4.1 Origin and Growth
4.2 Major goals and aims
4.3 Organsiational institutions of SADC
4.4 Problems of SADC
4.5 SADC and post Apartheid south Africa
5. ECOWAS
Introduction
5.1 General objectives
5.2 Problems of ECOWAS
5.3 ECOMOG
6. THE AFRICAN UNION
Introduction
6.1 Aims and objectives
6.2 An overview
6.3 Government of the AU
6.4 Human rights
6.5 Regional communities
6.6 Foreign Relations
6.7 Challenges and problems
6.8 The way Forward
7. GLOBALIZATION
7.1 Introduction and Background
Globalisation
describes a process by which regional economies, societies and cultures have
become integrated through a global network of communication, transportation and
commerce. Economic globalisation refers to the integration of national
economies into the international economic system through trade, foreign direct
investment, capital flour, migration and the spread of technology. However,
globalisation is usually recognised as being driven by a combination of
economic, technological social-cultural, political and biological factors. The
term can also refer to the translational circulation of ideas, languages or
popular culture through a process of acculturation. The term, globalisation,
though a new concept in the economic and literary world achieved a wide-spread
use in the media by the late 1980s. since then, the concept of globalisation
has inspired numerous competing definitions and interpretations dating back to
the great movement of trade and empire across Asia and the Indian Ocean form
the 15th Century1.
Globalisation
is a widely used term that can be defined in a number ways. When used in an
economic context, it refers to the reduction and removal of barriers between
national borders in order to facilitate the flow of goods, capital, services
and labour. Globalisation is not a new phenomenon. It began in the late 19th
century but showed down following the World War I. The slow down was as a
result to the in-ward looking policies pursued by a number of countries at the
period in order to protect their respective industries. Globalisation however
picked up rapidly from the mid 1970s. According to Saskia Sassen,
…A good part of globalisation consists of an enormous
variety of micro-process that begin to de-nationalise what had been constructed
as national whether policies, capital, political subjectivity, urban epaces, temporal
frames or any other of a variety of dynamics and domains2…
Tom Palmer of the Cato Institute defines globalisation
as
…The domination or elimination of State-enforced
restrictions on exchanges across borders and the increasingly integrated and
complex global system of production that has emerged as a result…3
Thomas Friedman examined the impact of the fallowing
of the world and argues that globalise trade, outsourcing, supply-chining and
political forces have changed the world permanently, for better and Norse. He
further argued that the pace of globalisation is quickening and will continue
to have a growing impact on business organisations and practice4.
Takis
foto populous holds the view that globalisation is the result of systematic
trends manifesting the market economies’ grow-or die dynamic, following the
rapid expansion of translational corporations. Because these trends have not
been offset by counter endercies that could have emanated from trade union
action and other forms of political activity, the outcome has been
globalisation. This is a multi-faceted and irreversible phenomenon within the system of the market
economy and it is expressed as (a) economic globalisation, namely, the
opening and deregulation of commodity, capital and labour markets which led to
the present form of neo liberal globalisation (b) political globalisation,
which is the emergence of a trans national elite and the phasing out of the
all-powerful nation-state of the statistic period, and (c) cultural
globalisation, which involves a world-wide homogenisation of culture, they
are ideological globalisation technological globalisation and social
globalisation.
History of Globalisation: The historical origins globalisation
remain the subject of debate. Some scholars place the origin of globalisation
in the modern era while others regard it as phenomenon with a long history.
Ander Gunder Frank, an economist of the dependency theory school holds the view
that a form of globalisation has been in existence since the rise of trade
links between the summer and the Indus valley civilisation in the third century5.
an early form of globalise economy and culture existed during the Hellenistic
age when commercialised urban centres were focused around the axis of Greek
culture over a wide range that stretched form India to Spain with such cities
as Alexandria, Athens and Antioch as its centre. Trade was wide-spread during
this period, and it is the first time the idea of a cosmopolitan culture
emerged. Others have perceived an early forum of globalisation in the trade
links between the roman empire, the Pathian empire and the Han Dynasty. The
increasing articulation of commercial links between these powers inspired the
development of the silk Road, which started in western china, reached the
boundaries of he Parthian Empire and continued onwards to Rome.
