Unit 1 – Global ChallengesGoing Global

Going Global Globalisation Global Groupings Global Networks Roots On The Move World Cities Global Challenges For The Future

Going GlobalGlobalisation

What is globalisation? The term ‘globalisation’ has been used since the 1990s. The IMF defines it as ‘the growing economic interdependence of

countries worldwide through increasing volume and variety of cross border transactions in goods and services, freer international capital flows, and more rapid and widespread diffusion of technology.’

So really it is about how people, their cultures, money, goods and information are transferred between countries so that places and people are becoming more closely linked.

Globalisation Ideas National economies are becoming more integrated into a single global

economy. Actions and decisions in one part of the world have knock on effects in other parts of the world. The spread and development of technology has fuelled the interdependency. The world is becoming very similar politically with democracy, freedom and free trade.

Cultural globalisation – western cultural norms are spreading to other parts of the world.

Demographic globalisation – increasing migration/movement of people means the greater mixing of ethnicity.

Not a new idea? People, countries and continent have always been connected in terms

of economic, cultural and political ways through: Trade – from 1492 when Columbus reached the Americas Colonialism – by the end of the 19th century the British empire directly

controlled ¼ of the world and its people

Inequality due to globalisation Some low income countries like Mali and Chad have large number of

people living in poverty who have shallow global integration. Other middle income countries e.g. Brazil have great unevenness

between the people’s experiences of globalisation. The rich elite in Sao Paulo and Rio are highly globalised and even in favelas they follow international football teams and listen to American music etc.

In high income nations e.g. USA, UK most people are affluent consumers of global products and culture. Many are widely travelled and fly overseas.

Demography/Population Demographic (population) changes are an important part of globalisation.

Demography has changed massively over the last 50 years and is

predicted to change even more in the next 50 years – both in terms of population size and distribution.

Places that experience economic growth usually trigger an increase in the number of people living in region due to changes in the:

1. Birth rate2. Death rate3. Migration – natural increase

Population Growth Over Time

The Industrial Revolution lead to fall in death rate and the birth rate – due to benefits of modern healthcare, sanitation, nutrition and education.

Economic growth is normally coupled by population growth e.g. the UK went from 5 million in 1750 to 40 million in 1900.

Similarly, India has boomed from 300 million to over a billion today.

However, population growths remain high when a countries birth rate does not drop due to cultural preferences for more children not changing – this is the case in large parts of Africa.

The Demographic Transition Model

Factors Affecting MigrationRemember to refer to these reasons as push and pull factors;

Push and pull factors

Things that draw/attract people to an

area

Things that encourage people to leave the place they live in

Factors Affecting MigrationPull FactorsPush Factors

• Unemployment• Lack of services/amenities• Poor safety and security• High crime rates• Crop failure• Drought• Harsh climate (too hot or too

cold)• Flooding • Poverty• War

• Employment/jobs available• Better services • Safer area• Low crime rate• Fertile land for growing crops• Good food supplies• Less risk of natural hazards

(drought, hurricanes etc.)• More wealth• Stable political group• Attractive climate • Better quality of life

Population Change - MigrationA Net Migration gain occurs when more people immigrate than emigrate.A Net Migration loss occurs when more people emigrate than immigrate.The movement of people has led to a globalisation of population with diverse populations made up of many different beliefs, cultures and mixed societies.Migration is largely dependent on a combination of push and pull factors. However it is also largely dependent on the barriers facing a migrant known as ‘intervening obstacles.’ Examples include: Social obstacles e.g. family ties back home. Economic obstacles e.g. The cost of setting up a new home. Lack of information about destination e.g. Where to stay upon arrival.

LEE’S MIGRATION

MODEL

This revised the simple ‘push-pull’ model in two ways:• It introduced the idea of intervening obstacles that need to be overcome before migration

takes place.• Source and destination are seen as possessing a range of attributes; each would-be migrant

perceives these attributes differently, depending on personal characteristics, such as age, sex and marital status.

Intervening opportunity

An alternative migration destination that exists between the migrant’s place of origin and their destination.

E.g. Polish people migrating to Ireland pass through London on route and instead settle there.

An intervening obstacle is an environmental or cultural feature that hinders or slows down migration.

For example, not having a visa travelling from the UK to the USA.

Intervening obstacle

In 1945, when WW2 ended, worldwide economic reconstruction began and globalisation became noticeable. The factors that accelerate it were/are:1. Transport: In the 1960’s the Boeing 747 made international travel more common, and more recently, the expansion of cheap flight sectors has increased air travel e.g. Easyjet and Ryanair.Secondly containerisation (shipping goods) since the 1940’s has increased globalisation.2. Transnational corporations (TNC’s): These are firms with operations spread through out the world, operating in many nations as both makers and sellers of goods and services. E.g. Coca-Cola and McDonalds. The BBC is one too (interestingly part funded by the government of the UK). They have caused massive economic and cultural changes. 3. Computer & internet (and media): Computer aided design (CAD) and manufacturing (CAM) have made manufacturing less human reliant allowing firms to become more footloose. Also, ICT has allowed video conferencing and emails, allowing TNC’s to expand worldwide. People are now able to connect wherever they are due to social networking e.g. Facebook and Skype. It has also made things like shopping and education easier to access via the internet.

Why is globalisation increasing?

•

4. International organisations: The International Monetary Fund (IMF), which channels loans from

worlds richest nations to countries which seek economic help. In return, the requesting country has to agree to free-market economies, which means TNC’s can enter, promoting globalisation.

The World Trade Organisation (WTO) and World Bank also work along side the IMF.

Non-governmental organisations (NGO’S) such as Oxfam, also have had major influence, working to connect places through aid and debt relief.

5. Markets:More people are resident in urban areas and are significant consumers of goods and services. In 2007 China already had 30 million affluent consumers and by 2015 it is expected to be the world’s largest market for consumer goods. Also, the growth of major stock markets has been an important influence. This causes new stock markets to emerge e.g. Shanghai.

Film stars Musicians Celebrities Doctors and health care

professionals Computer programmers Property developers Writers Academics Sportsmen Bankers

These people have desirable skills or money which is highly prized by countries and they will be allowed to move easily.

For example, there are 200,000 Americans living in the UK which is an example of international migration.

The International Elite

Internal Migration

Within countries internal migration too has increased. In the poor and emerging economies rural-urban migration dominates. This is for 2 reasons:1. Media – television, radio, books and newspapers2. Foreign Direct Investment – mainly in urban areas

Going GlobalGlobal Groupings

Gross National Product (all trade)

The value of all the goods and services earned by a company including companies working abroad (TNCs).

Gross Domestic Product (internal trade)

The value of all the goods and services earned by a country excluding foreign earnings.

Per Capita Statistics providing an average per person.Purchasing Power Parity

Relates average earnings to prices and what they will actually buy.

