Module - The Contemporary World

LESSON I: DEFINING GLOBALIZATION: THEORIES, CONCEPTS, AND TRENDS Globalization is a process of expanding various sociocultural and socio-ecological processes from national to international and transcultural level (Al-Rodhan, 2006). Global Connected Index (GCI) is a measurement of flows and interconnections of a country to other global players through exchanges in trade, capital, people, and information (Altman, et al., 2018).

Socioeconomic Changes in Globalization Scholte (2005) identifies macro -structural changes in a globalized society such as product and services integration through commodity value chains, emerging institutional arrangements, pluralistic identity, and growth of supra-territorial relations. Also, he identifies four key shifts in society: 

growth of trans- and supra -territorial connectivity



the shift from capitalism to hyper -capitalism focused on production



a move from nationalism toward identifying pluralism and hybridity



from rationalism toward knowledge reflexivity

Factors Driving Globalization Different sources and factors drove globalization. One of the factors that drive globalization is the reduction of trade barriers. In 1947, richer countries banded together to reduce taxes on imports or tariffs under the General Agreement on Tariffs and Trade (GATT), which was later transformed to the World Trade Organization (WTO) in 1994 (Koopman & Hancock, 2019). Husain (2011) also identified modern technology developments as a key driver

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of globalization that facilitated faster communication and access to data or information. This further promoted the development of an information society (Castells, 2000).

Views about Globalization If you look at how globalization is defined in the literature and based on your activity above, there are diverging views about globalization (Stiglitz and Pike, 2004). Some authors highlight the positive economic impacts of globalization such as on the level of employment and balance of trade (Kriesler and Nevile, 2016). On the other hand, some highlight the negative impacts of globalization, specifically the inequity among countries and between the rich and the poor. Vandermoortle (2002), for instance, argues that though globalization and exponential growth, theoretically, could reduce poverty, it does not benefit all nations. Sub-Saharan Africa, where almost half of the world's extremely poor population lives (living below US$1.90/day), has been especially marginalized by globalization (World Bank, 2019). Nevertheless, Beck (2018) contends the multi-dimensionality of globalization. These include the economic, political, cultural, ecological dimensions (Steger, 2017; Beck, 2018).

TASK 1: Prepare an essay on how you view globalization including its contributions to social and economic development also with its limitations.

TASK 2: You and your friends/classmates could form two teams. One group will discuss the advantages and benefits of globalization, while the other group will focus on the disadvantages and negative impacts of globalization. Note the main points of the pros and cons of globalization discussed during the debate.

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LESSON II: INTERROGATING GLOBALIZATION Globalization has been responsible for remarkable changes in the 20th century. In understanding it as a subject, one must examine what kind of changes are created and the underlying processes behind these changes. Furthermore, the pursuit of globalization operates on several assumptions that need to be evaluated. As a complex change, it permeates people's daily realities as well as the lives of communities and countries. A deeper analysis is needed to assess whether the process and impacts of globalization are consistent with development that is sustainable, just, and equitable for the people and the planet.

Economic

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Globalization Globalization is mainly conceptualized as intensified transference or exchange of things across existing boundaries (Bartelson, 2000). However, globalization is primarily an economic process, the drive toward integration of economies throughout the world. This is achieved through trading and financial flows across countries' borders (IMF, 2000). Globalization and its accompanying processes point to a paradigm about development (Pongsapich, 2003). Globalization is built on the belief that development can be achieved through rapid economic growth, made possible because of economic integration (Cavanagh, Mander & IFG, 2004). As a growth-oriented model of development, it looks into GDP as indicator of success. Economic globalization is a complex global process of expanding the market economic system all throughout the world. The market economy, the economic system that gives freedom to entrepreneurs to control productive process to pursue profit, is just one kind of economic system designed by human societies. It is a corporate -driven process of enhanced transnational exchange of products, services, technologies, and capital, creating an increased interdependence of world economies (Shangquan, 2000).

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Flows in the Age of Globalization Important aspects of globalization include global trading, capital flows, and movement of people (IMF, 2000).

 Trading International trading, or the economic exchanges and deals between countries, is enabled by international fiscal payments where private banks and the central banks of particular nations play important roles (Encyclopedia Britannica, n.d.). Global trading concerns importation and exportation. The world saw an increase in world trade from 1971 to 1999, and the biggest increase was seen in the export of manufactured goods. On the other hand, export of primary commodities such as food and raw materials often produced by poor countries declined (IMF, 2000).

 Capital Movement There was an increase in the capital flows to poor countries during the 1990s (IMF, 2000). One manifestation of capital movement is foreign investment. Foreign investment can be categorized as commercial loans, official flows, or foreign direct investment. Commercial loans are money lent to foreign businesses or governments, while official flows refer to development aid or money granted by rich countries to developing nations. Foreign direct investment refers to buying or putting up a firm in a foreign country or contributing to the enhancement of an existing firm (Levin Institute, n.d.). Transnational corporations, businesses that operate in more than one country, primarily undertake foreign direct investment.

 Movement of People

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People can migrate to other countries in search of better employment opportunities. In the Philippines, the number of Overseas Filipino Workers during the period April to September 2018 was estimated at 2.3 million (Philippine Statistics Authority, April 2019).

Cultural Globalization and Political Globalization Increased interdependence of economies in the world also combines with globalization of culture and politics.

 Cultural Globalization "The current era of globalization, with its unprecedented acceleration and intensification in the global flows of capital, labor, and information, is having a homogenizing influence on local culture. While this phenomenon promotes the integration of societies and has provided millions of people with new opportunities, it may also bring with it a loss of uniqueness of local culture, which in turn can lead to loss of identity, exclusion and even conflict." —UNESCO (n. d)

Cultural globalization refers to the increasing "contact between people and their cultures —their ideas, their values, their ways of life" (Kumaravadivelu, 2008, p.33). This significant change is getting deeply entrenched in contemporary societies. It is also linked to globalization of lifestyles such as music, media, fashion, food, as well as globalization of knowledge, science, and technology.

 Political Globalization Political globalization is the enlargement of the international political system and its establishments, where inter -regional dealings, including trade, are managed (Modelski, Devezas and Thomson, 2007:59).

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Conventional politics usually happens within national political spheres. In political globalization on the other hand, political decision -making can transcend the boundaries of nations. When talking of managing economic and trading matters, security, environment, and other transnational issues, some institutions come into play such as the World Bank, International Monetary Fund, United Nations, among others.

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p la y e r s in g lo b a liz a tio n .

P o o r c o u n tr ie s w ill b e n e fit fr o m

B o r r o w in g o f p o o r c o u n tr ie s a r e c o u p le d w it h c o n d itio n s ( S A P s ) , w h ic h m a k e c o u n t r ie s c o m p r o m is e s p e n d in g f o r s o c ia l s e r v ic e s a n d w e lf a r e .

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P o o r c o u n tr ie s n e e d t o c a t c h u p w it h r ic h c o u n t r ie s b y im p le m e n tin g e c o n o m ic p o lic ie s t o w a r d e c o n o m ic in t e g r a t io n ,

It w ill b e d iffic u lt f o r p o o r c o u n tr ie s to c a tc h u p b e c a u s e th e y a r e c a u g h t in u n e q u a l exchanges and underdevelopment. U n d e r d e v e lo p m e n t c a n n o t b e u n d e r s to o d ju s t b y a n a ly z in g o n e c o u n t r y b u t b y e x a m in in g it w it h in th e h is to r ic a l a n d w o r ld w id e p o lit ic a l - e c o n o m ic s y s t e m ( V a le n z u e la , V a le n z u e la , 1 9 7 8 : 5 4 4 ) .

R e m o v a l o f ta r iffs , q u o ta c a n e a s e g lo b a l t r a d in g a n d w ill le a d t o e c o n o m ic in te g r a tio n ( t o w a r d p r o s p e r it y ) ,

R e d u c tio n o f ta r iffs in t h e P h ilip p in e s s in c e th e 1 9 8 0 s le d to u n fa ir c o m p e titio n o f lo c a l in d u s t r ie s w it h im p o r t s . I n d u s t r ie s d ir e ly a f fe c t e d b y ta r if f c u t s w e r e p a p e r p r o d u c ts , te x tile s , c e r a m ic s , r u b b e r p r o d u c ts , fu r n it u r e , w o o d , s h o e s , a n d le a t h e r g o o d s . O n e o f t h e in d u s tr y w o r s t h it w a s th e t e x tile in d u s tr y , d o w n t o le s s t h a n 1 0 f ir m s fr o m 2 0 0 fir m s in 1 9 7 0 s . R e d u c tio n o f t a r iff s le d t o th e d e a t h o f s e v e r a l d o m e s tic in d u s t r ie s ( B e llo , 2 0 0 9 ) . T h e lo s s o f th e s e lo c a l in d u s tr ie s a ls o r e s u lte d in m a s s iv e u n e m p lo y m e n t.

