Global Challenges

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  • Created by: Biancaa
  • Created on: 03-04-15 16:37
Define Globalisation
the many ways in which places and people are becoming more closely linked. Countries and continents are connected economically, culturally and politically through: Trade, Colonialism, Cooperation
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list some global changes
wealth is spreading more, cultures are mixing and becoming more diverse- people are freer to move across borders.
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Define natural increase
difference between the birth and death rate; negative= deaths exceed births= natural decrease
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what explains migration flows
push and pull factors
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why might people migrate
ECONOMIC; find work, follow career path. SOCIAL; better quality of life, closer to fam. POLITICAL; war. ENVIRONMENTAL; avoid natural disasters
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why could 650,000 Polish people gain a UK work permit in 2004- 2006
citizens within the 27 EU countries can move freely and take up work wherever within UK
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Define TNC
Companies that operate in several countries
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list the key influences of globalisation
transport, computer and internet technology, international organisations
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how has transport influenced globalisation
Boeing 747 in 1960s→ international travel more common. Cheap flights→ air travel to the masses in richer nations. o growth in containerised shipping since 1940s→ 200 million individual movements annually
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how has computer and internet technology influenced globalisation
ICT allows businesses to be geographically distant but still able to get in touch easily through e-mail and video conferencing→ allowed TNCs to expand into new territories to sell/ make their products.
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How has international organisation influenced globalisation
IMF provides loans from richest countries in return for free market economies that are open to investment from outsie allowing TNCs to enter these countries easily, promoting globalisation. WTO work to connect places and people through flows of aid o
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list the two reasons for why rural-urban migration takes makes in the world's poorest and emerging economies
media and foreign direct investment (FDI)
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how does media influence rural-urban migration in the world's poorest and emerging economies
media can be received even in remote and impoverished rural areas in poor countries. Such knowledge of other places can trigger migration of the young.
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how does FDI influence rural-urban migration in the world's poorest and emerging economies
the FDI made with TNCs in urban areas of poorer countries, greatly boosts the employment opportunities on offer→ attracting rural migrants.
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What are the four main categories affected by globalisation
finance, culture, political, people
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what are the effects of globalisation on finance
1) TNCs→ larger turnovers by cheaper labour costs. 2) money can be exchanged electronically. 3) worldwide reduction in consumer prices
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what are the people effects of globalisation
People with skills move to where there is demand •Migrant labour is flowing to areas of higher wages and better standards of living e.g. Eastern European migrants coming to UK for work
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what are the effects of globalisation on people
•Global village, people share more common interests e.g. sport •People lose individuality e.g. American TV
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define core, with two examples
where most wealth is produced e.g. USA, England
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Characteristics of a core country
•Own and consume 80% of global products • Highest incomes •Most decisions on global economy •Most global investment
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define periphery with one example
generally characterized by extreme poverty and a low standard of living e.g. Russia
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Characteristics of a periphery country
•Own and consume 20% global products •75% population •Lowest income, 2.5billion live on less than $2 a day •Not influential •More in primary/secondary sector
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define colonialism
the policy/practice of a wealthy/powerful nation's maintaining/ extending its control over other countries, especially in establishing settlements or exploiting resources.
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What three factors cause TNCs to grow
motive, mean and mobility
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explain motive which causes TNCs to grow
Motive= profit. TNCs love minimising costs e.g. by merging or taking over
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how can merging and take over occur (list the three ways)
horizontal intergration, vertical integration and control costs by using economies of scale
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what is horizontal integration
when a company buys out their competition.
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what is verical integration
another way of merging as it involves controlling and owning every stage of production
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Explain means
How TNCs grow; banks provide those means by providing finance through loans. Gives them ability to expand and operate in lots of countries
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Explain mobility
includes physically through transport and electronically through communications. Cheaper and faster transport is now available meaning that larger quantities can be transported across the globe
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Learned the effects of TNCs?
LOOK ON TABLE IN REVISION
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characteristics of LDC
•the world’s poorest low-income nations• group of around 50 states • described as ‘fourth world’• bleak conditions and populations