The
Islamic golden age was also an important early stage of globalisation when Jewish
and Muslim traders and employers established a sustained economy across the old
world resulting in a globalisation of crops, trade, knowledge and technology.
Globally significant crops such as sugar and cotton became widely cultivated
across the Muslim world in this period wile the necessity of learning Arabic
and completing the Haji created a cosmopolitan culture.
The
advent of the Morgol Empire though destabilising to the commercial centres of
the middle East and China greatly facilitated travel along the silk Road. This
made it possible for travellers and missionaries to journey success fully from
one end of Eurasia to the other. The so-called pax-mongolica of the 13th
century had several other notable globalising effects. It witnessed the
creation of the first international postal service as well as the rapid
transmission of epidemic diseases such as bubonic plague across the newly
united regions of central Asia6.
The
Age of discovery brought a broad change in globalisation during the first
period in which Eurasia and Africa engaged in substantial cultural, material
and biological exchange with the new world. It began in the late 15th
century when the two kingdoms of the Liberians peninsula-Portugal and Cas tile
sent the first exploratory voages around the Horn of Africa and to the Americas
discovery in 1492 by Christopher Columbus. The early 16th century
saw Portuguese traders establish trading posts form Africa to Asia and Brazil
to deal with the trade on local products like gold, species and timer. These
traders introduced an international business centre made a rural monopoly, the
House of India7.
Global
integration continued with the European colonisation of he Americas initiating
the Columbian exchange. This was a period of wide spread exchange of plants,
animals, food, human populations (including selves), communicable diseases and
culture between the Eastern and western hemisphere. It was one of the most
significant global events concerning econology, agriculture, and culture in all
history. This phase is sometimes known as proto-globalisation. It was
characterised by the rise of maritime European empires in the 16th
and 17th centuries, first the Portuguese and Spanish empires, and
later the Dutch and British empires. In the 17th century, globalisation
because also a private business phenomenon when chattered companies like the British
East India Company (founded in 1600) often described as the first MNC as well
as the Dutch East India company founded in 1602 ere established. Became of the
large investment and financing needs and high risks involved in international
trade, the British East India company became the first company in the world to
share risk and enable joint ownership of companies through issuance of showers
of sock: an important driver for globalisation.
19th
century great Britain became the first global economic super power because of
superior manufacturing technology and improved global communications such as
steamships and railroads. The 19th century witnessed the advent at
globalisation approaching its modern form Industrialisation allowed cheap
production of household items using economies of scale while rapid population
growth created sustained demand for commodities. Globalisation at this period
was decisively shaped by 19th century imperialism. After the opium
wars and the completion of the British conquest of India, vast populations of
these regions became ready consumers of European exports. It was in this period
that areas of sub-Sharan Africa and the pacific islands were incorporated into
the world system. Mean while, conquest of new parts of the globe, notably,
sub-Saharan Africa by Europeans, yielded valuable natural resources such as
rubber, diamonds, and coal, all these helped find trade and investment between
the European imperial powers, their colonies and the United States.
The
first phase of modern globalisation’ began to break down at the beginning of
the 20th century with the first world war. V.M. yeasts criticised
the financial forces of globalisation as a factor in creating World War I8.
The final death knell for this phase during the gold standard crisis and great
depression in the late 1920s and 11039s. in the middle deceases of the 20th
century, globalisation was largely driven by the global expansion of MNCs based
in the US and Europe, and World Wide exchange of new developments in science,
technology and products, with most significant ingestions of this time having
their origins in the western world. World wide exports of western culture
through new mass media-films, radio, television and recorded music. Development
and growth of international transportation and telecommunications played a
decisive role in modern globalsiation9.
In
the late 2000s, much of the industrialised world entered into a deep recession.
Some analysts say the world is going through a period of de-globalisation after
years of increasing economic integration. Kp to 45% of global health had been
destroyed by the global financial crisis in less than 18th months10.
7.3 Modern globalisation: Since World War II, globalisation is largely the
result of efforts by politicians to break own the border and related issues
which hampers free trade. The belief here is that increased prosperity and
greater interdependence would decrease the chances of wars in the future. This
effort led to the Brettonwoods conference where world leaders laid the
framework for international commerce and finance through the founding of
several international institutions intended to oversee the processes of
globalisation. These institutions include the IBRD, the WB and the IMF.
