TCWD 111 – PRELIM national and even in regional context.
This
I. GLOBALIZATION
1. Cuturela (2012)
- cited a published work, Towards New
Education, which used the term
“globalization” in 1930.
- Globalization means to designate an
overview of the human experience in
education.
2. Inosemtsev (2008)
- distinguished globalization as one of the
most known social studies, but is still a
hollow terminology.
- However, after the Cold War the term was
already used to define an interdependent
world when it comes to its economical and
informational dimensions.
3. Webster
- globalization is the development of an
increasingly integrated global economy
marked by free trade, free flow of capital,
and the tapping of cheaper foreign labor
markets.
4. Robertson (1992)
- in his article, Globalization: Social Theory
and Global Culture, defined globalization as
the “understanding of the world and the
increased perception of the world as a
whole.”
- Therefore, the term has a rich concept that
people need to have deliberate grasp in
order to fully understand the term.
5. Albrow and King (1990)
- defined globalization as “all those processes
by which the people of the world are
incorporated into a single world society.
- This only means that peoples around the
globe live in a borderless community.
- It is, however, significant to say that
globalization has exerted a tremendously
serious impact on each sovereign state. The
transnational spread of capital and the
formation of the global markets have
replaced the disintegrated economies of
various countries.
6. Giddens (1991)
- has supported Albrow and King claim when
he highlighted in his definition that
globalization is the process of intensifying
social relationships among countries around
the world connecting separate localities in a
manner in which local events are formed as
a result of happenings that have occurred
from afar.
- There is a rapid interconnection worldwide
that links among people in the local,
interconnectedness is created because of
social and economic relationships and
networks which are relevant in the global
interactions.
7. Steger (2005)
- cited Freeden (2003) who pointed out that
globalization denotes not an ideology, but
‘a range of processes nesting under one
rather unwieldy epithet.
- He furthered that global flows occur in
different physical and mental dimensions.
- opined that globalization should be
confined to a set of complex, social
processes that are changing our current
social condition derived from the modern
independence of nation-states.
- He furthered that key concept of
globalization have been defined such as
multidimensional set of social processes
that create, multiply, stretch, and intensity
worldwide social interdependencies and
exchange while making people aware of
connections between the local and the
distant.
- The term globalization should be confined
to a set of complex, sometimes
contradictory, social processes that are
changing our current social condition based
on the modern system of independent
nation-states.
- Indeed, most scholars of globalization have
defined their key concept along those lines
as a multidimensional set of social
processes that create, multiply, stretch, and
intensify worldwide social
interdependencies and exchanges while at
the same time fostering in people a growing
awareness of deepening connections
between the local and the distant.
8. International Monetary Fund (IMF, 2000)
- identified some overviews of various areas
of globalization.
- Globalization ‘offers extensive
opportunities for truly worldwide
development, but it is not progressing
evenly’.
- IMF conveyed that there are some
countries that have been able to integrate
into the global market rapidly, yet there are
also some that have not yet integrated.
- Those countries that were able to integrate
in the global market are growing fast and
are able to reduce problems of poverty.
- To reiterate, globalization is not a recent
phenomenon and there is nothing
mystifying about it.
- In the 1980’s, the term “globalization” has
become a common word manifesting
advances in modern technologies that have
made international transactions, in both
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 trade and finances, convenient, accessible,
and easy.
- IMF (2000) noted that globalization refers
to an extension beyond national borders of
the same market forces that have operated
for centuries at all levels of human
economic activity which includes village
markets, urban industries, or financial
centers.
9. Hutton & Giddens
- as cited by Cuturela (2009) emphasized that
globalization is the interplay of
extraordinary technological innovation