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characteristics of NIC
where exports and average earnings have risen at unprecedented rates
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characteristics of Ex- soviet states
•the breakup of the SU in 1989 created 15 ex-soviet states• many low in GDP and HDI
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characteristics of OPEC
well above average levels of wealthy and is often unevenly distributed among citizens
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characteristics of OECD
•30 nations where wealth is more evenly distributed and the typical standard of living is good • includes all high income nations •most power are G7 or G8
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What does NIC stand for
Newly industrialised countries
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What does OPEC stand for
Organisation of Petroleum Exporting Countries
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What does OECD stand for
Organisation for Economic Cooperation and Development
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list 2 examples of LDC
Sudan, Ethiopia, Afghanistan
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list 2 examples of NIC
China, India
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list 2 examples of ex-soviet states
Russia, Ukraine, Estonia, Uzbekistan, Tajikistan
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list 2 examples of OPEC
Saudia Arabia, UAE, Nigeria, Venezuela, Libya, Iran
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Refering back to OPEC, how much do Saudi Arabia earn thanks to petrodollar earnings
GSP of around $350 billion in 2007
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define trade blocs
= international organisations that exist for trading purposes bringing greater economic strength and security to the nations that join.
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benefits of trade blocs
•Free trade is encouraged by the removal of internal tariffs. •Protects members by establishing a common external tariff for foreign imports.
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main benefit of removing tariffs in trade blocs
markets grow→ increased demand→ raising volume of production and lowing manufacturing costs per unit→ improves economy of scale→ products can be sold cheaper and sale rise even further
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main advantages of TNCs on DEVELOPMENT
raise living standards, transfer of technology, political stability, raising environment awareness
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main disadvantages of TNCs on DEVELOPMENT
tax avoidance, growing global wealth divide, environmental degredation, worker exploitation
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characteristics of top 200 TNCs with an example
•25% of worlds economic activity • Employ 1% of worlds workforce • Exxon Mobil, profits $36.1billion, revenue $339.9billion (more than Saudi Arabia)
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what areas area usually brightly lit
North America and Europe, major cities of South Africa, South America and coastline of Asia (India, China and South Korea)
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swirched on places
Brightly lit places→ energy most used→ most connected to other places in the world economy, through the consumption or production of goods and services
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explain global networks and how it relates on to 'switched on' places
Global networks (such as air travel, TNCs, and tourism) create flows of trade, money, workers and information, which ‘switch on’ some places making them rich and powerful; while others may become ‘switched off’ and remain poor.
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how does technology build global networks
Development in transport and communicationglobal networks operate more efficiently. Using technology, TNCs have built bridges between countries, while air travel and tourism operators facilitate the international flows of tourists.
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how does technology create a shrinking world
distant places feel closer and take less time to reach→ ‘time-space compression’
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describe the example of EasyJet for the development of technology for creating a shrinking world
EasyJet- 33 flight routes in the EU, 100 millionth passenger flight in 2005 (began in 1995), cheap flights ‘Making flying as affordable as a pair of jeans- £29 one way”
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how does the internet add to the shrinking world idea
large amounts of data to be moved across cyberspace→ office staff can work from home as teleworkers enables a firm to employ workers and consultants living in different countries.
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define technopole with an example
a cluster of technologically innovative businesses and research institutes, e.g. Silicon Valley, California.
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define cumulative causation and how does gglobalisation increase this
a model explaining why some wealth becomes concentrated in certain places. Globalisation increases this as locals can find global markets for their products or attract employers with their skills.
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what is the benefit of Export processing zones (EPZ)
makes movement even easier by removing import and export tariffs and giving tax breaks on firms.
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define switched off
Poorest nations→ lack a global hub or any strong flows of trade and investment with other places and economies.
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define world cities
a city with major economic and political power e.g. New York (also a megacity) and Paris (not a megacity).
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Card 2

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list some global changes

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wealth is spreading more, cultures are mixing and becoming more diverse- people are freer to move across borders.

Card 3

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Define natural increase

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Preview of the front of card 3

Card 4

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what explains migration flows

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Card 5

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why might people migrate

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