TCWD Lesson 3 and 4
TCWD Lesson 3 and 4
TCWD Lesson 3 and 4
INTEGRATION
Explain the role of
international financial
institutions in the
creation of a global
economy
Identify the attributes
of global corporations
MARKET INTEGRATION
Market integration occurs when prices among
different locations or related goods follow
similar patterns over a long period of time.
Groups of goods often move proportionally to
each other and when this relation is very
clear among different markets it is said that
the markets are integrated.
ROLE OF INTERNATIONAL FINANCIAL
INSTITUTIONS IN THE CREATION OF
GLOBAL ECONOMY
International Financial Institutions (IFIs)- It is
charted by more than one country and are subjects
to international law.
The most prominent IFIs are creations of multiple
nations, although some bilateral financial
institutions exists and technically IFI.
The best known IFI were established after WWII to
assist in the reconstruction of Europe and provide
mechanism for international cooperation in
managing the global financial system.
THE INTERNATIONAL FINANCIAL
INSTITUTIONS (IFI)
1. International Monetary Fund (IMF)
2. MultiCultural Development Bank (MDBs) which
includes
a.World Bank Group
b.African Development Bank
c. Asian Development Bank
d.Inter – American Development Bank
e.European
Bank for Reconstruction and
Development
MEMBERSHIP
COMPOSITIONS OF IFIs
1. Only
sovereign countries are admitted as a member –
owner
2. Broadcountries membership to include borrowing
developing countries and developed donor countries.
3. Membership in regional development banks include
countries around the world as members (not limited
countries from the regions)
4. Has its own independent legal and operational states.
MAIN OBJECTIVES
IMF provides temporary financial
assistance to member – countries to
help ease balance of payment
adjustment
MDBs provide financing for development
of developing countries through
Long Term Loans
Very Long Term Loans
GLOBAL CORPORATION
It is known as “Global
Economy”.
It is generally referred as
multinational corporation
(MNC).
WHY IS GLOBAL CORPORATION
IMPORTANT?
PROPERTY VALUES
JOBS AND
OPPORTUNITIES
COMMUNITY EXPOSURE
THE REALITY
As the world becomes more
interconnected through politics, trade
and communications, the role of the
states and governments are also shifting.
Thus, national and local policies are not
only based on the local context but also
international and global realities.
NEGATIVE
A local government would like to attract major global
investors in their community by setting up for instance
manufacturing firm in their area. This could generate
more jobs for local people and generate income for local
businesses.
However, it will entail covert tracks of agricultural lands
into industrial zones. Farmers will be displaced and
agricultural production of the area will be affected.
Global Corporation is also demanding lower taxes and
lower income wage in order to finalize their investment
in the area.
INSTITUTIONS THAT
GOVERN
GLOBALIZATION
UNITED NATIONS
United States President Franklin Roosevelt coined
the name UNITED NATIONS that was used in the
Declaration of UNITED NATIONS of January 1,1942
Only 26 nations representatives pledge their
governments:
1. Each Government pledges itself to employ its full
resources, military or economic. Against those members of
Triparted Pact and its adherents with such government is at
war
2.Each Government pledges itself to cooperate with
Government signatory hereto and not to make a separate
armistice or peace with the enemies.
REGIONAL COMMISSIONS
Regional Commissions are a group of officials in different
countries that instruct, debate and in charged in making a
certain law, rights etch. To develop the economy and social,
Human Rights and Science and Technology
ECA- Economic Commission for Africa
ECE- Economic Commission for Europe
ECLAC- Economic Commission for Latin American and the
Caribbean
ESCAP-Economic and Social Commission for Asia and the
Pacific
ESCWA-Economic and Social Commission for Western Asia
World Bank
The international financial institution that
provides loans to countries of the world
for capital projects.
It is an international financial institution
that provides interest-free loans and
grants to the governments of poorer
countries for the purpose of pursuing
capital projects.
