What is Globalism?

Globalism has become a buzzword. The term globalism has come to be associated, perhaps unfairly, with economic inequity, unethical business practices and environmental degradation. But globalism, in its most unfettered form, is simply the breaking down of national boundaries to allow for free flow of information, goods and services.

In his book, The Lexus and the Olive Tree, author Thomas Friedman describes globalism as “the inexorable integration of markets, nation-states and technologies to a degree never witnessed before – in a way that is enabling individuals, corporations and nation-states to reach around the world, farther, faster, deeper and cheaper than ever before.”

Advances in transportation and technology have allowed nations, companies and individuals to connect in unprecedented ways. We can now share news, information and scientific knowledge in real time. Distance between nations is not a barrier to trade. Our world is shrinking.

At the heart of globalism is the spread of free-market capitalism. Nations have opened their economies and removed barriers to trade. This economic interdependence creates interdependencies on a number of other levels, security, environmental, world health, human rights and social welfare. Advocates for and critics of globalism have very different opinions about the nature of its impact on these issues. These ‘pros and cons’ will be explored in a later post.

The expansion of globalism has created new opportunities and new challenges, as well as new organizations and new forms of governance. The International Monetary Fund White Paper, What is Globalism states, “Like a snowball rolling down a steep mountain, globalization seems to be gathering more and more momentum. And the question frequently asked about globalization is not whether it will continue, but at what pace.”

It seems then, that we can expect globalism to continue to drive interdependencies and shape how we view justice on a global scale. As such, it is critical that we, as citizens understand the basic principles of and issues related to globalism. The following posts will provide a discussion of these key points.

For further reading, visit the following websites:

The Levin Institute’s Globalism 101:

www.globalism101.com

Emory University’s What is Globalism:

http://www.sociology.emory.edu/globalization/about.html

Stanford University’s Globalization Forum:

http://www.law.stanford.edu/experience/studentlife/organizations/global/

Yale Center for the Study of Globalism:

http://www.ycsg.yale.edu/

The History of Globalism

While the rapid adoption of globalism may imply that it is a new concept, it has, in fact been around since the first explorers set sail hundreds of years ago. Capeheart & Milovanovich outline Held’s concept of the Four Epochs of Globalism. These four stages span over 500 years and represent critical points in the evolution of globalism as we know it today.

1492 – 1789: Explorers and traders from Europe begin world trade. Travels also spread information, culture, plants, animals and, unfortunately, diseases, around the globe.

1790 – 1900: The declining cost of transportation and the dismantling of mercantilism foster globalism in this epoch. The recovery from Napoleonic wars and agricultural crises in Europe, migration, and American and European investment overseas also make this period ripe for integrated economic markets.

1900 – 1970s: This era begins with a retreat from global capitalism. The great depression and two world wars shut down the rapid growth of international trade and investment seen in earlier epochs. Rebuilding after WWII required extensive international cooperation, which served to foster globalism once again. Also in this stage, however, is the rise of the Cold War which did more to disconnect nations than create cooperation and interdependency.

Contemporary Society: The end of the Cold War Era signaled an unprecedented integration of markets, countries and companies. Rapid developments in transportation and technology continue to allow for the international trade of goods and services and dissemination of news, information and culture.

Nayan Chanda, author of Bound Together: How Traders, Preachers, Adventurers, and Warriors Shaped Globalization, and Director of Publications for Yale Center for the Study of Globalization, shares his views on the history of globalism in this iTunes U podcast.

The Upside of Globalism

The deep interconnectedness globalism has created has many positive outcomes for people in developed and developing nations.

International trade and foreign direct investment has brought an influx of capital to developing countries, created jobs, reduced import prices, increased workers’ earning power through labor specialization and created larger export markets.

Advances in technology created opportunities for exchange of ideas, access to news, information, and scientific discoveries. Technology has the potential to break down geographic barriers and increase access to health care, education and government services, improving the quality of life worldwide. These developments are especially beneficial for poor and underserved communities around the globe.

Commerce, communications and migration have lead to increased exposure to foreign cultures. According to Capeheart and Milovanovic, this has “created new potentials for cooperation, collaboration, diverse encounters and dialogue. It provides for the possibility that, while remaining different, we discover commonality that enables us to communicate and act together.”

These benefits are life changing for many people around the world. Unfortunately, there is dramatic inequity in the distribution of the rewards of globalism. The following posts will provide deeper discussion of the concerns and challenges posed by globalism that are yet to be resolved.

Distributive Justice: Giving Everyone Their "Fair Share"

Globalism for the purposes of moving capital can result in social injustices, low wages, unemployment and increasing income inequality. While globalism is not the direct cause of global poverty, it has dramatically increased the divide between those that ‘have’ and those that ‘have not’.

