TOPIC/S CHAPTER 1: INTRODUCTION TO THE STUDY OF GLOBALIZATION

A.Definition of Globalization
B.History of Globalization
C.Types of Globalization

WEEK NUMBER: 1

TIME ALLOTMENT: 3 Hours

OBJECTIVES:

By the end of this module, the students shall be able to differentiate the competing
conceptions of globalization and identify the underlying philosophies of the varying
definitions of globalization.

LEARNING CONTENT:

INTRODUCTION TO THE STUDY OF GLOBALIZATION

Introduction

We live in a world that is interconnected by a confusing range of complex economic

transactions, social and environmental problems, and international political collaborations
and conflicts. We are bombarded with global economic news every day. A decision by
American policymakers to subsidize the production of ethanol, a form of gasoline containing
an additive produced from corn, is seen by many as a key reason that grain prices are
higher around the world. The emergence of China as a major exporter of manufactured
goods affected wages in both rich and poor nations.

Discussion

A. Definition of Globalization

Globalization, according to sociologists, is an ongoing process that involves

interconnected changes in the economic, cultural, social, and political spheres of society. As
a process, it involves the ever-increasing integration of these aspects between nations,
regions, communities, and even seemingly isolated places. In terms of the economy,
globalization refers to the expansion of capitalism to include all places around the world into
one globally integrated economic system.

Culturally, it refers to the global spread and integration of ideas, values, norms,
behaviors, and ways of life. Politically, it refers to the development of forms of governance
that operate at the global scale, whose policies and rules cooperative nations are expected
to abide. These three core aspects of globalization are fueled by technological development,
the global integration of communication technologies, and the global distribution of media.

Every day, we wear clothes that labeled, “made in China”. Cars that have parts that
were manufactured in all parts of the world. When you go to a grocery store, there are
grapes that were grown in Chile, sugar that is 50% off from Jamaica, and curry from India.
When I was young, in order to have an imported item, you need to go to that country. But
now, because of globalization, you can easily avail imported products in a cheaper price, all
of these are because of globalization.

Globalization is the opening of local and nationalistic perspectives to a broader outlook

of an interconnected and inter-dependent world with free transfer of capital, goods, and
services across national frontiers.
There are many varying definitions of the term globalization. These are as follows:
1. Globalization is the increasing interaction of people, states, or countries through the
growth of international money, ideas, and culture. Thus, globalization was primarily
focused on the economic process of integration that has social and cultural aspects.
2. It is the interconnectedness of people and businesses that eventually leads to global,
cultural, political, and economic integration.
3. It is the ability to move and communicate easily with others worldwide to conduct
business internationally.
4. It is the free movement of goods, services, and people worldwide in a seamless and
integrated manner.
5. It is the liberation of countries of their impact protocols and welcome foreign
investment into sectors that are the mainstays of its economy.
6. It refers to countries acting like magnets attracting global capital by opening up their
economies to multinational corporations.

Supplementary Video:

https://www.youtube.com/watch?v=xPD477Fuqt

History of Globalization

Though many scholars place the origins of globalization in modern times, others trace
its history long before the European Age and Discovery and voyages to the New World,
some even to the third millennium B.C. Large-scale globalization began in the 1820s.
 Figure 1. This figure shows the historical foundation of the term Globalization.

When Chinese e-commerce giant Alibaba in 2018 announced it had chosen the ancient
city of Xi’an as the site for its new regional headquarters, the symbolic value wasn’t lost on
the company: it had brought globalization to its ancient birthplace, the start of the old Silk
Road. It named its new offices aptly: “Silk Road Headquarters”. The city where globalization
had started more than 2,000 years ago would also have a stake in globalization’s future.
Alibaba shouldn’t be alone in looking back. As we are entering a new, digital-driven era of
globalization – we call it “Globalization 4.0” – it is worthwhile that we do the same. When
did globalization start? What were its major phases? And where is it headed tomorrow?

Figure 2. This figure shows the brief history of globalization.

Types of Globalization
1. Political globalization refers to the diplomatic negotiations between nation-states. It
includes the standardization of global rules around trade, criminality, and the rule of
law. 2. Social globalization refers to the integration of our societies.
3. Economic globalization refers to the ways corporations do business as multinational
organizations nowadays.
4. Technological globalization refers to the spread of technology around the world.
5. Financial globalization refers to the ease at which money can be spread around the
world.
6. Cultural globalization refers to the spread and mixing of cultures around the world.
 7. Ecological globalization refers to the idea that the world needs to be considered one
interconnected ecosystem.
8. Geographical globalization refers to the idea that the world is no longer seen as
groups of distinct nations as much as it once was.

Summary

Globalization is the increasing interconnectedness of our world. It’s understood to have

been happening since the beginning of time but has rapidly accelerated since the 1950s.
Many scholars define globalization as the shrinking of ‘time’ and ‘space’. In other words,
connecting with people takes less time than ever before and moving from one space to
another (e.g. around the world) is faster than ever before.

REFERENCES:

1. Ariola, M., (2018). Contemporary World. Unlimited Books Library Services & Publishing
Inc., Manila, Philippines
2. Steger, M., Battersby, P., and Siracusa, M., (2014).The SAGE Handbook of
Globalization.
Two volumes.
3. Rolin Corporation.,(2015). What is globalization?. Retrieved from
https://www.youtube.com/watch?v=xPD477FuqtY
4. Vanham, P., (2019). A brief history of globalization . Retrieved from
https://www.weforum.org/agenda/2019/01/how-globalization-4-0-fits-into-the-history-
ofglobalization/
 TOPIC/S CHAPTER 2: INTRODUCTION TO THE STUDY OF GLOBALIZATION

A. Factors and Scenarios of Globalization

 Internationalization
 Universalization
 Liberalization
 Westernization
 Deterritorialization

WEEK NUMBER: 2

TIME ALLOTMENT: 3 Hours

OBJECTIVE:

By the end of this module, the students shall be able to define and explain the factors and
scenarios of globalization.
LEARNING CONTENT:

INTRODUCTION TO THE STUDY OF GLOBALIZATION

Introduction

Globalization is a complex phenomenon. Globalization has benefits that cover many

different areas. It reciprocally developed economies all over the world and increased cultural
exchanges. It also allowed financial exchanges between companies, changing the paradigm
of work. Many people are nowadays citizens of the world. The origin of goods became
secondary and geographic distance is no longer a barrier for many services to happen. As
such, it has a considerable influence on several areas of contemporary societies. Let’s take a
look at some of the factors and scenarios of globalization.

