise to division of labor. During 19th
century the emerging nation states increasingly cut back trade restrictions (customs, duties,
bureaucratic regulations) and put the economy on the gold standard, thus providing basis for
international monetary and financial politics. In 20 th century and 21st century technological
progress like internet and media revolution, accelerated transportation and communication and
established global linkage. . (Rath, p4)

1.3 The different characteristics of globalizations

Borderless world:-globalization collapses geopolitical boundaries and compresses distance

between nations.

Liberalization:-a process of liberalizing the economic, industrial investment, financial and

business polices to enhance the business export per capita of a particular region .Globalization
cannot takes place without liberalization.

Free trade:-a liberal economic order that prevents protectionism and isolation .globalization is
the process of changing to the world into an integrated world an isolated one.

Globalization of economic activities:-globalization refers to the increasing interdependence of

world economics or as a result of the growing scale of cross border trade of commodities and
rapid spread of technology. (Rath, p27)

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2. Effects of globalization on culture, economy and politics

Globalization can be analyzed culturally, economically, politically and institutionally. We will

see the homogenizing and heterogenizing effects of globalization on culture, economy and
politics consequently. The homogenizing effect of globalization on culture is the transnational
expansion of common codes and practices. The cultural hybridization is the process in which
many global and local cultural inputs are interacted to create a kind of pastiche, or a blend –
heterogenizing effects of globalization. (Ritzer, 575)

Economically,globalization is analyzed with its homogenizing effect on the world.It is marked

with increasing economic integration and growing economic interdependence between countries
of the world. There is an increased cross border movement of goods, technology, people,
information etc.The foreign direct investments made by the rich nations in the developing world
not only heightened the degree of interconnectedness, but tried to bring a considerable degree of
development in the poor nations. This led to thegrowth of resources, export, import potentials,
standard of living of the people of the developing world.Theorists generally see globalization as
the spread of neoliberalism, capitalism and the market economy throughout many different
regions of the world. (Ritzer, 575)

Theorists who focus on heterogenizing effect of the economic globalization acknowledged the
existence of heterogeneity at least at the margin of the economy.Even though the economic
analysis of globalization emphasis homogeneity , there are some differentiation (heterogeneity )
at the global economy such as the need for more differentiated policies by the IMF and other
global economic organization , the commodification of local culture and the existence of
flexible specialization . More generally, those whoemphasize heterogenization argue that the
interaction of the global market with local markets lead to the creation of unique "glocal"
markets that integrate the demands of the global market with the realities of the local market.

Joseph E.stiligz criticize “Global organizations like world Bank , the WTO , and especially the
IMF worsening rather than resolving , global economic crises " .IMF fails to take into account
national differences, it criticized for its homogenizing effect . IMF in particular and globalization

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in general , have worked to the advantage of the wealthy nations , especially the united states
and to the determinant of poor nations .The gap between rich and poor has actually increased as
a result of globalization .(Ritzer, 575)

The political analysis of globalization tend to emphasize either homogeneity or heterogeneity.

The theorists who focus on political homogenization concerned with the worldwide spread of
models of the nation state and the emergency of similar forms of governance throughout the
globe. In other words, the growth of a more or less single model of governance around theworld.
One of the most extreme views of homogenization in the political realm is Benjamin Barber's
thinking on "MC World" or the growth of a single political orientation that is increasingly
pervasive throughout theworld. Barber also articulate the idea of "Jihad "-localized , ethnic and
reactionary political forces that involve an intensification of nationalism and that lead to greater
political heterogeneity throughout the world.(Ritzer, 576)

3. The emergency of globalization theory

Globalization theory emerged as a result of the reaction against the characteristics of

Modernization theory some them are its western bias, the preeminence accorded to developments
in the west and the idea that the rest of the world had little choice to become like the west.
Therefore, the purpose of globalization theory is to focus on not only to the west but also to the
rest of the world and to examine both transnational processes and autonomous and independent
of any single nation. (Ritzer, 2011, p574)

Globalization theory is also emerged because of the effects of globalization on the lives of
billions of people throughout the world and the degree and significance of globalization impact
can be seen almost everywhere. Feelings of people throughout the world to global organization
which is they are confronting matters of great moments is also a cause for globalization theory to
be emerged. (Ritzer, P575)