Global Differences

Physical Quality Of Life Index

Made up of life expectancy, literacy rates and infant mortality.

Human Development Index

Made up of life expectancy, literacy rates, infant mortality and school enrolment.

Human Suffering Index

Made up of daily calorie intake, access to clean water, inflation rate, access to communications, political freedom and civil rights.

Economic Development Indicators

Human Development Indicators

Development Indicators1. GNP -  the market value of all the products and services produced in one

year by labour and property supplied by the citizens of a country.2. GDP - monetary value of all the finished goods and services produced

within a country's borders in a specific time period, though GDP is usually calculated on an annual basis.

3. Balance of trade (Imports-Exports) – the difference in what leaves the country and what enters the country.

4. Natural increase - the difference between the number of live births and the number of deaths occurring in a year, divided by the mid-year population of that year, multiplied by a factor (usually 1,000).

5. Life expectancy - the average period that a person may expect to live.6. Number of doctors per capita – the number of doctors per 1000

people.7. Proportion of people living in urban areas – the difference in the

number of people living in rural areas to urban areas. 8. Dependency ratio -  A measure showing the number of dependents

(aged 0-14 and over the age of 65) to the total population (aged 15-64).9. HDI Ratio - is a statistical tool used to measure a country's overall

achievement in its social and economic dimensions.

Economic & Political GroupingsCountries can be put into broad economic and political groups

because wealth and power aren’t shared out equally around the world. These groups change over time as the wealth and power of countries change.For example, most countries used to be classed as either More or Less Economically Developed. It’s now thought that this system is too simplistic – there are too many stages of economic development to put all countries into only 2 categories.

The Brandt Line - shows the north and south divide in wealth.

LDCs – 50 poorest countries classified by the UN.NICs - Countries undergoing industrialisation where average earning and exports have increased dramatically since the 70’s. For example, the BRICS (Brazil, Russia, India, China and South Africa).Ex-soviet states – After the break up of the soviet Union in ’89, there were 15 ex soviet states remaining, which scored poorly in HDI and GDPG8 – Aim to create deeper international co-operation and an understanding of climate change and international trade.

Economic Groupings

OECD - It is a global ‘think tank’ for 30 of the world’s wealthiest nations and ensures wealth is distributed evenly across the nations. OPEC - Established to regulate the global oil market. Stabilise prices and ensure a fair return for the 11 member states who between them supply 40% of the world’s oil.

LDCs Least Developed Countries (LDCs) are a group of around 50 countries

that are defined by very low incomes, poor health, low education, economic instability and their heavy debt to richer countries, e.g. Mozambique, Sudan, Ethiopia, Afghanistan. Their economies are usually based on agriculture, so crop failures can lead to economic disaster.

Countries are moved out of the LDC group when conditions improve, e.g. Botswana.

The majority of LDCs are located in the African continent, with a few located in Asia as well as Oceania, and only one in the Americas (Haiti).

LEDCSLess Economically Developed Countries have started to develop their economies and this can be seen in their increasing GDP, calorie intake per day, birth rates and death rates, e.g. Egypt, Namibia.

NICs Newly Industrialised Countries (NICs) aren’t yet classified as developed

countries (like the UK), but aren’t thought of as LDCs (like Bangladesh) either.

Their economies are usually growing very fast, and there has often been a recent move from a mostly agricultural economy to one involving manufacturing and exporting.

The term was originally used for the Asian ‘Tiger’ economies of Singapore, Hong Kong, South Korea and Taiwan.

BRICsThe four ‘BRIC’ countries are Brazil, Russia, India, China and South Africa. They are in the same group as they all have newly advanced economic development. They are middle income countries, which are becoming high income countries.

Ex-Soviet States Russia and some of the surrounding countries in central Asia and eastern

Europe used to make up one large state called the Soviet Union A lot of independent countries have been created since the Soviet Union

collapsed in 1991 – these are mostly now classed as middle-income countries (E.g. Estonia)

Middle-income countries have growing economies, but the growth isn’t as rapid as the NICs and their development hasn’t reached the same level, e.g. Ukraine

Recent growth in some ex-Soviet states is due to the exploitation of natural resource, e.g. oil and gas in Kazakhstan

The privatisation of industries (state controlled in Soviet times to privately controlled now) has led to economic recovery and growth in many ex-Soviet states, e.g. Belarus.

OPECThe Organisation of Petroleum Exporting Countries (OPEC) is a group of 12 major oil-producing countries. The petrodollar earnings of these countries make them some of the wealthiest countries in the world. However, although most OPEC members display well above average levels of wealth, it is often unevenly distributed among citizens. OPEC countries control around 2/3 of global oil reserves. Because they’re a large group in control of a large amount of oil, they can make sure they get a fair price from oil-consuming countries (e.g. The UK)Examples: African OPECs: Algeria, Angola, Libya Nigeria. South American OPECs: Ecuador, Venezuela. Middle East OPECs: Iran, Iraq, Kuwait, Qatar, Saudi Arabia, United Arab

Emirates (UAE). Half of OPECs are from the Middle East due to the vast oil reserves

present there. Indonesia was a recent member but left OPEC in 2007. Some members have left since OPEC was founded because they wanted to

produce more oil than the agreed OPEC quotas allowed (e.g. Gabon) Other countries have been invited to join (e.g. Bolivia and Sudan)

OECD The Organisation for Economic Cooperation and Development (OECD) is

a group of 34 of the richest and most powerful countries. The top eight are called the G8 – one of the world’s most powerful and

wealthy groups – it’s made up of Canada, France, Germany, Italy, Japan, Russia, USA and the UK.

They meet to discuss and provide possible solutions to economic, environmental and social issues.

Members of the OECD are always changing too, e.g. Potential new members include Brazil, China, India and more recently South Africa (BRICS).

Trade BlocsTrade Blocs are groups of countries that make agreements to reduce barriers

to trade, e.g. by removing tariffs (taxes on imported goods). Blocs increase trade between members, and members can work together as a larger organisation to trade with non-members.Benefits of membership of a trade bloc are linked to two important concepts:1. Economies of scale – the advantages companies gain because of

increased sales. There’s a larger market for all companies within the trade bloc because it’s easier to trade with all other member countries. This increases sales. More sales means more products need to be made, so companies can buy the raw materials for their products in greater numbers, saving money. Buying raw materials in bulk means each product costs less to make, so companies make more profit.

2. Comparative advantage – countries can concentrate on developing specific industries. Being in a trade bloc means it’s easier to trade for all the different goods and services a country needs, because trade is less restricted. So countries can specialise in producing the things they’re good at making and trade for the things they’re not good at making. Production will increase in each member country because they’re concentrating on what they do best, so production will increase in the trade block overall.

