Two indices to measure how globalised a country is?
KOF index and AT Kearney indew
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How often is the KOF updates?
Annually
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Top 3 and least 3 globalised countries according to KOF 2015?
Top 3: Ireland, the Netherlands and Belgium. Least 3: Kiribati, Somalia and Solomon Islands
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Three groups of globalisation in the KOF Index?
Economic, social and political globalisation
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Four groups of globalisation in the A T Kearney Index?
Political engagement, technological connectivity, personal contact and economic integration
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Way to remember that the KOF has 3 groups to its index and AT Kearney 4 groups?
KOF has three letters so three groups
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What does the KOF's economic globalisation measure?
Cross border transactions and the flow of FDI to and from the country
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What does the KOF's social globalisation measure?
Cross-border contact e.g. telephone calls, information flows e.g. the internet and global affinity- presence of indicators such as McDonalds
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What does the KOF's political globalisation measure?
Participation in UN peacekeeping operations, country's number of foreign embassies, the country's membership in different international organisations e.g. the WTO
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How is a value generated from these indicators?
The individual indicators of the KOF index are weighted (depending of their importance e.g. flows of FDI = very important) and then the indicators are aggregated together to produce the final index.
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Advantages of the KOF Index?
1.) Puts emphasis on the most important indicators through its weighting system 2.) Considers 3 different aspects to globalisation- not just the obvious economic aspect (thus covering 24 indicators in total)
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Another advantage of the KOF's weighting system?
Discounts for missing data that could affect the overall result.
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What 2 comparisons does the KOF allow for to make?
One country particulary over time or many countries at any point in time
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Disadvantage of the KOF regaurding its representation of large and small countries?
Discounts internal connections which are particularly strong in large countries e.g USA and China, so smaller countries unfairly represented at the top as they have GOT to gloablise to stay well equipt and monetarily stable.
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2 ways in which the KOF Index can be seen as out-dated?
Measures physical mail which is on the decline due to e-mail and measures trade in books and newspapers which is also on the decline due to the internet and e-books.
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What does the KOF detrimentally ignore?
The trade within the informal economy, which can account for a great proportion of actual trade.
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Problem with the KOF's ignoring of illegal foreign immigrants?
Countries whose populations are made up of a large proportion of illegal foreign immigrants are left behind.
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What indicators are in AT Kearney's (atk) Political engagement?
A country's participation in international organisations and and peacekeeping operations
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What indicators are in atk's technological connectivity?
Number of internet uses, hosts and servers.
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What indicators are in atk's personal contact group?
Telephone calls and remittance payments
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What indicators are in atk's economic integration?
Volumes of international trade and flows of FDI in and out of the country
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How is atk generally different from KOF?
Takes a more holisitc approach in the weighting and aggregating stage of the index
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What kind of system does the atk use in the weighting and aggregation stage?
A points system
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Advantage of atk?
More groups (and therefore indicators than KOF Index)
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Disadvantages of atk?
Only 64 countries included, does not account for cultural globalisation, as for the weighting system, the most important indicators are subjective.
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Other cards in this set
Card 2
Front
How often is the KOF updates?
Back
Annually
Card 3
Front
Top 3 and least 3 globalised countries according to KOF 2015?
Back
Card 4
Front
Three groups of globalisation in the KOF Index?
Back
Card 5
Front
Four groups of globalisation in the A T Kearney Index?
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