3.1 Major contemporary theorist of Globalization

3.1.1Anthony Giddens on the “Runaway World” of Globalization

Anthony Giddens is Great Britain's most important contemporary social theorists and one of
ahandful of the world's most influential theorists. To Anthony Giddens, “Globalization can thus

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be defined as the intensification of worldwide social relations which link distant localities in such
a way that local happenings are shaped by events occurring many miles away and vice versa".
According to his view globalization is closely related to , and overlap with his thinking on an
advanced , radical ,high ,or late modernity which he called it juggernaut modernity. Giddens is
one of those who emphasis the role of the west in general united states in particular, in
globalization. He also recognizes that globalization is a two-way-process with America and the
west being strongly influenced by it. Furthermore, he argues that globalization is becoming
increasingly decentered as nation outside the west. (E.g. china, India) play an increasingly large
role in it. He also recognizes that globalization has both undermined local cultures and served to
revive them .Giddens see the emergency of " global cosmopolitan society" Cosmopolitan is
someone who has a lot of knowledge and experience of many different countries and cultures
(Macmillan Dictionary) and the force opposite to cosmopolitanism called fundamentalism
which is the product of globalization . According to Macmillan English dictionary the term
fundamentalism is defined as the belief that the original laws of a religion should be followed
very strictly and not be changed. Fundamentalism uses global forces (the mass media) in order to
further its ends. Fundamentalism can take various forms - religious, ethnic, nationalist and
political. Giddens thinks that fundamentalism is problematic, both because it is at odds with
cosmopolitanism and because it is linked to violence. (Ritzer, p577)

3.1.2 Ulrich Beck, the Politics of Globalization, and Cosmopolitanism

Globalism is the view that the world is dominated by economics and the world market is now
powerful enough to supplant (local and national) political action

Globality

Globality is transnational processes which involves not simply economic but also ecology,
culture, politics, and civil society and which involves transnational actors, with varying degrees
of power, identities, and the like, crisscrossing and undermining nation-states .It takes place
locally, traverse national borders and affects the entire world (Ritzer, 577)

Transnational processes have long existed; nevertheless, globality is new for at least three
reasons. First, its influence over geographic space is far more extensive than ever before. Second,
its influence over time is far more stable; it is of continuing influence from one time to another.

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Third, there is far greater density to its various elements including transnational relationships and
networks.

Beck argue that globalityis associated with what he now calls “second modernity.” Second
Modernity is the decline of the power of the nations and the national borders that went to the
heart of “first modernity. “The central premise of first modernity is (was) that we live in self-
enclosed nation-states. (Beck dismisses this notion as a “container theory” of society.) Thus
globality, and second modernity, mean, denationalization and, Beck hopes, the rise of
transnational organizations and perhaps a transnational state. (Ritzer, P578)

Globalization

Globalization is the blanket term to describe the process through which sovereign national states
are crisscrossed and undermined by transnational actors and varying prospects of power,
orientation, identities and networks

Cosmopolitanism
ation people are no longer rooted in a given cosmos (e.g., the United States) but instead are
rooted in “different cities, territories, ethnicities, hierarchies, nations, religions, and so on at the
same time”. Clearly, such a cosmopolitan approach is derived from, and has a close linkage to,
globalization.(Ritzer,p578)

Global politics

global politics is a game in which boundaries, basic rules and basic distinctions are being
renegotiated—not only those between the ‘national’ and ‘international’ spheres, but also those
between global business and the state, transnational civil society movements, supranational
organizations and national governments and societies.It is this reality that requires a change in
vision from a national to a cosmopolitan perspective that is better able to comprehend and deal
with this meta-game.

3.1.3 Zygmunt Bauman on the Human Consequences of Globalization

Bauman views of Globalization in terms of a “space war.”

In Bauman’s view mobility is the most important and differentiating factor of social stratification
in the world today.

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Winners.

Those who are mobile, able to move freely throughout the globe and in the process to create
meaning for themselves are the winners.

