lecture notes april 21

lecture notes april 21 - Lecture Notes Globalization...

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April 21, 2011 Lecture Notes Globalization: Examples of Global Disparities a. Top 20% of the world’s population by income consumes 86% of all goods and services while the bottom 20% consume just 1.3% b. Infant mortality in the richest 20% of countries is 4 out of every 1000 births. In the poorest 20% it is 200 out of every 4,000. B.) Some effects of Globalization a. More elastic demands for labor: the services of large segments of the working population can be more easily substituted by the services of people across national boundaries b. Changing and conflicting social norms at the domestic and regional levels c. Growing disparities between rich and poor C.) Globalization and Growth a. What is the relationship between growth and international integration? b. What is the relationship between international integration and inequality? i. Within countries? ii. Between countries? iii. What we are now seeing is a leveling off of disparity, and because of China and India, lessening of income gap, this is because growth rates are increasing as less developed countries participate in the global market 1. Trade openness > growth > reduces inequality, some concerns with this argument though because within countries inequality still exists, also think biggest growth is in China and India but the most amount (number) of poor people is in China, they argue this in the case of domestic taxation policy, this can make us more or less competitive, dual pressure having enough money to respond to social concerns but low enough taxes to make the country attractive to foreign direct investment 2. Globalizers versus non-Globalizers: is China a globalized country? No—a lot of restrictions in their society, Yes- if no restrictions they would be bomb? 3.
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This note was uploaded on 05/08/2011 for the course IR 213 taught by Professor Staff during the Spring '08 term at USC.

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lecture notes april 21 - Lecture Notes Globalization...

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