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ED75.

08-NewTech&Gender

Debates on globalization and industrialization


August 24, 2011 Globalization I Originally an economic concept, describing the rapid increase in international financial flows, which escape increasingly from the international political system and the actions of States, and the increased interdependence of national economies, as well as the role of transnational corporations in the world economy.

Measured in four aspects which are Economic, Personal, Technological and Political Economic Integration: Trade and foreign direct investment Technological connectivity: Internet users, internet hosts, and secure severs Personal contact: International travel and tourism, international telephone traffic, and remittances and personal transfers (including worker remittance, compensation to employees, and other personto-person and non-governmental transfers) Political engagement: Membership in international organizations, personal and financial contributions to U.N. peacekeeping missions, international treaties ratified, and governmental transfers
Foreign Policy Globalization Index shows that the multifaceted force called globalization is made of sterner stuff. By the second half of 2003, the

ties that bind were connecting us once again. Global trade, which grew at less than 1 percent in the first quarter, jumped by more than 5 percent in the second half of the year. Global development aid improved dramatically. The Organisation for Economic Co-operation and Development estimated that official development assistance reached a record $69 billion. The largest increase came from the United States, which boosted foreign aid by more than 20 percent. The resilience of globalization indicates that it is a phenomenon that runs deeper than the political crises of the day. In an effort to measure its many dimensions, the index looks behind the headlines by using several indicators spanning trade, finance, political engagement, information technology, and personal contact to determine the rankings of 62 countries. These 62 countries together account for 96 percent of the world's gross domestic product (GDP) and 85 percent of the world's population. The index measures 12 variables, which are divided into four "baskets": economic integration, technological connectivity, personal contact, and political engagement. The resulting rankings offer an important high-altitude look at which countries are globalizing and which are not. But sifting through the data that come out of the index also yields some interesting stories behind the broader trends.
The Winners' Circle

The luck of the Irish finally ran out, as last year's runner-up, Singapore, took the top spot in this year's ranking, ending Ireland's three-year streak. One key to Singapore's rise was its increased political engagement. The island nation built bridges in 2003 -- increasing its financial contribution to U.N. peacekeeping missions by 41 percent. (Indeed, a Singaporean general commanded the peacekeeping force in East Timor for much of 2003.) Singapore solidified its first-place ranking in foreign trade by signing a bilateral free trade agreement with the United States in May 2003, the first such agreement the United States had signed with an Asian nation. Meanwhile, Irelands strong economy slumped, with GDP growth sliding from a robust 6.9 percent in 2002 to a tepid 1.8 percent in 2003. There was other movement in the top five. Finland fell from fifth to 10th place. The United States jumped from seventh to fourth and became the first large country to crack the top five. Nations with large populations (and large domestic markets) generally fare worse in the index because they are typically less dependent on foreign trade and investment. The strong U.S. showing is primarily a result of its remarkable technological prowess.

Globalization II Concept describing the state of the contemporary world marked at the same time by a reinforcement of interdependence and solidarity, by the opening-up of States and regional spaces and by a standardization of social practices and models on the scale of the whole planet Deterritorialization and Convergence Deterritorialization Money, financial flows and institutions are decreasingly associated with a territory or country Currency is a good example Convergence Different from harmonization and interoperability In economics, catch-up theory A theory speculating that, since poorer economies tend to grow more rapidly than wealthier
economies, all economies in time will converge

( ) in terms of per capita income. In other words, the poorer economies will literally "catch-up" to the

more robust economies. Because developing markets have access to the technological know-how of the advanced nations, they often experienced rapid rates of growth. However, although developing countries can see faster economic growth than more economically advanced countries, the limitations posed a lack of capital can greatly reduce a developing country's ability to catch-up. Historically, some developing countries have been very successful in managing resources and securing capital to efficiently increase economic productivity; however, this has not become the norm on a global scale. Read more: http://www.investopedia.com/terms/c/catch-up-effect.asp#ixzz1W6lxPwZb

Convergence of labor price between developed and developing countries In reality there has been a divergence between rich and poor between countries or within them Globalization debate: Development or domination The debate on globalization is between the partisans who see in this evolution a better allowance of resources and a rise of productivity on a world scale (Senarclens, 2000, p. 12) and

the critics who supports that it creates social polarizations and increased inequalities. For them, it is obvious that the wealth underlined by the partisans of globalization is not necessarily translated in a development of these societies. The Washington Consensus (term coined by John Williamson in 1989) (18.12Voices Sony) 1. Fiscal Discipline. (reduce deficits causing high inflation) GDP


2. Reordering Public Expenditure Priorities. (subsidies restricted to basic health and education) 3. Tax reform. (broad tax base with moderate marginal tax rates.) ( ) 4. Liberalizing Interest Rates. (or financial liberalization) 5. A Competitive Exchange Rate. 6. Trade Liberalization. 7. Liberalization of Inward Foreign Direct Investment. (FDI-Foreign