Losers

Those who lack mobility and are relegated and confined to territories denuded of meaning and
even of the ability to offer meaning are the losers.

Tourists

The tourists are those who are on the move because they want to be. They are attracted by
something, find it irresistible, and move toward it.

Vagabonds

The vagabonds are those who are on the move because they find their environs unbearable,
inhospitable for any number of reasons.

Human consequences of globalization

Globalization is a cause for people to be tourist or vagabonds. Even though tourists are the
winners in globalization they have their problems, first, there is the burden associated with the
impossibility of slowing down; it is hard to always be on the move and at high speed. Second,
mobility means an unending string of choices, and each choice has a measure of uncertainty
associated with it. Third, each choice also carries with it a series of risks and dangers. Endless
mobility and continual choice eventually become troublesome if not burdensome. (Ritzer, p579)

4. Theories of Globalization

There are three school of thoughts related to globalizations. These are hyper globalities schools,
the skeptics school and the transformationlist schools.

The three schools have different argument and focuses on the term globalization. Accordingly,
the 1st school of taught, that is the hyper globalities school focus on economic globalization
which argues to denationalize economics and thereby erecting global markets which would
transcends state control , resulting in a loss of autonomy and sovereignty for the state .The
second school of thought , that is the skeptics school argues that globalization is a myth. To
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them, globalization is not a universal phenomenon. The third school of thought i.e. the
transformation schools argue that globalization has structural consequences and it is a driving
force in society which influences political, social and economic change. For transformation lists,
globalization is responsible for social transformation .Due to globalization, there is structural
change in the society and a global shift with respect to power and authority takes place following
process.(Rath,P10)

4.1 Cultural Theory

Jan Nederveen Pieterse has identified three major paradigms in theorizing the cultural aspects of
globalization, specifically on the centrally important issue of whether cultures around the globe
are eternally different, converging, or creating new “hybrid” forms out of the unique
combination of global and local cultures. (Ritzer, P580)

4.1.1. Cultural Differentialism

The cultural differentialismparadigm is based on the idea that among and between cultures there
are lasting differences that are largely unaffected by globalization or by any other bi-, inter-,
multi-, or transcultural processes. This is not to say that culture is unaffected by any of these
processes, especially globalization. But it is to say that at their core cultures are largely
unaffected by them; they remain much as they always have been.

In this perspective globalization occurs only on the surface, and the deep structure of cultures is
largely, if not totally, unaffected by it. Cultures are seen as largely closed not only to
globalization but also to the influences of other cultures. In one image, the world is envisioned as
a mosaic of largely separate cultures. More menacing is a billiard-ball image, with billiard balls
(representing cultures) seen as bouncing off other billiard balls (representing other cultures). This
image is more menacing because it indicates the possibility of dangerous and potentially
catastrophic collisions among and between world cultures.Examples of cultural differentialisim:
- a difference between Western and Islamic cultures and the eternal cultural differences between
them. Other example is the increasing multiculturalism of both United States and of Western
Europe (Ritzer, P580)

The most famous and controversial example of this paradigm is Samuel Huntington’s Clash of
Civilizations and the Remaking of World Order. Cultural differences are nothing new, but they

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were largely submerged by the overwhelming political-economic differences of the Cold War
era. Huntington uses the term civilization to describe the broadest level of these cultures and
cultural identities (indeed, to him civilization is culture “writ large”).Huntington differentiates
between a numbers of world civilizations: He sees these civilizations as differing greatly on basic
philosophical assumptions, underlying values, social relations, customs, and overall outlooks on
life.

4.1.2 Cultural Convergence

The cultural convergence paradigm is based on the idea of globalization leading to increasing
sameness throughout the world. Growing increasingly similar, at least to some degree and in
some ways. The cultures of the world are seen as there is a tendency to see global assimilation in
the direction of dominant groups and societies in the world. Those who operate from this
perspective focus on such things as cultural imperialism,” global capitalism, Westernization,
Americanization, “McDonaldization,” and “world culture.

McDonaldization is the process by which the principles of the fast-food restaurant are coming to
dominate more and more sectors of American society, as well as the rest of the world. It is a
force in globalization, especially increasing cultural homogenization.

