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Global Systems and Global Governance

Global Flows of Capital, Labour, Goods and Information

  • 4 things to know
  • Component 2

Overview

Recall questions on foreign direct and portfolio investment and remittances, permanent and temporary migration of skilled and unskilled workers, containerisation and supply chains, flows of financial, tourism, education and business services, digital networks, and global marketing by TNCs.

What you need to know

Answer each one before you reveal it.

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Key term

How does permanent migration contribute to the global flow of labour?

Key term

How do financial services flow across borders as part of globalisation?

Key term

How does education function as a globalised service?

Process

Describe temporary migration, tourism and business services as global flows.

Questions from this subtopic

Each one with the model answer underneath.

  1. 1

    What is foreign direct investment in the context of globalisation?

    Model answer

    Investment by a company or individual in one country into business interests in another country, typically involving ownership or control of productive assets such as factories or subsidiaries.

  2. 2

    How does portfolio investment differ from foreign direct investment?

    Model answer

    Portfolio investment involves purchasing financial assets like stocks and bonds in foreign countries without gaining controlling ownership, whereas FDI involves direct ownership or control of business operations.

  3. 3

    What are remittances and how do they represent capital flow in globalisation?

    Model answer

    Remittances are money transfers sent by migrant workers back to their home countries, representing a significant flow of capital from wealthier to poorer nations.

  4. 4

    How does permanent migration contribute to the global flow of labour?

    Model answer

    Permanent migration involves people relocating indefinitely to another country, redistributing labour supply and skills across national boundaries on a long-term basis.

  5. 5

    What role does temporary migration play in globalisation?

    Model answer

    Temporary migration involves workers moving to another country for a limited period, filling seasonal or short-term labour demands before returning home.

  6. 6

    Why are skilled workers significant in the global flow of labour?

    Model answer

    Skilled workers possess specialised qualifications or expertise that are in demand internationally, leading to brain drain from some countries and brain gain in others.

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AThe horns have less sand volume, so they move more quickly.
BSand is transported up the gentle windward slope via saltation.
CSand accumulates at the crest.

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Weathering means breakdown of rock in place.
TrueFalse

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