Chapter 10 Politics Test
The World Bank
"Engine of economic development" * Initially, it lent money to European nations for post-WWII reconstruction * Later, loans made to developing nations * WB is owned by 184 member states who fund it and decide how to lend the money * Loans are often low interest or interest free to nations that can't borrow themselves * Amortizations range from 35-40 years * Grace period=10 years
Example of Canada and International trade
* 1965: Canada-US Automotive Agreement (Auto Pact) Canada-US Automotive Products Agreement (Auto Pact), a conditional free-trade agreement signed by Canada and the US in January 1965 to create a single North American market for passenger cars, trucks, buses, tires and automotive parts. In Canada FREE TRADE does not apply to consumer sales; it applies solely to manufacturers who meet certain conditions. Under the agreement, motor-vehicle manufacturers are obliged to maintain the same ratio of production to sales in Canada as existed in the 1964 model year; to maintain Canadian value-added or Canadian content equal to the 1964 model year; and have been required (from 1965 onwards) to increase Canadian value-added by 60% of the growth in the value of passenger cars sold (50% for trucks and 40% for buses). * Duty-free movement of cars and parts across the border * In exchange for elimination of duties, US auto manufacturers had to establish branch plants in Canada to guarantee jobs here * Auto production became more competitive, efficient, and profitable * Led to 1988 Free Trade Agreement with US that ultimately eliminated all tariffs for goods originating in the signatory countries * Which in turn led to North American Free Trade Agreement (NAFTA) that added Mexico the free trade zone
Countries that still execute under 18
* 1990-2004: only six countries execute under 18: o Iran o Nigeria o Pakistan o Saudi Arabia o Yemen o United States of America (nice company they keep
Canada and international trade
* Canada's first trade agreement was with the US in 1854 * Cancelled by US in 1866 to force Canadian colonies to join US * Led to Confederation, 1867 * Sir John A. Macdonald's National Policy: o Protective tariffs to build domestic industry o Transcontinental railway to link all Canadians from sea to sea * These parts of his policy were designed to build the economic foundation of a nation that would stretch from the Atlantic to the Pacific * This was the first round of free trade v. protectionism * 1931: post Statute of Westminster, Canada controlled her own foreign policy * 1935: P.M. Mackenzie King and Franklin Roosevelt signed a deal to lower US tariffs on Canadian goods and Canada grants US most-favoured-nation trading status * 1938: tariffs on Canadian goods lowered further * Mackenzie King then abandoned free trade negotiations in fear of voter reaction to "manifest destiny"
Human Rights Watch (HRW)
-Based in New York City -Dedicated to protecting human rights globally -Began 1978: monitored compliance of Soviet Union to Helsinki Accords (recognized the borders of Europe after WW2) -It is smaller than Amnesty International and is comprised of experts: lawyers, researchers, journalists, ex-diplomats -HRW and AI work closely together -HRW investigates claims of human rights abuses -Investigations can take years and results in a report that is widely publicized - In cases of severe abuse, HRW looks to UN, EU, and USA for support via suspension of economic and military support - HRW was part of a coalition advocating a ban on child soldiers under 18 -HRW has criticized US for treatment of young offenders, police abuse of prisoners, death penalty
Physicians For Human Rights (PHR)
-Founded 1986 -Promotes health by protecting human rights -sends professionals to investigate abuses and publishes the results Dedicated to: o stop torture and mass killings o protect women's rights in Afghanistan o Increase Aids spending on treatment and prevention in Africa (i.e. free, mass distribution of condoms) * Also focusses on US justice system and criticizes rate of incarceration of youths since 80% commit non-violent crimes * also point out that youths get little health care and education in jail
General Agreement on Tariffs and Trade, World Trade Organizations
1947 - formed to regulate world trade * Signed by 23 nations * A multilateral treaty establishing the playing rules for world trade * So, two years after WWII the three pillars of the global economy were in place: o WB - reconstruction of Europe o IMF - regulate world currencies o GATT - regulate world trade * Gatt members held numerous rounds of discussions, ultimately reducing trade barriers and lowering tariffs * Members could not discriminate against fellow members in trade * January 1, 1995 - GATT absorbed by World Trade Organization * New rules created in regard to trade in services such as banking and telecommunications * WTO now governs over 97% of world trade and is the main cog in globalization * WTO decisions are reached by consensus and are binding * WTO rules via a Dispute Settlement Body if any one state asks * It can sanction a nation if it refuses to accept a ruling, but negotiations are preferred
