List And Describe Four Concepts—Two From The Video And Two ✓ Solved

List and describe four concepts -- two from the video and two

Please complete Parts A and B below: Part A: “Commanding Heights”, a documentary on the risks and challenges faced by the global economy and financial markets in the 21st century. The video is available on YouTube. Please watch the following parts of this video: Part I: From 0:00 minute mark to 28:00 minute mark. Part II: From 48:00 minute mark to 1:20:10 minute mark. The total time of these parts combined is roughly 1 hour. (I highly encourage you to watch the entire 2 hr video if you have time, but this is not required).

Part B: "An open and shut case," a Special Report on the world economy from The Economist (October 1, 2016 issue). Please read the following sections: - "An open and shut case" (p.3-5) - "The good, the bad and the ugly" (p.10-12). - "The reset button" (p. 15-16) (You are highly encouraged to read the entire article, but this is not required).

Extra Credit (optional): To receive extra credit, please complete the following questions (1-2 pages typed): 1. List and describe four concepts -- two from the video and two from the article -- that we covered in class that were discussed in detail in the materials. 2. After watching this video and reading the article, what are your thoughts on globalization thus far, both in terms of finance and trade? Discuss the pros and cons as you see them. Going forward, do you agree/disagree with (any of) the three points for "fixing" globalization presented in "The reset button"? Anything you would add? Or, are we bound to see a decline in global trade/finance with the anti-global climate and sentiment that appears to be growing recently? I am interested to hear your thoughts.

Paper For Above Instructions

Globalization has emerged as a pivotal concept influencing the dynamics of international finance and trade. To engage with the materials provided in "Commanding Heights" and "An open and shut case," we will delve into four critical concepts: laissez-faire economics, the role of governmental intervention, the benefits and drawbacks of globalization, and potential strategies for addressing the challenges observed in current global trends.

Concept 1: Laissez-Faire Economics

One of the primary concepts presented in "Commanding Heights" is laissez-faire economics, which advocates minimal governmental intervention in economic affairs. This principle suggests that free markets, driven by supply and demand, lead to efficient resource allocation and spur economic growth. In the 20th century, proponents like Milton Friedman emphasized the importance of market mechanisms, arguing that excessive government control stifles innovation and efficiency.

Concept 2: Governmental Intervention

Contrastingly, "The reset button" in The Economist highlights the reality that complete laissez-faire economics is often impractical. Governments play a crucial role in regulating markets and addressing market failures. For instance, the financial crisis of 2008 underscored the risks tied to deregulation in the financial sector. It illustrated how the absence of regulatory frameworks could lead to catastrophic economic consequences, thereby validating the necessity of a balanced approach combining free-market principles and regulatory measures.

Concept 3: Benefits and Drawbacks of Globalization

Globalization has led to increased interconnectivity among nations, propelling economic growth and innovation. The video articulates how global trade has enabled countries to specialize in their comparative advantages, fostering efficiency and wealth creation. However, globalization has its downsides. Outsourcing and competition can lead to the erosion of local industries and job losses in developed nations. Additionally, income inequality has been exacerbated by globalization, fueling public discontent and skepticism toward global trade.

Concept 4: Addressing Globalization Challenges

The article in The Economist posits three strategies to "fix" globalization: enhancing inclusive growth, regulating international trade practices, and fostering cooperation among nations to address global challenges. I concur with these points, particularly the need for inclusive growth. Policies should aim to mitigate the adverse effects of globalization on vulnerable populations through social safety nets and job retraining programs. Furthermore, addressing the regulatory aspects can help curb negative externalities associated with free trade, ensuring a balanced approach to globalization.

Personal Reflections on Globalization

Having engaged with both the documentary and the article, my perspective on globalization is multifaceted. On one hand, globalization has undeniably yielded benefits such as increased access to diverse markets, technological advancements, and cultural exchanges. Conversely, the recent shift towards protectionism and anti-global sentiment is concerning. As observed in various nations, the backlash against globalization often stems from unmet economic expectations and growing inequality.

Looking ahead, I believe it is critical to address these concerns proactively. The three points outlined in "The reset button" offer a robust framework for discussions on navigating the complexities of globalization. However, I would also emphasize the importance of public discourse and education in fostering a more informed citizenry regarding global economic dynamics. Engaging communities in discussions about the benefits and challenges of globalization can facilitate a more balanced view and encourage the development of policies that reflect the realities of both globalization and local needs.

In conclusion, the landscape of global finance and trade is intricate and evolving. While the challenges posed by globalization are real, I believe that with appropriate interventions and a commitment to inclusive practices, it is possible to harness the full potential of globalization to benefit all stakeholders.

References

• Friedman, M. (2002). Capitalism and Freedom. University of Chicago Press.
• Stiglitz, J. E. (2002). Globalization and its Discontents. W. W. Norton & Company.
• Klein, N. (2007). The Shock Doctrine: The Rise of Disaster Capitalism. Metropolitan Books.
• Piketty, T. (2014). Capital in the Twenty-First Century. Harvard University Press.
• Rodrik, D. (2018). Straight Talk on Trade: Ideas for a Sane World Economy. Princeton University Press.
• World Bank. (2019). World Development Report 2019: The Changing Nature of Work.
• OECD. (2017). OECD Economic Outlook, Volume 2017 Issue 2: Preliminary version.
• IMF. (2020). World Economic Outlook: A Long and Difficult Ascent.
• Friedman, T. L. (2007). The World is Flat: A Brief History of the Twenty-First Century. Farrar, Straus and Giroux.
• Schott, J. J. (2014). The Trans-Pacific Partnership: A Key to Reshape the Global Economy. Peterson Institute for International Economics.