Globalisation has been facilitated by advances in technology which have reduced
the costs of trade and trade negotiation rounds originally under the auspices
of GATT which led to a series of agreements to remove restrictions trade.
Since
World War II, barriers to international trade have been initiatives based on
GATTs and WTO arrangements. These have included issues such as
1. promotion
of free trade
2. elimination
of tariffs, creationo f free trade zones with small or no tariff.
3. Reduced
transportation costs especially resulting from development of contaririzationof
ocean shipping.
4. Deduction
or elimination of capital controls
5. Reduction,
elimination or harmonisation of subsidies for local business.
6. Creation
of subsidies of global corporations.
7. Harmonisation
of intellectual property laws across the majority of states, with more
restrictions.
8. supranational
recognition of intellectual property restrictions e.g patents granted by china
would be recognised in the Unions States.
7.4 Cultural
Globalisation
Driven
by communication technology and the world wide marketing of western cultural
industries wad under stood at first as a process of homogenisation, as the
global domination of American culture at the expense of traditional diversity.
However, a contrasting trend soon became evident in the emergence to the
defense of local uniqueness, individually and identity but largely without
success.
The
Uruguay round (1986-1994) led to a treaty to create the WTO to mediate on trade
disputes and set up a uniform platform of trading other bilateral and
multilateral trade agreements including sections of Europe’s Maastricht treaty
and the Nor the American Free Trade Agreement (NAFTA) have also been signed in
pursuit of the global reduction of tariffs and barriers to trade.
7.5 Measuring globalisation
Looking
specifically at economic globalisation demonstrates that it can be measured in
different ways. There centre around the four main economic flows that
characterise globalisation: these are
1. Goods
and services, e.g exports plus imports as a proportion of national income or precipitate
of population
2. Labour/people,
e.g net migration rates, inward or outward migration fours weighted by
population
3. Capital,
e.g inward or outward direct investment as a proportion of national income or
per head of the population
4. technology
e.g international research and development flows; proportion of population and
rates of charge thereof using particular inventions especially “factor neutral”
technological advances such as the telephone, motorcar, broad band.
7.6 Effects of globalisation
Globalisation
has various aspects which affects the world in several different ways such as:
1. Industry
– Emergence of world wide production markets and broader access to a large
number of foreign products for consumers and companies, particularly movement
of material and goods between and within national boundaries. International
trade in manufactured goods increased more that a hundred tines from & 95
billion to $12 trillion in the 50 years since 195510. China’s trade
with Africa role sevenfold during 2000-2007.
2. Financial: The emergence of worldwide financial markets
and better acess to external financing for borrowers. By the early part of the
21st century, more than $ 1.5 trillion in national currencies were
traded daily to support the expanded levels of trade and investment. As these
world wide structures grew more quickly than any transactional regulatory
regime the instability of the global financial infrastructure dramatically
increased as was evidenced by the financial irises of 2007-2010.
3. Economic linkage: The realisation of a global common market based on
the freedom of exchange of goods and capital. The interconnectedness of these
markets, however meant that economic collapse in any one region or country
could not be contained.
4. Health Policy: On the global scale, health
systems becomes a commodity, which in developing nations, in particular, are
fragmented and privatised under the demands of structural adjustment
programmes. Global health policy makers have shifted during the 1990s form UN players
to financial institutions. This privatisation fragments health policy by crowding
it with many players with many private interests.
5. Political – Some use globalisation to mean the creation of a world government which
regulates the relationships among governments and guarantees the rights arising
form social and economic globalisation. Politically, the US has enjoyed a
position of power among the world powers, in part became of its strong economy.
With the influence of globalisation and with the help of the united states own
economy, the people’s republic of china has experienced some tremendous growth
within the part decade. China has recently surpassed Germany as the world’s
largest exporter and it china continues to frown at the rate projected by
recent trends, it is very likely that in the next 20 years, there will be a
major re-allocation of power among the leading countries of the world. Became
china will have enough wealth, industries and technology to rival the US as a
leading world power11.
6. Information: Increased information flow between
geographically remote locations. Arguably, this is a technological change with
the advent of fibre-optic communications, satellites, and increased
availability of telephone and the internet.
