Global trend questions

1. What was the primary objectives of the foreign policy of Ethiopia during the
Military Government (1974- 1991)

The primary objective of foreign policy of Ethiopia during the military government were
survival of the regime and maintaining the territorial integrity

2. List and explain the scope of foreign policy dimensions

Global Actors: interacting regularly with countries in nearly every region of the world. A country
such as U.S.A has often defined its national interest in global terms.

Regional Actors: interacting primarily with neighboring states in the same geographical area
except for contacts, frequently concerning

Economic issues such as trade

Isolationism: is the complete isolation of a country from the outside world, some moments in
history, such as key weakness or geographic remoteness, may cause the scope of a country’s
foreign policy to become so narrow that isolationism results.

3. Explain mercantilism

Mercantilism is an economic theory that was popular in Europe from the 16th to the 18th
century. It is based on the idea that a country's wealth and power are determined by its ability to
accumulate precious metals, such as gold and silver.

Under mercantilism, countries sought to increase their exports and decrease their imports in
order to maintain a favorable balance of trade. This was achieved through policies such as
tariffs, subsidies, and restrictions on foreign competition.

Mercantilism also emphasized the importance of colonies as sources of raw materials and
markets for finished goods. Colonies were expected to provide resources to the mother country
and to buy its manufactured goods.

Overall, mercantilism was a system that aimed to promote national economic self-sufficiency
and power through government intervention in the economy.

4. List and explain the two main exchange rate system in the world

The two main exchange rate systems in the world are:

1. Fixed exchange rate system: In a fixed exchange rate system, the value of a currency is fixed
to the value of another currency or a basket of currencies. The exchange rate is set by the
government or central bank and is maintained through intervention in the foreign exchange
market. This means that the exchange rate does not fluctuate freely in response to market forces.

Advantages of a fixed exchange rate system include stability and predictability in international
trade and investment. However, it can also lead to imbalances in trade and capital flows, as well
as the need for frequent government intervention to maintain the fixed exchange rate.

2. Floating exchange rate system: In a floating exchange rate system, the value of a currency is
determined by market forces of supply and demand. The exchange rate is not fixed and can
fluctuate freely in response to changes in economic conditions, such as inflation, interest rates,
and trade flows.

Advantages of a floating exchange rate system include flexibility and the ability to adjust to
changing economic conditions. However, it can also lead to volatility and uncertainty in
international trade and investment, as well as the potential for currency speculation and
manipulation.

5. What is the relationship between nation state and globalization?

Globalization has led to increased interconnectedness and interdependence among nations,

eroding the traditional boundaries of nation-states. This has resulted in the emergence of new
transnational actors, such as multinational corporations, international organizations, and global
civil society groups that operate beyond the control of individual nation-states.

On the other hand, nation-states remain the primary actors in the global political and economic
system, and they continue to play a critical role in shaping the direction and pace of
globalization. Nation-states retain their sovereignty and have the power to set their own policies
and regulations that can either facilitate or hinder global flows of goods, capital, people, and
ideas.

Furthermore, globalization has created winners and losers among nation-states, with some
countries benefiting greatly from increased trade and investment opportunities while others
struggle to compete in the global market. This has led to growing tensions between developed
and developing countries, as well as between different regions within individual countries.

6. List the dynamics of globalization that have been mirrored by the developments in
the EU?
 EU integration has fed on and contributed to the global trend towards neo-liberal
economic policy.
 The trend towards greater social and cultural exchange has intensified.
 Despite the growth of an integrated market there is no real integrated civil society
7. List the most common types of terrorism and explain them?

There are five most commonly observed types of terrorism and these are:-
A. Domestic terrorism: occurs within the borders of a particular country and is associated
with extremist groups.
B. Nationalist terrorism: is closely associated with struggles for political autonomy and
independence.
C. Religious terrorism: grows out of extreme fundamentalist religious groups that believe
that God is on their side and that their violence is divinely inspired and approved.
D. State terrorism: is a cold, calculated, efficient, and extremely destructive form of
terrorism, partly because of the overwhelming power at the disposal of governments.
E. Global terrorism: is partly an outgrowth of the forces of globalization, which enable the
different kinds of terrorism to spread worldwide.
8. Explain the clash of civilization thesis and by whom it was proposed?
The clash of civilization theory was proposed by the famous political scientist S.P. Huntington
and this thesis explains contemporary global conflicts in terms of cultural differences. And
civilizations will be the dividing lines in future global politics and it is the clash of these
civilizations that would primarily define the feature of 21st century global order. Therefore the
clash-of-civilizations theory stresses that there exists and will continue to exist conflict instead
of cooperation among civilizations.
9. What is terrorism, and what are some of the contributing factors that lead to it?
Terrorism refers to acts of violence, intimidation, and coercion carried out by groups or
individuals that aim to create fear and disrupt social stability. Contributing factors include
political grievances, ideological differences, extremist teachings, religious fanaticism, and
the use of violence by governments or military forces leading to radicalization.

10. What are the consequences of income inequality for society and how can we reduce
it?
Income inequality can lead to a range of negative consequences for society, such as reduced
social mobility, increased crime rates, and political instability. To reduce income inequality,
we can implement progressive tax policies and improve access to education and job
opportunities, among other solutions.