It was established by the United Nations
Monetary and Financial Conference or the
Bretton Woods Conference
World Bank
Group
International Bank Reconstruction and
Development (IBRD)
Offers loans to
middle-income
countries to
develop and
improve their
economy
International Development Association
(IDA)
Regulates International
Trades
Deals with the rule of trade
between nations
Ensures the trade will flows
smoothly predictably
Acts as forum in negotiation
trade agreements
Organization for Economic Cooperation
and Development (OECD)
Consist of 35 member countries
Stimulate economic progress and
world trade
Providing a platform to compare
policy experiences, seeking answers
to common problems, identify good
practices and coordinate domestic
and international policies of its
members
Specialized
Agencies
International Labour Organization
A United Nation
Agency dealing with
Labor problems,
particularly
international labor
standards, social
protection, and work
opportunities for all
Food and Agriculture Organization of the
United Nation (FAO)
A specialized agency of the United Nations that leads
international efforts to defeat hunger
Help eliminate hunger, food insecurity and malnutrition
Reduce rural poverty
Make agriculture, forestry and fisheries more
production and sustainable
Enable inclusive and efficient agricultural and food
system
Increase the resilience of livelihoods to threats and
crises
United Nations Educational, Scientific and
Cultural Organization
To contribute to peace and
security by promoting
international collaboration
through educational, scientific,
and cultural reforms in order to
increase universal respect for
justice, the rule of Law and
Human rights along with
fundamental freedom
World Health Organization
Building a better, healthier future for
people all over the world
Concern about public health
Prime concern is to eradicate and
combat dangerous diseases like
AIDS/HIVS
Make researches in medicines and
vaccines to eliminate diseases, and
development of nutrition foods
Responsible for World Health Survey
and Report
Other specialized
International
Institution
International Civil Aviation
Organization (ICAO)
To foster the planning
and development of
international air transport
so as to ensure the safe
and orderly growth of
international civil aviation
throughout the world
International Maritime Organization (IMO)
Responsibility for
the safety and
security of shipping
and the prevention
of maritime
pollution by ships
International Telecommunication
Union (ITU)
Connecting all the world’s people
Allocate global radio spectrum
and satellite orbits. Develop the
technical standards that ensure
networks and technologies
seamlessly interconnect, and
strive to improve access to ICTs to
underserved communities
worldwide
Universal Postal Union (UPU)
Ensure a truly universal
network of up-to-date
products and services
Sets the rules for
international mail exchanges
and makes recommendations
to stimulate growth in mail,
parcel and financial services
volumes and improve quality
of service for customers
World Meteorological Organization
(WMO)
A specialized agency of the
UNITED NATION for meteorology
(Weather and Climate)
operational hydrology and
related geophysical sciences.
The UN system’s authoritative
voice on the state and behavior
of the Earth’s atmosphere. Its
interaction with the oceans, the
climate it produces and the
resulting distribution if water
resources.
World Intellectual Property
Organization (WIPO)
Intellectual property (IP) refers to
creation of the mind, such as
inventions literary and artistic works,
designs and symbols names and
images used in commerce e.g
patients, copyrights and trademarks
Lead the development of a balanced
and effective international
intellectual property (IP) system that
enables innovation and creativity for
the benefit for all
International Fund for Agricultural
Development (IFAD)
Invest in rural people
empowering them to increase
their food security, improve
the nutrition of their families
and increase their incomes.
Building resilience expand
their businesses and take
charge of their own
development
United Nation Industrial Development
Organization (UNIDO)
The specialized agency of
the UNITED NATION that
promotes industrial
development for poverty
reduction, inclusive
globalization and
environmental
sustainability.
World Tourism Organization
(UNWTO)
Responsible for the promotion of
responsible, sustainable and
universally accessible tourism
Leading international organization in
the field of tourism, which promotes
tourism as a driver of economic
growth, inclusive development and
environmental sustainability and
offers leadership and suspect to the
sector in advancing knowledge and
tourism policies worldwide
THANK
YOU