Transcript Related Issues 3 - Olds Koinonia Christian School

Related Issues 3
To what extent does globalization
contribute to sustainable prosperity
for all people?
Economic Globalization
The spreading of trade, transportation and
communication systems around the world with the
intent of creating a worldwide economy.
•
•
•
•
Trading goods between countries (ex. Oil)
What a country manufactures (banana wars)
Employment (Schlumberger)
International Organizations promoting free trade
and getting rid of tariffs.
Economic Globalization: Good or Bad?
Good
-allow prosperity for everyone
-Happened because of lower transportation
costs and increase of technology that makes it
easier to communicate
-Countries that trade with each other are less
likely to go to war
Economic Globalization: Good or Bad?
Bad
-Restricts people from accessing some areas of
the workforce because of more competition.
(schools, hospitals, workplaces and even farms
homes and communities)
-Increased unemployment and a greater
increased gap between the rich and poor
Economic Globalization: Good or Bad?
Bad Continued
- Created more powerful transnational
corporations (some transnational companies
are wealthier then the government)
- Instability because a crisis in one country will
affect several other countries
Economic Globalization: Source 1
Economic globalization is a double-edged sword.
If we can take advantage of its benefits and
avoid its negative aspects, our enterprises can
develop in a healthy environment.
What are some examples to explain
the connections below?
HomeWork
• Questions 5-11
• Terms
Other Events That Changed the
World
Russian Revolution
The Great Depression
World War II
Russian Revolution
• Part 1
• Part 2
What caused the Russian Revolution?
What were some of the events that happened
leading up to the Russian Revolution?
The Russian Revolution
• What is a revolution?
• What would cause people to revolt?
• What happens after the revolution?
Russian Revolution
• During WWI (1914) Russia was ruled by a Czar
(monarch) Czar Nicholas II
• The Czar controlled everything (absolute
monarch)
• Russian Empire was huge and had a mixture of
nationalities
Russian Revolution
• Russian peasants made up the majority of the
population and lived under a feudal order
• This meant they had little control over their
labor and property
• Because of their political system they were
behind other European countries in
industrializing
WWI and The Russians
• Could not have militarism because their
factories were poor
• Czar Nicholas tried to lead them in WWI but
he was not a military man
• They were easily defeated in the war
Russia
• Due to their lose in the war and their poor
industrial sector after the war their was food
and fuel shortages
• Workers rebelled to get better working
conditions.
• The rebellion caused the economy to shut
down
• Czar Nicholas gave up his throne in 1917 and
his family and himself were executed in 1918
Russia
• Russia was torn apart by civil war starting in
1922.
• Civil war between the Bolsheviks
(Lenin and Communists) and the
conservative White Guard (Liberals
or monarchist who were against
communism)
International Help
• France, Britian and the United States were
opposed to Lenin’s communist ideas but they also
did not support the white armies reactionary
ideals.
• The International community wanted Russia to
reenter the war in order to ease the pressure on
the west front by making Germany fight two
wars.
• However their main focus was always the Great
War and soon they gave up on Russia.
Lenin
• Promised “Peace, Bread and Land”
• Lenin had to try and stabilize Russia while it
was still at war and needed to quickly improve
the people’s quality of life.
Brest-Litovsk
• Was an agreement signed between Germany
and Russia to end World War I between the
two.
• Russia at first declined the agreement since
the conditions were so tough but when the
German’s continued to advance Russia was
forced to sign.
Brest-Litovsk
• This aggressive treaty effectively handed
over Finland, Poland, the Baltic provinces,
Ukraine and Transcaucasia to the Central
Powers.
• Along with one-third of the old empire's
population, one-third of its agricultural land
and three-quarters of its industries.
• Russians who were against the treaty took
up arms against Lenin, upset about the loss of
standing Russia took with signing the treaty.
Home Work-Page 221
“The history of old Russia consisted, amongst other things in
her being beaten continually for her backwardness… We are
50 or a hundred years behind the advanced countries. We
must make good this distance in 10 years. Either we do it, or
we shall be crushed.”
1) Predict what might happen in Russia because of this
quote
2) Create a clarifying question
3) Create a powerful question
4) Summarize the quote
Great Depression
• 1920’s countries saw an economic boom 
• Unemployment was low and stock market was
strong with people thinking that shares would
rise.
• Black Tuesday- 1929 the day the stock market
crashed
• The crash started a domino effect around the
world
Great Depression
• Many people lost their money and could not
pay their bills
• People who borrowed money could not pay
their loans
• This caused less people to buy goods and this
reduced the demand
• The reduced demand caused workers to get
laid off
Great Depression
• Some business went out of business
• This cause and effect relationship caused an
economic depression, known as the Great
Depression
Create an image or a list of words that
demonstrates the chain reaction caused by the
stock market crash.
