Globalization and Justice

JOREN BANZONMARK BELARMINOSEAN NATIVIDAD

Globalization

“Globalization is a process that encompasses the causes, course, and consequences of transnational and transcultural integration of human and non-human activities.” –Kellog Institute

“Globalization” refers to the growing interdependence of countries resulting from the increasing integration of trade, finance, people, and ideas in one global marketplace.- World Bank

”Globalization is the increased interconnectedness and interdependence of people and countries”-World Health Organization

Globalization “The term globalization also includes change through the spread of ideas,

information and perceptions which lead to cultural and social changes” -World Health Organization

Integration of trade Spread of ideas, Cultural, economic,

information and perceptions technological, political, social changes

GlobalizationThe 7 Factors influencing Globalization:(1) Historical The trade routes were made over the years so that goods from one kingdom

or country moved to another. Example: Silk-route from east to west

(2) Economy The cost of goods and values to the end user determine the movement of

goods and value addition.

(3) Resources and Markets The natural resources like minerals, coal, oil, gas, human resources, water,

etc. make an important contribution in globalization.

Globalization(4) Production Issues Utilization of built up capacities of production, sluggishness in domestic market and

over production makes a manufacturing company look outward and go global. Example: Development of overseas markets and manufacturing plants in autos, four wheelers and two wheelers is a classical example.

(5) Political The political issues of a country make globalization channelized as per political bosses.

The regional trade understandings or agreements determine the scope of globalization.  (6) Industrial Organization The technological development in the areas of production, product mix and firms are

helping organizations to expand their operations. The hiring of services and procurement of sub-assemblies and components has a strong influence in the globalization process.

Globalization

(7) Technologies The stage of technology in a particular field gives rise to import

or export of products or services from or to the country. European countries like England and Germany exported their chemical, electrical, mechanical plants in 50s and 60s and exports high tech (then) goods to under developed countries. Today India is exporting computer / software related services to advanced counties like UK, USA, etc.

Globalization

Results of Globalization

Economic change: Trade liberalization, deregulation, expansion of the global market place

Political change: Redistribution of power from states to interstate bodies and the growth of

global civil societySocial and cultural change

Adaptation of intercontinental practices and traditionsTechnological change:

Including improved global telecommunications and transport links.

GlobalizationFactors affected by Globalization

Globalization

Globalization is not new. A century and a half ago, Karl Marx noted the inherent capitalist drive to “nestle everywhere, settle everywhere, establish connections everywhere.…In place of the old national seclusion and self-sufficiency, we have intercourse in every direction, the universal interdependence of nations.”

“Promoting a just society by challenging injustice and valuing diversity.”

Exists when all people share a common humanity and have a: Right to equitable treatment Support for human rights Fair allocation of community services

Equated with the notion of equality or equal opportunity in society.

Social Justice

A general definition of social justice according to various philosophical treatments are as follows: Benefits and burdens in society are dispersed in accordance with

some allocation principle

Procedures, norms, and rules that govern political and other forms of decision preserving basic rights, liberties and entitlements of individuals or groups

Human beings are treated with dignity and respect not only by authorities but also by other social actors such as fellow citizens

Social Justice

First surfaced in Western thought and political language in the wake of the industrial revolution.

Emerged as: an expression of protest against capitalist exploitation of labor. Focal point for the development of measures to improve human

conditions.

Became a rallying cry for progressive thinkers and political activists.

History of Social Justice

JusticeUN focusing on closing gap between developed and underdeveloped countries

By 1960s, role of UN focused: human rights and fundamental freedoms, development progressive reduction and eventual closing of the gap between

developed and underdeveloped countries

Close to half of the regular budget and an equivalent proportion of the staff of UN were mobilized in support of economic and social development.

Political matters and development of int’l law and human rights were allocated less than 10% of the UN’s human and financial resources.

JusticeReliance of underdeveloped countries to developed countries

Developing countries started to rely for exports of primary commodities and imports of manufactured goods.

Such developing countries are dependent of the developed countries.

Strategies were devised for import substitution and, more ambitiously, for economic and political self-reliance.

Rural development programmes were adopted to address the rural-urban migration associated with traditional industrial development and the consequent spread of urban slums.

JusticeFormation of initiatives for underdeveloped countries The development of trade relations of underdeveloped countries

caused: Developing countries to participate in world trade without full exposure

to the competition of advanced economic powers.

Such initiatives were not welcomed by the most powerful Western countries.

International cooperation for development through UN continued.

It was generally acknowledged that the United Nations system deserved some credit for the decolonization process contributing to the betterment of the human condition in a number of

developing countries.

JusticePolicies directly responsible for increased inequalities Countries, such as US, that gave the global political agenda its shape and

orientations pursued domestic policies such as: Tax restructuring.

Tax systems became less progressive; there was a shift in emphasis from direct to indirect taxation, average income tax rates declined owing to cuts in the higher-income tax brackets, and corporate taxes and taxes on unearned income were reduced.

Shifts in public expenditure. Reduction in the share of public funds allocated to social problems such as:

Unemployment, compensation and old-age pensions resulting in diminished public transfers to low-income households.

Financial liberalization. Deregulation provoked a shift in the distribution of national income in favour of

profits, revenues and rents derived from financial transactions, including speculative transactions.

Justice Shifts in the power and influence of different socio-

economic groups and classes and targeted efforts to reduce the power and influence of trade unions.

This resulted to the following consequences: workers were less able to challenge the decline in employment security

linked to the growing tendency of employers to maintain a “flexible” labour force and thereby ensure market competitiveness

the right of workers to strike was effectively abolished

labour and minimum wage standards were disregarded in many contexts

governments and employers were able to substantially reduce the proportion of national income going to labour.

JusticePolicies aimed at avoiding increased inequalities Majority of Western European countries, the Republic of Korea,

and few Latin American countries managed to maintain/improve the distribution of income at the domestic level.

The Governments of these countries did not pursue economic and financial policies radically.

They did not seek economic independence and certainly did not apply a new model of economic development instead they: opened their economies further to foreign and transnational capital

and influence privatized many public assets and public services abandoned the idea that State authorities should maintain control

over industrial, investment, income, and even research policies.

Justice These countries have succeeded in maintaining a rough balance

between the interests of big corporations and the interests of the majority of the population.

Government actions have consistently reflected the conviction that the interests of the general public supersede private interests.

These countries have tried, with varying degrees of success, to harmonize the requirements of social cohesion with the needs of economic initiative and entrepreneurship.

References:

http://www.yourarticlelibrary.com/globalization/7-factors-influencing-globalization-discussed/22639/

http://monthlyreview.org/2002/06/01/social-justice-and-globalization-are-they-compatible/

http://laboureconomics.wordpress.com/2012/05/14/causes-and-effects-of-globalization-6/

http://www.un.org/esa/socdev/documents/ifsd/SocialJustice.pdf