Doctors Without Borders (MSF,DWB)
1971 - founded as Medicins Sans Frontieres (MSF) -Largest medical relief NGO - Mission: deliver health care around the world, no matter where, to those in need - 1991 - Dr. James Orbinski founded a Canadian chapter - Victims helped by MSF include victims of war, natural disasters, and disease look at USA and Taliban story in notes
Greenpeace
1971: founded by Canadian activists and U.S. draft-dodgers * They went to Amchitka Island in Alaska and successfully pressured US government to stop nuclear testing on that island * Today, HQ is in Amsterdam with offices in 41 countries * A major environmental NGO devoted to non-violent interventions to protect environment and ecology * Main focus: o Halt global warming o Encourage sustainable development o Persuade consumers to end use of aerosols, pesticides, detergents o Save oceans and forests o Stop whaling, nuclear proliferation, genetic engineering
Asia-Pacific Economic Corporation
1989 founded * Common interests of Asia and Pacific Nations' economies * APEC includes 21 countries, including China, Japan, Canada, and the US * 1996-2006: APEC generated 70% of world economic growth * No treaty obligations; decisions reached by consensus * Counterbalances EU and North American trading blocs * Canada is a member
European Union (EU)
A unique alliance of countries that is the first major step taken to create a global government * It is a regional organization, a common market, and a political union * Founded 1957 - Six nations signed the Treaty of Rome * Goal: establish a customs union by 1970 * Called the EEC - European Economic Community * Belief was that a tight union like this would prevent war * Dec. 31, 1992: a single market was created and many other nations had joined * On this day, twelve nations dissolved their economic borders and agreed to free trade of goods, services, capital, and people "The European Union (EU) is a politico-economic union of 28 member states that are located primarily in Europe. The EU operates through a system of supranational institutions and intergovernmental-negotiated decisions by the member states. The institutions are: the European Commission, the Council of the European Union, the European Council, the Court of Justice of the European Union, the European Central Bank, the European Court of Auditors, and the European Parliament. The European Parliament is elected every five years by EU citizens." * Most EU members adopted the Euro (now, 24 states) The euro is the sole currency of 19 EU member states: Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Portugal, Slovakia, Slovenia, and Spain. Today, the euro is one of the world's most powerful currencies, used by more than 320 million Europeans in twenty-four countries. o European Parliament o European Central Bank o European Court of Justice o And other institutions * Areas like military forces and marriage laws are still sovereign issues (except for homosexual marriage which the ECJ said is a human rights issue) * Citizens may move freely from country to country to work, travel, etc with no passport and no border check * Wherever an EU citizen lives, he can vote or run for office * Citizens have a kind of dual citizenship: their own and European citizenship * EU imports $40 billion (2015 est.) in goods and services from Canada (our second largest trading partner)
League of Arab States
Founded 1945 * 22 member states, all Arabic speaking * Promotes closer ties among members and advances common economic interests * 1979: Egypt expelled for peace treaty with Israel * 1989: reinstated
G7/G8/G20
Founded 1975: leaders of six biggest economies met in France (US, Japan, Germany, Italy, UK, and France) * Initially dealt with oil price shock * Canada joined in 1976 and made it the G7 * 1998: Russia joined making it the G8 * March 2014, Russia was suspended due to its aggression in the Ukraine and the summit in Socci, Russia was cancelled * Originally an economic forum; now deals with geopolitical issues: crime, drugs, terrorism * Not a formal IGO like UN or WTO * No permanent staff, HQ, or budget * Meet annually and host country rotates * Made up of largest political and industrial democracies * Have great influence on UNSC and WTO * G8 powers: Japan, Germany, US * US pressures other countries with economic, financial, and military power * G7/G8 meetings attract considerable protest * Genoa 2001: one protester killed * Emergence of BRIC nations and their growing economic power has led to creation of G20 * BRIC states in G20 will act as an effective counterbalance to US economic power (no) * 2015 meeting in Germany issued a final communique that said, in part