Discussion

A. Factors and Scenarios of Globalization

• Internationalization
• Universalization
• Liberalization
• Westernization
• Deterritorialization

What is Internationalization?
Internationalization falls under the general umbrella of globalization, as does
localization. The process of internationalization helps adapt a product to a specific market
easily. Internationalization is a strategy used in business to make a product or service
adaptable so that entering different national markets is more seamless.
 In order to go about the internationalization process properly, subject-matter
experts, technical experts, or people with a level of international experience may be called
upon. In general, any products intended for use by consumers across multiple languages
will undergo the internationalization process. Some areas of product development and usage
that internalization can apply are:
This concept is defined through the idea that we live in a world of nations and states
in which there are increasing cross-border relations and exchanges among those nations
and states. Ideas, capital, labor, money and pollutants are all being pushed across borders
internationally and facilitating a dynamic, international market. In this sense, globalization is
not necessarily a new phenomenon. Rather, it is a trend that has been steadily growing for
hundreds, if not thousands, of years. However, there is no doubt that the level of
international connectivity today is far greater than it has been in history.

The Main Differences of Globalization vs Internationalization

When it comes to differentiating between globalization and internationalization, it is
important to remember that internationalization is covered under the umbrella of
globalization. Internationalization is typically viewed as a strategy, not as a task to
undertake at a later date.
Put simply, globalization is a process used by a company to bring its business to new
locales, whereas internationalization refers to the act of designing a product or service in a
way that makes the expansion into international markets a simpler process.
Globalization and internationalization go hand in hand. Both should be used if a
business plans to expand a product to multiple national, and sometimes even regional,
markets. Ideally, a business will plan for these processes before a project begins, which will
allow them to design products or services that users across different cultures and languages
can utilize.

What is Universalization?
Universalization uses the idea of planetary synthesis to explain the globalizing trends
occurring today. This is the spreading of various experiences and objects to people at all
corners of the earth. Universalization emphasizes the homogenization of the world’s
practices on every front, whether political, legal, cultural, or economic. “Hong Kong would
seem to be an excellent place to test the globalization hypothesis…that food chains are
helping to create a homogeneous, 'global' culture…given the central role that cuisine plays in
the production and maintenance of a distinctive local identity.” This conception of
globalization is easy to physically see around the world. Watching men wear business suits
in the streets of Hanoi, the omnipresence of Lay's potato chips and watching ads with white,
western women on television in Laos are just a few examples of the increasing
universalization of different ideas.

What is Liberalization?
 Liberalization is defined as the ease of government rules and restrictions of local
trades and business. Liberalization allows local businesses to grow freely and earn as much
profit as they want. Liberalization can also be specified as the privatization of trades and
businesses. Liberalization, in turn, contributes to forming a greater economy of a free
market. A liberal economy creates tremendous competition for organizations that influence
passion and a higher level of economic success. A great example of the Liberal economy is
India.

Similarities of Globalization and Liberalization

• Globalization and Liberalization, both are an important economic phenomenon.
• Globalization and liberalization depend on the socio-cultural and economic situation
of the place of the target. Globalization targets a global audience and liberalization
targets the local audience, but their analyzation of product modification remains the
same.
• Both the economic reforms are mostly free of governing regulations and deliver high
profits.
• A liberal trade in its period of growth might become a global trade.
• Both the economic processes are capitalistic. They offer high-end economic results
that are very important for a country and the globe as a family.

What is Westernization?
Westernization emphasizes the spread of the same general things, but places the
home base as the West, identifying the West as the source of the homogenizing changes
sweeping the globe. Americanization pigeonholes the changes even more with the claim that
it is the United States that is catalyzing the vast majority of globalizing trends today. This
concept is often negatively coined “McDonaldization” due to the great global success of the
American fast-food chain.

What is Deterritorialization?
The increasingly prevalent idea that territorial borders are no longer as relevant as
they once were is a part of the conception of globalization as respacialization or
deterritorialization. This idea is centralized on the idea that physical location is no longer
relevant, or at least no longer as relevant as it once was. Although landlocked countries are
still less active globally than countries possessing coastlines, there is much truth to this
concept. This has led to a decrease in state sovereignty and an increasing dependence on
nations outside of one's own and on transnational partnerships. Nationality and nationalism
have given way to globality and globalism–the world has developed a global sense of unity
and partnership to work toward common goals, sometimes pushing aside personal gains in
order to create the greatest net gain across nations.

Summary

In today’s era, businesses are growing rapidly and they are not limited to one
country and they are reaching many countries. Making a presence in more than one country
of business is called globalization, it means expanding the service sector of your business to
other countries.
If a business takes its work internationally and establishes it in another nation, it
requires huge international investment; globalization impacts a business or company in
many ways. The most important thing it makes more customers of a business because it
can deliver products to other countries as well as to their country. With this, if one sets up a
business in countries like China, then there is an advantage of the cheap labor rate and it
reduces the cost of production. Hence globalization is beneficial for business.

REFERENCES:
1. Ariola, M., (2018). Contemporary World. Unlimited Books Library Services &
Publishing Inc., Manila, Philippines
2. Steger, M., Battersby, P., and Siracusa, M., (2014).The SAGE Handbook of
Globalization. Two volumes.
 TOPIC/S CHAPTER 3: MARKET INTEGRATION

A. International Financial Institutions

 The Bretton Woods System
 The General Agreement on Tariffs and Trade and World Trade Organization
 International Monetary Fund and the World Bank

WEEK NUMBER: 3

TIME ALLOTMENT: 3 Hours

LEARNING OBJECTIVE:

By the end of this module, the students shall be able to differentiate and explain the
international institutions.
LEARNING CONTENT:

MARKET INTEGRATION

Introduction
One of the key features of global financial market integration is that, wherever they
happen to be established, entities are able to offer financial services in other jurisdictions on
terms similar to those enjoyed by domestic market participants. The degree of integration
could be measured in terms of, for instance, the intensity of cross-border financial flows or
the market quota of foreign entities in domestic markets.
Market integration provides a number of social benefits, including broadening the
range of financial services and investment opportunities available to consumers and
increasing competition in the provision of those services. In addition, integrated financial
markets act as private risk-sharing mechanisms that facilitate the smoothing of both
economic and financial cycles in domestic economies. Moreover, market integration enables
greater risk diversification, thereby contributing to more effective risk management and to
financial stability.

Discussion

A. International Financial Institutions

• The Bretton Woods System
• The General Agreement on Tariffs and Trade and World Trade Organization
• International Monetary Fund and the World Bank

What is Market Integration?