mixed with influence of the world that gives
today’s changing its complexity.
- They expressed that the balance between
science or knowledge and resources has
changed in such a way that science and
knowledge have become perhaps the most
significant factor in the determination of
the country/s standard of living.
- Truly, the countries with the most advanced
economies are the countries with the most
modern technology based on science and
knowledge.
THE FIVE CORE CLAIMS OF MARKET GLOBALISM
a. Steger (2014)
- pointed out that in the mid-1990’s, more
population in the global north and south
had accepted globalism’s core claims, thus
internalizing large parts of its overarching
neo-liberal framework that advocated the
deregulation of markets, the liberalization
of trade, the privatization of state-owned
enterprises, and after 9/11, the qualified
support of the global ‘War on Terror’ under
US leadership.
1. Globalization is about the liberalization and global
integration of market
- Is absolutely anchored in the neo—liberal
ideal of self-regulating market as the
normative basis for a future global order.
- This perspective explains the relevant
functions of free market-its rationality and
efficiency, as well as its alleged ability to
bring about greater social integration and
material progress-can only be realized in a
democratic society that values and protects
individual freedom.
2. Globalization is inevitable and irreversible
- market-globalist perspective sees
globalization as the spread of irreversible
market forces driven by technological
innovations that make the global
integration of national economies
inevitable.
- As a matter of fact, market globalism is
always interlaced with a belief that markets
have the capacity to use new technologies
to solve social problems.
3. Nobody is in charge of globalization
- highlights the semantic link between
‘globalization-market’ and the adjacent idea
of ‘leaderlessness’.
b. Robert Hormats (1998)
- Opined that ‘The great beauty of
globalization is that no one is in control.’
- This only means that no individual, no
government or no institution has the
control over globalization.
c. Thomas Friedman (1999:112-3)
- Similarly emphasized that the most basic
truth about globalization is this: ‘No one is
in charge…But the global marketplace today
is an Electronic Herd of often anonymous
stock, bond, and currency traders and
multinational investors, connected by
screens and networks.’
4. Globalization benefits everyone
- This lies at the heart of market globalism
and represents a ‘good’ phenomenon.
- At the 19986 G-7 Summit in Lyons, France,
the heads of state and government of the
world’s seven most powerful industrialized
nations issued a joint Economic
Communique (1996) that exemplifies the
principal meaning of this claim:
o Economic growth and progress in
today’s interdependent world is
bound up with the process of
globalization.
o Globalization provides great
opportunities for the future, not
only for our countries, but for all
others, too.
o Its many positive aspects include an
unprecedented expansion of
investment and trade; the opening
up to international trade of the
world’s most populous regions and
opportunities for more developing
countries to improve their
standards of living; the increasingly
rapid dissemination of information,
technological innovation, and the
proliferation of skilled jobs.
5. Globalization furthers the spread of democracy in
the world
d. Francis Fukuyama (2000)
- stressed that there exists a ‘clear
correlation’ between the country’s level of
economic development and successful
democracy.
- While globalization and capital
development do not automatically produce
democracies, ‘the level of economic
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 development resulting from globalization is
conducive to the creation of complex civil
societies with a powerful middle class.
- It is this class and societal structure that
facilitates democracy’.
ACCORDING TO GEREFFI, THE GLOBAL ECONOMY CAN
BE STUDIED AT DIFFERENT LEVELS OF ANALYSIS.
e. Hillary Rodham Clinton (1999)
- the former First Lady
- praised the Eastern Europe’s economic
transition towards capitalism by saying,
“The emergence of new businesses and
shopping centers in former communist
countries should be seen as the ‘backbone
of democracy.’
II. GLOBAL ECONOMY
- For the past centuries, the global economy
has significantly changed.
- In the 11th century, the long-distance
trading flourished between Venice and the
Netherlands.
- The woolen industry in the 13th century in
Flanders and in 14th century in Florence can
also be an example of a sustained economic
growth throughout history.