Protests Against WTO
Many oppose WTO-style free trade and globalization * Objections: o Private business controls WTO and globalization, demanding policies that enrich them to the exclusion of others and there is no accountability (eg. Via an election) o National sovereignty is compromised: * Safety standards * Environmental rules are seen as trade barriers and WTO wants the power to order them removed * Dominance of developed nations in trade disputes * Private companies can sue government over its policies * WTO rules designed to maintain the impoverishment of the masses: * It also guarantees that the middle class in the developed nations will be virtually wiped out o it is undemocratic and not transparent. Proceedings "are held in secret [and] consumer, environmental, human rights, and labour organizations are ignored. o WTO endangers global peace by increasing and entrenching the dominance of wealthy nations, fueling anger and resentment that turns into violence both international and domestic. (truth) o WTO tramples labour and Human Rights by ignoring "internationally recognized labour standards". WTO rules prevent discrimination against goods produced by child labour or against nations that do not protect human rights o WTO wants to privatize all essential services: education, health care, energy, and water (among many others) (bye bye Canadian values) o WTO is destroying the environment by overruling nations (!!! So much for sovereignty) on things like the Clean Air Act and the Endangered Species Act o WTO is killing people. Extraordinarily long patent protections written into WTO treaty for pharmaceuticals, patents, and copyrights keep needed medicine away from the poor who can't afford it in the name of exorbitant corporate profit o WTO is increasing inequality. The gap between rich and poor is wider than it has ever been in the modern era. One percent of the population owns or controls nearly half of global wealth - http://www.theguardian.com/business/2014/oct/14/richest-1percent-half-global-wealth-credit-suisse-report (read short article) o WTO is increasing hunger. * This is true despite the fact that the world produces enough food already to feed everyone o WTO hurts poor, small countries in favour of rich powerful nations. Poor countries have no say in WTO deliberations or rule making o WTO destroys national sovereignty. It has led to nations rewriting their laws to prevent transnational corporations from engaging in any exploitive trade practices it wants. " International opposition to the WTO is growing. Massive protests in Seattle of 1999 * Shortly thereafter, somebody blew up the World Trade Center in New York and Seattle-style protests were never permitted again in the world's great democracies. Security concerns were cited.
International Monetary Fund
Regulates global money system * Member states agree to the oversight of exchange rate policies and exchange arrangements * Purpose: avoid large currency fluctuations such as those during Great Depression * Globalization has challenged this arrangement due to huge shifts in capital flows and consequent emergence of China and India * 1990's - Asian and Latin American currency crises were handled * Post-9/11 - IMF combats money laundering * 2003 - joint WB and IMF program started to monitor policies needed to achieve UN Millennium Development Goals (poverty reduction, universal primary education, lower child mortality, access to clean water) * Critics argue economic help from WB and IMF have too many conditions attached that hurt people (ie.) aid dependent on reduced public spending on health care, education, pensions, food subsidies * Often, debt repayments exceed spending on health care and education * Loans to dictatorships enrich leaders and leave people to repay debt * IMF and WB have little or no impact on democratization * they finance roads and dams instead of providing for basic human needs * large-scale projects have hurt environment * critics say they don't care about human, democratic, or labour rights
African Union
The Organization for African Unity (OAU) promoted unity and solidarity among African states * 2002: OAU became the African Union (AU) * 53 member states that promote globalization in Africa and economic development in Africa * Problems: o Huge differences in standard of living among states o 2004: AU sent troops to Darfur, Sudan when more than one million were attacked by Arab militants o U.N. stayed out o This demonstrated the maturity and authority of the AU