Trade Blocs

Free trade zone MOST developed trade bloc in

the world Common currency Migration increase Judicial System Parliament Humans Rights Act Health and Safety Legislation Cultural links and spread

Agreement between the countries of North America – USA, Canada and Mexico.

Made trade easier by removing things like import taxes on some goods.

Trade has increased but there are other impacts, e.g. Job losses in the USA because the manufacture of some goods has been moved to Mexico, where labour is cheaper.

The EU NAFTA

Inequalities in wealth and power

These groupings of countries highlight the inequalities in wealth and power around the world.

Most of the wealth and power is in the hands of a few countries, e.g. The G8 have over 60% of the gross world product (the total income of the world), and control most of the military power, even though they’re only 8 countries.

These groupings can also show how wealth and power can change. For example, Russia didn’t officially join the G7 (to form the G8) until 1997

because of the power issues of the cold war (a period of political struggle between the USA and the Soviet Union) and economic problems in Russia after the collapse of the Soviet Union.

Because wealthy countries often form groups together, they become more closely integrated.

This mean’s they’re more likely to get even wealthier and develop solutions to their own economic, environmental and social problems at a faster rate.

This can lead to a widening of the gap between poorer and wealthier countries.

TNCs A company that has operations in more than one country to produce or

sell products and services. Help to build bridges between nations. They bolt together different economies and societies through their supply

chains and marketing strategies. TNCs have their roots in the colonial businesses of the 18th and 19th

century e.g. East India Company. TNCs build their businesses by buying foreign firms in mergers or

acquisitions Much of the manufacturing is subcontracted to third parties. This can

make it difficult to enforce good factory working conditions Most TNCs are assembly industries – manufacturing operations that take

the products of many different industries and fit them together to make finished goods. They rely on a chain of suppliers. Some many be made by independent subcontractors and others are owned by the parent company.

E.g. the Mini factory in Oxford is owned by BMW and 2500 suppliers provide parts to assemble the mini. Some are from inside the EU to avoid tariffs and others like the engine are brought all the way from the factory in Brazil that is part owned by BMW.

Some of the parts may be sourced locally and then assembled close to the market. This is called glocalisation.

How do TNC’s grow?Motive – Profit. They control costs of raw materials and production costs, and do this by merges and take over's in 3 ways. 1) Horizontal integration – Buying up competition. 2) Vertical integration – controlling and owning every stage of production. 3) Economies of sale – expand production to increase efficiency and reduce

unit production costs.Means – The banks. Companies invest overseas too, to boost their market or take advantage of labour or environmental laws. Flows of money around the world connect businesses and countries. Mobility – Transport and communications. Accelerated and cheaper transport (containerisation and cheap flights) and communication systems (fibre optics) along with production systems such as ‘just in time’ (companies demand goods on short time scale rather than holding stock) which provides cheap fast turn around, enabling companies to be faster than their competitors. How do TNCs affect global wealth?TNCs bring Foreign Direct Investment to nations – even if wages are low workers will still spend money after they have been paid = stimulates growth of other local services.When TNCs locate in a trade bloc they bring wealth to poorer regions as they often source parts locally.One of the most effective mechanisms for wealth redistribution.

TNCs - Problem or Solution?For: Raising living standards – TNCs invest in the economies of the

developing nations Transfer of technology – south Korean firms e.g. Samsung have learned

to design products for foreign markets Political stability – investment by TNCs has contributed to economic

growth and political stability e.g. China Raising environmental awareness – due to large corporate image TNCs

do respond to criticism e.g. Co-op has ‘green credentials’Against: Tax avoidance – many avoid paying full taxed in countries they operate

in through concessions Limited linkages – FDI does not always help developing nations

economies Sweatshops – workers are employed for long hours, low pay in poor

conditions Growing global wealth divide – selective investment in certain global

areas is creating a widening divide e.g. Southeast Asia vs. sub-Saharan Africa

Environmental degradation – example of Bhopal, India disaster in 1984

Case Study: Transnational Tesco Tesco began in 1919 as a grocery stall in the East End of London. By 1956,

the first Tesco self-service supermarket opened in Maldon. Throughout the 1970s and 1980s, success followed success in the UK market.

Key the firms growth has been a strategy of diversification into new markets, becoming a ‘one stop’ shop for all electrical goods, toys and home products in addition to food.

Tesco products are usually manufactured in low-wage countries. Low-cost items such as the Value Jeans (£3) are sourced via Tesco agents in Hong Kong, which use suppliers in China, Thailand, Mauritius, India, Bangladesh and Sri Lanka.

In 2004, the first Tesco stores opened in China, where rising wealth among the elite means that there is a growing number of affluent customers. In 2007, it moved into the USA.

Exploitation?: Wages in factories are low, but so are living costs and many of Tesco’s

overseas employees are shop managers who receive a good wage.Damage the environment?: Shipping goods around the world releases huge amounts of GHGs, but has

pledged to cut on packaging of its own brand products.Glocalisation: Pays attention to local customers’ needs. For example, Thai wet markets.

Opposing views about TNCsAgainst TNCs Benefits of TNCsTax avoidance. TNCs may avoid paying full taxes, through transfer pricing and tax concessions. This means governments find it harder to raise revenues, provide services and respond to the demands of local people.

Political stability. TNC investment has contributed to economic growth and political stability. This may be contrasted with conditions in much of Africa, where instability, civil war and distance from markets has made the investment environment less favourable.

Limited linkages. FDI does not always help developing world economies. If links are made with local firms then more wealth may be generated.

Transfer of technology. TNC s can be responsible for the transfer of technology and managerial know-how.

Growing global wealth divide. By selectively investing in certain regions while bypassing others.

Raising living standards. TNCs invest in the economies of developing countries. They are sometimes active in raising wages and can help spread wealth globally.

Environmental degradation. TNCs are often a major cause of environmental degradation, this has the greatest impact on the poor and can cause deaths.

Raising environmental awareness. TNCs respond to criticism due to having a large image to uphold. Many large firms are trying to address issues with transport, carbon emissions and packaging, whilst also increasing their fair trade commitment.

Going GlobalGlobal Networks

Global networksLinks between different countries in the world, which includes flows of

capital, traded goods, services, information & people are very important. Some places are well connected but others poorly. Network: Illustration or model that shows how different places are linked together. E.g. the Tube (underground train) map of London. Global hub: A node (point on a network map) that is especially well connected.Flows: The connections between the hubs are known as flows.Connections between these hubs are called flows and include:1. Money - major capital flows are routed through global stock markets.2. Raw materials - e.g. food and oil traded between nations.3. Manufactured goods and services - value of world trade is 70 trillion

dollars.4. Information – internet has brought real-time communication between

distant places.5. People - movement of people still an issue due to border controls and

immigration law.

Key Terms The Core – The most developed and highly populated region of a

country. The growth of core regions is fed by flows of labour from less well – developed regions. Particularly visible of states like India and China where populations are massive.

