Devolopmentaztion projection to globalization
* There was a move of nationalization, however it wasn't attractive to westerners
- Oil, copper wanted to enter.
* Sometimes the government would support Ku
* In Indoisa, they wished to become more public and self sufficient
- Military force was used as a guard
*Another way, when the countries were in debt, the imf had conditions that would give
* Debt Problem: Countries wanted to be industries, since they had oil resources as a
commoties they wanted to borrow money from the IMF. The prices of oil crashed so
they could not earn the money to pay back.
* Westerners originally had interested rate at really low. But westerners wanted it back
soon so they jacked it up.
* This led to privatization and cuts in lots of Keynesian programs (minim wage)
* Devolpement was taken over by Globalizaiton
- The distinctiveness is the political force
* The 1980's saw a strengthen of the first world.
* The U.S. saw inflation because of the war (printing more money)
* They used the banks to raise the loans
* Drastic reduction of public spending especially on social program
* Currency devaluation: making other countries money worth less
* export intensification (increase exports)
* reduction of wages* These measures were used ot attacrt foreign investors
* Foreign countries were caught in debt trap.
-Reduced publica capaitcyt, privllaged corporate sector.
- Extends ownership of foreign corporations (page 122)
There was a redistribution of power in the states
* Fiance ministries is working with the IMF
Washtingon Consensus (page 127)
*Everything should be determined by the market
* No other state can dictate its policy
* Can make its own conditions
All countries were members of the U.N.
Global Mangers - Ellites, Global Bankers
* Focus o specialzaiton
*WTO: Succesor of GATT
Gatt was used to regulate policies
* WTO: Has own sets of rules:
-Has power to enforce these rules s
* WTO staffed unelected burrecrats. The meetings are hold in secret.
*WTO depoliticized public processes
* You can use course material as one source.* There is a minimum of 4 other sources
* These sources must be published
* No websites (must be peer review)
* In introduction: Argument must be provided
For example, question one you would answer question. "This is how unemployment has
responded in different era's"
* The paper will be graded on how logically coherent the paper is.
* Use quotes when your using someone else's words or paraphrases someone else's
ideas. No cite
Globalization of Production
* Growth of Global Transnational Production as new economies became integrated into
export oriented processes.
* Taking place over the 1960's and 70's
* A key part of the Transnational production is the growth of transnational
- These are corporations owning and managing assets in more then one country
* This represents a major shift, because what happens with transnational corporations is
that production increasingly is organized across different countries as an internal part of
transnational company operations.
* Different subsidiaries in different countries and these transnational companies are
organizing subsidiaries which are being organized in the logic of the parent company
-At this point you no long have a nationally based companies
Nationally based companies - A company which has its production operations and or
its markets in one national economy - that kind of nationally based company
increasingly becomes less important
McMichael provides an illustration on Chapter 4 (Page 95)
* There are many TNC's that are lager then the countries that exceeds (large number of
countries) GDP. At the same time these corporations are paying less. Corporate taxrates have been going down.
* Global Sourcing (Page 96): Strategy used by transnational corporations to
*Global Supply Chains: In which