By John Short
Previous powers are falling. New states are rising. the space among East and West is narrowing. but the advancements within the heart East and the japanese Bloc, the expanding disparity among the wealthy and terrible international locations, and the intensification of financial festival among former political allies, pose new threats and tensions for a brand new international. "An creation to Political Geography" is completely revised and up-to-date, exploring political and geographic switch in the related obtainable framework. John brief emphasizes the necessity for a fluid method of the research of the foreign order, the kingdom kingdom, in addition to social activities. He highlights the rage in the direction of globalization, demanding the conventional integration of the world-systems procedure. a brand new part at the political geography of participation appears to be like on the proposal of the worldwide village, with its issues for international justice and environmentalism. the writer examines new centres of energy, supplying a historical past for dialogue of present developments and destiny advancements. He then specializes in the state country, fairly the person family and attracts on exact case reviews to debate social hobbies.
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Additional info for An Introduction to Political Geography
With the rise of finance capital comes the growth of surplus capital seeking profitable spheres for investment. Returns are highest in the periphery because capital is scarce, land prices and wages are low and raw materials are relatively cheap. The era of finance capital is thus marked by the export of capital to the periphery by the monopolies (oligopolies) which form international cartels, each competing against the others in the world market. The competition between these cartels (we would now call them multinationals) parallels the competition between nation-states.
9 shows, prices for primary goods were relatively high. Banks could see profits and the elites could see material gain. The crunch came in the late 1970s in a mixture of interest rate increases which reached a crippling 21 per cent and a slump in the world economy. Many countries were stranded with high debt payments and reduced national income. The result was a debt crisis. The first indication of this crisis came in 1982 when Mexico announced that it could no longer pay its debts. This sent the banks into a panic: they had lent so much they had to carry on lending to enable Mexico to continue paying its debt.
Economies subject to such shocks are unlikely to experience real and Multinationals The threads which link periphery to core are spun by large multinational companies. These firms dominate the economic scene and the form of their activities maintains the core-periphery structure. Profits earned in the periphery can be siphoned off to shareholders in the core. This extraction can take the form of: 24 UNEVEN DEVELOPMENT • • • • repatriated declared profits royalty payments transfer pricing arrangements internal accounting mechanisms and political history of the peripheral world is littered with the effects of direct multinational company involvement on the course of political events.