Market integration occurs when prices among different locations or related goods
follow similar patterns over a long period of time. Groups of goods often move
proportionally to each other and when this relation is very clear among different markets it
is said that the markets are integrated. Thus, market integration is an indicator that
explains how much different markets are related to each other. Market integration is the
fusing of markets into one.
Global market integration means that price differences between countries are
eliminated as all markets becomes one.
Types of Market Integration
❖ Horizontal integration
➢ This occurs when a firm or agency gains control of other firms or agencies
performing similar marketing functions at the same level in the marketing
sequence. In this type of integration, some marketing agencies combine to form
a union with a view to reducing their effective number and the extent of actual
competition in the market. It is advantageous for the members who join the
group.

❖ Vertical integration
➢ This occurs when a firm performs more than one activity in the sequence of
the marketing process. It is a linking together of two or more functions in the
marketing process within a single firm or under a single ownership. This type of
integration makes it possible to exercise control over both quality and quantity
of the product from the beginning of the production process until the product is
ready for the consumer. It reduces the number of middle men in the marketing
channel.

❖ Forward integration
➢ If a firm assumes another function of marketing which is closer to the
consumption function, it is a case of forward integration. Example: wholesaler
assuming the function of retailing

❖ Backward integration
➢ This involves ownership or a combination of sources of suppl. Example: when
a processing firm assumes the function of assembling/purchasing the produce
from the villages.

❖ Conglomeration
➢ A combination of agencies or activities not directly related to each other may,
when it operates under a unified management, be termed a conglomeration.

Overview of International Financial Institutions (IFIs)

In many parts of the world, international financial institutions (IFIs) play a major role
in the social and economic development programs of nations with developing or transitional
economies. This role includes advising on development projects, funding them and assisting
in their implementation. An international financial institution (IFI) is a financial institution
that has been established (or chartered) by more than one country, and hence is subject to
international law. Its owners or shareholders are generally national governments, although
other international institutions and other organizations occasionally figure as shareholders.
The most prominent IFIs are creations of multiple nations, although some bilateral financial
institutions (created by two countries) exist and are technically IFIs. The best known IFIs
were established after World War II to assist in the reconstruction of Europe and provide
mechanisms for international cooperation in managing the global financial system.
Goals and objectives:
➢ to reduce global poverty and improve people's living conditions and
standards; ➢ to support sustainable economic, social and institutional
development; and
➢ to promote regional cooperation and integration.
 The following are the financial institutions and economic organizations that make
countries even more closer, at least, when in comes to trade.

 The Bretton Woods System

The Bretton Woods system of monetary management established the rules for
commercial and financial relations among the United States, Canada, Western European
countries, Australia, and Japan after the 1944 Bretton Woods Agreement. The Bretton
Woods system was the first example of a fully negotiated monetary order intended to
govern monetary relations among independent states. The chief features of the Bretton
Woods system were an obligation for each country to adopt a monetary policy that
maintained its external exchange rates within 1 percent by tying its currency to gold and the
ability of the International Monetary Fund (IMF) to bridge temporary imbalances of
payments. Also, there was a need to address the lack of cooperation among other countries
and to prevent competitive devaluation of the currencies as well.

The Bretton Woods System is a set of unified rules and policies that provided the
framework necessary to create fixed international currency exchange rates. Essentially, the
agreement called for the newly created IMF to determine the fixed rate of exchange for
currencies around the world.

 The General Agreement on Tariffs and Trade (GATT) and the World Trade
Organization (WTO)
One of the system born out of Bretton Woods was the General Agreement on Tariffs
and Trade (GATT) that was established in 1947 Goldstein et.al, 2007). GATT was a forum
for the meeting of 23 member countries. It focused on trade goods through Multinational
trade agreement.

It operated until 1995 when it was superseded by the World Trade Organization
(WTO). While GATT focused on Trade and Goods, the WTO also took for the responsibility
for the increasingly important trade in service. While GATT was simply a forum for the
meetings of representatives of countries, the WTO is an independent organization. GATT
was deemed more acceptable than the International Trade Organization (ITO) by the US
and other countries; and in 1947, a number of initial trade agreements were negotiated by
23 nations. Since then multinational trade agreement have been negotiated under GATT‘s
(and later the WTO‘s) institutional umbrella. Over the years a number of ―rounds‖ of
negotiation were completed. It was out of the Uruguay Round (1986-1983) that an
agreement that reached to create the WTO.

World Trade Organization (WTO) The headquarter of WTO is located in Geneva,

Switzerland with 152 members states as of 2008 (Trachtman, 2007) It is an independent
multilateral organization that became responsible for trade in services, non-tariff-related
barriers and other broader areas of trade liberalization.

While GATT focused on tariff reduction, the WTO has come to focus more of non-
tariff related barriers to trade. One example is the differences between nation in relation to
regulations on such items as manufactured foods or food. A given nation can be taken to
task for such regulations if they are deemed to be an unfair restraint to the trade in such
items. However, the WTO has been criticized for not going far enough in countering the
trade barriers retain by developed countries in such domains as agricultural products and
some services.
  The International Monetary Fund (IMF) and the World Bank

IMF and World Bank were founded after the World War II. Their establishment was
mainly because of peace advocacy after the war. IMF and World Bank were designed to
complement each other.

The IMF’s main goal was to help countries in trouble at the time and who could not
obtain money by any means. Both institutions are basically banks. The IMF is lightning rod
for critics who see it as supporting developed countries and their efforts to impose their
policies on less developed countries. It supporters see it as key to emergence and further
development of the global economy. As a result of changes of the global economy, the
nature and functions of the IMF have changed since its creation in 1944. In the beginning, it
managed the exchange rate system created in Bretton Woods. The IMF closely watch a
nation‘s balance in order to be sure it could sustain the agreed upon exchange rate for its
currency. If there were problems in the latter, the IMF concerned itself with two matters.
The first was policy errors by the nation, which presumably could be corrected. The second
was fundamental economic problems (relating, for example the productivity). Above all, the
IMF wanted to be sure that a nation did not use such problems as an excuse to lower its
exchange rate and therefore improve its competitive position vis-ȁ-vis other nations. If a
fundamental disequilibrium occurred, the IMF had the power to authorize a change in the
exchange rate of the nation‘s currency.

The World Bank, officially the International Bank for the Reconstruction and
Development (IBRD) is the most important element of the World Bank Group (WBG)
(Gilbert and Vines 2000; Bradlow 2007:1262-7). The IBRD or the bank was established in
1944 at Bretton Woods and began operations in 1946. Membership is open to all member
states of the IMF, and as of this writing, it includes 184 nations. It provides funds to
government sponsored or guaranteed programs in so-called Part II countries (member
states that are middle income or creditworthy poorer nations).