In s tit u tio n s a n d A c t o r s S h a p in g E c o n o m ic G lo b a liz a tio n

T h e p u r s u it o f f a s t - p a c e d in te m o v e m e n t o f p e o p le a n d k n o w le d g w it h m a n y s e c t o r s . G lo b a liz a t io n is h u m a n s , g u id e d b y s e v e r a l a s s u m p

r n a t io n a l e c o n o m ic t r a e is d r iv e n b y c e r t a in a n o t a ra n d o m p h e n o m tio n s a b o u t d e v e lo p m e

n s a c t io n s a s w e ll a s c t o r s , in e n g a g e m e n t e n o n . It is d e v is e d b y n t.

In t e r n a t io n a l b u s in e s s e s c a lle d t r a n s n a tio n a l c o r p o r a tio n s a r e im p o r t a n t

Institutions and Actors Shaping Economic Globalization The pursuit of fast -paced international economic transactions as well as movement of people and knowledge is driven by certain actors, in engagement with many sectors. Globalization is not a random phenomenon. It is devised by humans, guided by several assumptions about development. International businesses called transnational corporations are important players in globalization.

The Impacts of Globalization Economic deregulation is met with disapproval from different groups such as labor organizations, environmental groups, indigenous people, and even consumer groups. Lessening Page | 7

government's control over businesses led to outcomes such as neglect of environment, low wages and unstable employment, under servicing of consumers, and privatizing common resources.

 World Bank, IMF, and Debts Supporters of globalization carry several assumptions about it. Assumptions need to be scrutinized against real -life conditions. Proponents and guardians of globalization, such as the IMF, acknowledge poverty and inequality existing alongside globalized economies. However, globalization trend must not be halted, but must be continued by embracing policy changes. International production is conceived to increase jobs created across countries. Poor countries need to catch up. But countries in the world are divided according to its role and power in the global system. A country's poverty or development conditions are heavily influenced byits position in the world system.

 Contrasting Evidence of Positive Effects 

Increase income



More employment



Less poverty

 Globalization Have Losers and Gainers Increased trading may result to wider choices of consumer goods in the market. However, international trading produces varying results. Restructuring of economy through fast -paced flux of capital across different countries has impacts on places and social relations. These restructuring in places and social relations can have disintegrating effects for the development of communities (Katz, 2004). These kinds of global interactions produce uneven development.

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Unequal playing field for local producers and foreign producers from developed countries lead to losses for local producers.

The Effects of Global Trading on the Philippine Local Economy

Because of enhanced global trading, cheap imported vegetables flood the local market. Local consumers and businesses find it cheaper to buy imported agricultural products than locally produced goods. Local producers are unable to compete with the modern and highly -supported vegetable production from developed countries such as China, Australia, New Zealand, and the Netherlands. Advertised to the world as a remedy to all problems, globalization comes short. It has not raised the poor from poverty. Instead, it has widened the gap between developed and developing countries and between the wealthy and the disenfranchised. It has hindered democracy and social justice; it has damaged small communities and displaced farmers from their lands. Additionally, it has sped up the largest environmental degradation known to mankind. The only groups of people who truly benefited from globalization are the top officials of the world's largest corporations and the bureaucracies that sustain them (Cavanagh & Mander, 2004).  Alternatives to Economic Globalization An important impact attributed to globalization is the nearly six -fold increase in the income measured in per capita GDP for the richest 25 percent of the world population in the 20 th century. However, the poor populations did not experience this exponential economic growth. Income inequality worsened (IMF, 2000).

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TASK 1: Discuss the following: 1. Describe young people’s lifestyle – food, media, fashion, art, movies, and music. 2. Find your groups’ similarities in lifestyle. Which among these are influenced by foreign culture? 3. What or who influenced you to adopt those kinds of lifestyle?

TASK 2: Is globalization, characterized by a rapid exchange of goods, people, and capital across different countries, a random or a deliberate phenomenon? Who are the important actors shaping globalization? Share your thoughts in class.

LESSON III: THE GLOBAL ECONOMY Economic Globalization Most of the definitions of globalization centers on its economic dimensions. Economic globalization is driven by the "growing scale of cross -border trade of commodities and services" (Shangquan, 2000:1). Critical to economic globalization is global economic integration. Economic integration means that separate production operations are functionally related to each other and form a unified product or service. This requires efficient management of economic operations from different areas in the world. In current times, this is made possible by Page | 10

innovations in transport logistics, modernization of communication and transport systems, policies supporting integration of different process along the globe, among others. The various definitions of the economic globalization focus on increasing economic trade interrelations among countries (Steger, 2010; Al-Rodhan, et al., 2006; Shangquan, 2000). This is governed by neoliberal principles with the role of the market as a central driver of economic activities, with less government interventions (Martin, Schumann & Camiller, 1997). Economic globalization entails global industrial restructuring and readjustments where developed countries play a dominant role (Shangquan, 2000:3). However, the process of global economic integration is not a modern phenomenon. The voyages of earlier explorers including the formation of empire (i.e., Roman empire) critical in intercontinental trade and were also a precursor of modern economic globalization. Chinese, and even earlier, trades in Asia also serve as first -forms of economic expansion and later integration. Gills and Thompson (2006: 1) argues that the globalization processes "have been ongoing ever since Homo sapiens began migrating from the African continent ultimately to populate the rest of the world." Explorations in earlier times tend to focus on a relatively smaller target of commodities of high value like spices, tea, gold, or other precious metals. The difference now is the extent and reach of economic globalization, restructuring of economic systems, and the dominant influence of the private sector in the global economy (Shangquan, 2000).

Who are the Actors that Facilitate Economic Globalization? Globalization has opened the doors for other non -state authority and actors in driving economic globalization (Madsen & Christensen, 2016; Sassen, 2006). Non -state actors include international economic organizations, private sector led by multinational companies, central banks, and civil society. Let us discuss how each actor contributes to economic globalization. First are international economic organizations such as the International Monetary Fund (IMF), World Bank, and Organization for Economic Cooperation and Development (OECD). These organizations are critical in developing and pushing for neoliberal policies among Page | 11

different countries. They also help facilitate trade and development discussions among various states. Another example are regional organizations such as the Association of Southeast Asian Nations (ASEAN) and North American Free Trade Agreement (NAFTA). These organizations promote regional agreements and standards that facilitate better trade and exchange of knowledge, human resources, and regional cooperation. The Group of 8 (G8) and G20 are advisory organizations that discuss current economic and political problems and transfer the ideas from the groups' forum to national legislative regulations (Shangquan, 2000: 280). Second are multinational companies (MNCs), which are considered to be the main carriers of economic globalization (Shangquan, 2000:2). In 1996, there were 44,000 MNCs in the world with 280,000 overseas subsidiaries and branch offices (ibid). In 2006, there were 88,000 MNCs identified (UNCTAD, 2007). In earlier times, trade companies such as the Dutch and British East India, Muscovy Company, Royal African Company, and Hudson Bay Company were precursors of the modern day MNCs (Hirst & Thompson, 2002). MNCs started to emerge during World War II when US industrial production increased by 44 percent (Strange, 1996). Other prime movers of economic globalization are central banks. They are considered one of the most powerful institutions in the world economy since they can lead economic development, and some authors contend that central bank governors are more influential in their own national economy than some politicians (Shangquan, 2000: 280). Lastly is the global civil society as a major driver of economic globalization. The global civil society has made its mark in global development arena particularly during the UN Conference on Environment and Development in 1992 (Keane, 2003). Global civil society seen as either composed of individuals or groups of individuals disadvantaged by the effects of the globalization of the world economy, they protest and seek alternatives while on the other hand, global social movement constituting a basis for an alternative to a new world order (Gherghel, n.d.). Part of the global civil society are Transnational Advocacy Networks (TAN), networks which are "organized to promote causes, principled ideas, and norms, and they often involve individuals advocating policy changes that cannot be easily linked to a rationalist understanding of their 'interests' (Keck & Sikking, 1998:89).

 International Monetary Fund (IMF) Page | 12

The IMF is an international organization of 183 member countries to promote international

cooperation and exchange stability; to foster economic growth and high

employment; and to provide short-term financial assistance to countries to help ease balance of payments adjustments (IMF, 2019).

 International Financial institutions (IFIs) The generic name given to all financial institutions operating on an international level, ranging from development banks, such as the World Bank and the European Bank for Reconstruction and Development (EDB), and monetary authorities, such as the International Monetary Fund. These organizations give loans to governments for large-scale projects, restructuring and balance of payments on condition that they make specific changes that IFIs believe will boost economic growth (Shangquan, 2000).

 Transnational Corporations “Enterprise that engages in activities which add value (manufacturing, extraction, services, marketing, etc.) in more than one country (UCTC, 1991).”