7. Language: The most popular language is mandarin
followed by Spanish and English at the ratio of (a) 35% of the world’s mail,
telezes and cable are in English (b) 40% of the world’s radio programms are in
English (c) 50% of all internet traffic uses english12.
8. Competition: survival in the new global business market calls for improved
productivity and increased competition. Due to the market becoming world-wide,
companies in various industries have to up grade their products and use
technology skilfully in order to face increased competition.
9. Ecological: The advent of govern environmental challenges that might only be solved
with international co-operation such as climate change, cross boundary water
and air pollution, over, filling of the ocean, and the spread of invasive
species. Since many factories are built in developing countries with less
environmental regulations, globalise and free trade may increase pollution.
10. Cultural: The 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” affects people in very significant ways. (a) Some people consider such
imported culture a damager since it may supplant the local culture, causing
reduction in diversity or even assimilation. Others consider multiculturalism
capable of promoting peace and understanding between people. A third position
is the notion that it tends towards a new form of monoculture in which no
destructive differences exist and ever one just shifts between various life
styles in terms of music, clothing etc. the other variant of cultural
assimilation is the obliteration of culture as we know it today.
(b) Greater
international travel and tourism. WHO estimates that up to 500,000 people are
on planes at any one time. In 2008, there were over 922 million international
tourists, arrivals with a growth of 1.9% as compared to 2007.
(c) Greater
immigration including illegal immigration. There is an estimate of more than
200 million migrants around the wrld today. Newly available data show that
remittance follows to developing countries reached $328 billion in 2008.
(d) Spread
of local consumer products (e.g food0 to other countries often adapted to their
culture.
(e) World
wide fads and pop culture such as poleman, sugoku Numa Numa, origami, idol
series, you tube, orkut, face book and my space. These are accessible to those
who have internet or television, leaving out a substantial sequent of the
earth’s population.
(f) World
wide sporting events such as if world cup and the Olympic games.
(g) Incorporation
of MNCs into new media. As the sponsors of the AU-blacks rugby team, Adidas,
etc had created a parallel website with a down loadable interactive rugby game
for its fans to play and compete.
11. Social Development: If the system of non-governmental
organisations as main agents of global public policy including humanitarian aid
and developmental efforts.
12. Development
of a global information system, global telecommunications infrastructure and greater
trans border data flows, using such technologies as the internet, communication
satellites, submarine fibre optic cables and wireless telephones.
13. Legal/ethical
bases: globalisation has led to the ceation of the International criminal court
and international justice movements. This is aimed at creating awareness over
global criminal activities and encouraging co-operation among governments and
securities agencies in fighting cross-border crimes.
14. Religion: There has been an increase in the inter-relational
behaviour of various religious groups, ideas and practices which helps provides
wearing and values to the belief system of various groups. This interrelationship
help in enhancing tolerance levels while
reducing the capacity for conflict and disagreement.
7.7 Cultural effects: “Culture” which is defined as
the patterns of human activity has to do with what people eat, how they dress,
beliefs they hold on to and their general ways of life globalisation has joined
different cultures and made it into something different. As Carla Zwingle
states, … when culture receives outside influences, they ignore some and adopt
others, and then almost immediately start to transform them…13
The
internet breaks down cultural boundaries across the world by enabling easy,
nearer instantiates communication between people any where in a variety of
digital forms media. The internet is associated with the process of cultural
globalisation because it allows interactions and communication between people
with very different life styles and from very different culture. Photo-showing
websites allow interaction even where language would otherwise be a barrier.
7.8 Negative effects of globalisation
Globalisation
has one of the most highly debated topics in international economics over the
past few years. Globalisation has also generated significant international
opposition over concerns that it has increased inequality and environmental
degradation. In the mid western united States. Globalisation has eaten away at
its competitive edge in industry and agriculture, lowering the quality of life
in locations that lack the opportunity to adapt to the changes. Some also view
the effect of globalisation on culture as negative. Along with globalisation of
economics and trade, culture is bring imported and exported as well. The
concern here is that the weather, bigger countries may overrun the smaller ones
blighting their cultures and values while imposing new ones. Globalisation has
led to the Americanisation of many countries and cultures in the last few
decades.
7.9 Negative effect of economic liberations. The world today is so inter-nected that
the collapse of the subs prime mortgage market in the US has led to a global
financial crisis and recession on a scale not seen since the create depression.
