POL208Y1 Lecture Notes - Lecture 6: United States Dollar, Reserve Currency, Free Trade
Document Summary
The road to an integrated world economy ii. Global financial flows amount to +/- trillion. Perspective: capitalism itself as an exploitative system -> thus as long as the capitalist system. It does serve to an extent the purpose of lifting people out of poverty, but also to an extent is running, it runs upon the exploitation upon the poor where the rich lifts the. Industrialization 2) military modernization: most profoundly influenced by colonialism. > lend to la: by relations they develop with international banks, the amount of debt they had built up became increasingly difficult to pay off. What country was better than to lend money to than venezuela rather than venezuela needed. 1980, all the la countries were deeply in debt money. Banks became very worried that the emergence of cartels. Move capital from regions of low return (abundant capital) to regions of high return (capital. Generally only 10% of international investment, currently somewhat scarcity) higher.
