thank you for this video !! super helpful :) i'm definitely going to be reading further into all of these points too, the globalisation debate is super interesting and very important
I think Evergrande is a good example of systemic risk that you mention in the greater risk of external shock point. Also, I think a historic moment in which China’s footprint on global trade comes into play is when Xiaoping begins the integration of China and its billion plus workers and consumers into the world economy.
yeh Deng's back door policy is a really good example, it was so influential in China that 50% of Chinese exports by the end of the 20th Century I think were being generated by TNCs
A country loses economic independence and resilience if they globalise because globalism exacerbates downturns on everyone. The 2020 lockdowns are a great example of the above.
can you plz explain the role of globalization in the development of free-market capitalism?? If you can reply right here in comment plz I need a perfect explanation............
globalisation is the process of places becoming more interconnected and by doing that places become more interconnected with economies that will tend to promote the free market capitalist view such as America, therefore economies will become more switched on to that idea. That could be why ?
well through trade liberalisation, reduction of tariffs and the accessibility of imports due to globalisation, it allows firms to be truly competitive with one another as productivity is expanded and production can be done cheaply. Im not sure though, just another student
high income earners and large firms benefit more from increased globalisation but those with low incomes may be left jobless (e.g. less reliance on 'low skill' jobs due to immigration and possibly the high RULC mean that it is cheaper for a business to produce overseas, causing less reliance on domestic labour)
Certain industries are going under in some countries for instance manufacturing in the UK as the Chinese are simply better at it, so its can create employment and unemployment due to multiple countries.
well the spread of technology can cause increased productivity which reduces need for labour input. Employment is comparatively increased by industries created through globalisation such as tourism or jobs working for MNC's expanding into a new nation.
Hi could anyone explain why a shock in growth would lead to protectionist measures, wouldn't that just worsen growth even more? I mean it made sense when the teacher said that imbalances are bad but i don't understand why it would lead to protectionist measures - thanks
i believe a reduction in ecg would lead to general economic insecurity and cause a reduction in imports as it will be relatively more expensive to purchase imports, likely resulting in more people making purchases domestically. It would also halt the expansion of capital so that the export industry becomes unproductive, possibly leading to 'protectionist' government measures. It could also mean, as productivity is not increasing, that export prices are uncompetitive on the global market and less goods may be sold resulting in much less g+s sold by the nation. I know this is 5 years old, just testing my understanding.
