Chapter Five

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Chapter Five

• The Global South
• in a World of Powers

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Some Definitions

• Global South less-developed countries
• Global North wealthy industrialized countries
• Third World Cold War term for Global South
• First World Cold War term for Global North
  democracies
• Second World Cold War term for Soviet Union and
  other communist countries
• Fourth World indigenous peoples

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Map 5.1 The Global North and Global South
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Global North

• democratic
• technologically inventive
• wealthy
• aging populations
• low population growth

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Global South

• most states
• not democratic
• low technology use
• poor
• rapid population growth
• overstrained social and ecological systems
• 80 percent global population
• 15 percent global wealth

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Map 5.2 The Great North-South Divide in Wealth
and Population
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Map 5.3 Global Imperialism, 1914
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Imperialism

• late 1400s Europe used transportation and
  military technology to conquer colonies
• mercantilism trade should increase state wealth
  increase exports, decrease imports used to take
  advantage of colonies
• 1880s final burst colonizes most of Africa
• China divided into spheres of influence

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Explaining Imperialism

• Marxists capitalists need overseas outlets for
  surplus capital
• World-system theory capitalist core and
  dependent periphery
• Hobson competition for power and prestige among
  European states

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Imperialism Declines 20th Century

• self-determination Woodrow Wilson
• League of Nations mandates
• World War Two saps strength of colonial powers,
  demonstrates that colonial powers can be defeated
• decolonization from 1947-1960s
• neocolonialism continued domination of the
  Global South by the Global North through economic
  means

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Table 5.1Two Worlds of Development An
International Class Divide
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Modernization Theory

• Global South must
• create conditions for efficient production, free
  enterprise, and free trade
• pass through stages of development and reach
  take off
• historical conditions that allowed the North to
  do this in the 19th century do not exist now

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Dependency Theory

• Global North keeps Global South poor through
• terms of trade and finance
• exploitation by multinational corporations
• dualism--rural impoverished sector and urban
  modernizing sector

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World-Systems Theory

• core advanced capitalist states specializes in
  producing advanced goods
• periphery developing states specializes in
  producing commodities and low-technology goods
• semiperiphery states either advancing toward
  core or descending to periphery dependent
  development under control of the core

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The Global Souths Prospects

• NIEs newly industrialized countries
• Asian Tigers South Korea, Taiwan, Singapore,
  Hong Kong
• Nonaligned Movement
• failed states
• nonstate nations
• external military intervention

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The Search for Wealth

• import-substitution industrialization
• export-led industrialization
• New International Economic Order (1974)
• pushed by Group of 77
• called for changes in the international economic
  system that would benefit development in the
  Global South and redistribute some global wealth
  to it

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Regional Trade Regimes

• NAFTA North American Free Trade Agreement
• Mercosur Argentina, Brazil, Paraguay, Uruguay
• APEC Asia-Pacific Economic Cooperation
• ASEAN Association of Southeast Asian Nations
• SADC Southern African Development Community

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Trade, Aid, Investment, Debt Relief

• official development assistance
• foreign direct investment
• multinational corporations
• heavily indebted poor countries
• debt relief

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Figure 5.1 Ranking the Biggest Official Aid
Donors Net Official Foreign Aid (billion) at
percent of GDP
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Figure 5.2 Foreign Direct Investments in the
Global South
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Discussion

• What factors explain European imperialism?
• What legacies of colonialism remain and how have
  they shaped the gap between the Global North and
  the Global South?
• What characteristics do newly industrialized
  economies share with the Global North?

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Discussion, continued

• What are the root causes of underdevelopment?
• What changes in the international economic system
  would benefit the Global South?
• What does the future likely hold for the Global
  South?