CHAPTER 2 THE GLOBAL ECONOMY

PROCESS QUESTIONS 1

1. Do you think that the Philippines is harmed as other countries

transfer their activities to us through outsourcing?
Answer: No. In fact, the Philippines benefits from it. When a certain
company in other countries involves itself in an outsourcing, normally it
brings harm locally than any other countries outside.
2. In what ways do international organizations help our country's
economy?
Answer: International organization helps our country economy by
maintaining standards to ensure safety. helping developing countries
and achieve economic security. establishing norms regarding how
countries make trade agreements and resolve conflicts.
3. Does the position of rich countries as glants in the economic chain
threaten the status of less developed countries in the global market?
Answer: Yes, the position of rich countries as giants in the economic
chain do threaten the status of less developed countries in global
market. Rich countries have more profit and salary than the less
developed country ones. Therefore, it really threaten the status of less
developed or poor countries.

PROCESS QUESTIONS 2

1. What is the impact of global flows on the global South?

Answer: Global flows, including the movement of goods, capital, people,
and information, can have a significant impact on the global South. On
one hand, global flows can bring economic opportunities and
development to countries in the global South, such as through foreign
investment, trade, and access to new technologies.
2. Examine the gap between rural and urban areas across the globe.
How is that gap affected by globalization?
Answer: The gap between rural and urban areas can be seen in
the lower productivity of economic activities, higher poverty levels and
lower quality infrastructure and services in rural areas.
3. What do you think is the impact of urbanization and the rise of global
city on the agricultural sector?
Answer: The process of urbanization resulted in substantial land
conversion, which, in turn, led to a drastic decrease in crop production
areas and changed the agricultural landscape of the Metropolitan
Manila area. It also placed pressure on urban fringes, making land use
conversion inevitable in cities.

PROCESS QUESTIONS 3

1. In the case of the Philippines, how much do you think are we involved
in the modern world-system? What do you think are the advantages and
disadvantages of being a part of such?
Answer: For me I think we are deeply involve because we are strictly
related to modern world system because we obtain income by
importing nations resources for other countries to enjoy. Philippines
exports lots of commodities like bananas, coconuts, petroleum, and
specially coconut oil that dominates the export market based on my
research. Commodities aren’t the thing we export, we also export
workers and local services mostly to Middle East and other parts of
Asia. We were also colonized twice already first by the Spanish colony
and subsequently US colony. Advantages of being part of modern world
system is we remain economically dependent on the core in a number
ways, which tend to reinforce each other but the down side of that is
there is no equality since there nations that has high income and wealth.
2. How can we "upgrade" our economy given the strength of the global
economy, especially the giant economies like the United States and
Japan?
Answer: In my opinion, there are two issues that we need to address to
improve or upgrade the economy of the Philippines. First and foremost,
we need to focus on the labor force, and second, we need to start
investing and patronizing our local products. In terms of human capital,
I'm referring to the labor force that we need, which is a significant factor
as one of the sources of economic growth. They said that the bigger the
population, the larger thelabor force.
3. How do we examine economic globalization considering our colonial
history?
Answer: We examine economic globalization in consideration of
colonial history by learning and understanding the paradigm shift
between “closed door” mercantile systems like “colonialism” vs “open
door” economics where anyone can trade and do business with anyone
else.