- Those global changes have contributed
much to the economy of the world. There
was the birth of capitalism.
- Conversely, the standards of living of most
of the population in the globe have
remained at the subsistence levels until in
the middle of 18th century.
- In Gary Gereffi’s journal, The Global
Economy:
o Organization, Governance, and
Development, he mentioned that
the global changes are attributed to
how the global economy is
organized and governed.
o He furthered that these changes
give impact not only to the flow of
goods and services across national
borders, but also the implications of
these processes for how a particular
country move up or down in the
international scene.
o Nowadays, the various countries’
strategies on development are
influenced by the new degree on
how industries are organized.
o These development strategies are
manifested in a shift in theoretical
frameworks from those centered
on the legacies and actors of
nation-states to a greater concern
with supranational institutions and
transnational organizations.
o Developed countries and
developing countries like the
Philippines have to fully understand
the impact of the contemporary
global economy to improve their
position in the global system.
o There is no singular academic field
that can completely explain the
topic of global economy because it
is inherently interdisciplinary.
1. Macro level
o This includes the international
organizations and regimes that
establish rules and norms for the
global community.
o The World Bank, the International
Monetary Fund, the World Trade
Organization, and the International
Labor Organization are the existing
international organizations that
make impact to the economy of the
world.
o The regional integration schemes
like the European Union and the
North American Free Trade
Agreement are also part of these
organizations. Since these regimes
blend both the rules and resources,
they substantiate the widest
parameters within which the global
economy operates.
2. Meso level
o It is believed that the building
blocks for the global economy are
the countries and firms.
o The global economy is seen as the
arena in which countries compete
in different product markets.
3. Micro level
o There is a growing literature on the
resistance to globalization by
consumer groups, activists, and
transnational social movements.
- Therborn (2000) expressed, “There are
many theories related to economic
sociology incorporate the global economy
in their frameworks, but they differ in the
degree to which it is conceptualized as a
system that shapes the behavior and
motivation of actors inside it, or as an arena
where nationally determined actors meet,
interact, and influence each other.”
- The development of a world trading system
over a period of several centuries helped to
create the tripartite structure of core, semi
peripheral, and peripheral economic areas.
- According to world-systems theory, the
upward or downward mobility of nations in
the core, semi periphery, and periphery is
determined by a country’s mode of
incorporation in the capitalist world-
economy, and these shifts can only be
accurately portrayed by an in-depth analysis
of the cycles of capitalist accumulation in
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 the longue durée of history (Wallerstein
1974, 1980, 1989; Arrighi 1994).
- The foundation for a process of
industrialization and new international
divisions of labor on a global scale is
attributed to the dynamics of the capitalist
world-system.
- Adam Smith, an eighteenth-century political
economist, defined “division of labor” as
the specialization of
- workers in different parts of the production
process, usually in factory setting.
- Gereffi stressed that the division of labor
also acquired a geographical dimension 3. Vertical Integration
during the influx of industrial economies as - It occurs when a firm performs more than one
evolved. activity in the sequence of the marketing
- In a global scope, the “classic” international process.
division of labor was between the industrial
countries producing manufactured goods a. Forward integration
and the non-industrialized economies that - if a firm assumes another function of marketing
supplied raw materials and agricultural which is closer to the consumption function, it
products to the industrial nations which is a case of forward integration.
became a market for basic manufacturers.
- Years after World War II, trade flows have
b. Backward integration
become far more complex, and so have the
- this involves ownership or a combination of
relationships between the developed and
sources of supply.
the developing nations of the global
economy.

