Measuring
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MAY 2005. MEASURING. GLOBALIZATION. CSULA BUS 515. By:vairag kothari from : 1 st year EE. WALTER ALMORA SAMSON TESFASION . WHAT’S GLOBALIZATION?. Globalization is the increasing interconnectedness of people and societies

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Measuring

MAY

2005

MEASURING

GLOBALIZATION

CSULA

BUS 515

By:vairag kothari

from : 1st year EE

WALTER ALMORA

SAMSON TESFASION


What s globalization

WHAT’S GLOBALIZATION?

Globalization is the increasing interconnectedness

of people and societies

and the interdependence of economies, governments and environments.


Why measure globalization

WHY MEASURE GLOBALIZATION?


Why measure globalization1

WHY MEASURE GLOBALIZATION?

There appear to be a direct relationship among civil liberties, more political rights, lower levels of corruption and ... the level of globalization.


Why measure globalization2

WHY MEASURE GLOBALIZATION?

Also, it seems to be a relationship between globalization and patterns of inequality of income.


How much globalization is out there

HOW MUCH GLOBALIZATIONIS OUT THERE ?


How much globalization is out there1

HOW MUCH GLOBALIZATIONIS OUT THERE ?

“Trade flows are not significantly higher than they were prior to 1914 if one measures them against GDP, but loom much larger if they are compared against industrial production.“

D. Rodrik, 1998

“Symposium on Globalization in Perspective: An Introduction” Dany Rodrik – 1998 – Journal of Economics Perspectives


How to measure globalization

HOW TO MEASURE GLOBALIZATION?

  • There is not a clear-cut method for measuring the extent of globalization.

  • Researchers have used a variety of references to provide an idea on globalization and their impact.


Foreing policy magazine 2005

FOREING POLICY MAGAZINE 2005

The FOREING POLICY Globalization Index measures 12 variables and group them in 4 categories:

  • Economic Integration

  • Personal contacts

  • Political engagements

  • Technological connectivity


Economic financial integration

ECONOMIC & FINANCIAL INTEGRATION

  • Economic integration can be measured by the volume of Capital Flow, Trade, or Gross Domestic Product (GDP) between countries.

  • Financial Integration can be measured by the Amount of Foreign Direct Investment, or, the Ratio of Foreign Capital stock to GDP.


Personal contacts

PERSONAL CONTACTS

  • The amount of international travel and tourism

  • The amount of international telephone traffic

  • The amount of Remittances and personal transfers


Political engagement

POLITICAL ENGAGEMENT

  • The amount of membership in international organizations

  • The amount of personal and financial contribution to UN peace keeping missions

  • The amount of international treaties ratifications

  • The amount of governmental transfers


Technological connectivity

TECHNOLOGICAL CONNECTIVITY

  • The amount of internet users

  • The amount of internet hosts

  • The amount of secure servers


Latest 2003 actual results

Latest 2003 Actual Results

  • Singapore rank top in political engagement due to 41% increase in financial contribution to UN peace keeping mission

  • Also Singapore rank first place in foreign investment by signing bilateral free trade agreement with United States


2003 results continued

2003 Results continued…

  • Large nations with large population and domestic market (e.g. US) usually rank low in foreign trade and investment because they are less dependent on them nevertheless, United States jumped from 7th to 4th became the first large country in top five.


2003 results continued1

2003 Results continued…

  • United States also rank first in technology connectivity basket due to increased number of internet hosts and number of secure servers

  • Due to SARS epidemic tourism in Asia dropped by almost 50% in 2003


Internet users as a percentage of u s population

Internet UsersAs a Percentage of U.S. Population


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