Switched on places – Nations, regions or cities that are strongly connected to other places through the production and consumption of goods and services. In contrast, places that are poorly connected are said to be relatively switched off i.e. North Korea.

Wilderness Areas – are areas of the world that have remained relatively untouched by man and is home to only a small number of indigenous people. Examples are Amazonia, Borneo and Antarctica (which is unpopulated).

Cumulative Causation – the process by which economic activity leading to prosperity and increasing economic development tends to concentrate in an area with an initial advantage, draining investment and skilled labour from the peripheral area (part of the backwash effect).

A Shrinking world?

Distant places start to feel closer and take less time to

reach. Sometimes known as ‘time –

space compression’

Telephone - these replaced 3-week boat

trips and laid the ground for TNCs to operate in different

countries simultanesouly. Parts

of Africa are now 'leap-frogging'

straight to mobile phones

Air Travel - faster planes with greater

capacity e.g. Airbus. Firms e.g. Easyjet

have allowed mass air travel

Internet - large amount of data can

be moved across cyberspace and

allows office staff to work from home

GIS/GPS - first GPS in

1970s, now 24 in orbit. GIS can collect, manage and

analyse satellite data

Case Study: easyJet

easyJet was founded in 1995. It began as a small company, running flights only within the UK. Most of Europe’s major cities are now interconnected via the cheap flight network.

At the start, the airline only had two aircraft. In 1996, flights to Barcelona commenced and therefore the company started to expand rapidly. It now has 300 flight routes in the EU. In 2005, easyJet announced its new markets: Istanbul, Marrakech, and Rijeka.

Technology has helped to build the easyJet global network. It was one of the first airlines to embrace the internet, and the first online sale was in April 1998. By 2006, the company owned 122 aircraft, carrying 33 million passengers per year and bringing revenues of nearly £2 billion.

Places that easyJet fly to become more ‘switched-on’. For example, Tallinn in Estonia is home to 400,000 people. In October 2004, easyJet started to fly British tourists there, suddenly it became an affordable destination for UK tourists. The new route has brought more money to Tallinn and boosted trade for its businesses, such as hotels, bars and nightclubs, restaurants.

Global HubsThese are often major network nodes and are switched on places. These are often world cities. They are normally the core of the country’s economy. They possess qualities which makes countries want to trade with them: NATURAL: coastline ideal for trade, strategic location, oil resources and

physical factors which aid growth of industry. HUMAN: large labour force, affluence, skilled labour and languages spoken

(e.g. English call centres in India).A government can encourage the formation of a hub by allocating an area as an export processing zone – a small industrial area often on the coast) where favourable conditions are created to attract foreign TNCs. These conditions include low tax rates and exemptions from tariff and export duties. They may be technopoles – a cluster of technologically innovative businesses and research institutes e.g. Silicon Valley California, Silicon Fen Cambridge (UK).They will experience a multiplier effect - where there are positive spin offs from investment. Other firms may gain business supplying parts, the increase spending power of the workers stimulates the service sector and higher tax revenues may be invested in education and infrastructure. Business clustering may occur – e.g. central London is home to a cluster of television production companies and universities that deliver media courses.

THE PROCESS OF CUMULATIVE

CAUSATION

The process by which economic activity leading to prosperity and increasing economic development tends to concentrate in an area with an initial advantage, draining investment and skilled labour from the peripheral area (part of the backwash effect).

Middle-Low Income Countries In the richer parts of the world, wealth has spread to peripheral

parts of the economies and is not solely concentrated in the core as development began a long time ago (since industrial revolution in 1750). This is what we call trickle down.

However, in places that have industrialised quite quickly (like Brazil and South Africa), many people still live in poverty despite the presence of global hubs like Sao Paulo and Johannesburg.

Other places like Nigeria which have seen massive growth for its elite from the expansion on the oil industry. However, the Ogoni people living in the delta where oil is extracted have received no money and had to suffer an environmental catastrophe.

Switched-Off Places The very poorest nations remain switched off. They may lack global hubs, or strong flows of trade

and investments. Conditions are poor for most people in rural and

urban areas e.g. Sudan, Chad and Somalia. There are many reasons for why places continue to

be switched off.

Going GlobalRoots

Demography – The study of population.

How do we know that population has changed?

National scale: The UK census goes back to 1801, with a good level of detail recorded from 1841. Some census data is now available for the public to view.

Local scale: Church records e.g. births, baptisms, deaths and marriages have been recorded since the middle ages in UK.

Personal scale: Personal recollections of family members.

What has changed population structure?

Since the census in 1901 there have been a number of demographic, economic and migratory changes have been identified. These include:

• Family size• Population structure• Migration• Employment• Social status and aspirations• Ethnicity

Changing factor

How this has changed

Family size Population rise from 37m in 1901 to 61 million in 2007. In 2011 it reached 63.2 billion. Even though household size has fallen (small families, gay couples, pensioners and divorcees) life expectancy has risen. This increases extended households.

Population structure

UK now has a top heavy population structure. In 1931, just 7% were aged over 65 and 24% under 16. However nowadays it has changed to 16% and 19% respectively. Life expectancy has also risen to 77 (men) and 82 (women) in 2007.

Migration The UK is more mobile now. People now migrate towards settlements with service jobs, generally, towards the south – east. 26% of the UK now live in London. Counter – urbanisation now exists as well as age selective migrations.

Employment Industrial decline and manufacturing decline have changed where people live and what jobs they are employed in. There's been a move towards ‘white collar’ service work. See diagram p 122 Philip Allan.

Social status and aspirations

Social mobility has increased meaning that more people are moving around, and out of poverty into the middle classes. More people going into further education and into non – manual work.

Ethnicity Around 8% of the UK are made up of minority groups. From 1950s a large scale migration from the UK’s former colonies and then the expansion of the EU in early 2000 both changed the ethnic make up of the UK. Segregation exists in some districts.

What has changed in the UK since 1901?

Before the 1970s

Population growing due to natural increase

Death rate falling due to improvements in food supply, health and hygiene

Post war baby boom Population grew from 38

million to 55 million between 1901 and 1971

Since 1970s Population increased more

slowly Most growth now due to

immigration BR and DR at a fairly low rate Family size small, life

expectancy rising Reports in 2007 suggested

that BR was on the rise due to child bearing age migrants

Total population grew from 55 million in 1971 to 61 million in 2007

Change in Population over Time

Population Pyramids These are a great way

to show the structure of a population

Particularly plotting them over time

A population pyramid for the UK in 2010

Population ChangesDuring the 20th Century fertility rates fellThere have been a number of factors that have lead to this:

• Education about contraception• Knowing the risks of smoking and drinking during

pregnancy• Secularisation – decrease role of religion• Consumerism – increased consumption

There has also been a longer life expectancy rate due to:• Healthcare improvements – better hygiene,

vaccinations, NHS.• Improvements in nutrition, diet and lifestyle.• Better global connections.