 G8 and G20 Group of nations that serve as an advisory organization that discuss current economic and political problems and transfer the ideas from the forum in national legislative regulations (Weiss, 2018)

 Global Civil Society

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Either composed of individuals or groups of individuals disadvantaged by the effects of the globalization of the world economy, they protest and seek alternatives while on the other hand, global social movement constituting a basis for an alternative to a new world order (Gherghel, n.d.; Keane, 2003)

What is the Modern World System? The seminal work of Immanuel Wallerstein on the world -system theory (1974) is a critical reference in the theorization of globalization. In this work, he expounded on the theory on how the core came to dominate the periphery areas particularly in the economic world system as a basis of his analysis. This transgresses from the traditional analysis of colonization with nation-state as starting point. For Wallerstein, a world system constitutes a social system composed of boundaries, structures, member groups, rules of legitimation, and coherence (Wallerstein, 2011). World economy, according to Wallerstein (2011), is divided into core states and peripheral areas including semi -peripherals. According to the world -system theory, the peripherals are mostly where production or raw materials are sourced out, while the semi -peripherals processed or distributed the products to the core areas—sites of major demands for goods and services (Wallerstein, 2011). There are significant and meaningful movements of resources, products, people in different economies facilitated by modern transport and communication (Chase -Dunn, 2018).

TASK 1: Create a map showing a city center. Select a city where your school is located or a particular city of your choice. Illustrate the key city features like roads, settlements, services, infrastructure, etc. Then, indicate the surrounding areas of the city in the north, east, west, and south. Finally, draw lines showing: Page | 14

1. source of food (where does the city source its food?); 2. source of services (where do people secure health services? Where do children go to school? Where do people source their water and electric utilities?); and 3. employment (where do people work? What are the types of work? How long is their commute?

Global Divides

GLOBAL DIVIDE - global disparities, often due to stratification due to differing economic affluence but can also be in other aspects of globalization

Across history, there have been many manifestations of stratification in different societies. Social stratification is essentially the phenomenon of segregating, grouping, and ranking people based on differences in class, race, economic status, and other categories. In earlier civilizations, we hear of nobilities and commoners, the lord and the peasant, and many other social statuses and positions that embody hierarchy of power in a social system. These hierarchies, especially when pushed toward the extremes, have often led to inequalities, wherein the group which possesses control over power and resources are given much privilege at the expense of those who are deprived. This is problematic because, in principle, humans, with our intrinsic dignity and consequential rights to live and prosper, should also have equitable access to resources—both material and non -material. Unfortunately, in the contemporary world, these hierarchies remain to exist, albeit, in different forms.

TASK 2: When you hear the word MODERNITY, what image of the world do you see? Illustrate your vision and share your thoughts.

Perspectives in Global Stratification Page | 15

There are various theories which attempt to explain the dynamics and impacts of stratification among people in the world, especially in the context of their power to tap on resources and maximize these toward development and toward having a better quality of life. One of the theories attempting to explain pathways of development is modernization theory. In a nutshell, this theory suggests that all societies undergo a similar process of evolution from agricultural, industrial, and urbanized and modern—that is motivated and catalyzed by internal factors. It hints that more than external influences, internal processes within states are responsible for social change. For instance, it opines that a well -functioning bureaucracy that will ensure welfare among citizens is a necessary infrastructure to achieve development. It also assumes that when these internal sources of development—e.g., education, market -driven economy, and political infrastructures—are present, any society will progress (Ynalvez & Shrum, 2015) and poverty will be resolved. However, it can be observed even today that there are countries very rich in natural resources, but their people remain to experience extreme poverty. Amidst the affordances in scientific and technological advancements that are circulated around the globe, we can see that some countries remain disadvantaged in terms of digital technology transfer that they are still left behind economically.

Global Divide In the contemporary world, the buzz word used to pertain to these stratifications among nations is the term global divide. But, in the modern world, how did we reach this point?  First, Second, and Third Worlds After World War II, the United States and the Soviet Union, which were wartime allies, entered a Cold War—a state of political tension and rivalry, from the mid -1940s to early 1990s. Several contemporary works have reviewed this event in the light of post-war events. These include the writings of Gaddis (2005), Zubok (2007), Westad (2017), among others. In a nutshell, the Cold War came forth due to political doubts among wartime allies. For instance, the United States has always been wary of the Soviet Union's communist leanings, and Page | 16

it has stated its position to contain the latter's expansion. The Cold War yielded two chief political factions: the Western Bloc, comprised by the industrial/capitalist US and the North Atlantic Alliance (NATO), which include United Kingdom, Canada, France, Italy among others; and the Eastern Bloc (Albania, Poland, Bulgaria, Romania, Czechoslovakia, Hungary, and Afghanistan), led by the communist/socialist Russian Soviet Federative Socialist Republic. The Western Bloc has been referred to as First World countries, while the Eastern Bloc has been referred to as Second World countries. In 1952, Alfred Sauvy, in his article Trois Mondes, Une Planete (Three Worlds, One Planet) at the L'Observateur, said: "Car enfince Tiers Monde ignore, exploite, meprise comme le Tiers Etat, veut, lui aussi, etre quelque chose"(in the end, The Third World, ignored, exploited, and misunderstood just like the Third Estates desires to be something). In this article, Sauvy (1952) likened the Third World to the Third Estates—the French commoners—whose suffering and upheaval led to the French revolution. In 1974, Teng Hsiao-Ping, vice -premier of the People's Republic of China 1977, spoke to the United Nations General Assembly. In this talk, Teng (1974) profoundly noted the distinction among Three Worlds: "The United States and the Soviet Union make up the First World. The developing countries in Asia, Africa, Latin America and other regions make up the Third World. The developed countries between the two make up the Second World."

The Brandt Report and Its Criticism In the 1980s, a comprehensive analysis of global economy was reported by the Independent Commission on International Development Issues. The commission was led by Willy Brandt, West German chancellor. This analysis was encapsulated in what is popularly known as the Brandt Report. Briefly, this report categorized countries in the northern hemisphere as comparatively smaller in population and more economically affluent than countries in the southern hemisphere Page | 17

—a categorization that gave birth to the Brandt line—an imaginary line that divides the world into the developed north and the developing south. The bottom line of this report was the contention on mutuality—that for both the northern and southern countries to thrive, global economy must be restructured, for instance by transferring resources to southern economies, thus ending poverty. In the early 2000s, another report, The Brandt Equation, was prepared by James Bernard Quilligan, describing the new global economy as facing “financial contagion,” and requiring “major international relief program” Daniel Sneider (1980), in a special report in EIR News Service Inc., summarized the contentions of the Brandt Report: • "one world economic system" that governs even countries' taxation of certain items • "zero growth and Malthusianism", which suggests that controlling overpopulation will cure underdevelopment • "basic needs and appropriate technology", focusing on labor than technology • "promotion of solar energy" • "strengthen the IMF/World Bank system"

The Brandt Report had critiques, which was a healthy process for a report that tackled such a monumental issue as global economic affairs. William D. Graf, a political and foreign affairs expert at that time, wrote a comprehensive critique in The Socialist Register (1981). First, he pointed out that while the Brandt commission is seemingly represented by northern and southern countries, it is not represented according to "classes" within these countries, because most of the representatives are coming from political elites. Graf also noted that the Brandt Report's recommendations are not totally new as there are already proposals in the past with similar recommendations. He likewise opined that the Brandt Report "is compelled by its raison d'être to exclude historical dimensions from its platform" (p.29), which means that it did not put emphasis on the antecedents on why in the first place the North and the South arrived to have such kind of dynamics. Page | 18

For Graf (1980, p. 28), a proposal for a global economic reform should: (1) look at the “historical evolution of the world order”; (2) examine “global relations” including “class relations”; (3) “define goals and objectives”; and (4) “specify strategy and tactic,” things that are seemingly absent or not so clearly defined in the Brandt Report.

TASK 3: Write an essay using the following guide questions: 1. What are the affordances and pitfalls of viewing the world as divided into Global North and Global South? 2. Is the global divide something that you feel is affecting you daily, in your home, or in your community? Why and how? 3. If you were our country’s leader, what programs or policies will you propose knowing how the world economic system goes? Justify your answer.

LESSON IV: MARKET INTEGRATION Market Integration is a process by which economies are becoming more interdependent and interconnected in terms of commodity flows including externalities and spillover of impacts (Genschel and Jacktenfuchs, 2017).

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International Financial institutions or iris we institutions that provide support through loans or grants and technical advices to promote a country's economic and social development (Bhargava. 2006. 393). Corporations are private institutions that product or manufacture goods, products, and services for a more expanded market usually at the reach of regions or the world. Transnational corporations (TNCs) have a more complex setting where each foreign subsidiary is given some freedom to develop its own product lines and marketing compared to multinational corporations (MN(s), more on exporting their products and services (kollei. 2007).

Look at the common products sold in your local grocery stores. Where are they manufactured or made? Who marketed or distributed the product? Where do the companies source their raw materials? Most of the products sold in the market are either sourced from one country, or imported and manufactured in another, and distributed worldwide. Check out the proliferation of call centers and business processing outsourcing (BPO) companies in the Philippines. Most of these companies cater to international consumers based in US, Australia, New Zealand, and Europe. According to Philippine Statistics Authority (2018), the Philippines has 851 BPO companies, more than half of which are call centers (429). The Philippines is the call center capital of the world, accounting to 18 percent of the global market share, US$24.4 B and 7.5 percent revenue increase in the first quarter of 2018 (Sea Limited, n.d.). These developments are due to increasing market integration, which has two kinds— horizontal and vertical integration (Grossman & Hart, 1986). Horizontal integration happens when a firm gains control of other firms performing similar marketing functions at the same level in the marketing sequence. For instance, Disney bought Pixar, which is also in the entertainment media, for $7.4 billion (La Monica, 2006). In the Philippines, an example of a local market integration is when Landbank of the Philippines acquired the Philippine Postal Savings Bank, for the latter to focus on overseas Filipino worker clients (ABS-CBN News, 2017). Vertical integration happens when one company owns the operations and products from one stage to the other along the supply chain. For example, and iron mining company operates Page | 20

the steel manufacturing firm. Another instance is when McDonald's owns the land where its supplies are located to avoid cost of lease.