Among the missions of the bank are:

➢ encourage development of productive facilities and resources in less
developed countries;
➢ funding for productive purposes when private capital cannot be obtained or
reasonable Terms;
➢ encouraging international investment in order to promote international trade
and development and equilibrium in balance of payments; and
➢ helping member countries improve their productivity, standard of living, and
labor conditions (Bradlow 2007:1264)

The World Bank is like a cooperative, made up of 189 member countries. These
member countries, or shareholders, are represented by a Board of Governors, who are the
ultimate policymakers at the World Bank. Generally, the governors are member countries'
ministers of finance or ministers of development. They meet once a year at the Annual
Meetings of the Boards of Governors of the World Bank Group and the International
Monetary Fund.
The governors delegate specific duties to 25 Executive Directors, who work on-site at
the Bank. The five largest shareholders appoint an executive director, while other member
countries are represented by elected executive directors.
 ❖ The World Bank Group President chairs meetings of the Boards of Directors
and is responsible for overall management of the Bank. The President is selected by
the Board of Executive Directors for a five-year, renewable term.
❖ The Executive Directors make up the Boards of Directors of the World Bank.
They normally meet at least twice a week to oversee the Bank's business, including
approval of loans and guarantees, new policies, the administrative budget, country
assistance strategies and borrowing and financial decisions.
The World Bank operates day-to-day under the leadership and direction of the
president, management and senior staff, and the vice presidents in charge of Global
Practices, Cross Cutting Solutions Areas, regions, and functions.

Summary

Market integration occurs when prices among different locations or related goods
follow similar patterns over a long period of time. Groups of goods often move
proportionally to each other and when this relation is very clear among different markets it
is said that the markets are integrated. Economic integration can reduce the costs of trade,
improve the availability of goods and services, and increase consumer purchasing power in
member nations. Employment opportunities tend to improve because trade liberalization
leads to market expansion, technology sharing, and cross-border investment.

REFERENCES:

1. Ariola, M., (2018). Contemporary World. Unlimited Books Library Services &
Publishing Inc., Manila, Philippines
2. Steger, M., Battersby, P., and Siracusa, M., (2014).The SAGE Handbook of
Globalization. Two volumes.
 TOPIC/S CHAPTER 4: STRUCTURES OF GLOBALIZATION
A. The Global Interstate System

WEEK NUMBER: 4

TIME ALLOTMENT: 3 Hours

LEARNING OBJECTIVE:

By the end of this module, the students shall be able to explain the effects of
globalization on governments and identify the institutions that govern international
relation.
LEARNING CONTENT:

STRUCTURES OF GLOBALIZATION

Introduction
The interstate system itself is the fundamental basis of a competitive commodity
economy at the system level. Thus, the interaction of world market and state system is
fundamental to an understanding of capitalist development and its potential transformation
into a more collectively rational system.
Discussion

A. The Global Interstate System

The Global Interstate System is a concept used within world-systems theory to

describe the system of state relationships that arose either as a concomitant process or as
a consequence of the development of the capitalist world-system over the course of the
"long" 16th century. The theory of the interstate system holds that all states are defined
through their relationship to other states or through participation in the world economy,
and that divisions between states help to divide the world into a core, periphery and semi-
periphery.

The Attributes of Today’s Global System

1. countries or states are independent and govern themselves;

2. these countries interact with each other through diplomacy;
3. international organizations facilitate these interactions (i.e. UN); and
4. international organizations also take on lives of their own.

Nation-state – relatively modern phenomenon in the human history whereby it composed

of two non- interchangeable terms: nation and state.
A. Nation, according to Benedict Anderson, is an “imagined community”
and does not go beyond a given “official boundary”. It is inherently limited
and sovereign. It has boundaries, meaning not anyone can be a Filipino.
➢this refers to large group of people who share common characteristics
such as language, traditions and ethnicity.
B. State, in layman’s terms, refers to a country and its government.
 ➢a community of persons more or less numerous occupying a definite
territory completely free of external control and possessing an organized
government to which the great body of inhabitants render habitual
obedience.

Interstate System – it is a system of competing and allying states. It is the whole

system of human interactions. The modern world-system is structured politically as an
interstate system.

Importance of Global Interstate System

It would sustain the economy and support international competitiveness even as

the economy evolved from an industrial era to an information age in a worldwide
marketplace. In addition, the Interstate System has proven invaluable to the national
defense through countless military endeavors.

Development of World System

“World-system” refers to the inter-regional and transnational division of labor, which

divides the world into core countries, semi-periphery countries, and the periphery
countries. Core countries focus on higher skill, capital-intensive production, and the rest of
the world focuses on low-skill, labor-intensive production and extraction of raw materials.
Nonetheless, the system has dynamic characteristics, in part as a result of revolutions in
transport technology, and individual states can gain or lose their core, semi-periphery, or
periphery status over time. This structure is unified by the division of labor. It is a world-
economy rooted in a capitalist economy. World-systems theory has been examined by
many political theorists and sociologists to explain the reasons for the rise and fall of
states, income inequality, social unrest, and imperialism.

Figure 1. Wallerstein’s World System Theory Model

Core Countries
In world systems theory, the core countries are the industrialized capitalist
countries on which periphery countries and semi-periphery countries depend. Core
countries control and benefit from the global market. They are usually recognized as
wealthy states with a wide variety of resources and are in a favorable location compared to
other states. They have strong state institutions, a powerful military and powerful global
political alliances.
• United States
• Canada
• Western Europe
• Japan
• South Korea
• Australia
• New Zealand
Semi-Periphery
In world-systems theory, the semi-periphery countries are the industrializing,
mostly capitalist countries which are positioned between the periphery and core countries.
Semi periphery countries have organizational characteristics of both core countries and
periphery countries and are often geographically located between core and peripheral
regions as well as between two or more competing core regions. Semi-periphery regions
play a major role in mediating economic, political, and social activities that link core and
peripheral areas.

Principles of Interstate System

❖ Nationalism – a doctrine and/or a political movement that seeks to make

the nation the basis of a political structure especially a state. It is a sense of national
consciousness that generally exalts one’s own nation above others, and focuses on
the promotion of interests.

❖ Internationalism- desire for greater cooperation and unity among states

and people. In a more comprehensive definition, it is a political principle that places
the interests of the entire world above those of individual nations and argues for
cooperation among nations for common good. This can be divided into two broad
categories: liberal internationalism and socialist internationalism.