Dependency Ratio This means we are going to have a higher

dependent population. We can work this out with this equation.

Dependency ratio =(Population under 16) + (Population over 65)

(Population 15 – 64)X 100

Advantages of greying population

Disadvantages of greying population

• Voluntary charitable work

• Spending money on goods and services

• Earning money and paying tax

• Bringing wisdom and experience to some sectors

• Economic costs – providing health care, retirement homes and a pension is going to become increasingly expensive (Baby boomers will cost £30 billion a year)

• Housing shortages due to longer life expectancy

• Emotional burden

Going GlobalOn the Move

Different types of migrant Displaced person – People who are forced to move, by war, famine,

political persecution or natural disaster. Refugee – ‘A well founded fear of being persecuted for reasons of

race, religion, nationality, membership of a particular social group, or political opinion, is outside the country of their nationality, and is unable to or, owning to such fear, is unwilling to avail him/herself of the protection of that country’

Asylum seekers – the migrants who claim for asylum/residence to be granted as they believe themselves to be a refugee. If refugee status is given they are allowed to stay, but if it is turned down, the immigrant may be deported

Illegal migrants – People who avoid border and immigration controls and enter a new country illegally. Many are voluntary migrants seeking work, but some may be forced as part of ‘human trafficking’ to enter prostitution or other illegal activities

Voluntary migrants – People who move for quality of life reasons, usually economic gain (economic migrants). Many move temporarily (contract workers and professionals), returning home after months or years.

Historic Migration Globalisation has made moving about much

easier in recent years. In 2005 190million people were living outside

their country of birth – 3% of the population. 8% of the UK’s current population is foreign born. The former colonies have played a big part in the

formation of the multicultural societies in places like Britain...migrants have come in waves.

Current Trends: Illegal MigrationSome estimates say that 4-8 million illegal African migrants are in the EU. Huge areas of Africa have been wracked by conflict, civil unrest, famine and poverty, so the push factors into the EU are strong.Migrating illegally into Europe has its costs: Migrants pay traffickers €1,000 - €4,000 each. The Sahara desert land route is dangerous and there are many

heat-related deaths and killings by bandits. Fishing boasts used on the sea routes can be lethal. A common route, from Senegal to the Canaries, can take 8-10

days in potentially rough seas, in overcrowded boats. Being caught often leads to deportation.

Case Study: Malta under siege

• The immigrants besieging Malta are from Africa, many coming via Libya.

• In 2006, 1,700 illegal migrants arrived in Malta by boat, up from 500 in 2003. Most had missed mainland Italy or Sicily and landed in Malta by mistake. EU patrol boats that find illegal immigrants in boats cannot send them back, as international law obliges them to help. Maltese fisher men are often overwhelmed by migrants – many cling to tuna nets in the open sea.

• Key to reducing the migrant flow might be an agreement with Libya to police its waters more carefully.

Current Trends: Asylum SeekersA person seeking to be classed as a refugee is an asylum seeker. If the claim for asylum is granted, the refugee is normally allowed to stay in the host country. If the claim is turned down the immigrant may be deported. The majority of asylum seekers are from the middle and near east (Iraq, Afghanistan, Iran and Pakistan) or other countries where political and ethnic difficulties exist (Russia, Serbia, Sudan and Somalia).

Movement within EuropeFrom 2000 migration between the EU has increased with many nations experiencing positive net migration.There is a negative net migration however for the Eastern European countries-as many are low income so people seek better economic opportunities (post accession migration - since joining the EU).The core EU countries(UK, Germany and France) have positive net migration (mainly from Eastern Europe and from outside).EU countries around the Mediterranean basin have the highest net migration as ‘sun seekers’ move from the North to the South especially people retiring and migration from Africa.

EU Open Borders

1995 EU border controls were removed when the Schengen Agreement was put in place. This enabled the easier movements of goods and people (often without passports). The UK did not sign, preferring to keep its border controls. The new EU members in eastern Europe implemented this agreement in 2007-2008.

2004 was the original EU expansion of 8 low income Eastern European countries (Latvia, Lithuania, Estonia, Poland, Hungary, Slovenia, Slovakia and the Czech Republic). UK allowed free migration of these people (as well as Switzerland and Ireland) but other EU member states imposed restrictions for up to 7 years.

Schengen brings benefits, as EU labour can move to where there is demand, but also costs – once someone is in one EU country, they can move to most others with ease. The EU has set up Frontex, an external border control to stop illegal migrants seeping in the borders with non-EU members.

Pull Factors• The lifting of restrictions in the UK with

the A8 countries joining the EU in May 2004

• A8 nationals coming to the United Kingdom are legally allowed to work, if registered with the Government's Worker Registration Scheme

• Polish newspapers full of recruitment adverts from agencies

• Higher wages – e.g. nurses can earn 4 times the amount than back home

• Free health care – NHS spent £350 million on maternity services for foreign-born mothers

• Free education • Cheap accommodation – the housing

in the UK is cheaper and of better quality

• Ease of migration – Only UK, Ireland & Sweden decided to allow unlimited migration from the new member countries in 2004

• Good Exchange rate – migrants send remittances (money) home to their families

Push Factors• Increased insecurity and lower

living standards in Poland• Unemployment: 20 – 35%• 40% youth unemployment rate. • Low income levels per capita -

around 40% of the European average

• Cuts in the public sector have meant that workers have faced falling real wages and an intensification of work.

• A reduction in farm subsidies is on the horizon in the form of the Hausner Plan.

• Low availability of housing – in 2004 there were 300 dwellings for every 1000 people

Case Study: Eastern European Migration

Source Benefits Source Negatives Host Benefits Host Negatives

Economic Polish economy grows because money is sent back to Poland.

Shortage of labourers as most migrants are working age = economy doesn’t grow as muchMigrants who plan to settle only send around 8% remittances home

Fills skills gaps – many are highly skilledWorkers will work for less than British workers

Money earned by the polish workers isn’t all spent in the UK but send home to PolandDrives wages for jobs down Exploitation from agency ‘masters’

Social Skills learnt can be taken back to PolandUnemployed reduced

Poland’s population has fallenBirth rate decreased as people of reproductive age are leavingGrowing worker exploitation of polish Significant amounts of ‘brain drain’Ageing population developsFamily break up as generally young men migrate leaving families behindA culture of emigration and a sense that leaving is a good thing - societies undervalue themselves

Migration of working age has helped the problems caused by the UKs ageing populationYoung migrants pay taxes which support older retired peopleIncreased culture as Polish products have opened up areasNumbers attending Catholic church has increased

Increased strain on services e.g. education/ health careSocial/cultural tensionsPerception and prejudiceIncreased crimesOvercrowdingDemand for resources such as housing leads to shortages, rising prices etcLanguage support needed

Environmental Less pressure on resources such as land

Increased immigration from Poland has meant more air travel = global warmingIncreased congestion, urban air pollution and urban sprawl

Summary of Eastern European Migration• Young migrants, just finished vocational training or secondary education:

80% of all A8 migrants to the UK are 18–34 years old; 18–24-year-olds form the largest age group (43% of total migrants).