The World and the Great Depression
• The world also had natural issues that further
caused problems like drought
• In response to the New York stock market
crashing countries created trade barriers,
including tariffs on imports.
• International trade declined and more people
lost jobs.
The Great Depression in Canada
• Exports in Canada fell by 50% between 19291933
• 26.6% of Canadians were out of work
• Salaries were cut for people still with work
• Price of grain fell and their was a drought
(1928-1937)
• Complete the question at the bottom of page
222
Great Depression Activity
• Crash course video
• Great Depression Song
What would it take for Canadians to
rebel?
In pairs create a list of ideas that it would take
for Canadians to rebel internally or
internationally.
They can be made up.
Leading to a Global World
• Countries never wanted to have another
World War, so they came together to create a
solution.
• They wanted to create rules on how to work
with each other.
• So they created The League of Nations.
• This International organization was very
idealistic and failed from preventing World
War II.
World War II
• Treaty of Versailles- blamed Germany for
starting the war and forced them to pay huge
amounts of money to rebuild other European
countries.
• The Great Depression also hit European
countries and instead of allowing their
democratic government to fix these economic
problems, some countries became part of
radical governments.
Leading to a Global World
• During World War II countries met again to
create a new organization that would be more
effective.
• They created the United Nations.
Rules
• Support people who wanted to choose their
own government
• Help countries co-operate on trade issues
• Protect smaller countries against invasion by
larger countries
• Ensure that no single country control the
world’s oceans
To what extent has the UN been
successful?
“ We the peoples of the United Nations,
determined to save succeeding generations
from the scourge of war, which twice in our
lifetime has brought untold sorrow to mankind…
do hereby establish an international
organization to be known as the United
Nations.”
The Bretton Woods Conference
1) What is the Bretton Woods Conference?
2) What was the purpose of the Bretton Woods
Conference?
3) What were some reasons why the Bretton
Woods Conference decided to take an
international approach following WWII?
Use the graph to answer the following
questions
1. Which world event would
explain the drastic decrease
Of unemployment being
Pointed at on the graphs?
2. What is one explanation
For why Germany faced higher
Unemployment levels than
Canada?
John Maynard Keynes
• Believed that capitalism was bad and that
countries needed to work together to create a
stable economy.
• Keynes believed that their needed to be some
government intervention in the economy in
order to avoid a depression.
• Keynes’s ideas inspired the New Deal and was
very popular after WWII.
Keynes’s solution
Friedrich Hayek
• Disagreed with Keynes
• Hayek believed in some government
involvement in order to protect the market.
(no monopolies, or false information)
• Hayek believed in using interest rates to keep
the economy stable.
Hayek
Use the following picture to answer
the following questions.
1. The picture
Is demonstrating
The cause of
which world
Event?
2. How does
This picture
Relate to the graph?
Question
Prepare one powerful question that you, as a
reporter can ask Hayek or Keynes as he emerges
from a conference session. Because you know
what will happen in the decades after the
conference, make your question as insightful
and surprising and possible.
World Bank
What does the World Bank do?
Reduce poverty and support development
Who is in control of the World Bank?
The countries who are members
IMF
• What does the IMF do?
The IMF supports its membership by providing:
-policy advice to governments and central banks based on
analysis of economic trends and cross-country experiences;
-research, statistics, forecasts, and analysis based on tracking
of global, regional, and individual economies and markets;
-loans to help countries overcome economic difficulties;
-concessional loans to help fight poverty in developing
countries; and
-technical assistance and training to help countries improve
the management of their economies.
Page 229
• Complete questions 1-3
Answer to Question 1 pg.229
Joseph Stiglitz: Taking away countries sovereignty
Stephen Lewis: Financial institutions don’t actually
help
David D. Driscoll: Loans are meant to rebuild
economy and then government can fix the country
Pop Test
1) What was the purpose of the Bretton Woods
Conference?
2) What economic policies was the Bretton Woods
Conference trying to address?
3) Which economist believed the government
needs to get involved during a recession?
4) Which economist believed that a government
should protect the market by ensuring its rules
and laws do not interfere with competition
between business?
Free Trade and Other Economic
Stuff
1)
2)
3)
4)
Terms Activity
Free Trade
Transnational Corporations
Looking at the Spectrum
Aim of the day
• What you need to learn today is the negatives
and positives of Free Trade and how that
influences transnational corporations.
• What you could learn today is how free trade
has influenced a change in economic
globalization.
• What you might learn today is solutions for
how to deal with free trade in the 21st century.
Some Terms
• Trade liberalization: making it easier to
connect goods and services around the world.
• Free Trade: Between two countries and
limiting taxes or tariffs
• Outsourcing: reducing cost by using labor or
supplies from a cheaper country
• Tariffs: An extra tax to make domestic
products more attractive
• Sanctions: an economic penalty
Goal
• In the next two minutes choose any of the two
terms and write up question about the term. It
can be a fill in the blank question or a short
question.