➢Liberal internationalism - set of related concepts on how to best organize

international relations between states and non-state actors that emphasize a
belief in international progress, interdependence, cooperation, diplomacy,
multilateralism, and support for international political structures and
organizations. The theory assumes that we can move past the violence and
anarchy of the international system through cooperation. Liberal
internationalists believe that humans by nature are good, or at least, not
naturally aggressive. They also have faith in the good that both domestic and
international organizations and institutions can do.

➢Socialist internationalism – believes that it is possible to build a better

world based upon the twin goals of equality and social justice. Nations should
work together to create a more peaceful world and finally bring an end to
capitalist exploitation. They argue that there is a shared common interest
 amongst the working-class. Our identity is determined by economic forces
rather than artificially-imposed national boundaries.

International Organizations (IOs) – international intergovernmental organizations or

groups that are primarily made up of member-states.

According to international relations scholars Michael N. Barnett and Martha

Finnemore, the following are the powers of IOs:

• Power of clarification – IOs can invent and apply categories, they create
powerful global standards.
• Power to fix meanings – IOs are viewed as legitimate sources of information.
The meanings they create have effects on various policies.
• Power to diffuse norms – IOs do not only classify and fix meanings; they also
spread their ideas across the world thereby establishing global standards.

Institutions Governing International Relations

1. International Monetary Fund (IMF) established in 1944 and promotes

world trade. It has 184 member countries. Headquartered in Washington D.C. It
works to improve the financial condition of its member countries.

2. World Wildlife Fund (WWF) was set up in 1961 and is the world’s largest
conservation organization. Its main aim is to protect endangered animals and
the places where they live.

3. World Health Organization (WHO) is a part of the United Nations. It

promotes health matters worldwide and aims to raise medical standards and
monitor diseases.

4. United Nations Children’s Fund (UNICEF) was set up in 1947. It works to

improve the health and welfare of children and mothers in developing countries.

5. United Nations Educational, Scientific and Cultural Organization

(UNESCO) was set up in 1946. It encourages countries to get together on
matters such as education, culture, and science.

6. World Bank is an international financial institution was founded in 1944

which works on reducing poverty. It helps developing countries by giving loans.

7. World Trade Organization (WTO) encourages international trade by

establishing trade agreements between countries. With 153 member countries
and consisting more than 97% of entire world trade, it propagates the
international trade policies.

8. The Group of 8 (G8) is made up of the world’s leading industrial countries

(Canada, France, Germany, Italy, Japan, UK, USA, and Russia). The heads of
the G8 countries meet each year to discuss global issues such as world poverty
and security.

9. North Atlantic Treaty Organization (NATO) was founded in 1949 in

Washington. The foreign ministers of 10 countries signed a defense treaty that
 committed to helping each other in the event of an attack. There are now 26
country members with headquarters in Belgium.

10. United Nations (UN) was founded in 1945. Most countries of the world – a
total of 191, are members. The general assembly of UN makes the decision
about peacekeeping and human rights.

Functions:
• Maintain international peace and security
• Protect human rights
• Deliver humanitarian aid
• Promote sustainable development
• Uphold the international law

Challenges Faced by International Organizations

• Lack of multilateral outcomes

• Size and number of issues
• Competition to be the classical international organizations
• Speed of technological change
• Acceleration of history and slow multilateral processes
• Geopolitical change
• Blurring distinction between public and private
• Digital environment
• Incoherence, exclusion and inappropriate governance and
accountability

Summary

International organization is the process by which states establish and develop

formal, continuing institutional structures for the conduct of certain aspects of their
relationships with each other. It represents a reaction to the extreme decentralization of
the traditional system of international relations and an effort by statesmen to adapt the
mechanics of that system to the requirements posed by the constantly increasing
complexity of the interdependence of states. Particular international organizations may be
regarded as manifestations of the organizing process on the international level. The
purpose of global interstate system is to contribute to peace and security by promoting
international collaboration through educational, scientific, and cultural reforms in order to
increase universal respect for justice, the rule of law, and human rights along with
fundamental freedom.

REFERENCES:

1. Ariola, M., (2018). Contemporary World. Unlimited Books Library Services &
Publishing Inc., Manila, Philippines
2. Steger, M., Battersby, P., and Siracusa, M., (2014).The SAGE Handbook of
Globalization. Two volumes.
 TOPIC/S CHAPTER 5: STRUCTURES OF GLOBALIZATION
B. The Global Governance
 United Nations
 Five Gaps in Global Governance

WEEK NUMBER: 5

TIME ALLOTMENT: 3 Hours

LEARNING OBJECTIVE:

By the end of this module, the students shall be able to explain global governance and
identify the roles and functions of the United Nations.
LEARNING CONTENT:

STRUCTURES OF GLOBALIZATION

Introduction

The journey of a nation towards development is not a smooth one. In advancing

itself from one level to another problems in technological, economic, cultural and
institutional transformation will arise. These problems in the different sectors of the country
must be addressed. The state is the frontline of these undertakings. Crises in domestic
governance cannot be avoided because the hard truth is "the government is imperfect."
These imperfections may come from the management of different institutions or conflicts
between the citizens and the representatives of the states. When crises cannot be resolved
within the state, global governance may help.
Global governance can play a facilitative and constraining role, but it scarcely plays a
determinant and predominant role. The authority and the capacity for the latter is vested
almost exclusively in domestic public authorities (Weiss and Thakur, 2010)

Discussion

B. The Global Governance

Global governance is a purposeful order that emerges from institutions, processes,

norms, formal agreements, and informal mechanisms that regulate action for a common
good. Global governance encompasses activity at the international, transnational, and
regional levels, and refers to activities in the public and private sectors that transcend
national boundaries. In this conception of global governance, cooperative action is based on
rights and rules that are enforced through a combination of financial and moral incentives.
In the absence of a single authoritative institution or world government structure, global
governance is comprised of elements and methods from both the public and private sectors.
These basic elements include agreed upon standards, evolving norms based on shared
values, and directives issued and enforced by states.

Methods of global governance include harmonization of laws among states,

international regimes, global policy issue networks, and hybrid institutions that combine
functions of state agencies and private sector organizations. The concept of global
governance raises two sets of, as yet, unresolved issues. One has to do with claims of the
legitimate exercise of authority, the other with democratic values. In contrast to theories of
governance at local and national levels, a social contract between citizens and institutions of
global governance has not been developed sufficiently to constitute a sufficient basis for
legitimacy. In its current conception, global governance implies democratic governance.
However, the reliance on scientific and professional bodies to set standards, rules, and
procedures, on bureaucratic agencies of the state to implement policies, and on voluntary
organizations to monitor compliance, none of which are based on democratic principles of
representation or equal participation, raises questions about the compatibility of democratic
values and the concept of global governance.