• The vast majority of the 800,000 to 1 million migrants who have come to the UK since 2004 are from Poland. There are also significant numbers from Latvia, Lithuania and Slovakia.

• These migrants represent 4–5% of the labour force of their source countries (2007).

• In the past, immigration has tended to concentrate in urban areas. However, many have settled in rural areas and work on farms and in food processing. The UK’s A8 rural hotspots are: Peterborough and Herefordshire In 2007 10% of the people living in some rural areas were immigrants.

• Temporary immigrants send about 25% of their earnings home as remittances. Immigrants who plan to settle in the UK send only about 8% home. For Poland, this income amounted to around €6.4 billion in 2006, or 2.5% of Polish gross national income (GNI).

• Average earnings in the UK for the Poles are only about £6 per hour. There is also a growing problem with worker exploitation as unscrupulous gangs prey on A8 workers.

• A significant brain drain is also occurring from Poland. • For some A8 countries, the loss of its more able workforce is significant.

Case Study: The Costa Living The Spanish Costas have long been a popular destination for

Northern Europeans. 1.8 million properties are foreign owned, with 600,000 of them being British. A lot of them are holiday owned, but a large number are permanent residents. 60% of migrants are over 45, with a large part of this being a retired population, business owners and property speculators.

Push and Pull Factors• Spanish climate is warmer than Britain and has less rainfall – this

leads to improved health.• Lower property prices in Spain and increased value in properties

in UK – lump sum to support their retirement.• Lower tax rates and reduced cost of living.• Slower lifestyle.• Lower crime rate• Family and friend can holiday there.• A reduction in distance between Spain and the UK due to the rise

of low cost airlines such as easyJet and increased internet use means they can keep in contact with family and friends back home, using social networking sites such as Skype and Facebook.

Problems of Moving to the Costa’sNegatives

Housing

Although housing is cheaper many areas have no access to mains water so have to use deposit tanks which isn’t safe to drink50000 illegal homes built in Spain and many Britain’s have brought theseValencia law – allows developers to build on part of your land if it will improve the area for other peopleOften purpose build accommodation is isolated•Coastal development has lead to destruction of natural landscape•Inflation of property prices

Services

Postal system is not very organisedHealth system struggles to cope with increased demandHealth care bills very expensive (no National Health Service and they are away from their families often)Isolated retirement communities and designed for people in good health, not for people who are frail

Social Language barrier – people struggle to communicate and integrate with locals = conflicts

Case Study: UK Policy on ImmigrationThe policy tries to balance the costs of migration with the benefits and only allows certain migrants: genuine applications, favouring those with skills and education, and the Worker Registration scheme (WRS) allows those who will fill low-skill, low wage gaps. In 2005/2006 2.75 million applied for a visa to the UK, which is 57% more than in 2001/2002, and around 20% were refused due to forged documents. In 2008 the UK introduced the 5 Tier points based system from non-EU immigrants:1. Tier One: Highly skilled - This tier includes entrepreneurs, top scientists and

business people. No job offer will be required. 2. Tier two: Skilled with job offer - People with qualifications / work-related

experience; job offer in a "shortage area" such as nursing. 3. Tier three: Low skilled - Workers from the expanded European Union, who do

not need prior permission to arrive.4. Tier four: Students - Those paying for tuition in the UK. 5. Tier five: Temporary workers, Youth mobility - Professional sports people or

professional musicians, who want to work in the UK for an event such as the Olympics or a football match, or a concert. The youth mobility aspect is intended to cover cultural exchanges or working holidays by young people.

Managing Migration

Policy Advantages DisadvantagesBorder Controls

Physical borders, policing, passports and visas all gov’s to count people in and out

Cost of installing systems – UK’s border control runs at £2 billion. May put of potential highly skilled migrants

Work Permits Allows temporary workers to be controlled and matched to skills shortages

Can be abused, with some not leaving when their time is up and becoming illegal immigrants

Refugees and asylum seekers

Prestige gained by accepting vulnerable groups and respecting human rights

Public may perceive refugees and asylum seekers as a cost with few benefits attached. Asylum system is costly.

Integration Citizenship tests such as in the UK and USA might help integration by expecting a basic level of language and understanding of cultural norms

Critics argue passing a test does not prevent social tensions and racism

Going GlobalWorld Cities

Rural-Urban Migration Two processes are key to the growth of a city. The first is internal growth

results from city dwellers having a high birth rate. The second is rural-urban migration. Most of those who move to cities from the countryside are young, fertile people who therefore cause a high birth rate within cities – migration fuels high internal growth.

The poorest areas of the world have the fastest urban growth rates, and migration tends to dominate internal growth. This is even more the case when one city dominates in a country, with much of the growth consisting of slums.

Many rural-urban migrants are well informed about the city to which they are migrating. Extended family or friends may have arranged jobs for the migrants. The majority who move are young and relatively skilled. They may be aware that life in the cities is not good, but will put up with the problems in the short-term knowing that it will benefit them in the long-term.

Slum – an urban settlement in which, according to the UN, over 50% of its inhabitants lack one or more of the following: durable housing, sufficient living area, improved water supply, access to sanitation and secure tenure (ownership).

The Cycle of Urbanisation1. Urbanisation: • The growth in the proportion of people living in urban areas.• It occurs because of migration – especially rural-urban migration.• Urbanisation is happening quickly in developing countries because of

massive rural-urban migration – poor migrants set up shanty towns.

2. Sub-urbanisation:• The movement of people from the city centre to lower density housing on

the outskirts of the city. • As urbanisation increases, city centres become overcrowded.

Improvements in infrastructure mean people can live further away and still travel to the centre easily.

• As megacities grow, more suburbs are added so older suburbs aren’t on the outskirts anymore.

• A complex pattern of wealthy and poorer areas develop. Wealthy people live in the suburbs on the outskirts of the city because they can afford bigger houses. Also, they move into poorer areas and renovate the houses – gentrification.

3. Counter-urbanisation:• The movement of people out of the city into surrounding villages and

rural areas. • Improvements in transport and communications mean people can

commute to work or work from home.• This happens because of high property prices and overcrowding in cities.

People may also prefer more quiet rural areas.

4. Re-urbanisation:• The movement of people back into redeveloped city centre residential

areas.• In developed countries, lots of city centres have been redeveloped. This

attracts young, affluent people who want to be near the cultural activity of the city centre, e.g. redeveloped canal areas such as Brindleyplace, Birmingham.

