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Work, Poverty and Welfare

Globalisation and the global division of labour

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Overview

Deindustrialisation, transnational corporations, the global division of labour, and the effect on wages and migration.

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Key term

How has globalisation shaped migration patterns?

Questions from this subtopic

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  1. 1

    What is globalisation?

    Model answer

    The increasing interconnectedness of economies, cultures and populations across the world through trade, migration and communication.

  2. 2

    How has globalisation affected the location of manufacturing jobs?

    Model answer

    It has led to the relocation of manufacturing jobs from developed to developing countries where labour costs are lower.

  3. 3

    How has globalisation contributed to deindustrialisation in developed countries?

    Model answer

    It has caused decline in manufacturing employment and growth in service sector jobs.

  4. 4

    What effect has globalisation had on wages and working conditions?

    Model answer

    It has increased competition for jobs and put downward pressure on wages and working conditions in some sectors.

  5. 5

    What are transnational corporations and how do they operate?

    Model answer

    They operate across national boundaries and can move production to locations with lower costs and fewer regulations.

  6. 6

    What is meant by the global division of labour?

    Model answer

    The specialisation of different countries and regions in particular types of economic activity within the world economy.

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