The International Financial Institutions and their Role in the Global Economy International Financial Institutions or IFls are institutions that provide support through loans or grants and technical advices to promote a country's economic and social development (Bhargava, 2006: 393). Global and regional IFIs include International Monetary Fund (IMF) and multilateral development banks (MDBs) like the World Bank Group, the African Development Bank (ADB), the inter -American Development Bank, and the European Bank for Reconstruction and Development (Bhargava, 2006). IFIs have a significant role in global economic development. Compared to private financing institutions, IFIs provide financial and technical services and products not for profit but for overall economic and social development (Buiter & Lankes, 2014). IFIs provide loans, technical assistance, and policy -based lending: macroeconomic stability and providing the necessary infrastructure and systems, sectoral reforms, and creation of safety nets through policy -based lending (Bhavarga, 2006). IFIs also work with the private sector for investment and policy reforms to promote private sector expansion (International Finance Corporation, 2011). IFIs undeniably have been a critical actor in the contemporary world. Their contributions to social and economic development and progress in the modern time are recognized (International Finance Corporation, 2011). However, there are four key issues with IFIs, which include legitimacy, effectiveness, support conditionality and financial capacity, and sustainability (Bhargava, 2006: 404). First, Bhargava argues that some critics question IFIs' legitimacy given that majority of its shareholders and policy making powers lie with powerful, rich nations. Leaders of these IFIs, also by default, have come from developed countries. Such heads of the IMF have always been a European, an American for World Bank, and a European for EDRD, thus a clamor for IFIs to Page | 21

select leaders based on merits and not on national origin (Bhargava, 2006: 404). Leadership roles in these powerful IFIs are critical in steering the institution's policy and programs, including its reforms. Second, different sectors have questioned the effectiveness of the IFIs' development assistance programs and policy advices. Some of the IFIs' investments have been controversial such as support to large-scale land use conversion (dam construction), which has displaced numerous indigenous peoples in some areas like in the Philippines' case (Rivers Watch East and Southeast Asia (RWESA), 2003). Thus, social safeguards to ensure human rights, community, and environment well-being need to be instituted (Bhargava, 2006). There are initiatives to address these concerns. Examples of these are the adoption of the Paris Declaration on Aid Effectiveness, which focuses on the harmonization, alignment, and managing aid for results including monitoring systems and indicators (OECD, 2005). In 2006, MDBs agreed on a Common Performance Assessment System to produce a consolidated data source on MDB's contribution to development impacts (Bhagarva, 2006: 404) Third, the major products of IFIs are loans to provide capital for development initiatives of countries. However, it does not come for free and comes with certain conditions that the borrowing country has to meet. This conditionality was set in place as a form of safeguard to ensure that loans are spent efficiently for its intended use. Nevertheless, some conditions on privatization, trade liberalization, elimination of subsidy, and limits to public investments are mostly contested and argued against by some sectors (Dreher, 2009). Critics have argued that these conditionalities impose Western free-market policies on developing countries which could be ill-timed, inappropriate, or undesired receiving countries (Bhagarva, 2006: 405). Lastly, the financial capacity and sustainability of IFIs is another concern. The IFIs' income base has reduced compared to what it was before, although the demand from IFIs are increasing particularly in contributing toward regional and global development initiatives. Some middle-income countries also limit their loans with IFIs due to a higher transactional cost as well as the conditionality commonly attached to these financial services. In addition, some concessional financing has been transformed into grants from loans which may be more attractive to the recipient country but could take a toll to the financial sustainability of IFIs. In

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2002, developed countries pledged to provide further financial support to IFIs during the Monterrey Conference on Financing for Development (World Economic Forum, 2006).

A Summarized History of the Global Economy The modern capitalist world economy flourished between the 16th to 18 th centuries (Frieden, 2012). The start of the modern global trade leading to 1914 was considered the first period of globalization (Bhagarva, 2006). It is when trade, capital, and immigration flows grew tremendously and in large volume, but the global institutional architecture to manage these were quite limited (ibid.). International convention and treaties also served as drivers for these largescale global movements such as the International Telegraph Union in 1865, Universal Postal Union in 1874, International Association of Railway Congresses (1884), and International Sanitary Convention in 1892 (Freiden, 2012). Wallerstein (2006:2) argues that this was driven by the paradigm of capital accumulation that resulted to technological advances and expansion of places, knowledge, and discoveries. From Second World War to the late 1990s, the modern international economic enabling architecture was established (Freiden, 2012). In addition, we see the expansion of MNCs across the globe, supported by enabling policies and improved communications and transport (Bhagarva, 2006). Political changes like the fall of the Berlin Wall, establishment of regional networks, and trade agreements resulted to trade liberalization and free flow of capital in the world (Neubauer, 2014). However, the euphoria on globalization and global free trade was put into question with the 1994/95 Mexico crisis, when Mexico’s multi-billion loan from IMF created a negative spillover effect on US, Europe, Portugal, and Spain (Neubauer, 2014). This was offset by the exponential rise of the Asian economy and the advancement in digitalization and technology that ushered in a new From the late 1900s until very recently, Bhavarga (2006) contends and characterizes the third wave of market integration. We see the advent of the modern internet, the WTO establishment, and formal entry of China into the trading system through its accession to international financial institutions (Frieden, 2012). Despite the world economy boom—where the Page | 23

world enjoyed increased growth—the global debt crisis, political and civil unrests even in developed (countries like the US resulted to market crash and started the war on terror that affected global diplomacy and economy (Buiter, 2011). As the world enters what the World Economic Forum argues as the "Fourth Industrial Revolution," Mueller (2010) predicted that there will be slower economic growth, political destabilization, and diffusion of power. Some of his recommendations to remedy these include reforms in work, economic spending, improving solidarity, openness, and cooperation among countries.

The Global Corporations Aside from IFIs and governments, one of the major players in globalization and the modern capitalist market is the global corporations. The number of global corporations from emerging market economies listed in the Fortune Global 500 rose from 47 firms in 2005 to 95 in 2010 (Neubauer, 2014). The modern global corporations are commonly referred to as multinational corporations and transnational corporations. More often, they are used interchangeably, Man (2007) offers categorizations to distinguish an MNC from a TNC. He argues that both types of corporations are importers and exporters, and have investments in many countries. Nevertheless, he further contends that MNCs still provide central decisions compared to TNCs that provide individual foreign market investment to have their own operations and systems (Iwan, 2007). With the growth of global corporations from emerging economies, the capital flows have now started to change from the dominant North -North/ North -South to South -South and South -North capital flows, most of the South - North coming from China and India (Rajan, 2010). For instance, China's Lenovo Corporation bought IBM's PC business (NBC News, 2005).

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TASK 1: Discuss the similarities and differences of MNCs and TNCs.

TASK 2: It is important to reflect on the benefits, limits, and challenges of market integration and its major institutions or actors like the IFIs and global corporations. 1. What and who benefits from market integration? How could emerging economies and developing countries like the Philippines benefit from market integration, including increasing our participation in this global phenomenon? 2. What social and environmental safeguards should be developed and implemented in order to ensure that benefits of global market integration are distributed with greater equity and respect for local culture and environment?

LESSON V: THE GLOBAL INTERSTATE SYSTEM Page | 25

In a globalized society, we observe a greater flow of capitals, goods, services, and people. This is supported by developments and modernization of transport, communication, and financial services in the world. However, with this, the traditional state system is now becoming limited to address globalizing issues and patterns. Internationalist thinkers argue that the key motivating principles of traditional state systems of power and sovereignty runs counter on the need for greater political and economic cooperation among different states and people (Daly, 1999). Thus, in this chapter, we will further unpack how globalization affects national governments and countries. We will also identify the global institutions that govern international relations. Here, we contend that these institutions include non -state organizations and private sector. Lastly, we will differentiate internationalism from globalism. Definitions of concepts are important in order for us to critically understand a certain phenomenon and as a basis of our opinion and review of such cases. Let us first define an interstate system. Chase -Dunn defines an interstate system as a —"system of unequally powerful and competing states in which no single state is capable of imposing control on all others. These states are in interaction with one another in a set of shifting alliance and wars and changes in relative power of states upsets any temporary set of alliances, leading to a restructuring of the balance of power" (Chase -Dunn, 1981:20). Thus, an interstate system is the form of governance for a globalization (Chase -Dunn, 1981).