Government deregulation and failed regulation of Wall Street’s investment banks
were import contributors to the sub prime mortgage crisis. A flood of consumer
goods such as television, radio, bicycles and textiles into the United states,
Europe and Japan has helped fuel the economic expansion of Asian tiger
economies in recent decades.
Brain drain:
Opportunities in richer countries drives talent away form poorer
countries, leading to brain drains. The brain drain phenomena has cost Africa huge
sums of glen Rowden argues that the
IMF’s monetarist approach towards prioritising price stability (Lowinflation)
and fiscal restraints (low budget deficiets) was unnecessarily restrictive and
has prevented developing countries form being able to increase long –term
public infrastructure and health care. Rowden claims that the consequences of
these and other neo-library policies have led to chronically under funded
public health systems, dilapidated health infrastructures.14
inadequate number of health personnel and demoralising working conditions that
have fuelled the ‘push factors” driving the brain drain of sectors and nurses
migrating from poor countries for rich ones, all of which have undermined
public health systems, including the fight against HIV/AIDS in developing
countries.
Effects on the environment: Research has revealed that the bowing economies
of china and India are planetary powers that are shaping the global biosphere.
In 2007, china overtook the US as the world’s biggest producer it CO2.
At present rates, tropical rainforest in Indonesia would be logged out in 10
years. Paua New Guinea in about 16 years. A major source of deforestation is
the logging industry driven spectacularly by china and Japna. Thriving
economies such as Chain and India are quickly becoming large oil consumers.
There has been a stay rise in the price of oil in recent years, and the
pollution effect that go with it is immense. It is said that if china and India
were to consume as much resources precipitate as US or Japan in 2010. Together,
they would require a full planet earth to meet their needs. In the long term,
these effects can lead to increased conflict over dwindling resources and in
the worst case scenario a Malthusian catastrophe.
Food security: the head of the international Food policy research
Institute stated in 2008 that the gradual changes in diet among newly
prosperous populations is the most important factor underpinning the rise in
global food prices. Growing populations, falling energy sources and food
shortages will create the “perfect storm” by 2030. the world will have to
produce 70 % more food by 2030 to feed a projected extra 2.3 billion people and
as income rises, the UN food and Agricultural origination (KAO) warned. Social
scientists have warned of the possibility that global civilisation is due for a
period of contraction and economic reconciliation, to the decline in fossil
fuels and resulting crisis in transportation and food production.
Disease spreads: Globalisation, the flow of information,
goods, capital and people across political and geographic boundaries, has also
helped to spread some of the dead list infections diseases known to humans.
Starting in Adia, the Black Death killed at least one-third of Europe’s
population in the 14th century. About 90% of the population of the
civilisations of the New world such as the Aztec, maya and luc were killed by
small pox brought by European colonisation. Modern modes of transportation
allow more people and products to travel around the world at a faster pace.
They also open the airways to the trans contivental movement of infections
diseases. One example of this is HIV/aids. Approximately 1.2 million persons
are living with HIV/aids in the US and aids remain one of the leading causes of
death among African American women between the ages of 25 and 35. Due to
immigration, approximately 500,000 people in the US are believed to be infected
with changes disease. These diseases are transmitted across national boundaries
as people more form one corner of the world to others.
Drugs and illicit goods: The
United Nations office on Drugs and Crime (UNODC) issue a report that the global
drug trade generates more than $320 billions a year in revenues. World wide,
the Un estimates that there are more than 50 million regular users of herein,
cocaine and synthetic drugs. The international trade on endangered species in
second only to drug trafficking. Traditional Chinese medicine often
incorporates ingredients form all parts of plants, the leaf,. Stem, flower, root
and also ingredients form animal and minerals. The use of parts of endangered
species such as seas horses, rhinoceros horns, saiga antelope horns and tiger
bones and claws have created controversy and resulted in a black market of poaches
who hunt restricted animals.
Pro-globalisation: Supporters of free trade claim tht it
increases economic prosperity as well as opportunity, especially among
developing nations, enhances civil liberties and leads to a more efficient
allocations of resources. Economic theories of comparative advantage suggest
that free trade leads to a more efficient allocation of resources with all
countries involved in the trade benefactors in general, this leads to lower
price more employment, higher output and higher standard of living for those in
developing countries.