OECD
The Organization for Economic Cooperation and Development was formed in 1961 as a counterweight to NATO * OECD is an excellent source of statistics, especially economic stats * Thirty member states in Europe, Asia, North America, and Australia * Cooperates with Seventy nations and non-governmental organizations * Headquartered in Paris, France
OPEC
The Organization of Petroleum Exporting Countries was established in 1960 * Controls the price of oil by controlling supply * Supplies approximately 43% (2016) of world's daily oil needs * Possesses in excess of 81.2% (2016) of the world's oil reserves * Iran, Iraq, Kuwait, Saudi Arabia, Venezuela, Algeria, Indonesia, Libya, Nigeria, Qatar, United Arab Emirates * Note the geopolitical motives for OPEC
International Economic Organizations
They include either member states or specialized UN agencies * They work to achieve common goals, including economic growth via trade, development of poorer countries, economic stability * GATT, IMF and WB founded in 1944 @ Bretton Woods conference in New Hampshire, US * Leaders of 44 countries devised a plan to stabilize world economy and avoid crises such as Great Depression and to rebuild Europe post-WWI
International Olympic Committee
Umbrella organization for Olympics * Founded 1894 * Main goals: o Promote sport for all o Hold games every four years o Support inclusiveness o Support ethics in sport and protection of athletes * Very wealthy NGO The Olympic body says more than half its reserves are invested in bonds, with ''liquidity strongly reduced after investing $190 million in bonds and equities.'' The International Olympic Committee (IOC) (French: Comité international olympique, CIO) is an international non-profit, non-governmental organization based in Lausanne, Switzerland * The IOC is also extremely corrupt * Sells rights to market and broadcast games, and rights to use Olympics trademark and symbols * Every country has delegates to IOC * These delegates choose the nation to host the Olympic games based on bids received from interested cities
NGOs and World Health Organization
WHO established by UN in 1945 * Co-ordinates standards for international public health * WHO is an agency of UN and is therefore an IGO but it works closely with NGOs and uses their expertise * WHO works to control and eliminate disease and issues advisories when there is an outbreak of a disease (e.g.) 2003 SARS outbreak which killed 44 in Toronto (1967: date of last Stanley Cup) * WHO warned people not to visit Toront
World Medical Association
WMA founded in France post-WWII as a response to the key role played by doctors in Nazi medical experiments on Jews * Promotes ethical standards in medical practice, human research, and patient rights * 1964 - Declaration of Helsinki - established guidelines for doctors globally on human research * Cda is a founding member of WMA and the Canadian Medical Association (CMA) is a member of it
Organization of American States
Washington-based * Oldest regional organization in the world * 1948: established to promote economic and cultural cooperation throughout Americas * Promotes democracy and non-intervention * 35 member states * Canada did not join until 1990 (Mulroney) because of the organizations close ties to the US * Critics say OAS caters to US needs o Hasty suspension of Cuba after 1959 revolution and Cuban Missile Crisis o The excuse was concern over human rights and democracy, but other Latin American states had not been suspended for serious human rights abuses. * Canada decided to join when the fear of being a US puppet dissipated and new economic opportunities presented * Except that Brian Mulroney's greatest desire was to be loved by Ronald Reagan and then George H.W. Bush. His grovelling at the feet of the US embarrassed all of Canada
International Committee of the Red Cross
World's first humanitarian NGO * 1863: Jean Henri Dunant founded ICRC * He was appalled at the carnage of war and lack of aid to wounded soldiers * 1864: 12 countries had ratified the covenant leading to 1st Geneva Convention (governing combatants & non-combatants wounded in the field) * 1909: Cda passes Canadian Red Cross Society Act establishing Red Cross as a volunteer aid agency under Geneva Convention * 2007: 178 countries have Red Cross societies * Principles include neutrality and political independence * It has provided aid in WWII, Korean War (1950-1953), Somalia (1991-2), Rwanda (1994), Iraq, Afghanistan, and Darfur * 1990 - Oka crisis - aid given to Mohawk