Cultural imperialism is the influence of a particular culture on a wide range of other cultures. For
instance American culture, the West, or core countries.

4.1.3 Cultural Hybridization

Cultural Hybridization paradigm is the mixing of cultures as a result of globalization and the
production, out of the integration of the global and the local, of new and unique hybrid cultures
that are not reducible to either the local or the global culture

Hybridization

Hybridization is a term emphasizing increasing diversity associated with the unique mixtures of
the global and the local as opposed to the uniformity associated with grobalization.A cultural
hybrid would involve the combination of two or more elements from different cultures or parts
of the world. Cultural Hybridization a process in which many global and local cultural inputs
interact to create a kind of pastiche, or a blend, leading to a variety of cultural hybrids

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(heterogeneity).Among the examples of hybridization (and heterogenization, glocalization) are
Ugandan tourists visiting Amsterdam to watch two Moroccan women engage in Thai boxing,
Argentinians watching Asian rap performed by a South American band at a London club owned
by a Saudi Arabian, and the more mundane experiences of Americans eating such concoctions as
Irish bagels, Chinese tacos, and kosher pizza (Ritzer,588)

Grobalization

Grobalization is a companion to the notion of glocalization.It is the imperialistic ambitions of

nations, corporations, organizations, and the like and their desire, indeed need, to impose
themselves on various geographic areas. Their main interest is in seeing their power, influence,
and in some cases profits grow (hence the term grobalization) throughout the
world.Grobalization involves a variety of sub processes. Three of them—capitalism,
Americanization,andMcDonaldization—are central driving forces in grobalization

Glocalization

Glocalization can be defined as the interpenetration of the global and the local resulting in
unique outcomes in different geographic areas.

Creolization

The term creole generally refers to people of mixed race, but it has been extended to the idea of
the creolization of language and culture, involving a combination of languages and cultures that
were previously unintelligible to one another.

4.2. Economic Theory

Transnational Capitalism

Leslie Sklair distinguishes between two systems of globalization. The first—the Capitalist
system of globalization—is the one that is now predominant. The other—the socialist
systemSklair focuses on transnational practices that are able to cut across boundaries—including
those created by states—with the implication that territorial boundaries are of declining
importance in capitalist globalization. (Ritzer, 591)

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As a Marxist, Sklair accords priority to economic transnational practices, and it is in this context
that transnational corporations— one of the central aspects of his analysis—predominate.
Underlying this emphasis on transnational corporations is the idea that capitalism has moved
away from being an international system (because the nation [-state] is of declining significance)
and toward becoming a globalizing system that is decoupled from any specific geographic
territory or state.

The second transnational practice of great importance is political, and here the transnational
capitalist class predominates. The transnational capitalist class does not necessarily own the
means of production. Sklair differentiates among four “fractions” of the transnational capitalist
class: (1) the corporate fraction made up of executives of transnational corporations and their
local affiliates; (2) a state fraction composed of globalizing state and interstate bureaucrats and
politicians; (3) a technical fraction made up of globalizing professionals; and (4) the consumerist
fraction encompassing merchants and media executives. This is obviously a very different group
than Marx thought of when conceptualizing the capitalist.

The transnational capitalist class may not be capitalist in a traditional sense of the term, but it is
transnational in various ways. First, its “members” tend to share global (as well as local)
interests. Second, they seek to exert various types of control across nations. That is, they exert
economic control in the workplace, political control in both domestic and international politics,
and culture-ideological control in everyday life across international borders. Third, they tend to
share a global rather than a local perspective on a wide range of issues. Fourth, they come from
many different countries, but increasingly they see themselves as citizens of the world and not
just of their place of birth. Finally, wherever they may be at any given time, they share similar
lifestyles, especially in terms of the goods and services they consume.

