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2. Chapter 17: Globalization and Inequality

3. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Globalization Complex process by which world and its international economy are growing more intertwined Consequences of one nation’s actions become shared by all In theory, bring about a convergence in world as people from different areas become increasingly alike and have more and more shared experiences Can also create backlash against external forces, increasing the strength of the local community

4. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued Glocalization Occurs when countries seek to combine local and global into unique structural blend to maintain native customs while fitting into global environment

5. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Problems Associated with Globalization Lean toward globalization can have negative effects Different countries have different natural resources and may sell resources to become part of the global game Many poor nations have rapidly growing populations, which results in large numbers of young people seeking work Abundant supply of workers allows employers to pay less and less for the labor

6. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued Increasing globalization has also encouraged trade between nations, although existing trade agreements do not always promote free trade Instead of leveling playing field between nations, agreements sometimes have opposite effect Benefit wealthy nations and put poorer nations at greater disadvantage Brain Drain Occurs when individuals with greatest talents leave poor countries providing an even greater advantage to wealthy countries Developing nations who send their best and brightest generally receive nothing in return

7. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Globalization and Culture One of the questions surrounding globalization is whether it unites the world culturally Globalization influences spread of material culture throughout world Some suggest because of expansion of common influences, differences will eventually become nonexistent All cultures may meld into one large homogenous society

8. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Globalization and Migration Globalization influences migration patterns Influx of people – both legal and illegal – associated with various social problems Many developed nations now seeking policies to slow rate of immigration Migration can create a backlash against the people who enter a new country Resulting in issues of violence, victimization, and abuse

9. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued Globalization resulted in roughly 3% of world’s population living outside nation of birth Increase in interaction and travel means diseases can also spread more easily When capitalist nations use developing countries as source of cheap labor Can have negative effects on poor citizens of those nations At the same time benefiting consumers in the wealthy nations

10. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued Opposing point of view suggests globalization is major opportunity for poorer nations to improve economic status Some suggest that world’s cultures are adopting more Western values Others feel globalization is causing local groups to work harder to maintain their own customs, religions, and languages

11. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. How Did the World Become Stratified? Globalization related to how the world is divided between the rich and the poor Guns, Germs, and Steel, author Jared Diamond Explains why Western world advanced so quickly and other regions of the world did not Climate, geography, and available natural resources all played a role Also ability to use trade and interaction for citizens’ own advantages Increase in trade results in increase in knowledge Allows civilizations to flourish through improved quality of life

12. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Global Stratification Global stratification The categorization of countries based on objective criteria such as wealth, power, and prestige Highlight social patterns and inequality throughout world Income Income is difficult to use to measure the standard of living of an entire population Sociologists use country’s per-capita income Calculated by dividing country’s total gross income by number of people in that country

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14. Underdeveloped Nations and Stratification Country considered underdeveloped nation if it is relatively poor and not yet industrialized United Nations provides assistance to underdeveloped countries based on 3 criteria The country must have a low gross national income The population must meet health and education criteria Population size and proximity to other developed nations must be taken into consideration

15. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued Some countries considered developing or in process of becoming industrialized Issues such as poverty and hunger still affect these countries, though not as greatly as underdeveloped countries Sub-Saharan region of Africa most disadvantaged area in the world Infant mortality, childhood death, hunger, and poverty rates worse there than anywhere else

16. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued Communication and literacy are the two major dividing factors between modern developed and underdeveloped nations Access to technology low in underdeveloped countries When people lack the ability to read Forced to take unskilled, labor-intensive jobs to support their families

17. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Modern-Day Slavery? Serious problem related to globalization and extension of capitalism Increasing levels of slavery around the globe Disposable People: New Slavery in the Global Economy, sociologist Kevin Bales Estimates 27 million people currently enslaved around the world In some parts, human trafficking includes individuals (often women) sold into prostitution by family members

18. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued Common for companies to use slave laborers in factories around the world Contract slavery Form of slavery in which person signs work contract Receives food and shelter from an employer Is threatened when he or she tries to leave Most products available on market today either produced under or are somehow related to slave labor

19. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued Globalization, pursuit of cheap labor, rapid population growth, weak local governments, and consumer desires for cheap goods All contribute to fact we have more slaves on the planet than at any other time in history Ritzer Reason slavery is so difficult to eradicate Grobalization Refers to idea that capitalist countries use corporate interests to expand their power throughout the world Increases profits for companies as well as control

20. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Developed Nations and Stratification Characteristics of developed nations Well-educated population, regular elections, abundant industry, and free enterprise Large percentage of citizens in developed countries still live in poverty United States has highest percentage of people living in poverty of any developed nation 17% of total population below the poverty line Of 21 wealthiest nations in the world Distance between top 10% of incomes and bottom 10% of incomes is greatest in US

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22. Quality of Life One way to measure quality of life in a country is to measure health and longevity Andorra, small nation in Europe, has highest life expectancy in the world at 83.5 years Swaziland in southern Africa has shortest at 31.9 years Singapore has lowest infant mortality rate at 2.3 deaths per 1,000 babies born Angola has 80 times that rate, with 184.4 deaths per 1,000 births

23. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued Many other factors to consider in quality of life Access to telephones, televisions, and newspapers Debt ratio and gross national product Kai Müller Norway is best country in the world to live and Democratic Republic of Congo is worst Top 20 ranked countries located in Western Europe – bottom 20 countries all in Africa United States is not considered one of the 20 best countries in which to live

24. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Conflict Theory Immanuel Wallerstein’s World Systems Theory Suggests that world is divided by connections to economic power Core is made up of nations that constantly trying to expand markets, decrease costs, and increase profits Because core nations constantly seeking expansion, find ways to enter periphery countries Core nations use multinational corporations and loans to tap into the periphery nations

25. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued Neocolonialism Sociologist Michael Harrington Neocolonialism Process by which powerful nations use loans and economic power to maintain control over poor nations Idea of neocolonialism extends to wealthy nations that use multinational corporations to control poorer nations Through use of outsourcing Multinational corporations allow wealthy countries to control weaker ones through corporate investment

26. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued Thomas Friedman Interconnection means that world is growing increasingly “flat” Interconnection between nations caused by low-cost communications World is becoming a place where those with means can win at the expense of those without them

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28. Symbolic Interactionism European Union grown from simple trade relations between six countries to collection of more than 20 nations Have a weak central government to handle trade disputes among nations Have a common currency (the euro), and increasingly common language (English) If European Union banded together to form a single nation, it would be the wealthiest, most powerful country in the world

29. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued T. R. Reid Europeans are seeing themselves less as members of specific nations and more as members of the European Union World’s largest banks and most successful businesses risen to prominence in European Union Makes more scientific discoveries than any other country Have the highest standards of living in the world

30. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Functionalism Functionalists believe stratification is mostly result of geographic conditions Historically, certain areas thrived while others did not as result of differences Globalization benefits not only countries risen to prominence, but also poorer nations around the world Globalization brings needed wealth and technology Helps less-developed nations advance

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32. Foreign Aid U.S. government’s stance on foreign aid “Helping the world’s poor is a strategic priority and a moral imperative. Economic development, responsible governance, and individual liberty are intimately connected. The United States must promote development programs that achieve measurable results— rewarding reforms, encouraging transparency, and improving people’s lives.”

33. Copyright © 2011 Pearson Education, Inc., Upper Saddle River, NJ 07458. All rights reserved. Continued This strategy should benefit all countries involved Those giving aid and those receiving it World’s wealthiest countries agreed to donate 0.7% of gross national product to foreign aid

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