Professional Documents
Culture Documents
The Global Economy Handouts
The Global Economy Handouts
Globalization: an ideology based on the belief that people, goods and information
ought to be able to cross national borders unrestricted
✗ KENICHI OHMAE:
“Globalization transforms the national economy into a global one where “there
will be no national products or technologies, no national corporations, no national
industries.”
- a borderless world
ACTORS FACILITATING ECONOMIC GLOBALIZATION
• Periphery
- labor-intensive and less sophisticated technology
- smaller scale
✓ Semi-Peripheral Countries
- manufacture goods and the same time export raw materials to
other core countries
- less developed than core nations but more developed than
peripheral nations
1820 – 1871: A Bimetallic Regime of gold and silver was used outside U.K.
1870s: Monometallic gold standard was adopted by Germany, France and the
U.S after having gold discoveries in western north America.
1870 (WWI): The reign of the full gold standard only lasted from 1870s to the
outbreak of World War I (1914)
➢ Gold-Exchange Standard
AIM: To create a common market where goods, services, capital and labor
moved freely.
Post-War Programs:
Morgenthau Plan:
US wanted to implement to ➢ Marshall Plan, 1948
✓ The European Monetary Integration collapsed due to design flaws along with
global financial and economic crisis.
WHERE IT ALL WENT WRONG: The European 6 did not plan any direct
cooperation in the field of finance or exchange rate policies.
✓ A country with a prevalent natural resource shall use this said resource
as a raw material to produce goods to be exported across the world.
REFERENCES
“What Are the Actors That Facilitate Economic Globalization?” Bartleby Learn, 29 Aug. 2021,
www.bartleby.com/questions-and-answers/what-are-the-actors-that-facilitate-economic-
globalization-international-economic-and-financial-orga/934d8a2b-1a5d-418d-903a-
d8d86e6dbe62.
Benczes, István, et al. “9.” The SAGE Handbook of Globalization, edited by Manfred Steger,
Paul Battersby, Joseph M. Siracusa, SAGE Publications Ltd, 2014, pp. 1–14.
https://www.britannica.com/topic/gold-standard#ref1273894
https://corporatefinanceinstitute.com/resources/knowledge/finance/bretton-woods-
agreement/#:~:text=The%20Bretton%20Woods%20System%20is,for%20currencies%20around
%20the%20world.
https://trade.ec.europa.eu/access-to-markets/en/content/unilateral-trade-arrangements