Effects of Globalization on Governments As the world becomes more interconnected through politics, trade, communications, the role of nation -states and government are also shifting. Thus, national and local policies are not only based on local context but also international and global realities. One example of a global treaty is the Montreal Protocol on Substances that Deplete the Ozone Layer, which aims to phase out the production of numerous substances responsible for ozone depletion, signed in August 26, 1987 with 46 country signatories (US EPA, 2017). A definitive evidence of the Montreal Protocol's success was discussed by NASA and projected that ozone levels will return to 1980

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levels by 2032 (Watts, 2018). This is an example of how international agreements and efforts could fight borderless issues specifically by domesticating international norms. However, there is another side of globalization that negatively governments and local communities. A local government would like to attract major global investors in their community by setting up for instance manufacturing firm in the area. This could create jobs for the local people and generate income for local businesses. However, it entails converting tracks of agricultural land into an industrial zone. Farmers will be displaced and agricultural production of the area will be affected. The global corporation is also demanding lower taxes and lower income wage in order to finalize their investment in the area. They argue that they will create more jobs and more income from the local community and government. How could local governments balance improve economic performance and participation in the global economic scene without sacrificing local social and environmental well-being? Here, we see how local governments are heavily influenced by powerful corporate entities.

Institutions that Govern Globalization

With the growing globalization, the governance of global relations goes beyond nationstate governments. Nation-state governments' scale and are limited in addressing regional and global issues like climate change, cybercrime, and global financial crises. Works by authors like Dryzek (2012) and Castells (2008) show the growing emphasis on the role of non -state actors in global governance. These non -state actors include NG0s, advocacy networks, voluntary associations, and interest groups (Castells, 2008). Their congenial and more approachable strategies appeal the community and even other state actors and has a potential to organize across areas (Dryzek, 2012). The shift of authority to actors above and below the state is termed as "glocalization" or "internal globalization" (Roudomentof, 2005: 113). As the role of the nation-state and governments shifted, participation of these new actors has opened up (Boli & Thomas, 1999). One of the most renowned modern examples of the active role of non -state actors in global movements is in the 1992 UN Conference on Environment and Development. The world saw the Page | 27

most active and broadest role of non -state actors in pushing for more just and sustainable development (Bouman-Dentener & Devos, 2015). There are several institutions that govern international relations and affairs. First and foremost is the United Nations. With 192 member states, it is seen as the facilitator of global governance (Meyer, 2011). Another is regional commissions, which are group of officials from different countries that instruct and debate, and are in charge of making certain laws promulgate certain rights for economic and social development (CEPAL et al., 2015). Examples of these are the Economic Commission for Africa ECA), Commission for Europe (ECE), Economic Commission for Latin American and the Caribbean (ESCLAC), Economic and Social Commission for Asia and the Pacific (ESCAP), and Economic and Social Commission for Western Asia (ESCWA) (ibid). The World Bank (WB) is an international financial institution that provides loans to countries of the world for capital projects, established during the Bretton Woods Conference in 1994 and include other members like the International Bank for Reconstruction and Development (IRDB), International Development Association (IDA), International Finance Corporation (IFC), and Multilateral Investment Guarantee Agency (MIGA) (The World Bank, n.d.). These institutions provide loans to middle income countries and even private sectors in developing countries to create markets and improve local economies.

Globalism vs. Internationalism These two terms are commonly used interchangeably and pertain to the increasing interconnectivity of countries and people of the world through communications, transport, and technology (Roudometof, 2005). However, there are differences between internationalism and globalism. Internationalism is defined as political, economic, and cultural cooperation between nations, while globalism is an ideology based on the belief that flow of people, goods, and information should flow freely across national borders (Roudometof, 2005). Sargent (2008) argues that internationalism emphasizes diversity and celebrates multiculturalism, while globalism focuses more on the economic aspect of the exchange among countries and society.

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TASK 1: Here are questions that you could reflect on to further understand the concepts discussed: 1. What does domesticating an international norm means? 2. What is an example of globalization initiatives affecting local government? Explain its benefits and challenges. 3. Name an international organization and identify its role in global governance.

Global Governance Global governance is the capacity within the international system, at any given moment, to provide government -like services and public goods in the absence of a world government. It is the combination of informal and formal ideas, values, rules, norms, procedures, practices, policies, and organizations that help all actors—states, IG0s, civil society and NG0s, TNCs, and individuals— identify, understand, and address transboundary problems. At its simplest, global governance is a set of questions that enable us to work out how the world is, was, and could be governed, and how changes in grand and not -so -grand patterns of governance occurred, are occurring, and ought to occur (Weiss, 2013). Today, a gross disconnect is apparent between the nature of a growing number of contested global problems (i.e., climate change, the proliferation of weapons of mass destruction, terrorism, mass atrocities, financial volatilities, cyber threats, transnational crime, and pandemics) and the political structures for international problem -solving and decision -making. This is because of the traditional and age-old political structures which have been in existence for centuries.

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The Uncertainty of the Sovereign Territorial State or Nation-state Since the end of the Cold War, the world is heading toward a less centralized form of governance. As the United States is facing serious setbacks in the wars in Iraq and Afghanistan, many emerging powers such as China, Russia, and Brazil have formed regional alliances to create a multipolar and anti-hegemonic order. This development is being referred to as the beginning of “the post-American world,” in which the United States retreats and the rest of the world advances in economic power and political influence (Zakaria, 2008). This is in stark contrast to the kind of political entity which determined our lives: the sovereign territorial state or "nation-state." In fact, most Western countries have lived under this kind of state since the late 18th century or possibly earlier. This kind of state has become the universal framework of social development. However, after centuries of serving as an example to most, if not all sovereign countries, this kind of state is entering a phase of uncertainty. As a review, the notion of “nation-state” has the following elements: a. Continuous and broken territory (preferred) b. Sovereign territory c. The state has the monopoly both of law and of the powers of coercion. d. The national state rules its citizens or subjects directly and not through intermediate authorities. e. Direct government and administration of inhabitants by the central authorities of the "nation state" f. The state is considered to represent the people and the people serves as a source of sovereignty or at least give the state legitimacy. g. The citizenry was or ought to form a homogenous population (Hobsbawm, 1996).

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However, the rigidity interposed by this age-old kind of setup has been disregarded several times in worldwide events: disintegration of the Soviet Union, rise of transnational entities within states, global problems requiring global action. Nowadays, the state's powers and functions have the withdrawal of its inhabitants from citizenship. These supranational forces have weakened the state in three ways: 1. The creation of a supranational economy wherein the transactions are largely uncontrolled by states, resulting to the restriction of states to direct national economies 2. Rise of regional or global institutions, such as European Union, ASEAN, UN, to which individual countries defer either because they are too small to engage in effective competition international competition or because their economies are so weak 3. Territorial borders had been made largely irrelevant by technological revolution in transport and communications.

The Rise of Non -State Actors A huge rise of non -state actors resulted from the occurrence above- mentioned. These international organizations in the public and private sectors are set with higher objectives and goals to participate in global governance and improving lives. This rise also created a new landscape and new architectures of global governance wherein multi -sector partnerships are present, such as transnational businesses. Further, the loose structures of these organizations allow more efficient courses of action than the bureaucracies of nations or states can attain. The growth of non -state actors has meant more diversity in potential players and partners. The proliferation of actors that are legitimately representing stakeholders and contributing concretely to contemporary global problem -solving means that we have come a long way from the state -centric model of traditional international relations. The proliferation of non -state actors has ushered in an age of global partnerships between private and Public bodies on specific issues (Weiss, 2013).

The United Nations Page | 31

One important example of a non -state actor, an international government organization (IGO) playing a vital role in the world's affairs, is the United Nations (UN). The United Nations is an IGO designed to make the enforcement of international law, security, human rights, economic development, and social progress easier for countries around the world.

The UN today is divided into five branches: 1. The UN General Assembly - is the main decision -making and representative assembly and is responsible for upholding the principles of the UN through its policies and recommendations. It is composed of all member states and headed by a president elected by the member states. 2. The UN Security Council - can authorize the deployment of UN member states' militaries, can mandate a cease-fire during conflicts, and can enforce penalties on countries if they do not comply with given mandates. It is composed of five permanent members and 10 rotating members. 3. The International Court of Justice - can settle, according to international law, legal disputes between States and give opinions, mostly advisory, on legal questions brought to it by UN organs and agencies. 4. The Economic and Social Council - assists the UN General Assembly in promoting economic and social development, as well as cooperation of member states. 5. The Secretariat – headed by the Secretary -General, provides studies, information, and other dates when needed by other UN branches for their meetings.

The G20+ and a New Framework for Global Cooperation As reiterated above, in a globally integrated world economy, the need for global collective action and stability is almost universally recognized. The proposed new framework for global economic cooperation, with a competent and accountable coordination body (the G20+) and connected to a representative global system (the UN), aims to preserve global economic stability and to ensure that the global economy continues to grow inclusively to benefit all nations and people equitably. The core functions, structure, membership, and ties to the UN of Page | 32

the G20+ within the wider new framework for global economic cooperation includes the following integral functions: 1. Facilitate multi-stakeholder, cross-disciplinary dialogue and policy solutions 2. Promote inclusive economic reform 3. Enable global economic crisis response

TASK 2: Perform the following: 1. Gather news articles from the Internet tackling global crises. 2. Examine how these global crises had been addressed by the UN, G20+, and other international bodies. 3. Explain how the Philippines participated in addressing this global predicament. 4. Report in class.