Direct Investment) ()
8. Privatization. (can bring benefit if no corruption involved) 9. Deregulation. (easing barriers to entry and exit, not on abolishing regulations designed for safety or environmental reasons.) (Deregulation) 10. Property Rights. (providing the informal sector with ability to gain property rights at acceptable cost.) ( )

4 1. Liberalization 2. Privatization 3. Deregulation 4. Stabilization


SAPs the structural adjustment programme (SAP) Forced liberalization Privatization of public assets Reduced trading barriers and economic protections Deregulation Export oriented growth Note: SAP is a major cause of poverty http://www.globalissues.org/article/3/structural-adjustmenta-major-cause-of-poverty

Exports as % of GDP SEA has highest percentages of export than other regions TNCs (Trans National Corporations)/MNCs (Multi National Corporation) Lured ( ) into developing countries by lowering their environmental costs Avoid strict environmental and labor regulations Employ cheap labor Lower safety standards No or low taxes Various benefit (cheap electricity, EPZs, etc.) Race to the bottom ( ) Under globalization, the process whereby countries attempt to increase their products competitiveness by lowering wages and eliminating any form of extra social, economic and environmental costs (social security, unemployment benefits, environmental safeguards, etc.). This ensures the availability of jobs at great social, economic and environmental costs (hence the race to the bottom quality of life). The competition is mostly for FDIs or Foreign Direct Investment Pollution haven

Pollution haven
Part of race to the bottom States remove all environmental regulations and safeguards Creates an area of high industrial pollution density Like tax haven, corporations move there for the benefits involved on profit margins Modernity as industrialization Early industrialization also serve as context to declare oneself modern Many see the Enlightenment as the birth of Modernity, when capitalism spread Rise of technical and scientific knowledge lead to complexification of industry Industrialization allow the empirical evaluation of modernity Under globalization technologies Reduce communication hurdles (problems/obstacles)

Increase distribution speed and efficiencies Allow synchronous (real time) and asynchronous communications Allow local and long-distance communication Increase transportation speed Allow not only written but visual and audio communication 3 paradigms for globalization and culture (Pieterse) a. convergence paradigm: unilinear (of or following a single, consistent path of development or progression) , neo-liberal modernization, homogenous b. divergence paradigm: results in differences, as in the clash of civilization (Huntington) c. Hybridity paradigm: produces complex and diverse mixtures of different cultural elements, mixing old and new, local and global

1. (Interdependence) 2. (Mobility) 3. (Simultaneity) 4. (Standardization) 5. (Environmentalism) 6. 7.


Development impacts: Fragmentation and Integration dynamics in globalization (Rosenau calls it Fragmegration) ( ) Fragmentation: Communities are in some case fragmented and increasingly polarized. Cultural view. Urban-rural dichotomy. Non-respect of borders. Break down in relations. Integration: Dynamics of convergence, regionalization (i.e. ASEAN), creation of new communities beyond borders. Economic expansion. New identities. Beyond or including borders. Recomposition of relations. Rosenau State-centric and Multi-centric Worlds ( -?) State centric world: this world is codified ( ), organized with limited actors and predictable, it depends on citizen allegiance (loyalty, commitment) where State competence covers a clear population. World of states try to act on international system to legitimize its existence. Use constraint and coercion to act. Problematic of legitimacy. A multicentric world: has an infinite number of actors that are more or less autonomous from the States. This world is based on a less codified network of allegiance. Expand its independence from the State, so trivialize (make light of) borders and the idea of sovereignty. Use informal relations to act. Problematic of effectiveness. Aggregate flow and organized flow under globalization Aggregate flow: Happen with demographics and mass migration. Often result of conflicts, environmental degradation, health or economic reasons. Thailand for instance has to manage a flow of immigrants in search of labour, this is true of the US with Mexican migration, and in Europe as well with North African, Turkish and other migrants.

Organized flow: Activities are planned by non-state actors on a transnational scale. Ex. Multinationals corporations, transnational NGO and Social movements. Cultural events on a regional basis, International media (CNN, etc.) Globalization also feeds the growth of identity formation and particularisms Supranational networks of identification: Umma, religious solidarity religious actors, Return of the sacred. It provides a way to manage pressures from Globalization. Subetatic micro-communitarian identities: Return of communalism, Going back to communal identity, Southern Thailand could be seen through this prism.

1. 2. 3. 4. 1. (Multi-polar System) 2. (Democratization) (Human Right) 3. (National Security) 4.


