|
Financial markets and globalization
Theme for class of 10 October 2006
Sources of Information:
Globalization
By David Held and Anthony McGrew
Entry for Oxford Companion to Politics
Globalisation is characterized by four types of change.
First, it involves a stretching of social, political and economic activities across frontiers, regions
and continents. Second, it is marked by the intensification, or the growing magnitude, of interconnectedness and flows
of trade, investment, finance, migration, culture, etc. Third, it can be linked to a speeding up of global interactions
and processes, as the development of world-wide systems of transport and communication increases the velocity of the
diffusion of ideas, goods, information, capital and people. And, fourth, the growing extensity, intensity and velocity
of global interactions can be associated with their deepening impact such that the effects of distant events can be
highly significant elsewhere and specific local developments can come to have considerable global consequences. In this sense,
the boundaries between domestic matters and global affairs become increasingly fluid. Globalization, in short, can be thought
of as the widening, intensifying, speeding up, and growing impact of world-wide interconnectedness.
|
|
IMF on Globalization:
Globalization, or internationalization, is not a new phenomenon. The period through the end of the 19th
century was also characterized by unprecedented economic growth and global integration. But globalization was interrupted
in the first half of the 20th century by a wave of protectionism and aggressive nationalism, which led to
depression and world war. International economic and political integration was reversed, with severe consequences.
|