The Cycle of Urbanisation

Contrasting MegacitiesMegacity – An urban area with a population of over 8 million.Rapidly growing cities and megacities are very diverse. This is for a number of reasons:• Level of development. Many of Asia’s cities are centres of wealth, many

of Africa’s are desperately poor. • Type of migrant. Some migrants may be young, skilled and

entrepreneurial, others may be older, poorer and perhaps forced to migrate.

• Growth characteristics. Some cities may be growing largely because of migration, others by internal growth.

• Planning. Many Asian cities are beginning to plan their growth, whereas in Africa planning is prevented by poverty and lack of planners.

• Rate of population growth. This varies from 2-4% per year for Latin American cities, to 4-8% for some African and Asian cities.

• Processes. Different urban process are occurring in different cities – the cycle of urbanisation.

Case Study: MumbaiUrban cycle:• Massive urbanisation is occurring – people are migrating to Mumbai from

all over India.• Suburbanisation is occurring – some people are moving north, away from

the inner city on the southern tip of the island. Suburbs are being built along the main rail and road routes out of the city.

Economy:• Unit the 1980s, the economy was based mainly on textiles manufacturing

and shipping. There’s been an increase in IT and financial services.• Mumbai’s a major centre for out-sourced work, e.g. the UK-based financial

services company Prudential has its call-centre in Greater Mumbai.• Mumbai’s a major media centre for India, e.g. the Bollywood film industry.Housing patterns:• The wealthiest area (Malabar Hill) is near to the Central Business District.• Half of the population of Mumbai live in shanty towns, e.g. Dharavi is the

biggest shanty town – it’s next to the CBD.Interlinked:• Cadbury’s has its global headquarters in London, and its subsidiary

company, Cadbury India, has its main office in Greater Mumbai. There are flows of trade, money, information and people between the company.

World CitiesWorld city – a city with major economic and political power. Examples are New

York and Paris. A world city is not defined by size, but by influence. This might take the form of:• Political influence – New York is home to the United Nations. • Transport and communications – Heathrow in London has more international

passengers than any other airport.• Economic power – the presence of stock exchanges and the headquarters of

major TNCs.Full World Cities Major World Cities Minor World

CitiesDeveloped world

London, New York, Paris, Tokyo, Chicago, Frankfurt, Hong Kong, Los Angeles, Milan, Singapore

San Francisco, Sydney, Toronto, Zurich, Brussels, Madrid, Moscow

Amsterdam, Boston, Düsseldorf, Melbourne, Prague, Washington, Rome, Stockholm, Berlin, Budapest, Miami

Developing world

Mexico City, São Paulo, Seoul

Bangkok, Beijing, Buenos Aires, Istanbul,, Manila, Shanghai, Johannesburg.

Sustainable MegacitiesTo move up the urban hierarchy towards world city status, economic development needs to go hand in hand with social and environmental improvements. Many of the features of sustainable cities depend on good urban governance.Growing in cities in poorer countries can be unsustainable for several reasons:• Lack of adequate housing – due to rapid growth, poverty and

lack of resources.• Poor health – linked to lack of water, sanitation and medical

facilities.• Weak urban governance – a lack of will, combined with a lack

of resources, makes change difficult.• Low environment quality – resulting from poor transport

infrastructure, lack of waste systems and industrial pollution• Poverty – resulting from low wages and underemployment.

Improving Slum HousingStrategy Disadvantages AdvantagesEviction – The UN estimates that 6.7 million people were evicted from slums, 2000 -2002.

• International condemnation.

• The process is often violent and chaotic.

• Slums may reappear.

• A rapid solution with immediate impact.

• Allow infrastructure projects to complete.

• Will work if new housing is provided.

Security of tenure – 30-50% of people in developing cities have no legal right to occupy the land they inhibit.

• Compensation may have to be paid to landowners.

• Encourage further illegal land occupation.

• No guarantee that homes will improve.

• Low cost.• Utility companies will

connect areas with secure tenure.

• Groups may form to improve conditions.

Consolidation – residents gradually improve their homes.

• Starts when tenure is secured.

• May take decades.• Poor quality of life.

• Proceeds at an affordable pace.

• Low cost.

Social housing – new homes are built for slum dwellers.

• May lead to eviction.• Costly.• Open to corruption.

• Creates good-quality housing.

• Removes slum housing quickly.

Going GlobalGlobal Challenges for the Future

Economic benefits• Emergence of worldwide production markets - different countries can

specialise and use resources optimally to produce the goods and services they are able to do most efficiently.

• Consumers get much wider variety of products to choose from and at more competitive prices.

• Companies are able to procure input goods and services required at most competitive prices.

• Companies get access to much wider markets.• Increased free trade between nations e.g. Trade blocs/EU/NAFTA.• Businesses and investors get much wider opportunities for investment.• Increased liquidity of capital allowing investors in developed nations to invest

in developing nations.• Rise of Tiger Economies (countries like South Korea) have benefited from

rapid growth due to FDI.• People in these NICS enjoy significantly higher incomes and purchasing power

parity. • Helpful in employment generation and income generation.• Multiplier effect.• Standardisation of products: the same products can be seen in many places,

e.g. Coke and McDonalds.

Benefits of Globalisation

Political benefits• Some use "globalisation" to mean the creation of a world government

which regulates the relationships among governments and guarantees the rights arising from social and economic globalisation. Politically, the United States has enjoyed a position of power among the world powers; in part because of its strong and wealthy economy.

• With the influence of globalisation the People's Republic of China has experienced some tremendous growth within the past decade. If China continues to grow at the rate projected by the trends, then it is very likely that in the next twenty years, there will be a major reallocation of power among the world leaders. China will have enough wealth, industry, and technology to rival the United States for the position of leading world power.

• Spread of democratic ideals to developed nations• Reduction of likelihood of war between developed nations • So it promotes understanding and goodwill among different countries.

Social and Cultural Benefits• Increase in information flows between geographically remote locations. Arguably this is a

technological change with the advent of fibre optic communications, satellites, and increased availability of telephone and Internet.

• Growth of cross-cultural contacts; advent of new categories of consciousness and identities which embodies cultural diffusion, the desire to increase one's standard of living and enjoy foreign products and ideas, adopt new technology and practices, and participate in a "world culture“ (global village effect).

• Spreading of multiculturalism, and better individual access to cultural diversity (e.g. through the export of Hollywood and Bollywood movies). Some consider multiculturalism to promote peace and understanding between peoples.

• Greater international travel and tourism. WHO estimates that up to 500,000 people are on planes at any time.