Expanded Role of the State under Globalization a. The state has to provide the adequate institutional environment in the form of legal and regulatory frameworks, especially the protection of property rights and the enforcement of contracts; b. The state should create an enabling environment for private sector development, especially the needed physical and human infrastructure; c. The state has to establish adequate regulatory frameworks. Economic regulations have to ensure fair competition and prevent concentrations of economic power. Social regulations have to protect the rights of individuals and groups; d. The state has to ensure the provision () of public goods, whose characteristics prevent private provision; e. The state has to organize collective social security systems to cover basic risks; f. The state has to conduct effective macroeconomic policies (monetary, fiscal-) to ensure sustainable economic growth; g. The state has to correct market outcomes in accordance with established social objectives (redistributive policies).

So the State is needed for globalization acc. to E. Wood in order to: To maintain conditions of accumulation To preserve labour discipline () To enhance the mobility of capital To suppress the mobility of labour Though Giddens offers a conflicting view of globalizations influence on the state (Book on The Third way: the renewal of social democracy, Anthony Giddens)
http://books.google.com/books?id=GrIWlBc2954C&pg=PA32&lpg=PA32&dq=squeezes+sideways+Giddens&source=bl&ots=MU0PwzK5P&sig=yoSD952IItJkxT83jjd2oyEINyI&hl=th&ei=y0hXTvPCHcLorAexk9TSCg&sa=X&oi=book_result&ct=result&resnum=2&ved=0 CCEQ6AEwAQ#v=onepage&q=squeezes%20sideways%E2%80%99%20&f=false

Globalization pulls away from the nation-state (welfare powers weakened) some powers nations used to possesses, including those that underlay Keynesian economic management, have been weakened. It pushes down (creates new demands locally, both for authority and new identities) it creates new demands and also new possibilities for regenerating local identities. It squeezes sideways (regional integration) creating new economic and cultural regions that sometimes cross-cut the boundaries of nation-states.
Note: 1) The three-way movement of globalization is affecting the position and power of states all over the world. Sovereignty is no longer and all-or-nothing matter, if it ever was: boundaries are becoming fuzzier than they used to be, esp. in the context of the EU. 2) Governance becomes a more relevant concept to refer to some forms of administrative or regulatory capacities. Agencies which either are not part of any government non-governmental organization or are transnational in character contribute to governance. 3) Globalization is transforming the institutions of the societies in which we live. It is certainly directly relevant to the rise of the new individualism that has figured large in social democratic debates.

Anthony Giddens 5 1. (Universalization & Particularization) 2. (Homogenization & Differentiation) 3. (Integration & Fragmentation) 4. (Centralization & Decentralization) 5. (Juxtaposition & Synchronization)
Marketisation of governance (V. Taylor) Deregulation from public interest to regulation in terms of private interests Enabling environment for newly privatized industries Influence of TNCs over states increase dramatically Policies written by interested agents/institutions The State in a global world The State is both weakened and strengthened by globalization Some of its role, such as regulation become crucial They are also important for international treaties The state also acts as a transnational actor, interacting with non-state entities The State also reacts by increasing integration, such as the EU and other forms of regional alliances

Women in globalization: the critical view Cheap wages Job insecurity Repetitive and monotonous tasks Nimble fingers as assets, jobs require high level of accuracy & manual dexterity (Kaur) Lack of safety No move up the job hierarchy Hawthornes argument Similar to the dependency theory, rich world exploit the poor Globalization as violence against women Indigenous knowledge is weakened or destroyed Patriarchal global neo-liberal system is opposed to local, communal practices Fossilization of gender By attributing gender to spaces and sectors (finance=male, manufacturing= female), we risk according to Davids and Van Driel undermine() the process of emancipation () It also reduces the prospect of change or resistance to one form of globalization (since globalization is given and monolithic) It stereotypes what role men and women can fill

Globalized women (Davids and van Driel) Seen as victim (not players of processes) Without power or agency to shape globalization But can resist globalization Tend to focus on economic factors Thus focused on class, not ethnicity, age or religion Feminization of labor in SEA Both in terms of number, and in describing certain labor sectors From 1960s, shift to labour-intensive export manufactures In Thailand, women outnumbered men in the manufacturing sector by the 1990s In Malaysia, women secured 95 % of new jobs created in Free Trade Zones Decreased job security some argue affects more women Womens and mens part time employment in proportion of total employment

Change in labor market may not be favorable Women constitute a large proportion of agricultural work force which is declining under globalization (less subsidies, change from food crops to cash crops) Dual labour market: a permanent skilled/semi-skilled workforce (electronics, shoe, textile), and a flexible, impermanent workforce working for piece-rates in the home-based sector (garment, leather, jewellery) (Kaur, p. 56), also supplied by cheap migrant labour Are men always winning under globalization? Labor markets moving towards cognitive skills to the detriment of motor skills US Men according to Bacolod and Blum (2006) are in motor-intensive occupations, thus experience rising inequality in wages In 1997-98, the hardest hit sector in Indonesia was the construction industry where more male workers were laid off.

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