For example:
The World Trade Organizations can use this as a
consequence for countries who do not follow their
orders.
• Use your textbook/notes to create the question
we will be answering a few of them as a class.
Free Trade
• Negatives
- Organizations like WTO has
too much power
- Organizations like WTO are
not open to the public (not
democratic)
- Organizations like the WTO
tend to not do enough for
the developing countries
- Free trade ignores the
environment, child labor,
workers rights or health
care.
• Positives
-WTO raised living standards in
the world
-Cheaper and more efficient
products (new technology)
-More peaceful (less world
conflicts)
-More choices
Transnationals
• Reduce costs and increase profits by building
factories, service centers and retail outlets in
different countries.
• Over half of all transnational corporations come
out of the following five countries: United States,
Japan, France, Germany, and Britain
Why do you think that transnationals are so closely
connected to such a small group of countries?
Transnational Corporations
• Transnational’s control most of the world’s energy
and extract most of its mineral resources.
• They manufacture a huge share of the world’s
chemicals, medicines, cars, aircraft,
communication satellites and home and office
electronics.
SUMMING UP THEY ARE POWERFUL… Remember
media concentration/media convergency
Transnational Corporations
• The ability for transnational corporations to move
gives them special power.
• The threat of the company moving causes
governments to make allowances or
compromises.
• What are some concessions that a government
might do to attract or keep a transnational
corporation?
• Reduced taxes, selling natural resources cheep,
and adopting polices of the transnational
Foreign Investment
• Foreign Investment is needed to help reduce
poverty in developing countries. (businesses
and infrastructure)
• Foreign Investment has shifted from Foreign
aid sent by countries to private companies.
This cartoon is discussing what problem
with Transnational Corporations?
Is this cartoon supportive of free
trade?
What negative aspect of trade
liberalization is being shown in the
cartoon?
Looking Back
• Mercantilism: Mother countries took
advantage of colonies
• Capitalism: Freedom… leads to free trade
Filling in the spectrum
• What do you want to know more in order to
understand how much should we support free
trade?
• What issues do you want to clarify?
• As a class what can we label on the spectrum?
HINT LOOK BACK AT YOUR QUESTIONS
Home Work
• Page 253
Answer questions 1-2
The Maquiladoras of Mexico
1)
2)
3)
4)
Nate, Shana, Anna, Abi, Wojoma
Sam, Shelly, Ryan, Becca
Amber, Jacob, Spencer, Alicia
Jonah, Katie, Blaine, Sam, Riley
Pg. 253
If everyone on the planet lived my lifestyle, we would need:
Page 260
= 6.76 Earths
What is an ecological footprint?
How does economic globalization influence this?
Speaking logically there is roughly 1.89 hectares
(4.5 acres)
Canadian’s alone have an ecological footprint of
7.25 hectares
Some Good Questions
How does ecological footprints relate to
economic globalization?
Are ecological footprints important to pay
attention to?
Did economic globalization lead to this raised
ecological footprint?
Ship Building pg.266-271
• Economic globalization has lead to an increase
in transporting goods further. Ships have
become a favorite with large containers
because it is cheep.
• Ship building provides examples for
outsourcing, economic issues, human rights
issues and transnationals taking advantage of
the system.
The Building of Ships
• 1970s Ship building extensive in Europe and
the USA
• Ship building is labor intensive…so it has been
outsourced to Asia where labor is cheep
• Ship yards have high pollution, use hazardous
chemicals… this results in ship yards placing
heavy demands on electricity and water
supplies (VERY BIG ECOLOGICAL FOORPRINT!)
Environment
• Not only are ships made out materials that are
environmentally harmful they also
• Use bunker fuel which is cheep because it is
dirty. A single contain
Sustainable Prosperity
• Prosperity: being
prosperous is having
what you need in life
plus more. Or being
able to reach your goals
in life.
• Sustainable Prosperity:
Involves prosperity that is
long term for a group of
people. It involves a good
quality of life, respects the
environment, efficiently
uses/ shares the world
resources and involves
mutual respect for people
and the planet.
Ecological Footprint
• Used to describe the load people put on
nature
• Your ecological footprint represent the area of
the earth’s surface necessary to sustain the
level of resource you use and waste you
create.
• It is measured using how much land and water
resource you need to keep you alive.
Ecological Footprint
• Look at page 260-261
What are some reason’s why Canada’s Ecological
footprint is higher than Bangladesh?
Is it realistic to set that by 2025 Bangladesh will
have the same ecological footprint as Canada?
Complete by yourself.
Sustainable Prosperity
1.
2.
3.
4.
