KarinSchultz

IBUS301
Dr.Hudgens
Test2

Question2(upto5points):Writeadetailedoutline(useyourownstyle&format)astohowyousee
tensionsandcontradictionsamongthetoppollutersandtheareasoftheworldthataremostimpactedby
climatechange?Identifyanddiscusswhoseemstoexercisepowerinthisdynamicorganizationsand
countriesintermsofdrivingthediscussiononwaystoaddressthehazardsandrisksatlargeinthe
debatesonclimatechange.Whataresomeofthesolutionsproposedbythemostinfluentialplayersinthe
debate?

Potential detriment from pollution:

Current deaths: 300,000 per year
Projected to be 500,000 per year by 2030
Economic detriment of $125 billion per year
Projected loss to surge above $600 billion per year by 2030
Current emissions can increase health consequences by 310million
within the next 25 years
20 million more people will fall below the poverty line
75 million more people will be forced into new environments due to
climate change
Environmental aspects to experience the highest level of
impact:
Water
- Hundreds of millions of people are to become water stressed
by climate change by the 2030
Food production
- Water contamination will filter into produce and animals having
a detrimental affect on food
Ecosystems
- weather, water, and climate can completely alter the
ecosystems currently in place
Countries to be MOST affected by climate change:
About 98% of the people SERIOUSLY affected by the climate change
can be found in third-world or developing countries
- Sub-Saharan Africa
- the Middle East
- South Asia
- small islands of the Pacific
states that are at the highest risk, are the states who are not
developed
- they do not contribute nearly as much as low risk countries to
emission and pollution
Countries to be LEAST affected by climate change:
United States
- Texas alone emits twice the amount of pollution as Spain

KarinSchultz
IBUS301
Dr.Hudgens
Test2

Great Britain
- Has put into a place a million dollar plan to protect themselves
from climate risk
G8 Countries
Wealthy countries have the ability to institute
programs that will reduce the affect high emissions can have on the
economy, health, and well-being of their countries
Where does the conflict lie:
Mexico, Brazil, India, South Africa, and China against the G8
Countries
- smaller emerging countries are calling for the developed
countries to spend .5 percent of their GDP on assisting the
largely affected developing countries to adjust to climate change
Increasing food prices put blame on both developing and developed
countries
Developing countries rely on the actions of rich countries causing
massive amounts of conflict
- each sector is calling for action
by its counter part within the next decade
Solving the problem:
States carry a MAJOR influence
- states within the U.S. are making monumental efforts to
decrease their emissions
= Regional Greenhouse Gas Initiative: December 2005
- ten Northeastern and Mid-Atlantic states
- program to reduce the carbon dioxide emissions
from major power plants
= Transportation and Climate Initiative
- eleven Northeaster and Mid-Atlantic states
- designed to lower transportation costs and its
effect on the environment
- improves air quality
= Midwestern Greenhouse Gas Reduction Accord
- six states throughout the Midwest of the U.S.
- establish Greenhouse Gas reduction targets
- long term goal of 60 to 80 percent reduction
- 45 out of 50 states have both green pricing and net metering
- Each state utilizes various programs to reduce emissions, but
the United States remains at the height of countries that are
responsible for pollution
Europe: Pledge strict emissions cuts (another MAJOR power player)

KarinSchultz
IBUS301
Dr.Hudgens
Test2

- the country is currently aiming for a 80-95% reduction in

greenhouse gases by 2050
- exchanging this mass reduction in exchange for the efforts of
developing nations to limit emissions by 15-30% over the next 10
years
- aiming to reduce emissions across the entire continent by 2030%
- developing countries, under this negotiation, are expected to
reject influence unless rich countries agree to emission reduction
by 25% by the year 2020
China: biggest contributors (carry large amount of influence)
- calling for developing countries to reduce emission by 40% by
2020
- UN pressuring China to curb emissions
- China provides loans to other countries
(including the United States) in order to help them cut down on
emissions
= causing conflict due to high emissions on their part with
low effort to reduce

Question3(upto5points)&guaranteedanextracredit1pointifyouattemptthisone:Youhavebeen
askedbythelocalmiddleschoolintheUSCneighborhoodtospeaktoaclassof7thgradestudentsabout
FreeTradeandFairTrade.Itisimportanttokeeptheconceptsstraightforwardandsuccinctforthe
students.1)Writeanoutlineofatleast8importantpoints(bulletpoints)thatexplainseachofthese
concepts.Usewhatinformationyouthinkwillconnectwiththestudents.2)Providein23paragraphsan
illustrationofhowfreetradehasimprovedaneconomicsetting(i.e.,youcanuseanexamplefromclass
sourcesoronefromcurrenteventsnocitationnecessaryaslongasitisarecognizableexamplethatis
amplyexplained).3)Providein12paragraphsanillustrationofhowfairtradefunctions.

1. Free trade occurs when the governments do not try to restrict trade
2. Free trade takes place on a large scale between countries
3. Fair trade occurs on a small scale between
individuals and business
4. Free trade increases the
ability for countries to specialize
5. Free trade grows economy
6. Fair trade grows quality of life in developing or marginalized
countries
7. Fair trade follows the Fair-Trade agreement which regulates prices
and environmental practices
8. Free trade avoids restrictions such as tariffs and quotas

