Rajasthan Board RBSE Class 12 Political Science Notes Chapter 14 India and Globalization
- In the last decade of the twentieth century, it started globalization. The whole world has turned into a global village and telecommunication revolution has played a special role in it.
- After IInd World War, the world was divided into two groups on the basis of ideology. One group of the countries was the Supporter of capitalism. The group was led by the United States of America. And the other group of the countries was the supporter of communism, led by the Soviet Union.
- All the countries of the both groups were the members of United Nations but the supporter countries of the second group (communist) were not the members of the World Bank, International Monetary Fund (IMF), and the General Agreement of Tariff and Trade (GATT).
- The capitalist countries adopted the private and market oriented financial system while the communist countries adopted absolutism and proprietary economy.
- The communist system had the possibilities to eliminate the poverty, economic inequality and exploitation but it didn’t have the ability of self-determination, inspiration and prosperity.
- Both ideologies (groups) adopted fair as well as inappropriate measures to increase their own influence area. As a result of it, the cold war started between both the super powers.
- Due to uncontrolled competition for arms and mismanaged administration, economic inequality was increasing.
- With the division of the Soviet Union in 1991, the communist faction and ideology were defeated. In the leadership of America, the capitalist group and ideology won.
- After this, most of the world’s countries gave up their independent economy and adopted the market oriented economy inspired by liberalization and globalization.
Meaning of Globalization:
- Globalization means- the international integration, the opening of the world-trade, the development of advanced communication, internationalization of financial markets, increasing the importance of multinational companies, the foreign tours of the population and to increase the mobility of commodity, capital, data and idea.
Causes of Globalization:
- No single cause is responsible for globalization, yet technology is an important cause of it. The new invention of telegraph, telephones, microchip and internet brought the communication revolution all over the world and cleared the path of globalization.
Political Impact of Globalization:
- The highest impact of globalization has been on the national states. In the developed countries, the concept of welfare state has been replaced by the lowest interfering state.
- Now the state has become the key determinant of economic and social priorities.
- Large number of multinational companies have been established all over the world.
- The international community has replaced its controlled policies with encouraging openness in business, which is based on the principles of public rights and democracy.
- Due to increase in the policy of openness, the United Nations, the World Bank, and the International Monetary Fund have also changed their policies, o Now between the East and the West, at the place of struggle, peace, protection, development, environment conservation, human rights and the legal institutions such as criminal court at the international level have emerged.
Economic Impact of Globalization:
- The highest impact of globalization lies on the world economy. The Western Capitalist countries are making efforts to find a market for their products in Asia and Africa, o Each country has opened its market for the sale of foreign goods.
- The International Monetary Fund (IMF) and INTO are playing an active role in determining economic policies in the world. The backward economies have also benefited a lot.
- Progressive economies like China, India and Brazil have more profits than the previous economy.
- In the past different countries imposed restrictions on imports, but now these instructions have been relaxed in the era of globalization.
- Globalization has different effects on different countries. Economies of some countries are increasing fastly while some countries have become financially backward.
- Some people are condemning globalization as a new form of colonialism, while its supporters believe that it is increasing development and prosperity.
Cultural Effects of Globalization:
- There has been a great impact of globalization on the people’s social and cultural life.
- Globalization gives birth to homogeneity so this is the greatest threat to the world’s most classical cultures.
The Channels for Promoting Cultural Exchanges:
Information Services :
- Exchange of information through Internet and Email.
- The electronic revolution has made the information democratic.
News Services :
- The broadcasting of CCN, BBC, Alzazera etc, international channels has made globalization more effective.
Impact of Globalization on India:
- In India globalization was inaugurated by P.V. Narsimha Rao in 1991. And the then Finance Minister Manmohan Singh initiated the new economic policies (liberalisation, privatization and globalization).
- In 1992, the rupee was made fully transferable and steps were taken to reform the capital market and financial policy.
- On January 1, 1995 World Trade Organization (WTO) was established and India, by signing it, became its member.
Regarding globalization, three different reactions of Indian Federalism have come forth :
- adverse impact on economic development of the country.
- crisis on legitimacy.
- the rapid growth of civil scociety organisations.
- The main idea behind globalization is that all the nations will develop the central competence and produce the things in which they are capable. This will help to strengthen these countries.
Impact of Globalization on Native Culture:
- Globalization has spread the folk culture in the whole world.
- Negative side of globalization is that the dominance of Western Cultural imperialism has an adverse effect on the traditional values.
Impact of Globalization on Social Values:
- There has been an adverse effect of globalization on social values of India. The loss of moral values has been proved very fatal for a pluralistic country like India.
Consequences of Globalization:
- Globalization has given birth to the refugee problem in Europe and other states. By 2016 about sixty crore people were refugees out of 7.4 billion population, it means every 122nd person is a refugee.
- Many critics believe that globalization is meant only for the interests of corporate sector and entrepreneurs and it has nothing to do for the poor. It is a new form of imperialism, o Globalization can affect a nation’s autonomy, sovereignty and self-dependence.
- The liberalization is. a process under which the government’s restrictions and control over the economy is lessened. It increases the efficiency of the economy and percentage of the profit.
Achievements of Globalization:
- Doubling of people’s life-expectation in the developing countries and lessening the infant mortality.
- Extensive spread of adult suffrage. .
- Enhancing nutrition in people’s food.
- Decreasing child labour.
- Per person availability of electricity, car, radio, telephones, television, mobile phones etc has been increased.
Important Dates and Concerned Events:
RBSE Class 12 Political Science Notes Chapter 14 Important Terms
- Globalization : It means international integration-free movement of goods, services and people across the world in a seamless and integrated manner. In this process all the countries of the world liberalize their import protocols and welcome foreign investments into sectors.
- Capitalism : This is an economic and political system in which a country’s trade and industry are controlled by private owners for profit rather than by the state.
- Privatisation : It is the process or system of transferring an enterprise or industry from the public sector to the private sector.
- Liberalization : Liberalization of the economy means to free it from direct or physical controls imposed by the government.
- Socialism : This is a theory of social organization which advocates that the means of production, distribution, and exchange should be owned by the community as a whole.
- GATT : The General Agreement on Tariffs and Trade came into force on January 01, 1948. It was a legal agreement between many countries. Its purpose was to promote international trade by reducing or eliminating trade barriers such as tariffs or quotes.
- W.T.O. : The World Trade Organization is an intergovernmental organization that regulates international trade.
- Cold War : The cold war was a state of geopolitical tension after World War II between the . United States of America and the Soviet Union.
- Multinational Corporation : This is an organization that owns or controls production of goods or services in two or more countries other than its home country.
- Microchip : This is a very small piece of silicon inside a computer. It has electronic circuits on it. It can contain a large amount of information.
- Internet: A global computer network providing a variety of information and communication facilities, consisting of interconnected networks using standardized communication protocols.
- CNN : Cable News Network (CNN) is an American news channel. It was founded in 1980 by American media proprietor Ted Turner.
- A1 Jazeera : This is a state-funded broadcaster in Doha, Qatar. It is owned by A1 Jazeera Media Network. It was initially launched as an Arabic news and current-affairs satellite TV Channel. It was launched on 01 Nov. 1996.
- Mikhail Gorbachev : He was the eighth and last president of the Soviet Union.
- Narsimha Rao : He was the 9th Prime Minister of India. The Licence Raj (Permit Raj) was ended during his tenure. And he initiated policy of liberalization in Indian economy.
- International Monetary Fund (IMF) : It was established on 27 Dec. 1945 in Washington, D.C., United States.