• Higher levels of health care and education in developing countries• Greater immigration, including illegal immigration• Spread of local consumer products (e.g. food) to other countries (often adapted to their

culture – through glocalisation).• Worldwide sporting events such as FIFA World Cup and the Olympic Games.• Development of the system of non-governmental organisations as main agents of global

public policy, including humanitarian aid and developmental efforts.• The creation of the international criminal court and international justice movements. • Raising awareness of global crime-fighting efforts and cooperation.• The emergence of Global administrative law. • Language - the most popular language is English. About 35% of the world's mail, telexes,

and cables are in English. Approximately 40% of the world's radio programs and about 50% of all Internet traffic uses English.

Environmental Benefits

• Global environmental challenges might be solved with international cooperation, such as:

─ climate change, ─ cross-boundary water and air pollution, ─ over-fishing of the ocean, ─ and the spread of invasive species.• Increases in environmental protection in developed nations

Economic Problems The interconnectedness of these markets, however meant that an economic collapse in

any one given country could not be contained. The growth was quicker than any transnational regulatory regime, so the instability of the global financial infrastructure dramatically increased, as evidenced by the 2008 + financial crises.

Exploitation of Underdeveloped Countries: TNCs, based in developed countries, purchase at lower rates the raw materials from backward countries, process them overseas or in their own countries and sell the manufactured goods with big profit in backward countries.

Increase in Unemployment: TNCs employ machines to reduce the number of employees: they are capital intensive rather than labour intensive. Further, the governments of developing countries have started withdrawing investment from industries in the public sector. All this has led to huge unemployment in those countries.

Deindustrialisation and unemployment in MEDCs due to the global shift and outsourcing in some cases, e.g. moving call centers to India.

Widening of Rich-poor Gap: Globalisation brings benefits to the rich who are small in number and keeps the vast majority of people in poverty and misery. It is a game of winners and losers. Those who are already rich succeed in taking advantage of privatisation while the poor and weak are doomed to suffer.

Harmful Effects of Consumerism: Globalisation produces consumerism. People being attracted by attractive goods and advertisements, want to buy these goods. They would not hesitate to earn money for this by unfair means. This has resulted in vast increase in corruption and other social evils.

Harmful Effects on Small Industries and Small Business: In the free economy, the big fish has got license to eat the small fish. Small-scale and cottage industries cannot grow in competition with big ones, this leads to cloning in our high streets.

Social/cultural problems

Adverse Effects on Social Security and Social Welfare: Because of privatisation, governments in many LEDCs are withdrawing from the sector of social welfare, and private companies have entered education, health and other such fields related to development. As a result of this, poor people are facing a lot of difficulties.

Cultural Homogenisation: Each nation/society has its own distinct culture, but under globalisation the cultures of LEDCS are eroded and they are required to accept the values and norms of developed countries. E.g. fast food. Some people feel their cultures are being diluted.

Erosion of Democracy: Globalisation has considerably increased the wealth and power of TNCS and they have tended to interfere with and control the economic policy and politics of developing countries.

Gender-Insensitive: women have suffered a lot under globalisation. In the privatized economy, the interests and concerns of women, particularly of poor women, have been seriously ignored.

Creation of a two speed world between and within countries– number of billionaires at their highest and yet many still live in poverty. Wealthiest 1% get the same money as poorest 57%, e.g. Dhavari.

Sweatshops – low wages, long hours and poor working conditions. Many factory workers (see p 161 Philip Allan)

Child labour -An estimated 211 million children between the ages of 5 and 14 are working around the world according to the International Labor Organization. In places like factories and on plantations e.g. cocoa farms of the Ivory coast (see documentary on blog).

More international crime – e.g. gun crimes on deindustrialised estates in inner cities of the UK and due to migration Roma gypsies in UK and Spain

Human trafficking

Environmental Problems• Deforestation - Rainforest exploitation occurs due to developing

countries trying to repay international debts, and to try to become more developed through earning money. Also developed countries are looking to the rainforest as resources are becoming more scarce. Deforestation is an environmental disaster due to the exploitation of rainforest resources:• Hardwood trees such as mahogany for furniture, paper etc.• Oil• Gold• Cattle ranching

• Many factories are built in developing countries with less environmental regulation. Globalism and free trade may increase pollution. (On the other hand, economic development historically required a "dirty" industrial stage, and it is argued that developing countries should not, via regulation, be prohibited from increasing their standard of living.)

• Oil spills• Pollution in towns and cities through more and more cars on the roads –

acid rain and global warming• Pollution of water sources through over abstraction and industrial waste• General waste as a result of consumer living

Solutions to the Social/Economic Costs of Globalisation

Strategy Example Viability

Fair TradeAn attempt to reduce the economic unfairness of globalisation.

Shoppers can choose to buy fair trade coffee and more of the money goes to the producers of the coffee beans.

Buying fair trade good means more money goes to poor workers. As the number of schemes grows, it becomes harder to monitor how ‘fair’ they are.

Ethically sourced goodsConsumers can avoid purchasing goods produced under exploitative sweatshop conditions.

Gap received bad publicity during the 1990s due to claims that Indonesian staff suffered poor working conditions.

Outsourcing and supply chains among TNCs make codes of practice hard to enforce. Goods produced for companies by third parties may have used sweatshop labour.

Charitable donations and international aidNGOs collect money directly from the public to help address the economic unfairness of globalisation.

In 1984-1985, 2004-2005 and in 2014-2015, Band Aid raised money for famine relief and for Ebola.

Aid can result in dependency for poorer nations and can make it difficult for emerging businesses to profit. In Zambia, clothing manufacturers have gone bankrupt due to the second-hand clothes donated by OECD countries.

Trade reformsGovernments and international lobbying organisations have tried to improve terms of trade for poor nations.

Huge subsidies paid to European farmers under the Common Agricultural Policy and protective trade tariffs encircling the EU force up the cost of imported African goods.

The Commission for Africa has drawn attention to the need for reforms of subsidies, tariffs and non-tariff barriers for poorer countries. European farmers resist measures that open markets up to greater competitions, as this could threaten their livelihoods.

Recycling, reusing and refusing:Many local campaigns exist to raise awareness of recycling or refusing to buy items that carry too much packaging. The viability of recycling schemes can be threatened by the energy used in shipping much of the paper and glass to China for reprocessing. The cheap cost of imported goods encourages people to treat many items, such as clothes and mobile phones as disposable.Local buying:Fiji water is a brand of bottled water that is transported from Fiji to the UK – drinking water is available from taps in the UK at a far less cost to the environment. Locally produced meat and vegetables may cost fewer food miles than imported food. The energy used in producing winter crops in greenhouses can generate even more carbon emissions than importing food.Organic buying:Attempts to reduce the environmental impacts of food production by avoiding the use of chemical fertilisers and pesticides. However, organic food is often imported from abroad, making it energy intensive. Carbon creditsOffers the chance to erase the environmental damage caused by greenhouse gas emissions. Trees soak up carbon dioxide, so paying for a tree planted after you have taken a flight abroad can neutralise some of the carbon produced.

Solutions to the Environmental Costs of Globalisation