TASK 3: 1. Identify one essential learning that you obtained from this lesson. 2. Reflect on how this learning will enable you to help the following: Your country Your community Your school Your family

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LESSON VI: LEGAL BASIS OF INTERNATIONAL RELATIONS International Law – laws that relations of states and international persons National law - laws that regulate individuals among themselves or within the state Treaty – an international agreement conducted between states, in written form and governed by international law, whether embodied in a single instrument or in two or more related instruments, whatever its particular designation (Art. 2 (1) (a), Vienna Convention on Law of Treaties)

International Law and National Law International law regulates relations of states and international persons. It is derived from treaties, international customs, and general principles of law. If conflict arises, the same is resolved through state to state transactions. On the other hand, national law regulates relations of individuals among themselves or within the state. It consists of statutory enactments, executive orders, and judicial pronouncements. If there is conflict, the same is redressed through local, administrative, and judicial processes.

 How does international law become a part of the law of the state? There are two doctrines of adoption: doctrine of incorporation and doctrine of transformation. The doctrine of incorporation is mainly based under Section 2, Art. Of the 1987 Constitution which states that: Page | 34

"xxx the Philippines adopts the generally accepted principles of International Law as part of the law of the land." Thus, the generally accepted principles of international law are considered as part of a state's national laws by reason of its membership in the family of nations. The doctrine of transformation requires the enactment by the legislative body of such international law principles as are sought to be part of municipal law (Coquia & DefensorSantiago, 2005). This doctrine must be related to the power of the President to enter into treaties wherein rule and principles embodied in said treaties would be transformed into Philippine law and would become valid and effective upon the concurrence of two-thirds (2/3) of all the members of the Senate (Sec. 21, Art. VII, 1987 Constitution).

International Conventions and International Customs International conventions are international agreements concluded between States, in written form, and governed by International Law, embodied either in a single instrument or in two or more related instruments and whatever its particular designation (Art. 2 (1) (a), Vienna Convention on Law of Treaties). Examples of bilateral entered into by the Philippines are the Mutual Defense Treaty with USA, signed on 30 August 1959; Visiting Forces Agreement with USA, signed on 10 February 1998; and RP -US Extradition Treaty with USA, signed on 13 November 1995. At times, the Philippines also enter into multilateral treaties or conventions with two or more states. An example of which is the 1982 United Nations Convention on the Law of the Sea (UNCLOS). Other examples are the International Convention on Civil and Political Rights, Rome Statute of the International Criminal Court, and Convention on the Prevention and Punishment of the Crime of Genocide. International customs, also known as customary law, consists of rules of law derived from the consistent conduct of states, acting out of the belief that the law required them to act that way (Aust, 2010). However, for a custom to be deemed as an international custom, these two

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elements must exist: state practice and opinio juris sive necessitates ("opinion of law or necessity").

State practice states that there must be evidence of substantial uniformity of practice by a substantial number of states (Aust, 2010). In a leading case rendered by the International Court of Justice, the case of North Sea Continental Shelf Cases (Germany v. Denmark, ICJ, 1969), what is required is that: "x xxw within the period in question, short though it might be, State practice, including that of States whose interests are specifically affected, should have been both extensive and virtually uniform."

Proof of state practice are as follows: administrative acts, legislation, court decisions, historical records, and international stage activities. Opinio juris sive necessitates states the belief that the given practice is rendered obligatory by the existence of a rule requiring it. Consequently, the states concerned must feel that they are conforming to what amounts to a legal obligation (North Sea Continental Shelf Cases) (Germany v. Denmark, ICJ, 1969). Kinds of international customs are: regional custom and special or local custom. Regional custom is a practice among states within a particular area of the world which can be sufficiently well -established and accepted as law that is binding among the states of that region but not elsewhere (Epps & Graham, 2011). A special custom, on the other hand, is a long -continued practice between two states, accepted by them as regulating their relations that form the basis of mutual rights and obligations (Right of Passage Case (Portugal v. India), ICJ, 1960).

Jus Cogens and Obligations Erga Omnes

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Jus cogens (Compelling Law) occupy another category of international customs as these refer to norms that command peremptory authority, superseding conflicting treaties and customs which can neither be derogated nor modified, except by a norm or similar character (Vinuya V. Executive Secretary, G.R. No. 162230, April 28, 2010). Jus cogens enjoy a higher rank in the international hierarchy than treaty law and even ordinary customary rules (Prosecutor v. Furundzia, International Criminal Tribunal for the former Yugoslavia, 1998). Examples of this are norms on torture, racial discrimination, genocide, and piracy. Obligations erga omnes ("towards all") refers to an obligation under general international law that a state owes in any given case to the international community, in view of its common values and its concern for compliance, so that a breach of that obligation enables all States to take action; or an obligation under a multilateral treaty that a state party to the treaty owes in any given case to all the other state parties to the same treaty, in view of their common values and concern for compliance, so that a breach of that obligation enables to all these states to take action (Vinuya V. Executive Secretary, G.R. No. 162230, April 28, 2010). Examples of this are prohibitions of acts of aggression, on genocide, and on the protection of basic human rights.

Treaties A treaty is an international agreement conducted between states, in written form and governed by international law, whether embodied in a single instrument or in two or more related instruments, whatever its particular designation (Art. 2 (1) (a), Vienna Convention on Law of Treaties). Steps in treaty making involves (1) negotiation; (2) signing of the treaty by the representatives; (3) exchange of ratification instruments; (4) ratification of the treaty by the constitutional organs of the respective states; and (5) registration with and publication by the Secretariat of the United Nations (UN). A state is obliged to refrain from acts which would defeat the object and purpose of a treaty when it has signed the treaty or has exchanged instruments constituting the treaty subject Page | 37

to ratification, acceptance of approval, until it shall have made its intention clear not to become a party to the treaty; or it has expressed its consent to be bound by the treaty, pending the entry into force of the treaty and provided that such entry into force is not unduly delayed (Art. 18, Vienna Convention on Law of Treaties). In connection thereto, the power of the President to ratify a treaty is well -entrenched in the 1987 Constitution. However, no treaty or international agreement shall be valid and effective unless concurred in by at least 2/3 of all the members of the Senate (Sec. 21, Art. VII, 1987 Constitution).

Basic Principles Concerning Treaties  Pacta tertiis nec nocent nec prosunt - "A treaty binds the parties and only the parties"  Pacta sunt servanda - "Agreements must be kept" - Every treaty in force is binding upon the parties to it and must be performed by them in good faith (Art. 26, Vienna Convention on Law of Treaties).  Rebuc sic stantibus - "Things standing thus" - A fundamental change of circumstance which has occurred with regard to those existing at the time of the conclusion of a treaty, and which was not foreseen by the parties, may be invoked as a ground for terminating or withdrawing from the treaty if the existence for those circumstances constituted an essential basis of the consent of the parties to be bound by the treaty and the effect of the change is radically to transform the extent of the obligations still to be performed under the treaty (Par. 1, Art. 62, Vienna Convention on Law of Treaties).

Executive Agreement and Concordat An executive agreement is an agreement concluded by the President based on authority granted by Congress or based on the inherent authority granted to him/her by the Constitution. This is distinguished from a treaty as the latter pertains to a covenant concluded by the President with the advice and consent of the Senate. No treaty or international agreement shall be valid and Page | 38

effective unless concurred in by at least two-thirds of all the members of the Senate (Sec. 21, Article VII, 1987 Constitution). Both treaties and executive agreements have binding effect upon states as long as the negotiating functionaries have remained within their powers (USAFFE Veterans Association Inc. v. Treasurer of the Philippines, G.R. No. L10500, June 30, 1959). A concordat is a treaty or agreement between the Pope and a state or government that deals with religious matters as well as the recognition and privileges of the Holy See in other states (Sarmiento, 2014).

TASK 1: As a group, perform the following: 1. Research for an executive agreement entered into by a Philippine president. 2. Analyze the contents of this executive agreement. 3. Research on news excerpts leading to the signing of this executive agreement. Put the news excerpt in the space provided. 4. Explain in class your observations on the possible reasons why the said executive agreement was signed.