Sustainable Prosperity
Tools to measure prosperity/ Improvements
Challenges/ Opportunities
Review
Sustainable Prosperity
• Defined based on your
point of view
• Could be practicing
stewardship of the
environment and
resources
• What does sustainable
prosperity look like to
you?
Pick three of the ideas that need to be
addressed the most to achieve
sustainable development
?Sustainable Prosperity?
How will we know when it is
Achieved?
What should our goals include?
Quality of life, Environment,
Money, freedom, rights, standard
of living?
Sources
Sustainable prosperity is
shared prosperity… That
globalization can open doors
to prosperity has been
established, and is not the
issue her. What is at issue is
the concern that, left on
their own, the dynamics of
globalization will bring
prosperity to some and
misery and marginalization
to many others, particularly
in sub-Saharan Africa.
Question- How does the
source describe prosperity?
What obstacle does the
source see in obtaining
sustainable prosperity?
Sustainable Prosperity
• Gov’t Intervention (LEFT)
Legislation to improve
the Environment
Environmental Goals and
Sustainable Prosperity
Act ( Nova Scotia)
• Limited Gov’t Intervention
(Right)
Freer trade
Trickle Down theory
Sustainable Prosperity or Sustainable
Development
• Sustainable prosperity for all or development
is sustainable when it meets the needs of the
present without compromising the ability of
future generations.
Measuring and Creating Goals
• Measuring- GDP, HDI, GNH
• Goals- International Organizations (IMF, World
Bank), NGOs, but more specifically Millennium
Goals
Measuring Prosperity
• Gross domestic product as a measure of
prosperity- helps determine a difference
between countries for living standards
• GDP is a good indicator of a countries
economic health. Income and Standard of
living are closely tied to the GDP.
• A Drawback is that it is an average. (one
person really high or really low will throw it
off)
The Human Development Index (HDI)
• Created by the UN
• It is used to measure quality of life
• It is used to classify countries as developed,
developing, or underdeveloped and to measure
how economic policies affect the quality of life of
a country’s people.
• HDI is calculated using the following criteria:
1) Longevity
2) Knowledge
3) Standard of living
HDI
• Was meant to go beyond the GDP
• Canada is criticized since it has a high HDI but
that number drops in Aboriginal communities.
Source
Registered Indians living on reserves are ranked approximately
68th (on the HDI), somewhere between Bosnia and Venezuela,
while off-reserve Indians are ranked 36th. These are contested
statistics, but they do give some indication of the inequality of
life between Canada’s Aboriginal and non-Aboriginal
communities.
Question: The author might believe a reason for this disparity
is
a. Geography
b. Social Class
c. History
d. Politics
HDI
• Picks topics to focus on and track
• In 2006 it was a focus on clean water
The Gross National Happiness index
• Focuses on Buddhist spiritual values rather
than economic growth
• Its purpose is to:
1) Promote sustainable and equitable social and
economic development
2) Preserve and promote cultural values
3) Conserve the natural environment
4) Establish good governance
Arguments Against the Measurements
• Leave out important elements of prosperity
• Unreliable
• Biased
Millennium Goals
• 8 goals created by UN members to achieve sustainable
prosperity
A plan for managing some of the challenges to achieve the
goals
1) Decentralization- allow locals to have a voice
2) Training- national, district, and village
3) Information technologies- get rid of digital divide
4) Measurable benchmarks- make goals specific
5) Audits- see where the money is going
6) Monitoring and evaluation- budgets and plans to monitor
programs
Question
• Which measurement tool dose the best job
determining how successful we are in
attaining sustainable prosperity?
Challenges/ Opportunities
• Technology (Knowledge economy)
• Foreign Investment
• Subsidies Agriculture
World Bank
• In some areas where the World Bank has made
adjustment loans they have encouraged governments
to privatize water utilities.
• This means that improvised citizens need to pay for
clean water
1.Are there any benefits for the citizens if water is
privatized?
(no gov’t debt, sometimes citizens are already buying
water from private companies)
2. Are there any negatives for citizens if water is
privatized?
(uncontrolled costs, monopolies can form making water
cost more)
Reasons to privatize
1) Lowers taxes because the service is no longer
provided by the government
2) The competition that results from
privatization improves the quality of service
and leads to lower prices
Reason’s not to privatize
• Since companies make a profit it can make
services more expensive
• Doesn’t always work (air Canada)
• Privatization is controversial like Canada’s
health care
Foreign Investment
• It is the purchase of assets in one country by
individuals, institutions or governments in
another country.
• People in favor see this as an opportunity to keep
a country competitive in an interconnected and
fast-moving global economy.
• People against foreign investment see it as a risk
that can cause sudden and dangerous risks to a
country’s economy. (ex. South Korea)
Review
Things to study
Pop quizzes
Notes
Unit Outlines
There will be a question on Fair Trade.