Transcript Sociology 2: International Sociology

Review

Not just any global economy…

Capitalist economy, organized around
private ownership and private gain

Driven by profit imperative
Review

Capitalism has inherent globalizing
tendencies, which arise from:
– The drive to minimize costs of
resources and labor
– The drive to maximize sales of new
products in new markets
Review

Consequences of global capitalism include…
– Rise of differentiated core (ownership)
and periphery (labor & resources)
– Export of high-paying manufacturing jobs
from core to periphery
– Export of environmental degradation
from core to periphery
Difference in Degree: Silk Road 130 BC
Difference in Kind: World Trade
Organization (established 1995)

[The WTO’s] main function is to ensure
that trade flows smoothly, predictably,
and freely…. By lowering trade barriers,
the WTO’s system aims to break down
other barriers between peoples and
nations.
-www.wto.org
Road Map
Economic Political
Global
Organizational
Country
Personal
Evaluation
Application
Cultural
Economic Globalization at the
Organizational Level – Rise of
Transnational Corporations

In 2007…
– About 80,000 TNCs
– About 800,000 affiliates
– About $31,000,000,000,000 sales
TNC – Global Mergers & Acquisitions
(87-06), Global FDI (70-08)
TNCs and the Auto Industry
Economic Globalization at
National Level
Changes what nation-states are: oriented on
economic development
Alternative to GDP is GNH:

Economic Wellness

Environmental Wellness

Physical Wellness

Mental Wellness

Workplace Wellness

Social Wellness

Political Wellness
TNC Sales v. National GNP
Governmental versus Private
Capital Flows into Developing
Countries 1970-95 (State of the World)