The third transnational practice is culture-ideology, and here Sklair accords great importance to
the culture-ideology of consumerism in capitalist globalization. Although the focus is on culture
and ideology, the emphasis on consumerism ultimately involves the economy by adding an
interest in consumption to the traditional concern with production (and transnational
corporations) in economic approaches in general and in Marxian theories in particular. In this
realm the ability to exert ideological control over people scattered widely throughout the globe
has increased dramatically, primarily through the greater reach and sophistication of advertising

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and the media and the bewildering array of consumer goods that are marketed by and through
them. Ultimately, they all serve to create a global mood to consume that benefits transnational
corporations, as well as advertising and media corporations, which are examples of such
corporations and profit from them. (Ritzer, P592)

Ultimately, Sklair is interested in the relationship among the transnational practices and the
institutions that dominate such practice, and he argues that transnational corporations utilize the
transnational capitalist class to develop and solidify the consumerist culture and ideology that is
increasingly necessary to feed the demands of the capitalist system of production. Indeed, it is
this relationship that defines global capitalism today, and it is the most important force in
ongoing changes in the world.

As a Marxist, Sklair is interested not only in critically analyzing capitalist globalization but in
articulating an alternative to it and its abuses. He sees some promising signs in the protectionism
of some countries that see themselves as exploited by transnational corporations. He is
particularly interested in various human rights movements in which, he believes, can be found
the seeds of the alternative to capitalist globalization—that is, socialist globalization. He predicts
that these and other movements will gain momentum in the twenty-first century as they
increasingly resist the ways in which globalization has been appropriated by transnational
corporations. In fact, in good Marxian dialectical terms, he sees the success of capitalist
globalization sowing the seeds of its own destruction as its expansion tends to provide its
opponents with resources (derived from the economic success of transnational capitalism),
organizational forms (copied from the successful organizations in global capitalism), and most
obviously a clarity of purpose. As the transnational corporations grow more successful, their
abuses will become more blatant, and the need to supplant them as the central players in the
global system will intensify.

4.3 Political theory

4.3.1 Globalization and nation -state

Nation-state

A nation state is generally defined as a country which is ruled under one government.
Specifically, the nation state is constituted by the government assuming a legal and moral right to

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exercise sole jurisdiction, supported by force in the last resort, over a particular territory and its
citizens. (Rath, 1995)

4.3.2 Threats of globalization to nation states

Nation states are threatened by various global processes, especially global economic flows
.States played a minor role globally when compared to a huge and growing borderless global
economy that they are unable to control. (Ritzer, P596) .With the wake of globalization, the
nation states find themselves with a reduce ability to control their capital, to legislate and to
influence or regulate their domestic markets.Holton observes “Flows of investment, technology,
communications and profits across national boundaries are the most striking challenges of
globalization to nation states. (Rath, 1995)

The autonomy of the nation states also threaten by flow information ,illegal immigrants, new
social movements, terrorists, criminals , drugs, money , sex trafficking and much else. The
growing power of global and transnational organization that operate largely free of the control of
the nation state weakened the nation states.Transnational bodies include the IGOS, INGOS, big
corporate houses. IGOs such as the European Union, The International Monetary Fund and the
World Trade Organization/ GATT have accumulated international legislative and coercive power
and have posed a threat to national sovereignty of the traditional nation states(Rath ) The growth
of global problems (AIDS,TB) that cannot be handled by nation states threatens the nation
states. The more specific historical factors is the end of the cold war. Example, the dissolution of
Soviet Union into a number of independent nation states (Russia, Ukraine, Georgia, etc.), the
failed states (e.g.Somalia) in which there is , in effect, no functioning national government as
well as states in the process of breaking down . Clearly failed states and disintegrating states are
in no position to adequately maintain their borders. (Ritzer, p597)

4.3.3 Opportunities of Globalization to the nation states

Globalization were used as a basis to make neededchanges, specifically to transform state

enterprises into private enterprise and to streamline social welfare. (Ritzer, p598)

 The economies of countries that are more engaged with the global economy have consistently
grown much faster than those that have maintained closed economies – on average by about 2.5
percent.

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 Faster economic growth resulting from globalization, usually leads to increases in peoples’
living standards.

 Improved wealth leads to better health care and cleaner water, increasing peoples’ life
expectancy under globalization.

 Increased foreign direct investment in countries due to the reduction in investment barriers
has also fuelled growth, development and progress.

 Globalization has resulted in improved environmental awareness as the internet has increased
access to information and helped for diffusion of safe environment related knowledge.