III. MARKET INTEGRATION

- A situation in which separate markets for

the same product become one single
market (Cambridge Business English
Dictionary)
Example: when an import tax in one of the markets is
removed.

TYPES OF INTEGRATION

1. Horizontal Integration
- is a type of Integration, by combining the
market agencies to form.
FORMS OF MARKET INTEGRATION
- a union to reduce their effective member and
the extent of actual competition in market. 1. Preferential Trading Agreement
- trade agreements between countries in which
a. Partnership: collaborating with another they lower tariffs for who have signed the
company to tackle the market together (with a agreement, but not for the rest of the world.
common product, promotion, sales strategy,
etc.)

b. Merger: when two different companies in the

same market become one.

c. Acquisition: when a company buys another

within the same market.

2. Conglomerate Integration
- A combination of agencies or activities not
directly related to each other may operate
under a unified management. 2. Free Trade Agreement
- reduces barriers to trade among member
countries to zero, but each member country still

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 has autonomy in deciding for external rate of
tariff for its trade with non-member countries.
a. North American Free Trade Agreement (NAFTA)
- It was implemented in order to promote trade
between the U.S., Canada, and Mexico
b. The ASEAN Free Trade Area (AFTA)
- It is a trade bloc agreement by the Association
of Southeast Asian Nations supporting local
manufacturing in all ASEAN countries.
- el Mercado Común del Sur (the Common
Market of the South) is a regional integration
process, initially established by Argentina,
Brazil, Paraguay and Uruguay, and subsequently
joined by Venezuela and Bolivia.
c. The Common Market for Eastern and Southern
Africa (COMESA)
- is a free trade area that encompasses 19
countries stretching from Libya to Zimbabwe.

3. Customs Union
- an agreement to remove trade barriers among
members and impose uniform trade restrictions
against non-members

a. Benelux
- an economic Customs Union founded in 1948
between Belgium, Netherlands and
Luxembourg

4. Common Markets
- allows for the movement of labor and capital
within the member countries
- Custom Unions + integration of factor markets TRANS-MULTI-INTERNATIONAL
(capital and labor) - means a for-profit enterprise
• Characteristics:
Example: 1. It engages in enough business activities –
a. European Common Market including sales, distribution, extraction,
- is the example of common market which aims manufacturing, and research and development
to provide the free movement of goods, capital, - outside the country of origin so that it is
services and labor within the EUROPEAN dependent financially on operations in two or
UNION. more countries.
2. The management decisions are made based on
- it refers to an agreement between countries
regional or global alternatives.
that allows product, services and workers to
move freely across borders.

b. The Southern Common Market (MERCOSUR)

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 - Transnational Corporation or TNC can be a IMPORTANCE OF GLOBAL INTERSTATE SYSTEM
"public" corporation, which trades its shares of - A hegemon is a core state that has a
stock at stock exchanges or brokerage houses; significantly greater amount of economic power
the buyers from the public are "shareholders," than any other state, and that takes on the
and can include individuals as well as political role of system leader
institutions such as banks, insurance PRINCIPLES OF THE INTERSTATE SYSTEM
companies, and pension funds. ✓ Sovereignty
• Nature of TNC: ✓ Territoriality
✓ Companies operating in at least 2 countries ✓ Non-interference
✓ Production Cost more lower cost ECONOMIC AND POLITICAL INTEGRATION: THE CASE
✓ Access to all the markets OF EUROPEAN UNION
✓ Expand the resources of foreign countries - Alongside economic interdependence, states
✓ Escape trade tariffs formed regional partnerships;
GLOBAL CORPORATION - Europe as continent’s political elite made the
- A kind of corporation that operates in countries leap into market integration after WWII from
all around the word. European Coal and Steel Community to
European Union;
PROS CONS
- It has 28 members today with single currency
Economic scale- greater
Scope for tax avoidance and monetary system, supranational European
efficiency and lower
and lost tax revenue Parliament, and common citizenship
prices
More research and Automated system can GLOBAL GOVERNANCE
development, leading to show lack of empathy - It is the process of designating standards, laws,
improved products with the events rules, or regulations intended for a global scale.
Create jobs and wealth Power in setting lower • Contemporary Global Governance
around the world wages - is a purposeful order that emerges from
Some workers displaced-
Can give consumers institutions, processes, norms, formal
possible structural
greater choice of goods agreements, and informal mechanisms that
unemployment
regulate action for a common good;
MULTI-NATIONAL CORPORATION/COMPANY (MNC) - it encompasses activity at the international,
- Known as a company with headquarter in one transnational, and regional levels, and refers to
country and its branches or subsidaries are activities in the public and private sectors that
spread across many countries. transcend national boundaries (K. Benedict,
2001).
• Role of public international law in Global
governance
- Public International Law or law of nations, is the
body of legal rules, norms, and standards that
apply between sovereign states and other
entities that are legally recognized as
international actors
DOCTRINE OF TRANSFORMATION VS. DOCTRINE OF
INCORPORATION
-A multinational corporation/company is an
• Doctrine of Transformation
organization doing business in more than one
- any international law must be
country. 'In other words it is an organization or
enterprise carrying on business in not only the consciously/mindfully transformed through
country where it is registered but also in several legislation before the said international law
other countries. could be implemented locally
IV. GLOBAL INTERSTATE SYSTEM • Doctrine of Incorporation
V. CONTEMPORARY GLOBAL GOVERNANCE - an automatic reception of the international law
PROBLEMS AFFLICTING THE WORLD into domestic law without the formal needs for
✓ Poverty official legislation to sanction it and give effect
✓ Environmental pollution to it
✓ Economic crisis
✓ Crime and terrorism
✓ Pandemic
✓ Climate change