States, Nationality, and Statelessness  States – are entities that have rights and responsibilities under international law and which have the capacity to maintain their rights by bringing international claims  Nationality - a legal bond having as its basis a social fact of attachment, a genuine connection of existence, interests, and sentiments, together with the existence of reciprocal rights and duties (Nottebohm Case Liechtenstein v. Guatemala, 1955 ICJ 4)

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 Refugee – a person who, owing to a well-founded fear of being persecuted for reasons of race, religion, nationality, membership of a particular social group or political opinion, is outside the country of his/ her nationality, and is unable or, owing to such fear, is unwilling to avail himself/herself of the protection of that country

States

The elements of a state are as follows: permanent population, defined territory, government, and capacity to enter into relations with other states (Article 1, Montevideo Convention). The population being pertained to does not have to be homogeneous racially, ethically, tribally, religiously, linguistically, or otherwise. It must be a settled population, though the presence of certain inhabitants who are traditionally nomadic does not matter (Aust, 2010). As to the territory, the size would not matter nor its boundaries be defined definitively. Anent the government, a central one operating as a political body within the law of the land and in effective control of the territory is required. Lastly, the government must be sovereign and independent so that within its territory, it is not subject to the authority of another state. In this regard, the state will have full capacity to enter into relations with other states. States are created through the following: (1) discovery and occupation; (2) prescription; (3) cession; (4) accretion; and (5) conquest. Discovery and occupation occur when a territory belonging to any state is placed under the sovereignty of the claiming state. Prescription is when a territory is acquired through continuous and uninterrupted possession over a long period of time. Cession involves the peaceful transfer of territory from one sovereign to another, with the intention that sovereignty should pass. (Shaw, 2008). Accretion is the increase in the land area of the state, either through natural means, or artificially through human labor. In conquest, the act of defeating an opponent and occupying all or parts of territory does not of itself constitute a basis of title to the land. It gives the victor certain rights under international law as regards the territory, the rights of belligerent occupation, but the territory remains subject to the legal title of the ousted sovereign (Shaw, 2008). Page | 40

TASK 2: Study the Philippines as a state. 1. Does it possess all the elements mentioned? 2. How do you say so? 3. Study three (3) existing states all over the world. Discuss in the space below how the states you chose were created.

State Recognition State recognition is an act by which a state acknowledges the existence of another state, government, or belligerent community and indicates its willingness to deal with the entity as such under the rules of international law (Nachura, 2016). State recognition is a political act and mainly a matter of policy on the part of each state. It is discretionary on the part of the recognizing authority. It is exercised by the political department of the state. The integration of a new state in the international community does not take place automatically, but through co-optation, that is, by individual and collective recognition on the part of already existing states (Sarmiento, 2009). The principle of state continuity is being followed wherein once the identity of a state as an international person has been fixed and its position in the international community established, the State continues to be the same corporate person whatever changes may take place in its integral organization and government (Sarmiento, 2009).

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Landmark Doctrines in State Recognition  Wilson/Tobar Doctrine – This doctrine precludes the recognition of governments established by revolution, civil war, coup d'etat, or other forms of internal violence until the freely elected representatives of the people have organized a constitutional government (Sarmiento, 2009).  Betancour Doctrine – This doctrine pertains to denial of diplomatic recognition to any regime, right or left, which came to power by military force (Sarmiento, 2009).  Lauterpacht Doctrine – This doctrine precludes the recognition of an entity which is not legally a State as it constitutes an abuse of the power of recognition. It acknowledges a community which is not, in law, independent and which does not therefore fulfill the essential conditions of statehood as an independent state (Sarmiento, 2009).  Stimson Doctrine - This doctrine precludes the recognition of any government established as a result of external aggression (Nachura, 2016).

Rights of States The rights of states are as follows: jurisdiction, equality, individual or collective selfdefense, independence, and legation.

 The right to independence means freedom from control by other state or group of states and not freedom from the restrictions that are binding on all states forming the family of nations and carries with it by necessary implication the correlative duty of nonintervention (Nachura, 2016), Intervention is an act by which a state interferes with domestic or foreign affairs of another state through the employment of force or threat of force which may be physical, political, or economic (Nachura, 2016).  The right to equality is underpinned in the doctrine of equality of states which provides that all states are equal in international law despite of their obvious factual inequalities as to size, population, wealth, strength, and degree of civilization.

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In effect, when a question arises which has to be settled by consent, every state has a right to one vote only. The vote of the weakest state has as much weight as the vote of the most powerful. The courts of one state do not as a rule question the validity of the official acts of another state insofar as those acts purport to take effect within the latter's jurisdiction (Sarmiento, 2009).

 The right to existence and self-defense provides that a state may take measures including the use of force as may be necessary to counteract any danger to its existence (Article 51, UN Charter). Aggression pertains to the use of armed force by a state against the sovereignty, territorial integrity, or political independence of another state, or in any other manner inconsistent with the Charter of the United Nations (Article 1, UN General Assembly Resolution No. 3314).

For a proper exercise of self-defense, the following must exist: (1) an armed attack occurred against a member of the UN; (2) it must be confined to cases in which the necessity of self-defense is instant, overwhelming and leaving no choice of means and no moment for deliberation; (3) measures taken must be limited by that necessity and kept clearly within it; and (4) must give way to measures that may be taken by the UN Security Council to maintain international peace and security (Article 51, UN Charter) Collective self-defense pertains to the rights of states to come to the defense of another state whose situation meets the condition of legitimate individual self-defense (Article 51, UN Charter). Anticipatory self-defense is when the use of force in anticipation of an attack is deemed legal if made in good faith, depending on the circumstances of imminent danger.  The right to territorial integrity and jurisdiction encompasses the right of the state to its terrestrial, maritime and fluvial, aerial and space covered by its territory.  The right to legation pertains to the right of the state to send and receive diplomatic missions, which enable states to carry on friendly intercourse.

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Nationality

Nationality is a legal bond having as its basis a social fact of attachment, a genuine connection of existence, interests, and sentiments, together with the existence of reciprocal rights and duties (Nottebohm Case Liechtenstein v. Guatemala, 1955 ICJ 4). It is for each state to determine under its own rules who are its nationals. This law shall be recognized by other states insofar as it is consistent with international conventions, international customs, and the principles of law generally recognized with regard to nationality.

Under the UN Declaration of Human Rights, everyone has a right to a nationality and that no one is to be arbitrarily deprived of their nationality or denied the right to change their nationality. Multiple nationalities may exist when an individual possesses more than one nationality and was acquired as the result of concurrent application to him or her the conflicting national laws of two or more states claiming him as their national.

In the Philippines, nationality can be acquired through birth, naturalization, repatriation, subjugation, and cession. It can be lost through release, deprivation, renunciation, and substitution.

Statelessness

Statelessness pertains to the status of having no nationality as a consequence of being born without any nationality or as a result of deprivation or loss of nationality (Nachura, 2016). Statelessness adversely affects a person's right to exercise rights and privileges usually enjoyed by citizens of a state, such as employment, right to work, right to property, right to education, among others. Also, any wrong or injury suffered by a stateless person through the act or Page | 44

omission of a state would be damnum absque injuria ("loss or damage without injury") for in theory, no state has been offended and no international delict committed. International conventions provide that stateless individuals are to be treated more or less like the subjects of a foreign state. The Philippines has neither signed nor ratified the 1961 Convention on the Recognition of Statelessness. It is provided in this Convention that a contracting state shall grant its nationality to a person born in its territory who would otherwise be stateless (Article 41, Convention on the Recognition of Statelessness) and a contracting state shall grant its nationality to a person, not born in the territory of a contracting state, who would otherwise be stateless, if the nationality of one of his parents at the time of the person's birth was that of that State (Article 4, Convention on the Recognition of Statelessness).

TASK 3: Research on the "Dual Citizenship Act of 2003" enacted by the Philippines, allowing Filipinos to be a citizen of two countries both at the same time. Make a position paper and provide a stand on whether you agree or disagree with the enactment of this law.

Refugees

A refugee is a person who, owing to a well-founded fear of being persecuted for reasons of race, religion, nationality, membership of a particular social group or political opinion, is outside the country of his nationality and is unable or, owing to such fear, is unwilling to avail himself of the protection of that country. It includes stateless persons who are outside the country of his habitual residence and is unable or, owing to such fear is unwilling, to return to it (Par. A Page | 45

(2), Article 1, Convention Relating to the Status of Refugees). The Convention relating to the Status of Refugees provides that states have an obligation to treat a person as a refugee, without any discretion, and afford the rights due to them. The principle of non-refoulement is a principle wherein in addition to not returning the refugee to his/her own state, he/she must not be sent to a third state if his/her life or freedom would there be threatened on account of his/her race, religion, nationality, membership of a particular social group or social opinion (Par. 1, Article 33, Convention Relating to the Status of Refugees). Exceptions to this principle is when there are reasonable grounds for regarding the refugee as a danger to the security of the state; or having been convicted of a particularly serious crime, constitutes a danger to the community of the state (Par. 2, Article 33, Convention Relating to the Status of Refugees). Salient rights of refugees are as follows; non-discrimination, wage-earning employment, free access to courts, duty of non-refoulement of states, self- employment, housing, freedom of religion, among others.

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LESSON VII: GLOBAL CITIZENSHIP

Citizenship - how residents live in a particular area with previously agreed upon rights and responsibilities Rights- any lawful, social, or moral principle of autonomy or entitlement Duty - an obligation or expectation to perform an action based on the law, social norms, or a moral standard Global citizenship - the belief that all people have rights and civic responsibilities based on the reason that they reside in the world

Socrates, a classical Greek philosopher and one of the founders of Western philosophy, was once quoted saying, "I am not an Athenian or a Greek, but a citizen of the world." He identified himself as a global citizen. What is a global citizen? What are the rights and duties of a global citizen? How do we become global citizens? The answer to these questions will be discussed in the succeeding paragraphs.