 Increased trade integration has brought integrity, interdependence among nations. It has
reduced hegemonic attitude of the supposed rich nations and has reduced the threat of war and
promoted peace.

 Improved technology has reduced costs and changed the way the world communicates. It has
connected the people and parts of the planet.

 Adult illiteracy rates are falling in developing countries.

 Democracy is making headway. Modern communications and the global spread of

information have led to the toppling of undemocratic regimes.

 Multinational companies have adopted improved standards for workplaces and wages –
usually paying more than local companies in developing countries.

 International migration has led to greater recognition of diversity and respect for cultural
identities, which is improving democracy and access to human rights.(Rath)

4.4 Neoliberalism

What is neoliberalism?

Neoliberalism is a theory particularly applicable to economics (especially to the market and to

trade) and politics (especially to the need to limit the government’s involvement in, and control
over, the market and trade).

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The term neoliberalism involves a combination of the political commitment to individual liberty
and neo classical economics, which is devoted to the free market and opposed to state
intervention in that market (Harvey, 2005). Entrepreneurs are to be liberated, markets and trade
are to be free, states are to be supportive of this and to keep interventions to a minimum, and
there are to be strong property rights

Neoliberalism emerged during the Depression era, at least in part in reaction to Keynesian
economics and its impact on the larger society.

Neoliberalism comes in various forms, but all are undergirded by some or all of the following
ideas

 Great faith is placed in the free market and its rationality

 The key, if not only, actor in the market is the individual; neoliberalism is radically
individualistic.
 Related to the belief in the free market is a parallel belief in free trade.
 Where there are restraints on the free market and free trade, deregulation should be
pursued to limit or eliminate such restraints
 There is a commitment to low taxes and to tax cuts (especially for the wealthy whose
taxes are deemed too high and too burdensome).
 Tax cuts for business and industry are encouraged with the idea that they would use the
tax savings to invest more in their operations and infrastructure, thereby generating more
business, income, and profits
 Spending on welfare should be minimized and the safety net for the poor should be
greatly reduced because these policies hurt economic growth and even harm the poor.
 There is a strong and generalized belief in limited government because no government or
government agency can do things as well as the market
 There is great belief in the need for the global capitalist system to continue to expand.

More concretely and directly, the neoliberal state should-

 Provide a climate supportive of business and its ability to accumulate capital.

 Focus on furthering, facilitating, and stimulating (where necessary) the interests of
business.

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  Privatize sectors formerly run by the state (e.g., education, telecommunications,
transportation) to open these areas for business and profit-making and ensure that those
sectors that cannot be privatized are “cost effective” and “accountable.
 Work to allow the free movement of capital among and between economic sectors and
geographic regions.
 Extol the virtues of free competition, although it is widely believed that the state actually
works in support of the monopolization of markets by business interests.
 Work against groups (e.g., unions, social movements) that operate to restrain business
interests and their efforts to accumulate capital.
 Reduce barriers to the free movement of capital across national borders and to the
creation of new markets.
 Bail out financial institutions when they are in danger of collapse (for example, as was
done in 2008–2009 for Bear Stearns, AIG, Citibank, and others).

4.4.1 Critiquing Neoliberalism

The Early Thinking of Karl Polanyi

He is the great critic of a limited focus on the economy, especially the focus of economic
liberalism on the self-regulating or unregulated market, as well as on basing all on self interest

Polanyi shows that the laissez-faire system came into existence with the help of the state, and it
was able to continue to function as a result of state actions. Furthermore, if the laissez-faire
system was left to itself, it threatened to destroy society. Indeed, it was such threats, as well as
real dangers, that led to counter reactions by society and the state (e.g., socialism, communism,
the New Deal) to protect themselves from the problems of a free market, especially protection of
the products of, and those who labored in, it .Polanyi saw the counter reactions (Expansion of the
laissez-faire market and the self-protective reaction against it by the state and society) as
necessary and desirable reactions to the evils of the free market.(Ritzer ,p601) Polanyi believed
that the self-regulating market was an absurd idea. Collective reaction by society and its various
elements that were threatened by the free market.Polanyi believed that collective planning and
control would produce more freedom for all than was then available in the liberal economic
system