KarinSchultz
IBUS301
Dr.Hudgens
Test2

As illustrated in Russells tale in our RedShelf Reader, free trade

allows for monumental improvements to the economy of the world.
Although the reading was in essence a made up story, it truly
portrayed the reality of what occurs when free trading is permitted. In
the reading, a man owns a television store and struggles with the
concept of international trading. He views the concept as a negative
influence on his business, and goes to the local congressman to get
help in restricting trade from Japan in order to maintain profitability for
his business. However, he is visited by a Wanderer who is able to
show him a world where free trade exists. In this world, countries are
able to specialize in various products, picking and choosing the items
that they can produce the most efficiently and for the least cost.
Although in this futuristic world, the man is perplexed by the concept
of a Pharmaceutical company technically being a television company,
the undeniable profitability that is derived from the free trading
eventually overcomes him.
Although the story in itself is a fable and does not present facts,
the basis of the reading is extremely factual. The very basics of trade
are established off of efficiency. For instance, in Connecticut, the
climate does not allow for strawberries to be growing at all times of the
year. Throughout the 1960s and 70s, the fruit was only available for
certain times of the year. However, in this day and age where trade is
free flowing, strawberries can be found at the grocery store 365 days a
year. In this same effect, maple syrup could not be found in the tropics
of Florida, but today Florida can have access to maple syrup in the
same way people in Connecticut can have strawberries. The trade has
allowed for a profitable change in regions not just in the United States,
but throughout the world. Outsourcing for products reduces cost and
allows for the economy to expand in a wonderful way.
Trade-oppositionists claim that jobs are being taken away by the
constant use of trade in this country. However, as the reading
suggested, the jobs are not being taken away, but rather molded into
new positions. Individuals are forced to gain experience in other areas
to adjust to the ever-changing economy. Seeing as technology and
methods of production are constantly improving, adjusting is a natural
aspect of the production world. Therefore the need for American
citizens to adjust to an economy in which trade is commonplace is not
a bad thing, but simply another way for us to improve.
Fair trade differs in many core areas from the concept of free
trade. Although both involve the flowing interchange of goods and
service between businesses or countries, there are certain regulations
that surround fair trade, making it some may say, more moralistic. Fair

KarinSchultz
IBUS301
Dr.Hudgens
Test2

trade aims to create an environment in which developing countries are

able to compete with more developed countries. This involves the
inclusion of tariffs, healthy working environments, and fair pricing. In
summation, fair trade adheres to the fair trade agreement. The motto
of the fair trade concept is as follows, work to promote safe, healthy
working conditions, protect the environment, enable transparency, and
empower communities to build strong, thriving businesses, (Fair
Trade, 1).
The concept largely coincides with the farming industry, as this is
the area which developing countries are very involved in. These
farmers strive to pay their workers a fair price which is in correlation
with the current market. Continually, in a day and age where the
environment is so highly regarded, fair trade farmers are extremely
conscious about engaging in environmentally friendly practices. As
discussed in class, Nike was caught in social mayhem when it was
revealed that many of the factories that were producing their products
did not adhere to proper working environment guidelines. Under fair
trade, it is ensured that the conditions of the workers are moral. Fair
trade essentially makes the flow of trade as equal and ethically sound
as possible.
Question5(upto5points):WehavelookedatgreatlengthattheGlobalization/Localizationdynamic
inthisclass.Inthisregard,anhistoricalviewwithrespecttodevelopmentsinthe20thcenturyandearly
21stcenturyhelpstounderstandhowpowerfunctionsintheglobaleconomiclandscape,acourseofhistory
includingtwoWorldWars,theemergenceofmanynewnationstatesinthepostWWIIeraandthe
proliferation/expansionofglobaltradeinthedecadessincetheColdWar.Usingtheslidesandmaterials
fromclasswriteanoutline(useyourownstyleandformat)thatconveysandframesyourunderstandingof
thecurrentdirectionoftradedevelopmentatthismidpointofthecurrentdecade(2016).Thatis,howdo
seethetrajectoryoftradedevelopmentbyregionandriskinthedecadeahead?Youcanuseanyreferences
andexamplesfromtheslidesandmaterialsusedthusfarinthecoursetostrengthenyouranswer.The
slidesreferencingHaroldJameswillbehelpfulhere.

As explained throughout class and readings done outside of

lecture, the cycle of globalization is an ever flowing circle in which
countries either are accepting of the interaction with other countries,
or reject the concept of it. The appeal of trade and lower production
costs remain appealing for a short amount of time, until the idea of
operating in a global mentality becomes unappealing. At this point the
country retracts and returns to a local mindset in which the focus is on
producing, selling, and working within just the United States.
Cycle of Globalization:
Local mindset

KarinSchultz
IBUS301
Dr.Hudgens
Test2

- countries are solely focused on producing, selling, and working

within the boundaries of itself
- retreat from global threats and seek safety in localization
- mindset sits closer to the hyper-localization mentality
Global mindset
- trade is free flowing
- interactions with other countries are considered positive
- economic mentality is based on the cheapest production, no
matter where the products are coming from
- economic structure is largely based on the position of the global
market
2016 Mindset:
1.3 billion people throughout the world live on less than one dollar a
day
3 billion people throughout the world live on under two dollars a day
Almost a billion people worldwide to not know how to read
41% of the worlds richest people live in the United States, however
only 13,000 households took in more than 11% of the countrys total
income in 2007
Is trade making the economy less fair?
Companys are moving internationally
- LOreal
= 2004, 94% of LOreals revenues were coming from
various brands across the world
= since the 1960s the company has acquired international
companies and continued to expand
= the opportunities that exist for companies to grow
internationally are exponential at this point in time

What is in store for the future?

We are in the middle of the globalization cycle; what is in store for
the world?
Opinion:
- based on the ethical and environmental toll that the
international mindset is taking on the environment, I believe the
world is going to turn back toward the localized mindset
- current state of economy makes it impossible for complete
localization

KarinSchultz
IBUS301
Dr.Hudgens
Test2

= turning back towards production and selling within the

country, while utilizing some outsourcing
= selfish mentality due to terrorist actions
= affects the want to feel safe and secluded within the
country
= mindset of citizens will alter back towards localized
trade and interest in keeping jobs within respective
countries