1. Unit 5 Part 1:The 21st Century Global Economy
Standard 2.19 , 3.1.6

2. Bellwork
Think back to a trip/experience you had outside of the U.S. Did those countries have popular products or services that you would find in America as well? Explain

3. I see I think I wonder

4. Essential Question / Objective
What impact is globalization having on the U.S. economy?

5. What is globalization?
Globalization: the movement toward a more integrated and global economy. This will increase the interconnectedness of different peoples.
Increase in trade
Exchange of different ideas and cultures (music, movies, religions)

6. From Wiki
Globalization is a process of interaction and integration among the people, companies, and governments of different nations, a process driven by international trade and investment and aided by information technology.

7. Talk, Turn, and Discuss
According to this video, how are countries coming closer together?
Skill Predict: Why do you think such a big part of Kuwait’s population is foreign born?
Using your existing knowledge, are you in favor of countries becoming closer and more reliant on each other? Explain your position

8. Impact of Globalization
1. Outsourcing: moving production overseas to places like India or China
Companies gain a comparative advantage in paying their works less than U.S

9. Talk, Turn, and Discuss
Why did many metro Detroiters make the choice NOT to attend college in the 1960’s and 1970’s?
From 1979 to 2009 how many manufacturing jobs were lost in the USA?
Think of one really good question to ask after watching this video

10. Impact of Globalization
2. Multinational Corporations: companies with facilities/buildings in many countries

11. Talk and Turn
How can having corporations like McDonalds overseas be a bad thing? Explain
Explain 2 things you learned after watching the video

12. Lets play some games! How globalized are you?!
How do you visualize the world?
END

13. 30 Days Outsourcing Video
Complete the Evidence and Interpretation assignment as you watch the video
Be prepared to answer an essential question at the conclusion

14. Impact of Globalization
3. Trade Agreements: an agreement between one or more countries about investments and trade decisions

15. What is NAFTA?
NAFTA (North American Free Trade Agreement): agreement in 1994 to reduce and gradually eliminate tariffs between Canada, Mexico, and the United States
Increase free trade!
Tariffs are taxes on imported/exported goods

16. NAFTA Good: Reduce taxes and other regulations
Stimulate more economic growth
Lower-cost good available for everyone
Competition will lead to higher quality goods
Bad:
Higher paying American jobs would be lost to Mexico (business can lower cost of production)
All types of workers would be displaced be have to be retrained for “global” needs

17. What is NAFTA?

18. Trans Pacific Partnership
Free Trade agreement between 12 countries below primarily from Asian in origin:
Has yet to be approved by US Congress due to controversies from NAFTA etc.

19. Objective
Objective: I can describe the role of trade agreements on increasing globalization
Language Objective: I can read, discuss, and speak about trade agreements within the text using claim, evidence, and reasoning
HW: NAFTA Current Events Article

20. NAFTA Current Events Reading
Individually read the current events article and talk to the text using our previous strategies
Look at the sentence starters for questioning/predicting if you need a way to start
Clearly annotate the claim, evidence, and reasoning of the author
If you run into roadblocks or confusion while reading consult our reading strategies list
Once you are finished answer this question via writing in 1 paragraph
Should NAFTA be re-negotiated or modified? Explain

21. What are multinational corporations?
Do Now
Explain outsourcing
What are multinational corporations?

22. Impact of Globalization
4. Horizontal Integration / Supply Chaining: when a company absorbs and takes over other competitors. The decision is usually mutual as they save resources by merging their strengths. If left unchecked this would usually form a monopoly

23. Recap: Impact of Globalization
What impact is globalization having on the U.S. economy?
The Good…
Advances in technology and communication
Lower prices for consumers
People from across the world have access to quality goods
The Bad…
Income inequality and job loss
Civil unrest / wars
Intense competition (could be good)

24. Essential Question
What impact do transitional economies have on the global and U.S. economies?

25. Transitional Economies
Transitional Economy: an economy which is changing from a command economy to a free-market economy
Examples include: India & China

26. Transitional Economies
Their impact includes…
1. Increasing demand but also competition for scarce resources (ex: oil, water)
2. Providing new markets for goods that are produced here in the U.S.

27. Transitional Economies
Their Impact continued…
3. Making the global market more competitive for U.S companies
4. Employment is increasing in transitional economies, decreasing in others…

28. Case Study: China’s Transitional Economy
Vice News: Chinese Economic Boom Turns to Bust?
How is China currently transitioning?
If China has economic troubles what does that mean for the U.S.A?
2-3 sentence summary