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4.4.2 (More) Contemporary Criticisms of Neoliberalism

Neoliberalism assumes that everyone in the world wants very narrow and specific types of
economic well-being (to be well-off economically, if not rich) and political freedom
(democracy).Neoliberalism very often comes down to the United States and a few global
organizations (e.g., International Monetary Fund) seeking to impose their definitions of well-
being and freedom on peoples in other parts of the world. Neoliberalism conceals or obscures the
social and material interests of those who push such an economic system with its associated
technological, legal, and institutional systemsNeoliberalism has produced financial crises in
various countries throughout the world (e.g., Mexico, Argentina), its economic record has been
dismal in that it has redistributed wealth (from poor to rich) rather than generating new wealth, it
has sought to commodity everything , and it has helped to degrade the environment.(Ritzer ,
602)

4.4.3 The Death of Neoliberalism?

“The idea of the absolute power of the markets that should not be constrained by any rule, by any
political intervention, was a mad idea. The idea that markets are always right was a mad idea. “In
a speech in late 2008, French President Sarkozy 3 said:Sarkozy argued that “we need to rebuild
the whole world financial and monetary system from scratch.” In other words, we need to scuttle
the remnants of the global neoliberal economic system, just as the Keynesian system was
scuttled as neoliberalism gained ascendancy, and replace it with some as yet undefined
alternative. (Ritzer, 603)

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5. Summary

According to George Ritzier, Globalization is an integration and interdependency of societies

and culture. Globalization has three phases , globalization of countries(1492-1800),Globalization
of companies (1800 to2000) and globalization of individual( after 2000 to till
present).Globalization is emerged as a result of the reaction against modernization theory .

Cultural imperialism is the influenceof a particular culture on a wide range of other culture
While transnational expansions of common codes and practice is cultural homogenization, a
process in which many global and local cultural inputs interact to createa kind of pastiche, or a
blend, leading to a variety of cultural hybrids (heterogeneity).

Globalization of economy increase economic integration and grow economic interdependency

between countries in the world. IMF and other global economic organization need for more
differentiated polices.

Globalization of Politics is causes for both Mc-world -the growth of a single political orientation
and Jihad -an intensification of nationalism.

Liberalization, free trade, borderless world are some of the characteristics of globalization.

The "runaway" world ofglobalization, Politics of globalization and cosmopolitics and the human
consequence of globalization of theorists Giddens, Beck and Buman are described in detail.

The three school of thought related to globalization are Hyper globalties, skeptics and
tranformationalist schools.

The three issues raised in cultural theory of globalizations are culturaldifferentialism,

convergence and hybridization. Economic theory of globalization deals about economic
transnational practices, Political transnational practice and cultural ideology. Political theory of
globalization deals the impacts of globalization on nation state.

Finally, Neoliberalism and its characteristics are discussed in my paper

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6 .Conclusion

Globalization has both negative and positive impact on society,culturally,economically and

politically. It is the impact of developed countries on the developing countries. Most developing
countries are negatively affected with globalization especially by their culture i.e. they loss their
traditional way of life, their indigenous knowledge because they mostly depend on the
modern /western way of life in their Education,Health, and social interaction .The developing
countries also mostly depend on the political ideology of the western which may not compatible
to their situation or countries existing condition. The economic growth of the developing
countries is also challenged by the external factors such as by the price inflation of export goods
and imported goods.

Globalization, in contrast, transform numerous social and economic problems of developing

countries. Education in developing countries are now days supported by technological devices
such as computers and internet services. The health service also expanded in number and quality
in town and rural area of the developing countries because of scientific knowledge and Health
equipment transformation from traditional to modern one.

Therefore, as developing countries, we have to know our best culture,economic, political system
and work on them to use and share for others .We also share best ideas and technologies of other
which can support our culture, economy and politics.

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Reference

 Ritzer, George (2011). Sociological Theory. Seventh Edition. New York: McGraw-Hill
Higher Education.
 Rath, Nava Neeta (1995). Sociology of Globalization.Department of Sociology,Utkal
University

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