B.Com. (Prog.) Semester-III/IV In Lieu of MIL (Political Science) Politics of Globalization Study Material : Unit I-V SCHOOL OF OPEN LEARNING UNIVERSITY OF DELHI Department of Political Science Editor : Prof. Tapal Biswal Dr. Mangal Deo Graduate Course In Lieu of MIL B.Com Semester III/IV POLITICS OF GLOBALIZATION CONTENTS Unit-I : The Concept of Globalization and its Debate Dr. Rukmani Unit-II : Approaches to Understanding Globalization Lesson-1 : Liberal Approach Anwita Lesson-2 : Radical Approach Anwita Unit-III : Issues in Globalization : Alternative Perspectives on Globalization: Nature and Character Inder Sekhar Yadav Unit-IV : Globalization and Politics in Developing Countries Lesson-1 : Globalization and the Social Movements Dr. Abhishek Nath Lesson-2 : Globalization and the Demise of Nation-State Nishant Yadav Lesson-3 : Globalization and Human Migration Nishant Yadav Unit-V : The Inevitability of Globalization: Domestic and Deepika Global Responses Edited by: Prof. Tapan Biswal Dr. Mangal Deo SCHOOL OF OPEN LEARNING UNIVERSITY OF DELHI 5, Cavalry Lane, Delhi-110007 Unit-I The Concept of Globalization and its Debate Outline Student Learning Outcomes Introduction Understanding of Globalization- Globalists, Sceptics, and Transformationalists Dimensions of Globalization – Economic, Political, Cultural The Globalization Debate – Argument in Favor and Against Conclusion Summary Probable Questions Suggested Readings Student Learning Outcomes Student will be able to define the Concept of Globalization Student will be able to differentiate between the Globalist, Sceptics and Transformationalist understanding of the notion of Globalization. Student will be able to comprehend the various aspects of globalization debate. Student will be able to analyze the challenges posed by the notion of globalization Introduction The word ‘Globalization’ has become the buzzword befitted to describe the growth of modern economy and is often heard in the business world, corporate meetings, trade markets, at international conferences, in schools, colleges and many other places. Many among us refer to the current period that we live in as ‘The Era of Globalization’ and consider that the process of globalization has started only recently. But the fact is that globalization is not a new phenomenon. Though the public references to the term ‘globalization’ have become increasingly common in the last two decades but the concept of globalization can be traced back to much earlier period. According to scholars like Held and McGrew, the basis of the concept lies in the work of various political thinkers of 19th and early 20th century such as Saint Simon and Karl Marx to the scholars like Mackinder, who observed how world is getting integrated due to modernity. Though the term ‘globalization’ was not actually used until late 20th century but it became a buzz word due to the advancements in technology and communication. Harmonizing with the quick spread of the information revolution, the breakdown of state socialism and the consolidation of capitalism worldwide affirmed the conviction that the world was quickly turning into a space, which is shared both socially and economically. 1 However, regardless of whether the thought of globalization in the long run underpins or blocks the comprehension of contemporary human conditions and methodologies to improve it, it involves discussion. In order to understand the globalization debate and answer the questions such as what does globalization symbolize? Is it a new concept or did it exist earlier? What are the various dimensions of the concept of globalization? This essay is divided into four sections. The first section tries to make sense of the concept of Globalization. It describes the understanding of the notion by various scholars classified such as Globalists, Sceptics and Transformationalists. The second section of the essay focuses on different dimensions of globalization such as economic globalization, cultural globalization and political globalization. The third section deals with the debate between the globalists and sceptics. It focuses on four aspects – power, economy, culture and order. The fourth and the final section of the essay deals with the challenges faced by the concept of globalization. 1.1 Understanding the Concept of Globalization The term ‘Globalization’, though a buzzword of late twentieth and early twenty first century, do not have a certain definition. It is a tricky term to explain due to its elusiveness, however, Modelski believes that “globalization is a historical process which is characterized by a growing engagement between peoples on all corners of the globe” (1972). It has been comprehended as an activity resulting into a contracting world or a world in which inter- regional power relations are restructured in such a way that interconnectedness among regional powers have magnified like anything (Harvey: 1989, Giddens: 1990, Scholte: 1993, Kofman and Youngs: 1996, Held et al: 1999). What differentiates these definitions is the differential importance given to the physical, spatial-temporal and cognitive aspects of globalization. Globalization has a colossal physical perspective, which is effectively recognizable in flows of trade, capital and individuals over the globe. These are empowered by various types of framework – physical, (transport or banking framework), regulating, (exchange rules) or representative, (English as a most widely used language) – which set up the preconditions for regularized and moderate types of worldwide interconnectedness. The idea of globalization implies considerably more than an enlarging of social relations and exercises across locales and countries. It exemplifies a substantial shift in the spatial reach of social relations and organization concerning the interregional scale. As an outcome, far off events and advancement can come to have genuine local effects while local happenings can incite critical worldwide repercussions. Globalization along these lines causes a subjective move communicated both in a growing public awareness to the manners by which distant events influence local fortunes and the other way around (Held and McGrew: 2003). In short, globalization is defined in terms of escalating scale, rising extent, speeding up and deepening influence of interregional flows and patterns of social interaction. It denotes to a 2 transformation in the degree of human social organization that associates distant communities and expands the reach of power relations across the world’s major region and continents. There are three main viewpoints on Globalization, which are classified as Globalist, Sceptic and Transformationalist. The Globalists viewed globalization as a process, which is unavoidable and believed that globalization as a process is taking place and local cultures is being affected by it due to the increase of international capitalism. They regarded globalization as an action, which is constructive in nature as it is characterized by economic uplift, high prosperity and the spread of democracy. The set of scholars, for example, Thomas Friedman, Ohmae, Ritzer, Dicken, Frank, Modelski and others who fall under this school of thought accepts that the capitalist system has conquered all corners of the globe to spread its impact and therefore, created a world without borders. Mass media platforms like the internet and television gives individuals from one side of the world quick availability of substance from the opposite side of the world, in this manner, certainly obscuring the lines between cultures and societies spread over the world. Thomas Friedman (2000) contends, “Globalization has occurred because of the global adoption of neoliberal economic policies. Neoliberalism asserts that in order to develop, it is necessary for governments in developing countries to remove obstacles to free trade and free market capitalism”. Globalization is described by an expanding network of nation-states and furthermore a move in the area of administrative capacity to transnational institutions like World Trade Organization (WTO) and the International Monetary Fund (IMF). The widening of social relations has additionally brought about an escalated trade between societies through migration, tourism, and media and an expansion of flows of global cultural products and practices, for instance, McDonalds, Disney, Woodland, Samsung, Ford, etc. On the other hand, there is another school of thought known as Sceptics or traditionalists comprises of scholars such as Paul Hirst, Thompson, Sterling, Perlmutter, Dore, Boyer and others who accepted that Globalization is merely an escalation and magnification of historical processes of internationalization as have occurred in the past during colonial and imperialist periods. The sceptics question the very idea of globalization and ask, what is ‘global’ in globalization in the event that it needs explicitness or cannot be deciphered as an all-inclusive marvel. They argue that with no recognizable territorial referent how one will separate between the international or transnational and global. They believe that a progressively legitimate conceptualization of current trends is captured by the term ‘internationalization’, which is developing connections between national economies or social orders. They consider the interdependence as an impermanent and subjective condition. This is an argument for the persistent importance of land, borders, habitation and national government in the present-day world structure.