Globalization Overview

Globalization is a process of interaction and integration among people, companies, and governments across different nations.
Key Drivers:

• International trade
• International investment

Effects of Globalization

Globalization impacts several areas:

• Environment
• Culture
• Political systems
• Economic development
• Human physical well-being

Phases of Globalization

First Phase (15th to 18th Century)

• Characterized by the exchange of knowledge over goods.
• Notable Events:
  • Portuguese and Spanish discoveries of America
  • Introduction of the Gregorian calendar
  • Discovery of heliocentric solar system

Second Phase (18th to 19th Century)

• Associated with:
  • Democracy
  • Industrialization
  • Scientific progress
• Key Events:
  • American Declaration of Independence (1776) promoting democratic ideals.
  • Industrialization leading to technological progress and faster exchange of goods.
  • Rise of imperialism and international expatriates.
  • Strengthened international trade relations and events like the Olympics and Nobel Prize.

Third Phase (Late 19th Century to Early 20th Century)

• Focused on internationalization of transportation, communication, commerce, and science.
• Key Technologies:
  • Trains
  • Steamships
  • Telegraph
  • Postal system
• Before WWI, London residents accessed many foreign products.

Fourth Phase (Post-1945)

• Emerged after World War II, marked by long economic expansion.
• Golden Age of Capitalism (late 1940s to early 1970s):
  • Aimed to prevent economic conditions like the Great Depression.
  • Emphasized cooperation between nations.
  • Formation of institutions like the International Monetary Fund (IMF) and World Bank for stability.
• Transition to neoliberal market globalism post-1970s characterized by:
  • Free trade
  • Deregulation of the corporate sector
  • Competition among companies rather than countries
  • Acceleration of financial markets via improved communication and the internet.

Conclusion

• Today, globalization allows for easy access to information and goods from around the world.