Market oriented polices may lead to or exacerbate poverty due to:

1. Reduced state spending on social supports, so those with the most need, get even less
2. Higher unemployment as public sector jobs are eliminated.
3. Goods and services once provided by the state must now be purchased in the free market.
4. Downward pressure on wages
5. Increased marginalization and/or exploitation of women
6. Rural to Urban migration

PBS produced a compelling series of programs on the nature and impact of globalism titled Commanding Heights: The Battle for the World’s Economy. This poignant segment illustrates the effects of income inequality due to globalism.

Environmental Concerns

Globalism has had a dramatic impact on the environment in a number of ways. First, unsustainable business practices have lead to substantial environmental destruction, depletion of natural resources and loss of biodiversity. The recent BP oil spill is, unfortunately, only one example of globalism’s impact on the state of the environment. Clear cutting of rainforests, over fishing in the ocean, carbon emissions and many other business practices cause daily harm to the earth, oceans and atmosphere.

Historically, environmental policies have been the responsibility of the nation within whose borders the harm was done. Many corrupt governments and developing nations prioritized business and investment over the environment, creating opportunities for environmental exploitation in the name of profit. Further, critics of environmental protection laws state that these regulations would slow economic growth. Companies have to adjust their business practices and invest in tools and technologies to reduce the harms they are causing. This drives up costs across the supply chain resulting in higher prices for consumers, which has a negative impact on business’ ability to be competitive in a free market.

Proponents of environmental regulations feel that it is worth slowing economic growth in the short-term to protect the environment. In addition, people of all nations are beginning to view the environment as belonging not to one nation, but to the world. As such, international organizations are working to protect the environment and encourage sustainable business practices.

The Pacific Institute is dedicated to the study of issues related to the environment and globalism. For more information on the subject, visit http://www.pacinst.org/

The Complex Concept of International Human Rights

The concept of human rights is complex in the best of circumstances. In the context of a global society, however, with varying nations holding different cultural and religious beliefs, understanding human rights becomes even more complicated. What one nation recognizes as a ‘right’ another might consider a ‘privilege’.

Globalism has adversely affected human rights in a few different ways. First, the transition from authoritarian to democratic forms of government and/or free market economies creates instability. This instability creates an environment ripe for violence. In these scenarios, there are frequent, blatant human rights violations.

Further, emerging free market economies result in a decrease in state spending. As such, citizens often seek illegal/illegitimate sources of income to compensate for the decline in government support. Human rights violations are common in these situations.

In addition, unethical and exploitive business practices often lead to violations of human rights. One example is the use of sweatshops and child labor practices by multinational corporations which exploit the most vulnerable of peoples.

International organizations have had varying authority and effectiveness in intervening in situations of human rights violations. One piece of legislation, the UN’s Universal Declaration of Human Rights, has been held up as the framework for international human rights law. In 1948, The United Nations has put forth the Universal Declaration of Human Rights which outlines 30 rights every individual is entitled to. These are rights all member nations must provide their citizens and that the UN uses as a common standard against which to measure all nations’ treatment of their people.

To read the Declaration go to http://www.un.org/en/documents/udhr/

Global Governance: The Issue of Restorative Justice on a Global Scale

Traditionally, the authority to address issues such as security, economics and social welfare was the concern of individual governments. Nation-states were responsible for legislation related to citizens of that nation only. With the expansion of globalism, countries are substantially more interdependent. Cooperation is critical to the economic and political stability of many nations.

Further, as states become more and more interconnected, risks taken by any one nation threaten to impact all others. For example, the recent economic crisis in the US had immediate, dramatic effects on an extensive network of countries all around the world. This crisis was a clear illustration of how interconnected and interdependent our world has truly become.

This new global context has made it necessary to the rethink the notion of the sovereign state. International law has expanded in both scope and authority in order to address issues created by globalism such as environmental, economic and human rights concerns. With the expansion of international law, however, comes the contraction of the sovereignty of individual states.

International law has the potential to facilitate cooperation, but it requires a transformation in the way nations view their authority within their own borders. If international governance is to have authority and legitimacy, interests of individual states may be displaced by concerns shared by many. In these cases, who will determine the international agenda? Will it be directed by the more powerful nations? When nations have differing values, needs and issues which will prevail?

In addition, there is the concern of international security and intervention between nations in conflict. Braithwaite considers this type of international mediation “responsive global peacemaking” and proposes a framework within which to conduct this type of restorative justice (Capeheart & Milovanovic, 2007). His suggested “Responsive Regulatory Pyramid” is outlined below:

Source: Capeheart, L., & Milovanovic, D. (2007). Social Justice Theories, Issues, and Movements. Rutgers University Press. New Brunswick, NJ.

The effectiveness of this type of framework depends upon the authority vested in international organizations such as the UN. The following post will provide more details on key international inter-governmental organizations and their roles and responsibilities.

Further reading on the subject of Global Governance can be found at:

http://www.globalgovernancewatch.org/

London School of Economics has also published a thought provoking opinion paper on Global Governance called “The Hydra-Headed Crisis”. It can be found at http://www.lse.ac.uk/Depts/global/5publications2.htm