• United Nations

The United Nations is an international organization founded in 1945. It is currently

made up of 193 Member States. The mission and work of the United Nations are guided by
the purposes and principles contained in its founding Charter. The main organs of the UN
are the General Assembly, the Security Council, the Economic and Social Council, the
Trusteeship Council, the International Court of Justice, and the UN Secretariat.

The Role of the United Nations

The United Nations as an International Organizations have several roles to perform in

the international scene.

1. Maintain International Peace and Security.

The United Nations came into being in 1945, following the devastation of the Second
World War, with one central mission: the maintenance of international peace and
security. The UN does this by working to prevent conflict; helping parties in conflict
make peace; peacekeeping; and creating the conditions to allow peace to hold and
flourish. These activities often overlap and should reinforce one another, to be
effective. The UN Security Council has the primary responsibility for international
peace and security. The General Assembly and the Secretary-General play major,
important, and complementary roles, along with other UN offices and bodies.

2. Protect Human Rights

The term "human rights” was mentioned seven times in the UN's founding Charter,
making the promotion and protection of human rights key purpose and guiding
principle of the Organization. In 1948, the Universal Declaration of Human Rights
brought human rights into the realm of international law. Since then, the
Organization has diligently protected human rights through legal instruments and
on-the-ground activities.

3. Deliver Humanitarian Aid.

One of the purposes of the United Nations, as stated in its Charter, is "to achieve
international co-operation in solving international problems of an economic, social,
cultural, or humanitarian character." The UN first did this in the aftermath of the
Second World War on the devastated continent of Europe, which it helped to rebuild.
The Organization is now relied upon by the international community to coordinate
humanitarian relief operations due to natural and man- made disasters in areas
beyond the relief capacity of national authorities alone.

4. Promote Sustainable Development.

 From the start in 1945, one of the main priorities of the United Nations was to
achieve international co-operation in solving international problems of an economic,
social, cultural, or humanitarian character and in promoting and encouraging respect
for human rights and for fundamental freedoms for all without distinction as to race,
sex, language, or religion." Improving people's well-being continues to be one of the
main focuses of the UN. The global understanding of development has changed over
the years, and countries cow have agreed that sustainable development that
promotes prosperity and economic opportunity, greater social well-being, and
protection of the environment offers the best path forward for improving the lives of
people everywhere.

5. Uphold International Law.

The UN Charter, in its Preamble, set an objective: "to establish conditions under
which justice and respect for the obligations arising from treaties and other sources
of international law can be maintained". Ever since, the development of, and respect
for international law has been a key part of the work of the Organization. This work
is carried out in many ways- by courts, tribunals, multilateral treaties - and by the
Security Council, which can approve peacekeeping missions, impose sanctions, or
authorize the use of force when there is a threat to international peace and security,
if it deems this necessary These powers are given to it by the UN Charter, which is
considered an international treaty. As such, it is an instrument of international law,
and UN Member States are bound by it. The UN Charter codifies the major principles
of international relations, from sovereign equality of States to the prohibition of the
use of force in international relations.

Globalization promotes development in all aspects of human life church

through interdependence and integration. But it is without flaws. Globalization also
creates governance gaps" that are evident in the business and human rights
situation the world faces at present. Weiss and Thakur (2010) discussed the five
gaps in global governance and how the United Nations aim to fill in the gaps.

• Five Gaps in Global Governance

1. Knowledge Gaps
❖ When a phenomenon happens, more often than not, there are little information
on the origin, causes, the gravity of the phenomenon and the solutions that
may be applied Too little empirical data and theoretical explanations are
existing if none at all. The United Nations can provide a platform wherein such
phenomenon may be discussed, studied, and confronted so that new
knowledge can be placed in the limelight, improved, and later on disseminated
worldwide. An example of this phenomenon is climate change Before UN
confronts the problems and effects of climate change, no one seems to notice
or mind what is happening to the environment, or in reality no one knows
anything about the grave effects of climate change in our present time. If
states recognize that there is a problem and agree on its approximate
dimensions, steps can be take to solve them. While In a few cases, the UN has
generate new knowledge, more often, it has provided an arena where existing
information can be collated and collected, a host of interpretations can be
vetted and differing interpretations of competing data can be debated.
Depending on the strength of political coalitions and entrenched ideologies,
there may be more or less room for an increase in knowledge to make a
 difference in terms of policy recommendations (Weiss and Thakur, 2010. On
November 8, 2013, super typhoon Yolanda (Haiyan), one of the strongest
typhoons recorded in history hit the Philippines. The abnormal strength of the
typhoon was brought about by climate change. With this experience, the
Philippines should start doing some research in order to prevent such an
occurrence. The root cause of the problem must be aced so that measures
may be implemented through environmental policies.

2. Normative Gaps
❖ A norm can be defined statistically to mean the pattern of behavior
that is most common or usual that is a widely prevalent pattern of behavior.
Alternatively, it can be defined ethically to mean a pattern of behavior that
should be followed in accordance with a given value system--the moral code of
a society, a generally accepted standard of proper behavior (Weiss and
Thakur, 2010). Collective norms, on the other hand, are shared patterns of
behavior. As to when and how norms became global, no one knows. No theory
research, or any data are available to explain how "international norms"
Became international. In trying to understand the Development of norms,
Martha Finnemore and Kathryn Sikkink postulate a three- stage life cycle of
norms:
a. new norm emerges and a norm entrepreneur advocates it;
b. enough actors agree on an emerging norm to create tipping point, or
norm cascade;
c. actors internalize the new norm so that it becomes taken for granted
and norm conforming behavior becomes routine, requiring no further
justification.

❖ The United Nations provides an organizational platform for advocacy in

the first stage as well as the preferred forum for cascade in the second and for
seeking affirmation, reaffirmation, and hopefully compliance in
the third and final. As a Universal Organization, the United Nations serves as
a forum for seeking normative consensus on how to deal with global problems
in the best possible way. Within the United Nations universal norms and
approaches are emerging for policies on environmental protection, avoidance
of mass hysteria, combating terrorism and protection of human rights among
many others. Actors play a vital role in establishing a universal norm. The civic
society, non-governmental organizations or com mitted citizens can be the
main source in filling up normative gaps thus, the Third UN, who can affect
change when they work with and through the two United Nations (First UN-
member states; Second UN-secretariats).