Proponents
of laissez-faire capitalism say that higher degrees of political and economic
freedom in the form of democracy and capitalism in the developed world are ends
in themselves and also produces higher levels of material wealth. They see
globalisation a the beneficial spread of liberty and capitalist.
Supporters
of democractic globalisation are sometime called pro-globalises. They believe
that the first phase of globalisation which was market oriented, should be followed
by a phase of building global political institutions representing the will
world citizens. The difference form other global lists is the then do into
define in advance any ideology to orient this will but would leave it to the
free choice of these citizens via a democratic process.
Anti-globalisation: the
anti-globalisation movement is a term used to describe the political group who
oppose the new-liberal version of globalisation, while criticisms of
globalisation are some of the reasons used to justify this groups stance.
Anti-globalisation ay also involve the processor actions taking by a state or
its people, goods and beliefs, particularly free market deregulation,
encouraged by organisations such as the IMF and the WTO.
Some
people who are labelled “anti-globalists” or “sceptics” consider the term to be
too vague and inaccurate. The term anti-globalsiaton could be seen as a
misnomer since the group represent a wide reange of interet and issues and many
of the peopleinvolved in the ant-globalsiaton movement of support closer ties
between the various peoples and cultures of the world through. For example, aid
and assistance for refugees and global environmental issues. Some activities aligned
with this view point prefer instead to describe themselves as the “global
Justice Movement’.
Critics
of the current ware of economic globalisation typically look at both the damage
to the planet in terms of the perceived unsustainable harm done to the
biosphere, as well as the perceived human costs, such as poverty, inequality,
miscegenation, injustice, injustice and the erosion of traditional culture
which, the critics contend, all occur as a result of the economic transformations
related to globalisation. They challenge directly the metrics, such as GPD, used
to measure progress promulgated by institutions such as the world bank and look
to other measures such as the Happy planet index, created by the New Economics
foundation. They point to a “multitude of inter connected fatal consequences
such as social disintegration, a breakdown of democracy, more rapid and
extensive deterioration for the environment, the spread of new diseases,
increasing poverty and alienation which they claim are the unintended but very
real consequences of globalisation.
Critics of globalisation
further raise the following issues.
1. Poorer
countries are disadvantaged: while it is true tht globalisation encourages free
trade among countries, there are also negative consequences because some
countries try to save their national markets. The main export of poorer
countries are usually agricultural goods while the beggar countries subsidise
their farmers. The EU common agricultural policy lowers the market price for
farmers’ crops compared to what it would be under free trade.
2. Exploitation
of foreign impoverished workers: the absence of protection for weaker nations
has resulted in the exploitation of the people in those nations to become cheap
labour. Due to this lack of protection, companies form the in detribalised
countries are able to offer workers enough salary to entice them into enduring
extremely long hours and unsafe working conditions. Though it is ungues that
these workers one fues to leave their jobs the truth is that leaving the job
may mean starvation for the worker and possibly a good number of his family
member that are dependent on his wages.
3. Weak labour unions: The surplus in
cheap labour and the ever growing number of companies in transition has caused
a weakening of labour unions in many countries. Unions lose their effectiveness
when their membership begins to decline. As a result, Unions hold less power
over corporations that are able to easily replace workers often for lower
wages, and have the option not to offer unionised jobs any more.
4. Increased exploitation of child labour – Increase
in labour demand often lead to greater demand in child labour and child
exploitation. Some companies also specialise in the use of children, e.g
quarrying, salvage, cash cropping, etc. Others include trafficking in children,
children in bondage, forced labour, prostitution, prmography and other illicit
activities.
5. Others:
The critics of globalisation typically emphasise that globalisation is a
process that is mediated according to corporate interests and typically raise
the possibility of alternative global institutions and policies which they
believe address the moral claims of poor and working classes through out the
globe, as well as environmental concerns in a more equitable way.
The
movement is very broad, including church groups, national liberation movements,
peasant unionists, intellectuals, artists, protectionists, anarchists,
supporters of relocalisation and others. Same are reformists, arguing for a
more moderate form of capitalism while others are more revolutionary and argue
for what they believe to be a more human system.
6. Human Trafficking and forced labour
7.9 Pro. Globalisation require
7.10 Anti globalisation
7.11 Further issues on globalisation