Apr 15 2008

Intro to International Economics – “Making Globalization Work”

Published by at 3:29 pm under Globalization,Macroeconomics,Protection

We began our final unit in AP Economics today on international economics. Some of the topics we’ll cover in this unit are trade, protectionism and exchange rates. We’ll also continue the discussion that began today about the impact of economic globalization on both developed and developing countries.

One of the big questions we’ll address is whether globalization works; whether it has contributed to real improvements in the lives of people in both the rich and poor countries, whether the international financial and trading systems in place today are adequate, and the degree to which government should be involved in controlling the impact of international economic integration.

One of the leading economists in the field of international economics is Joseph Stiglitz, winner of the 2001 Nobel Prize in Economics and author of the recent book, Making Globalization Work. As an introduction to some of the issues we will discuss in this unit, watch the video below in which Stiglitz addresses some of the major challenges nations face in making globalization work. Leave a comment sharing your responses to the questions below the video.

YouTube Preview Image

Discussion Questions:

  1. What are some of the pressures faced by Americans in the era of globalization?
  2. What does Stiglitz think it means to “manage globalization well”?
  3. “Social protection doesn’t mean protectionism” – discuss…

One response so far

One Response to “Intro to International Economics – “Making Globalization Work””

  1. James Tsaoon 19 Apr 2008 at 1:43 pm

    According to Stiglitz, the pressures faced by Americans in globalization is primarily one of competition. Against poorer developing countries that have no safety standards and unemployment insurance, domestic U.S producers face higher costs of production. Moreover, as many companies outsource their manufacturing plants, many jobs are loss in the U.S.

    Additionally, Stiglitz defines managing globalization well as a scenario in which both sides benefits. In other words, globalization must not be imbalanced, where one country exploits another without giving anything back.

Trackback URI | Comments RSS

Leave a Reply

You must be logged in to post a comment.