3. Policy Gaps
❖ Weiss and Thakur (2010) defined policy as an interlinked set of
governing principles and goals and the agreed programs of action to
implement those principles and achieve those goals.
Analyzing policy gaps entails two challenges:
First: Who are the actors and the relevant policymakers? Who made and
implemented international policy?
Second: What are the types of actors who play an ever expanding role in the
various sectors of the nation?
 ❖ A policy necessarily entails both agency and purposive action.
Although state actors are policymakers, they usually distinguish public policy
from foreign policy, implying a boundary based separation between domestic
and external activities. The United Nations, as much as it is an international
Organization cannot foreign policy because they are not engaged in boundary
activities. On the domestic front, the representatives and the senate may be
able to do so. However, our policies are somewhat influenced by the
international organizations that we are part of. To put things in balance, the
policymakers at the UN are actually the world body's principal political organs,
the Security Council and the General Assembly. But these are
intergovernmental forums. That is, the people making the decisions in the
form of adopting resolutions that set out new governing principles, articulate
goals, and authorize programs of action to achieve those goals do so as
delegates of national governments from the UN's member states. Based on
these considerations, some General Assembly resolutions are the equivalent of
policy declarations in that they articulate broad principles and goals and call
for programs of action to achieve these goals. A second set of "UN policy"
documents might be goals, plans of action, and desirable codes of conduct
embedded in international treaties and conventions. Good examples include
the Universal Declaration of Human Rights, The International Covenant on Civil
and Political Rights and the International Covenant on Economic, Social and
Cultural Rights. The United Nations Environment Programme (UN
Environment) is the leading global environmental authority that sets the global
environmental agenda, promotes the coherent implementation of the
environmental dimension of sustainable development within the United
Nations system, and serves as an authoritative advocate for the global
environment (environment. org). one of its program is the promotion of
biodiversity.

4. Institutional Gaps
❖ Policies created, whether international or national, must be housed in
an institution that has resources and autonomy. This gap is evident in the
United Nations system because even powerful global institutions dike the
security Council the World Bank and the International Monetary Fund often
lack appropriate resources or authority or even both. One of the most obvious
explanations, for institutional gap is that resources allocated are not
proportionate to the problem. This is applicable to the problems of most
countries all over the world. Some of these problems are improving the
welfare of women and children, human rights protection, and the proliferation
of HIV-AIDS.
❖ The source of ideas about filling institutional gaps is still more likely to
be governments and IGOs than non-state actors. However, the absence of
international political will mean that many of these organizations are only
partially constructed or remain largely on drawing boards with only a small
prototype to address gargantuan threats (Weiss and Thakur, 2010).
International institutions are important because their existence is to deal
primarily on specific problems without any lace of politics. Programs of these
international institutions are handed down to member states. Take for
example the protection of children's welfare. This program is under the United
Nations Children's Fund (UNICEF). Funds are allocated by the state to support
this program. The Department of Social Welfare and Development is the one
 implementing the protection of welfare of children. Without the watchful eye of
the civil society and the advocacy of certain groups, some programs may have
slow delivery or they may not be delivered at all.

5. Compliance Gaps
❖ The fifth and final gap is the compliance gap. Compliance measures
must include mechanisms to identify defections and defectors from agreed
upon norms and commitments in the realm of international governance as well
as incentives that reward cooperation and disincentives that punish defection,
including the use of force to bring those who have not complied back into line.
Approach in analyzing compliance gaps has three facets: implementation,
monitoring, and enforcement (Weiss and Thakur, 2010). The United Nations
may not have full sanction when a member state is unwilling to implement the
agreement on international policies. China, for example, cannot be stopped or
having nuclear weapons although there is an international policy on the
acquisition of nuclear technology and material. There is no clear cut definition
as to who has the authority, responsibility and the capacity to ensure that
agreements entered into by member states are being honored and enforced in
their countries. With the exception of the Security Council,
UN bodies can only make "recommendations." Hence, publicity of information
about noncompliance mixed with the use of the bully pulpit has been a central
dynamic in efforts to secure compliance. One of the main tactics used in the
face of these constraints has been to embarrass those who do not comply.
This tactic is used when UN secretariats or NGOs generate and publicize
information and data about non-compliance.
❖ One of the most difficult and challenging in filling up global governance
gap is compliance gap. The role of international organizations will come in very
helpful. The World Trade Organization and the General Agreement on Tariffs
and Trade help in monitoring member states who comply in enforcing trade
agreements.

Summary

An example of a facilitative and constraining role is the European Union's stand on

President Duterte's war against drugs. It constantly reminds the President that human rights
violations are happening in the implementation of his "drug free society" campaign. With the
entire Philippine nation as his witness, President Duterte did not heed this call of the
European Union. Hestill continue his "OplanTokhang" because he believes that it is for the
best interest of the country. The President's defiance in following the international human
rights standards may affect trading relations with other state-members of the European
Union. Being a member of the United Nations and several regional integration groups, the
Philippines is part of the intertwining web of global governance. But what is global
governance? Weiss and Thakur (2010) defined global governance as the sum of laws,
norms, policies and institutions that define, constitute and mediate relations among citizens,
society, markets and the state in the international arena - the wielders and objects of
international public power. As mentioned earlier, there is a need for global governance when
the state can no longer resolve the crises and problems internally without the mediation of
international actors.

REFERENCES:
1. Ariola, M., (2018). Contemporary World. Unlimited Books Library Services & Publishing Inc., Manila, Philippines
2. Steger, M., Battersby, P., and Siracusa, M., (2014).The SAGE Handbook of Globalization. Two volumes.
 TOPIC/S CHAPTER 6: A WORLD OF REGIONS

A. Global Divides: The North and the South

 Development and The Brandt Line
 Competing Perspectives on Global Divide

WEEK NUMBER: 6

TIME ALLOTMENT: 3 Hours

LEARNING OBJECTIVE:

By the end of this module, the students shall be able to differentiate the Global South from
the Third World and analyze how a new conception of global relations emerged from the
experiences of Latin American countries.

LEARNING CONTENT:

A WORLD OF REGIONS

Introduction

Global divide - is about the different factors that affect the improvements or
advancement of different places all around the globe. There is pre- division before World
War I. Distance is no longer a problem or issue. Global divide- Global North-rich and
industrialized countries Global South-poor and developing countries.

Discussion

A. Global Divides: The North and The South

The term global divide connotes disparities in income and living conditions between the
advanced and developing states. The concept of Global North and Global South (or North–
South divide in a global context) is used to describe a grouping of countries along socio-
economic and political characteristics.