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 INTERNATIONAL LAW VS. DOMESTIC LAW
a. International Law
- Provides normative guidelines, methods and
mechanisms to sovereign states and
international organizations
Example: United Nation Conventions Law of the Sea
Example of International Law subjects:
✓ Human Rights
✓ World Trade
✓ War
✓ Migration
b. Domestic Law
- body of law and rules existing within a country’s
territory
• International treaty
- Is an agreement formed by international actors,
such as sovereign states and international
organizations under the international law;
cogent source of international law.
Example: International Water Agreement by UNCLO
International customs
- A general practice accepted as law [ARTICLE 38
1B] TWO ELEMENTS: STATE PRACTICE AND
OPINIO JURIS
Example: Head-of-State Immunity
• Some issues revolved through global governance:
✓ human rights
✓ the protection of individuals during wars and
✓ Armed conflicts.
✓ the fight against terrorism and other serious
crimes
✓ environment
✓ trade and development
✓ telecommunications
✓ transport
• Issues of global governance:
✓ Military conflicts among or within states
✓ Climate change problems
✓ Humanitarian crisis
✓ Economic imbalances
• Purpose of global governance:
✓ National policies have a direct effect on a
country, good or bad
✓ Its global effects on other countries cannot be
ignored;
✓ Global governance stresses on cooperative
forms of conflict management;
✓ It helps nations to develop their capacity to deal
with the challenges of globalization;
✓ Global governance includes citizens'
participation in the global decision-making.
THE EUROPEAN CIVILIZATION
- Europe has a long history of human
development and is considered the birthplace
of Western Civilization.
- Today, this cultural wealth is used to solidify the
European Community and is exported to the
rest of the world as one of the continent's
greatest global assets.
• What made Europe so powerful?
- Gunpowder was really important for
conquering territory; it allows a small number
of people to exercise a lot of influence.
- The technology grew to include more than just
guns: armed ships, fortifications that can resist
artillery, and more, and the Europeans became
the best at user of these things.
• Why was Britain the first country to industrialize?
- The final reason for why Britain was the first
country to industrialize was due in large part to
its vast colonial empire.
- This is important because it gave Britain access
to huge amounts of natural resources that it
could then use in the factories that developed
during the Industrial Revolution.
• Why did Europe expand instead of another
society?
- In the 15th century, Europe sought to expand
trade routes to find new sources of wealth and
bring Christianity to the East and any newly
found lands.
- This European Age of Discovery saw the rise of
colonial empires on a global scale, building a
commercial network that connected Europe,
Asia, Africa, and the New World.
A SOVEREIGN STATE
✓ Sometimes called an independent state.
✓ Space or territory that has internationally
recognized boundaries.
✓ People who live there on an ongoing basis.
✓ Regulations governing foreign and domestic trade.
✓ The ability to issue legal tender that is recognized
across boundaries.
- International law and Hobbes’ statement on law
are intimately connected; the sovereign will of
the state is the ultimate authority in the
composition of international law.
- Essentially the role of international law is to
regulate the behavior of states.
• U.S. Recognition of Philippine Independence, 1946
- The United States recognized the Republic of
the Philippines as an independent state on July
4, 1946, when President Harry S. Truman did so
in a proclamation.
- The United States and the Philippines signed a
treaty on the same date whereby the United
States renounced all claims to the Philippines,
which had previously been under American
sovereignty.
