What are the roles of IGOs?
Just after the end of the Second World War in 1945, Europe and the USA created a range of global Inter-Governmental Organisations (IGOs) to promote this model, which still exists today. These IGOs are dominated by Western capitalist countries and their views.
The international governmental organisation has countries as members and works internationally on shared goods.
- Provide a forum for discussion
- Create a mechanism for the world’s inhabitants
- To deal with economic and social questions
- Help allow states to take a longer-term perspective
What are the WEF?
A Swiss not-for-profit organisation that works across national borders to improve the state of the world by bringing together business political academic leaders of society.
Name a good and bad thing about the WEF.
+ Helps to deal with global issues
+ Provides a discourse
+ Not strictly political leaders
- Conflicts between players and stakeholders
- Governments tend to have the overall say
What is the IMF?
Give loans to developing countries with the aim to promote global economic stability.
What’s a good and bad thing about the IMF?
+ Helps to clear the debt.
- Conditions/ regulations from the loans.
- Member states - countries pay in for a vote.
- Have to undergo SAPs
Who are the World Bank?
A bank which lends money on a global scale and gives grants to developing countries. They have a proportional voting system based on the amount of money each country has invested.
What are the good and bad things about the world bank?
+ Help developing countries by improving infrastructure
- Dominated by the USA who have 16% of all votes
What is the WTO?
They ask the country to remove tariffs and taxes on foreign imports and subsidies to domestic products so that trade is free and without barriers. They supervise and liberalise international trade.
What is a good and bad thing about the WTO?
+ Promotes free trade through the gradual reduction in tariffs.
+ Trade without discrimination
+ Focus on the reduction of poverty by removing farming subsidies.
- It is not a completely free trade bloc.
- Trade rules are unfavourable to developing economies.
What is free trade?
The exchange of goods and services free of import /export taxes and tariffs and quotas on trade volume.
What is the OCED?
Promotes global economic security and stability and assists countries to reform their economies. Economic reforms often mean more access to developing economies for TNCs.
How is there spreading of Americanisation?
Art, food and media mostly originate from there.
How is westernisation affecting places around the world?
- Social media’s increase in use is making people more connected as people across the world can communicate, exchange messages share knowledge.
- Programs such as friends and Simpson’s are available in almost every country in the world on every airline and every streaming channel.
How do TNCs reinforce economic and cultural power?
TNCs dominate production and sales, affecting the pricing of commodities, affecting trade and controlling technologies. TNCs control technology globally through patents. Their investment in developing countries influences government policies through westernisation. The same globalisation applies to food. These people return from holidays and work trips overseas, wanting the same flavour or experience to remind them of the visit, the influence of international foods and supermarkets in the UK has spread.
Cultural power: Food
- McDonald’s glocalising their menu to meet the needs of local customers. e.g India= Mcveggie.
- Walkers vs Lays
- Coca-cola is the parent company around the world of Fanta, costa and sprite.
Cultural power: Arts
- Broadway vs the Westend.
- Fashion week= TNCs showcase their high-end brands e.g Paris.
- Galleries which show different art exhibitions. TNCs may sponsor or have ownership.
Cultural power: Media
- Social media TNCs are censored in China which is a form of control.
- Disney= Lion King in Africa
- Netflix- online streaming and film around the world in different languages.
What is the role of TNCs as global players?
We think of TNCs as recent features, but in the 18th and 19th centuries, much of India was run by the East India Company. It controlled trade routes and ruled 20% of the population of world. By 2015, there were over 75,000 TNCs; the top 200 produced 25% of the world’s economic output by value. Some Chinese companies are growing very rapidly. TNCs are dominant economic forces in the global economy. Each year the Forbes 2000 ranking list in the world’s biggest 2000 companies. When analysing the list, it becomes clear that some countries dominate the world economy and maintain power as well as wealth. Most TNCs are publicly owned corporations, with shareholders receiving dividends based on company profit in the year. However in China, the state operates commercially, but all profits are returned to the state.