Figure 1. World map showing a traditional definition of the North–South divide (red
countries in this map are grouped as "Global South", blue countries as "Global North").
 The Global South is a term often used to identify the regions of Latin America, Asia,
Africa, and Oceania. It is one of a family of terms, including “Third World” and “Periphery,”
that denote regions outside Europe and North America, mostly (though not all) low-income
and often politically or culturally marginalized countries on one side of the so-called divide,
the other side being the countries of the Global North (often equated with developed
countries). As such, the term does not inherently refer to a geographical south; for
example, most of the Global South is geographically within the Northern Hemisphere.

Two Divisions of Global Divide

 GLOBAL NORTH – rich and industrialized countries

 These countries are basically rich countries where they experienced
advancements in modern technology and all services are accessible.

 Top 10 countries that have the best work-life balance (2019)

1. Netherlands 6. Lithuania
2. Italy 7. Norway
3. Denmark 8. Belgium
4. Spain 9. Germany
5. France 10. Sweden

 GLOBAL SOUTH – poor and developing countries

 The global South represents mainly agrarian economies in Africa,
India, China, Latin America and others that are not as economically sound and
politically stable as their global North counterparts and tend to be characterized
by turmoil, war, conflict, poverty, anarchy and tyranny (Odeh, 2010). In short,
the global North is synonymous with development, while the global South is
associated with underdevelopment.

 Top 10 world’s poorest countries

1. DR Congo 6. Haiti
2. Mozambique 7. Ethiopia
3. Uganda 8. Tanzania
4. Tajikistan 9. Kyrgyzstan
5. Yemen 10. Uzbekistan

 Development and The Brandt Line

Figure 2. The Brandt line

Development refers to a process of change that affects people's lives, exploring how the
standard of living, wealth and quality of life of the global population varies across our
planet. There are various development indicators which can be split into three categories.
Health indicators measure statistics such as nutrition and life expectancy, social indicators
include employment and education whilst economic indicators may examine poverty and
GDP per capita figures.

The Brandt line, proposed by Willy Brandt (the German Chancellor) in 1980, created a
partition between the ‘developed’ North and ‘developing’ South. Brandt came to the
conclusion that more cooperation between countries could 'build a world in which sharing,
justice, freedom and peace might prevail' (Willy Brandt, 1983). Around 130 countries were
included in the South, whilst the North featured mainly continental Europe, the USSR and

Australia.
Figure 3. Characteristics of the Brandt Line

Contemporary Global Divide

How can we consider if the country is under Global North or Global South? It is
based on the level of development or improvement that the country achieved, to be industry
is where they get their resources.

 Transitional Society- has aspirational citizenry. Had a vision of

modernization
 During Take-off- it is a high level of social change, there is already a
great freedom.
 Mature Society- strong organized society
 High Mass Consumer Society- high level of change in terms of
technology.

 Competing Perspectives on Global Divide

 Modernization Theory
 This theory argues that societies undergo stages of growth and
move from traditional to modern one.
 Traditionalism ---à Modernization
 Poor countries must follow the path of advance countries to
development.
  Once key foundations of modernity are in place, these countries
will “take off” toward prosperity and a modern, high consumption
consumer economy.

 Dependency Theory
 It argues that the root cause of poverty and underdevelopment
is imperialism as well as dependency of poor nations on the rich
nations.
 It is a counterargument in modernization theory.
 According to dependency scholars, industrial capitalism brings
exploitation.
 The local economies are distorted in that they serve mostly the
needs of advanced countries but not the needs of local populations.
 Poor societies are not born but made
 They believed that modernization theory is ethnocentric.
 Dependency scholars advocate protectionist economic policies
one is import substitutions industrialization.

 Neo-liberal Theory
 intellectual basis of this theory comes from the neo-classical
economics, which combines arguments supportive of free market with
China and the other BRICS countries (Brazil, Russia, India, China, and
South Africa) want to renegotiate international economic integration
and trade.

 World System Theory
 The argument of dependency thinkers that the cause of
underdevelopment and poverty is external intervention continues in
world system theory, developed by Immanuel Wallerstein. He
describes the modern world system as being composed of different:
core centers of power – Dutch capitalists, United kingdom, and
US.
semi-peripheral countries – serve as a middle men to core
countries' interests.
periphery - which consists of the poorest countries.
They disagree that the key actors in the modern world include
multinational corporations, international financial institutions, global
media, and technology and trade but believed that the core nations
allowed these countries into the semi-periphery to facilitate capitalist
expansion into new peripheral markets.

The gap between the ‘North’ and ‘South’

Despite very significant development gains globally which have raised many millions of
people out of absolute poverty, there is substantial evidence that inequality between the
world’s richest and poorest countries is widening. In 1820 Western Europe's per capita
income was three times bigger than Africa’s but by 2000 it was thirteen times as big. In
addition, in 2013, Oxfam reported that the richest 85 people in the world owned the same
amount of wealth as the poorest half of the world’s population.
 Today the world is much more complex than the Brandt Line depicts as many poorer
countries have experienced significant economic and social development. However,
inequality within countries has also been growing and some commentators now talk of a
‘Global North’ and a ‘Global South’ referring respectively to richer or poorer communities
which are found both within and between countries. For example, whilst India is still home
to the largest concentration of poor people in a single nation it also has a very sizable
middle class and a very rich elite.
There are many causes for these inequalities including the availability of natural resources;
different levels of health and education; the nature of a country’s economy and its industrial
sectors; international trading policies and access to markets; how countries are governed
and international relationships between countries; conflict within and between countries;
and a country’s vulnerability to natural hazards and climate change.

Summary

The North-South Divide is a socio-economic and political categorization of countries.

The Cold-War-era generalization places countries in two distinct groups; The North and the
South.
The North is comprised of all First World countries and most Second World countries while
the South is comprised of Third World countries. This categorization ignores the geographic
position of countries with some countries in the southern hemisphere such as Australia and
New Zealand being labeled as part of the North.

The North-South Divide is criticized for being a way of segregating people along
economic lines and is seen as a factor of the widening gap between developed and
developing economies. However, several measures have been put in place to contract the
North-South Divide including the lobbying for international free trade and globalization. The
United Nations has been in the forefront in diminishing the North-South Divide through
policies highlighted in its Millennium Development Goals.

REFERENCES:

1. Ariola, M., (2018). Contemporary World. Unlimited Books Library Services &
Publishing Inc., Manila, Philippines
2. Steger, M., Battersby, P., and Siracusa, M., (2014).The SAGE Handbook of
Globalization. Two volumes.