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 TRANSNATIONAL ACTORS (TNAs)
- have come to be considered political, social,
cultural, and economic agents or groups that
have trans societal relations across borders.
- They pursue their goals somewhat
independently of governmental consideration.
• NAFTA - North American Free Trade Agreement
• WTO - World Trade Organization
• GATT - General Agreement on Tariffs and Trade
• CHINA - It is the leading manufacturing country.
• CAPITALISTS - A person who uses their wealth to
invest in trade and industry for profit in accordance
with the principles of capitalism
• TRANSPORTATION - The key thing to have in
Globalization.
• COMMUNICATIONS, ECONOMICS & CULTURE -
Globalization represents an increasing integration are
the following.
• LIBERALIZATION - Free and open border-less world
economy.
• Globalization could not exist without a common
religion.
• The growth in global communication has meant
people now rely on different sources for the news.
• Economic interchange and interdependence is a
phenomenon that affects individuals in everyday life.
• GLOBALIZATION - the process of expanding globalism
and refers to the increasing integration of economics,
communications and culture across national boundries.
• THOMAS FRIEDMAN – He divides the history of
globalization in three (3) periods.
• Globalization 1 involved the globalization of
countries.
• Globalization 2 involved the globalization
of companies.
• TECHNOLOGY - It advances and rapidly expanded the
speed with which merchandise, money, people,
information and ideas move over long distances.
• The Bretton Woods Institutions include: The World
Bank and The International Monetary Fund.
• All of the following are examples of the benefits of
globalization:
- There is now a global culture with urbanization and
resemblance.
- The world is becoming more homogenous, a
cosmopolitan culture is developing in which people
think globally.
- A rapid economic transformation made the world
more interdependent.
WIDESPREAD - Resistance to the adoption of a
common culture.
• Transnationalism results from all of the following:
- Increased abstract thinking.
- Increased economic interdependence.
- Increased global communication.
• TRANSNATIONALISM - It describe individuals who
adopt a political identification that does not focus on
the nation-state.
• Liberalists believe that a transition from a state-
centric system to an interdependent system is both
under way and desirable.
• NON-GOVERNMENTAL ORGANIZATION (NGO) - An
organizations that operate across national boundaries
and whose membership is composed of individuals.
• The level of global interconnectiveness is in large part
due to advancements in communications and
transportation.
• The media has had significant role in promoting a
common culture.
• NGOs doesn't have little effect on governmental
policies.
• Transnational interaction is increasing.
• SUNNIS AND THE SHIITES - A major source of conflict
within Islam is between the two major sects of Islam.
• CURRENT TREND OF TRANSNATIONALISM -
Transnationalism continues to progress, but it is difficult
to determine how long it will continue to grow.
• False - The term McWorld is used to describe a
transnational path toward greater conflict.
• The following trends support Huntington's "clash of
civilizations":
- Persistent racism
- Cultural clashes
- Religious fundamentalism
• A POLITICAL STRUCTURE DOMINATED BY RELIGIOUS
LAW - The goal of fundamentalist Muslims.
• ECONOMIC GLOBALIZATION - A modern term used to
describe the changes in societies and the world
economy that result from dramatically increased
international trade and cultural exchange.
• The Drivers of Globalization:
- The reduction of barriers to international trade
- Increased consumer demand
- Lowered costs of shipping and production, and
technological advancements in communication and
transportation.
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