TASK 1: In your opinion, why did Socrates say this message? How would you feel if you Page | 47

were called a citizen of the world? What does it mean to be a citizen of the world? Share your thoughts.

What is Global Citizenship? Before defining global citizenship, let us first discuss the terms global and citizenship separately. What is citizenship? Are there varied definitions or is there an overarching one? In fact, there are many definitions of citizenship. It may be defined on the lenses of membership, status, it practices, or performance (Isin & Nyers, 2014. in lsin & Nyers, 2014. eds.). For instance, described in terms of membership and status, citizenship is defined as how residents live in a particular area with previously agreed upon rights and responsibilities. These statutes are restricted in a particular territory and a political boundary. This means that the citizens must have an understanding of their rights and responsibilities (Abdi, Shultz, & Pillay, 2015. In Abdi, Shultz, & Pillay, 2015. eds). In addition, using the lenses of practice and performance, citizenship may be defined as an institution that mediates the rights between constituents of a governing system and the system itself. However, the relation between the citizens and the governing system is not always unified nor stable (Isin & Nyers, 2014. in Isin & Nyers, 2014. eds.).

Three Types of Rights Two very important aspects of citizenship are civic rights and duties, First, let us discuss the definition of rights and the different types of rights. Rights are defined as any lawful, social, or moral principle of autonomy or entitlement. it is a collection of what is allowed and what should be provided to a group of people based on a particular legal system, norms, or ethical standards (Wenar, 2015). The three types of rights are: (1) civil rights, (2) political rights, and (3) social rights. These will be discussed below: Page | 48

 Civil rights - are entitlements provided by a certain locality to its public constituents. These include the right to free speech. Every citizen is allowed to communicate openly. He/She is permitted to voice opinions even if it is criticizing the government just as long as it has basis and evidence. Civil rights also include the right to have and to be treated with dignity.  Political rights - are administrative entitlements provided by a specific government. These include the right to run for office. Every citizen has the right to be elected as a representative of his/her community as long as he/ she meets various criteria.  Social rights - are entitlements related to public services and to social protection. These include insurance, health care, welfare, housing, and pensions (Isin & Nyers, 2014. in lsin & Nyers, 2014. eds.).

Three Types of Duties What is the definition of duty? Duty comes from the French word "due" Which means "to owe" (Gove, 1986). Therefore, duty is defined as an obligation expectation to perform an action based on the law, social norms, or a moral or standard (Merriam -Webster Dictionary, n. d.). The three types of duties, in relation to citizenship, are: (1) conscription, (2) taxation, and (3) participation.  Conscription - pertains to the obligation to register as a reserve force in the army. This means that every able-bodied citizen is asked to take up arms and fight for their country in case of war.  Taxation – relates to the duty to pay a compulsory contribution to a state or the government  Participation – refers to the obligation to take part in the community. Every citizen is encouraged to participate in the development of their community. They are also encouraged to vote for their leaders during elections (Isin & Nyers, 2014. In Isin & Nyers, 2014. eds.)

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What does global stand for in global citizenship? Internationalization, or becoming global, is defined as including worldwide components to education (Yemini, 2017). It is concerned with adding international and intercultural aspects to the approach to education (Knight, 2004. As cited in Yemini, 2017. Pp. 2-3). Students are encouraged to learn about the whole world and international relations. What is global citizenship? Global citizenship is defined as the belief that all people have rights and civic responsibilities based on the reason that they reside in the world. Therefore, a person's global identity transcends his/her geographical and political ones. Although, this does not mean that the individual must denounce his/her nationality, but these are secondary to his/her global identity (Israel, 2012). There are three categories of global citizenship. These are: (1) open global citizenship; (2) moral global citizenship, and (3) sociopolitical global citizenship. These three will be further discussed below:  Open global citizenship - believes that nations still exist and differ from one another. However, it recognizes the interdependence between different nations and the opportunities for cultural diversification.  Moral global citizenship – focuses on the ethical aspect of global citizenship. What are the moral facets of global rights and responsibilities? Moral global citizenship put emphasis on human rights, equality, and global responsibility.  Sociopolitical global citizenship - emphasizes the social and governmental systems and structures around the world. It advocates to shift the existing political power in order to advance global equality (Veugelers, 2011).

 Why Global Citizenship?

In 2015, the United Nations (UN) summit declaration "Transforming our world: The 2030 Agenda for sustainable development" named global citizenship education as one of the Page | 50

strategies in the Sustainable Development Goals (SDG) 4.7. 1t was also mentioned in Declaration 36, (UN, n.d.). In addition, the UN Secretary-General report in 2015 urged educators to utilize global citizenship education to promote peace around the world (UN, 2015). As one can see, global citizenship is highly supported by international organizations and worldwide declarations.

 Learning to Live Together An important principle in education is for people to "learn to live together.” In fact, it is also crucial in the rapidly changing world where population is becoming more and more diverse. It is integral for educators to promote a culture of peace, non-violence, tolerance, and respect. Learning to live together entails understanding different nation's interconnectedness and interdependence. It requires strategies for diplomatic coexistence and compromise. Global citizenship education provides a new lens for the youth to think critically, cast aside hatred, and have the capacity for dialogue and tolerance (Hahn, n. d.).

Restore Dignity Paulo Freire (1970) urges people to be educated in citizenship rights in order to question the hidden oppressive systems that surround them. The task of global citizenship education is not just to teach about current systems but also the concepts of global social justice and basic rights (Abdi, Shultz, & Pillay, 2015. in Abdi, Shultz, & Pillay, 2015. eds). Global citizenship education imparts knowledge about the rights of every individual in the international community. One of these basic rights is that every human being has the right to live in dignity. Global citizenship education assists restoring positive identity, dignity, and selfesteem of individuals (Hahn, n.d.).

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 Issues in Global Citizenship Despite the progress in the conceptualizations and in the education of global citizenship, there are still issues and challenges arising. These issues and challenges may be classified into three: (1) conflict between global citizenship and national citizenship, (2) conflict between global citizenship and individual differences, and (3) development of the imagination for global citizenship. These will be discussed below:  Conflict between global citizenship and national citizenship – Even though people are encouraged to become global citizens, in reality, they live in their own culture with their own context (Ignatieff. 1994. As cited in Pike, 2008. P. 225). This is very obvious in countries with a significant amount of immigration (Yemini, 2017). The performative aspect of citizenship, not only looks at the rights and duties being performed, but also at the rights and duties not being performed or not allowed to be performed. For example, what about states that do not allow press freedom (Isin & Nyers, 2014. in Isin & Nyers, 2014. eds.)? How will the global right to freedom of speech be implemented if the state does not allow it?  Conflict between global citizenship and individual differences – For instance, in the membership and performance aspect of citizenship, how would one classify non-citizens who perform the duty of citizens, like immigrants that pay taxes? Should they be given the same rights as the citizens (Isin & Nyers, 2014. in Isin & Nyers, 2014. eds.)? In Italy, for example, immigrants who perform very personal services or care work for Italian families and know deep-seated secrets are still not treated as part of the family because they are foreigners. In fact, they are called “intimate foreigners.” Examples of these are caregivers, nurses, and domestic helpers (Hepworth, 2014. in Isin & Nyers, 2014. eds.).

In another example related to this, “abject citizens” is a phrase used to describe citizens who experience being rejected from citizenship even though they were born in the same territory. This term usually refers to nomadic cultures like the Roma or Sinti who are from a different ethnic group with their own culture (Hepworth, 2014. in Isin & Nyers, 2014. eds.).

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Individuals may also have multiple citizenship identities (Harrington, 2014. in Isin & Nyers, 2014. eds.). For instance, a person may have dual citizenship because he/she resides in two countries. Finally, another source of conflict is the assumption that English is the universal language (Yemini, 2017) even though it is not the language used by the greatest number of populations.  Development of the imagination for global citizenship – Another challenge is the slow progress in developing a global imagination (Richardson, 2008). Citizenship is not permanent, can be transformed, and contestable (Harrington, 2014. in Isin &Nyers, 2014.eds.). The word global in global citizenship has the tendency to focus only on the experiences of the majority. It highlights only the existing sociocultural, political, and economic systems. It neglects the experiences of the minority and the marginalized (Abdi, Shultz, & Pillay, 2015. in Abdi, Shultz, & Pillay, 2015. eds). Who is the active citizen? The word active has come to refer extremes. On one hand, it is the “good” citizen who follows social norms. On the other hand, it is the “bad” citizen who questions and disobeys social norms. Is the concept of active citizenship used to “pacify” people? Is it used to make people comply to what is expected from them? (Neveu, 2014. in Isin & Nyers, 2014. eds.).

TASKS: 1. In your own words, define global citizenship. 2. Differentiate the three categories of global citizenship. Elaborate. 3. Enumerate and explain the different types of rights and types of duties. Expound your answer.

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Reference Botor, Nephtaly Joel B., et al. 2020. The Contemporary World. Rex Book Store, Inc.

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