Republic of the Philippines

POLYTECHNIC UNIVERSITY OF THE PHILIPPINES

Santa Maria Bulacan Campus
Santa Maria, Bulacan
The Contemporary World

Name: Diana Mae D. Santos

Course & Year and Section: BSENTREP 1-2
Date: 11-25-2021
Unit 2: Lesson 2

Activities / Assessments:

1. Define economic globalization.

Economic globalization is the exchange of goods and services integrated into a huge single global
market. It is virtually a world without borders, inhabited by marketing individuals and/or companies who have
joined the geographical world with the intent of conducting research and development and making sales. It
also refers to the worldwide movement of people, capital, technology, products, and services. It also has to do
with how well countries are integrated into the global economy. It refers to the degree to which various
countries and areas throughout the world have become more interconnected.

2. Who is driving globalization? Who are the actors that facilitate economic globalization?
A global actor is the one who drives the globalization. It refers to any social structure which is able to
act and influence and engage in the global or international system. 
The actors that facilitate economic globalization are:

 International Economic and Financial Organizations

 International Governmental Organizations (IGOs)
 Media
 Multilateral Development Banks
 Nation-States
 Non-Governmental Organizations (NGOs)
 Trans-National Corporations (TNCs)
 United Nations (UN) System

3. Define the modern world system.

It is the whole system of human interactions. The modern world-system is structured
politically as an interstate system. It is a system of competing and allying states. Political Scientists commonly
call this the international system, and it is the main focus of the field of International Relations.

4. Articulate a stance on global economic integration.

It refers to the growing globalization of economies, notably through the cross-border transport of
goods, services, and capital. One of the main goals of the globalization is economic integration, however this
process has resulted in imbalances in the global trade system.
 In my opinion, even if economic integration has provided us with several benefits, it is still not a good
notion for our globe because it simply serves to enrich the wealthy while it makes non-rich poorer. Global
economic integration may be beneficial to executives, owners, and investors, but it is a nightmare for low-
wage workers. Although price competition between nations is expected to push costs down, this does not
always happen since countries manipulate their currencies to get a pricing advantage. 

5. Explain the role of international financial institutions in the creation of a global economy.
As a result of globalization, the many different functions that financial institutions perform in the larger
global economy have expanded.  A well-functioning economy relies heavily on financial institutions. In low-
income areas, it provides as a fundamental way of saving as well as a key source of revival. Communities rely
on them for fundamental activities like savings and loans, therefore their role is diverse. They serve as the
financial backbone of an economy, whose stability is vital to the community.

6. Narrate a short history of global market integration in the twentieth century.

19th century.
The 19th century saw substantial advances in international market integration and the creation of a truly
world economy. Technological advance critical in this. The railroad they have and the marine steam engine
revolutionized world transport.
1830s.
Steamships connected the world's ports to each other, and from the ports, the railroads ran inland, creating a
new and faster world transport network. Freight rates fell, and goods could be carried across the world to ever
more distant market in still be cheaper in those faraway places than the same item produce locally. Linked
closely to these changes with the electric telegraph, whose lines often ran along the new railroad networks.
1854
Telegraph systems were established in most countries, including the major market of British India.
1866
The first transatlantic cable, which was led by steamship was made in 1866, these existing domestic Telegraph
systems were linked together by marine cables.

7. Identify the attributes of global corporations.

Global corporations are any corporations that operates in at least a country other than the country
where it originated. Realistically, expanding to even just one additional country is a lot of work and is
therefore a great achievement. This are often huge, multinational conglomerates with extensive global
influence. These groups have the power to influence what occurs in our society and economy. Because they
don't have to answer to anybody except themselves, they might be regarded of as existing apart from the rest
of society.

8. Explain the effects of globalization on governments.

Governments are limited by globalization because it causes increased budgetary pressure. As a result,
governments shift their spending priorities away from capital expenditures and toward transfers and
subsidies.
The explanation to this effect of globalization to the government is that the government used to
provide help when it comes to capital expenditures but because of globalization where business world and
different markets started to become independent from the government and interdependent with each other,
budgets of the government shift and now centralized on providing subsidies to the people.