What is the role of TNCs in global trade?
The increase in global trade shows that between 1960 and 2010 trade increased by at least 46% per decade. In 2000, global trade increased in value by over 85%. This is due to the global shift in manufacturing to Asia by TNCs. Since 1990, the shift has led to rapid increases in exports from developing countries, a process which speeds it up during the 2000s. This has not only shifted economic power away from Western economies into emerging economies but it’s also made TNCs extremely powerful. Much of the trade now consists of loads of parts or components of goods and services moving between one country and another before the final product is completed.
What is the role of TNCs as players in technlogy?
In 1995, the World Trade Organisation introduced its agreement on trade-related aspects of intellectual property rights. It requires all WTO members to protect and enforce intellectual property rights – that is, to register any new technology or process underpaid at law. This grants ownership and possession of intellectual property by the state to an inventor for a fixed period of time. Anyone wishing to do this hey a royalty for doing so. Trips undoubtedly favour TNCs. They spend money on research and innovation. Patents develop five family cuticle companies make many medicines affordable to poor countries and genetically modified crops are controlled by TNCs. Using patent laws, they own every genetically modified plant grown.
What is a superpower’s role as global police?
- Superpowers and emerging powers have the ability to act globally.
- A key superpower characteristic is that they provide help to countries in times of crisis e.g war, conflict, and climate change emergencies.
- US have a very heavy responsibility for this role and it comes at a huge economic cost.
What is an example of a crisis response?
- Haiti Earthquake 2010. Haiti is one of the poorest counties with little resilience to tectonic disasters. The USA had to use its naval and air forces to respond to the disaster. This was because of the lack of response from neighbouring countries due to “aid fatigue”. Also hurricane Matthew in Haiti swept across the country on October 2016. So Haiti’s appeal for assistance bought in only 25% of the money needed. It was left to France and the USA to provide 550 personnel, as well as humanitarian aid. NGOs like the Red Cross also launched appeals for US$7 million well IGOs such as UNICEF and 5 million from UN funds to provide aid for 500,000 Haitian children.
- The reduction in greenhouse gas emissions resulted from the actions of countries of the agreement at the regular conference of parties COP under the United Nations Framework Convention on Climate Change. However, some data is subject to estimation, calculation and incomplete knowledge as to long-term impacts. The collapse of the Soviet Union helped to reduce the number of polluting factories and inefficient state farms and the slowdown in China’s economy and consequent energy use. It also is clear that a global policy such as the 1989 Montréal protocol on the ozone layer can have a significant impact. It’s been noted that mitigation of planet change requires the world’s largest Pluto such as the USA and trying to take action to reduce emissions.
What is an example of conflict prevention? (Military)
- Afghanistan has suffered almost constant conflict for almost 40 years.
- Afghanistan is among the poorest countries in the world with 35% living below the poverty line.
- US stepped in to ensure they were not influenced by communism from the USSR.
- In the 1970s, in Afghanistan, the young king wanted to develop the economy and allow women greater freedom than traditional Islamic society allowed. This took hold in Kabul, the capital, but failed to reach remote areas. Frustrated by slow economic growth, the Afghan Communist party seized power in 1978, which 1979 was supported by invading troops and tanks from the USSR. These troops were resisted by Afghan gorillas known as the mujahideen, provoking conflict between the USA and the USSR. The USA supported the mujahideen with weapons and by recruiting Muslim fighters.
What is an example of climate change mitigation?
- Challenge of climate change in Kiribati.
- Kiribati is suffering from rising sea levels brought about by climate change with its land area covering 2.5 million square miles² of the ocean. Australia has been key in importing sand in order to maintain the island.
- Many people in Kiribati have become the world’s first environmental refugees.
- Population lives in Tarawa. Its beaches are flat and now have become so worried by storms that side has become imported from Australia to maintain them. Many Tarawan families have moved away from the coast, dismantling the wooden homes and rebuilding them further inland.
