Spain in a Globalising World - Term Paper Example

Spain in a Globalising World The world is changing like never before. Globalization is affecting every aspect of our lives. It affects our culture, our economy, and even our politics. We face new challenges and old challenges dressed up in new clothes. Spain is no different. In fact it can even be argued that Spain is one of the capitals or centres of globalization in the world. It has contacts with so many parts of the world through the old networks and traditions of the Spanish Empire. Indeed, Spain has benefited enormously from this period of economic expansion. But likewise, as economies become more intertwined, we find that they can also become more vulnerable to unexpected shifts and new forms of opaqueness. This isn’t a reason to turn away from globalization, but it is a reason to be vigilant. This essay will look at the way Spain has become more dependent on other countries through the process of globalization and it will suggest that this has mostly been for the best. Although the exact moment of globalization occurring in Spain is a highly debatable question considering the length of Spains history and its extensive involvement in world affairs, it could be said that 1990s marked the rapid acceleration of the period. Spain decided to go full steam ahead with economic global integration. While other countries were slow to see the positive ramifications of globalization, Spain was not. It saw what it wanted and it struck. After many years of sclerotic economic growth under Franco, Spain was ready to reengage with the world again.1 Of course, with current economic events shaking the world economy, we begin to see some of the potential negative effects of globalization for Spain. The problems point to one of the serious drawbacks of globalization: when you open your economy up to the other economies of the world you can get very rich as long as they do well—but you also become very vulnerable to their problems too. This is something Spain has become concerned about regarding the E.U. in the past, and now with the American economy in shambles, it must again revisit this difficult situation. The global economic crisis has shown that interconnectedness can bring with it negative consequences. While a rising tide lifts all boats, a severe drought makes everyone thirsty. This is a problem that will have to be negotiated on the world stage. Spain has a number of economic problems that result from this, including high unemployment. But in the course of this important debate it is important to remember the benefits that have come with globalization. These changes have not always been easy, but they have improved life in Spain. Spain itself has changed drastically in terms of demographics over the last few years because of the ease with which foreigners can enter the country to work. Sometimes this causes social friction between different groups, sometimes even riots, but the great value of a diverse population with diverse skills cannot be overstated. In order to remain competitive Spain needs the best minds from around the world: it can’t do it on its own. Although some Spanish are suspicious of closer ties to the E.U., the reduction of restrictions on the labour markets have allowed workers to travel freely. This has been a benefit to Spain and will again be a benefit after the current economic crisis concludes. In the words of one commentator: The flow of foreigners into Spain has increased over the past ten years, partly because a growing economy has demanded more workers and partly because disruption elsewhere - plus European enlargement - has boosted supply. Immigrants have undoubtedly kept wages down and most likely taken some jobs from those that wanted them. But they have also lifted economic output and contributed needed skills.2 Some may argue that all of these changes are just a paler version of a longstanding trend towards liberalizing world markets. They might say the turn of the last century showed more dramatic shifts in the world economy, etc. But those changes were happening from a much lower baseline. These current changes are drive by technology our grandfathers could only imagine. In the words of one observers, these changes show “qualitative differences from that of previous epochs. Most notable are: real-time world financial markets; the speed of economic exchange; the scale of gross economic flows of goods and short-term capital; the institutionalization of economic relations at an interregional level . . . [it is] deeper today.”3 The truth is that many of Spains former colonial possessions, and some of those of Portugal, are fast becoming world powers with strong economic growth. Spains historical relationships with these countries and the common language allow for Spain to invest easily and profitably in these regions. That is definitely a net positive for the Spanish economy. Economic integration has many consequences: some relating to culture and society, some relating to security. If you’re economic interests are shared, you must share the work in defending them against people who would do you wrong. In many respects the terrorist attack on the United States on September 11, 2001, proved to be a globalizing events, further accelerating changes that were already underway.4 The attacks led to the Global War on Terror and the invasions of Afghanistan and Iraq. Spain threw its chips in with the United States, supporting it to the hilt. A broad range of countries settled on a common security policy which involved playing offence rather than defence. The result was a sort of globalized foreign/defence policy that involved countries as diverse as the United States, Britain, Spain, Denmark, Australia, Spain and Togo. They came together under American leadership to take a stand against Al Qaeda and enter into long and controversial dialogue about the use of military force in the modern age. This was all certainly part of a trajectory towards greater globalization. Now attention has shifted off these foreign security crises and returned to the very structures of economic globalization itself. However, the trust and distrust built up over these foreign policy issues linger in the current economic debate. Countries want to feel like they can rely on their allies in times of crisis. The close relationship maintained between the United States and Spain bodes well for their dealing closely and collaboratively with the current economic crisis. But back to the beginning periods of globalization in Spain in 1990s. There is one further issue which has not been discussed and which is sometimes lost in the great debates over money and guns. Globalization is not simply about economics: it is also about the cultural and social shifts that accompany the reduction in tariff and the easing of travel, communication, and trade. It is about the way people from all across the world can come together to have a conversation and to collaborate on numerous projects and cultural products. Cultural products are commodities too and they can be exchanged more easily in an open marketplace. Economic globalization in the 1990s went hand in hand with the promotion of a new wave of Spanish culture which found a receptive audience around the world. The truth is that globalization is not all that new to Spain. The culture of Spain is world famous. One of the main reasons for its fame is that many cultures and peoples have influenced it and that for many years Spain was an open country that did lots of trading and commerce with the world. Its artists and craftsmen were famous, and many religions were present in the country. It was seen by some to be a crossroads between Europe and North Africa. Indeed, to this day, Spain maintains possessions in North Africa near Morocco. To prove this larger point people point to the fact that Spanish derives from Latin but also borrowed several words from Arabic. Spains cultural melting pot became much richer during the Middle Ages in part because of the large and influential Jewish population there. After the defeat of the Muslims and Jews during the Christian Re-conquest period in the four hundred years following 1000, Spain became more intolerant and very Catholic, although it still rewarded exploration and sought to extend its power through overseas colonies. It is important to remember that the person who discovered the new world was Christopher Columbus, a Spaniard being funded by the King and Queen of Spain. The truth is the world is getting smaller due to globalization. Economies are becoming interlinked and reliant on one another. One need look no further than the eurozone to see how regionalization and globalization are affecting Spain. But the picture is larger than too. This is an amazing time to be alive. Economies are transforming. Those countries that pursue trade liberalization and connections with other countries are bound to be the real winners in the 21st century. Spain is surely one of those prospective winners. Works consulted Beck, U. (2000), What is Globalization?, Ch. 1. The World Horizon Opens Up: On the Sociology of Globalization, Cambridge: Polity Press. Bilton, T. et.al. (2002), Introductory Sociology, Chapter 3, Globalisation and Modernity, London: Palgrave. Bauman, Z. (1998), Globalization: The Human Consequences, Ch. 4, Tourists and Vagabonds, Cambridge: Polity Press. Cohen, R. and Kennedy, P. (2000), Global Sociology, Ch. 2, Thinking Globally, London: Macmillan. McGrew, A.M.. (2005). “The logics of globalization.” in J.Ravenhill ed. Global Political Economy. Stevenson, Merril. “Spain and globalization: a good marriage.” OpenDemocracy. February 2, 2007. Tepe, Fulye. (2005) “September 11, Globalization, and World Peace.” Istanbul Ticaret Üniversitesi Sosyal Bilimler Dergisi Yıl:4 Sayı:7 Bahar/1 s.189-199. Read More