SOCA2400 Lecture Notes - Lecture 2: Economic Miracle, Noam Chomsky, Outsourcing
25 May 2018
School
Department
Course
Professor
SOCA2400
Globalization, Social Justice, and Development
March 6, 2018
WEEK 2
Globalization: A Myth or Reality?
Globalization
• Not an all-encompassing process
• Not occurring in a coherent, consistent way
• Affects people in different ways
• As a myth – Myths have some elements of truth – there is some element of
interconnectedness
Chomsky
• Globalization = international integration
• Is it in the interests of people or private power?
• Has decreased
• Technical measure
• Convergence towards single price and wage, single market
o Has declined, predicted to decline more
o More control to a few
• Adam Smith, free circulation of labor
• Capital flow across borders has increased astronomically
o Performance of international economy has worsened in the past 25 years
o Decline in growth, trade
• Movement of people across borders
o Higher then than it is now
• Economic miracle
o Awful for most, good for some
• Militarized border decreases globalization
• 70% of cross border interactions are centrally managed
o Strategic alliances
o Outsourcing – using non-unionized place to make cheap
o Totalitarian institutions are running it
• Who’s point of view? – People? Investors?
Myth 1: Globalization is a new, linear, unavoidable, and neutral process!
How did Chomsky’s points question this ideology?
• New – been occurring since before in the past (ex. Australians and immigration
that happened centuries ago)
• Not linear – movement of people was greater in the past
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Document Summary
Globalization: not an all-encompassing process, not occurring in a coherent, consistent way, affects people in different ways, as a myth myths have some elements of truth there is some element of interconnectedness. Myth 1: globalization is a new, linear, unavoidable, and neutral process! How did chomsky"s points question this ideology: new been occurring since before in the past (ex. Australians and immigration: not linear movement of people was greater in the past that happened centuries ago, unavoidable , not neutral prioritizes the interests of those in power. Who dominates world trade: questions neutrality, 51% of trade controlled by top 10 traders. Indicates increased integration: there are still gaps between different parts of the world (cid:1688)the digital gap(cid:1689) Foreign direct investment, net inflows: foreigners invest in your country, sub-saharan africans are at the bottom, less investors, huge differences in different regions, gfc actually narrowed the gap advanced societies felt the pain, drop in.