9. Give the institutions that govern international relations.

The institutions that govern international relations are The General Agreement on Tariffs and Trade
(GATT) that eliminate harmful trade protectionism and the World Trade Organization (WTO) that sort out the
trade problems they face with each other.

10. Differentiate internationalism from globalism.

The difference between globalism and internationalism is that internationalism is a political, economic,
and cultural cooperation between nations, whereas globalism is an ideology based on the conviction that
people, goods, and information should be allowed to freely traverse national borders.

11. What are the roles and functions of United Nations in the global governance?
The roles and functions of the United Nations in the global governance are:
1. To maintain international peace and security and to take adequate steps to avert wars.
2. To develop friendly relations among nations on the basis of equality.
3. To achieve international co-operation in solving international problems of an economic, social, cultural
or humanitarian character.
4. To be a center for harmonizing the actions of nations in the attainment of these common ends.

12. What are the challenges of global governance in the twenty-first century?
Since 1872, when it surpassed Great Britain as the world's largest economy, the United States has been
the worldwide leader. During this century, however, China's GDP will overtake that of the United States.
According to the World Bank, China's GDP will surpass that of the United States in terms of purchasing power
parity, despite the fact that the media has paid little attention to the event.
Some Chinese intellectuals believe that if China has complete dominance over the world, there would be no
need for boundaries. There will be a one magnificent nation that lives in peace. China will make the globe a
more just place. Beijing would be the capital. The first element of this, China ruling the globe, is quite likely to
happen this century. The possibility of greater peace and fairness is very uncertain.
It is now a challenge to the global governance because China might dominate the world through their
power because they are becoming the global leader this century. Having a largest economy gives a certain
country a power to be stronger. And that will surely create a chaos if the original global leader would be
replaced. The question this raises is this: What should China and the U.S. do to avoid the Thucydides Trap?

13. Explain the relevance of the state amid globalization.

Globalization is described as the strengthening of political, economic, and social interactions in a global
environment to the point when events occurring on the other side of the globe can have a very 'local'
influence on a certain country. A state, on the other hand, is a country or territory that is regarded an
organized political community with a single administration.
While some hyperglobalists feel that globalization has reduced the state obsolete, others say that it has no
impact on the role of the state. However, the most likely scenario is that globalization has changed the
function of the state to some extent.
The decreasing or full elimination of economic, social, and cultural barriers between governments is the result
of globalization. Some researchers believe that in a globalized world, governments that are naturally divided
by physical and economic boundaries, would become less relevant.
Globalization and nation-states are complementary to each other. States are the one who run this
globalization. This also promotes a sense of interconnectedness among states, which may result in a power
imbalance between countries with varying economic strengths. As the primary cause in global
interconnectedness, the country's state in a global world is essentially regulatory.

Assignment:

1. Define the term of “Global South.”

The global south is made up of Africa, Latin America, and developing Asia including the middle
east. The global south “lacks appropriate technology, it has no political stability, the economies are
disarticulated, and their foreign exchange earnings depend on primary products exports.” Those
countries in the globe that are considered to have a low degree of economic and industrial
development, and are often found to the south of more industrialized nations, compared to the Global
North where most of the countries have high level of economic and industrial development.

2. What is the difference between Global South from the Third World?
Third World arose during the Cold War to define countries that remained non-aligned or
neutral. It is the states that are not formally aligned with or against any major power bloc. Countries
involved in this third world are Africa, Latin America, Oceania and Asia. Whereas the Global South are
the term called for developing countries and often impoverished.

3. What are the factors leading to a greater integration of the Asian Region?
The factors which are leading the Asian Region into greater integration include:
1. Trade: Domestic and international commerce have aided regional integration among Asian
countries. Imports and exports of commodities and services are both possible.
2. Similar Cultural Beliefs and Events: Asian nations share a wide range of cultural beliefs and events.
People have found it simpler to negotiate since their cultures are similar.
3. Same Aims: Asian countries have common goals, allowing them to work together more effectively.
Their territories are close together, and their populations are all working toward
economic progress and integration.