Lesson 3-Gec 3 Contemporary World

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MODULE IN GEC 3

(THE CONTMPORARY WORLD)

CHAPTER XI: GLOBAL CITIES

Chapter Introduction

The Globalization of economic activity entails a new type of organizational


structure such as global city. A Global City is also called a “power city” which is the
primary node in the global economic network.

Nowadays, globalization occurs in places where a mass people work and live in cities.
However, for a city to achieve the title of being global, it must have values and ideas
that will have an impact in the rest of the world.

Furthermore, global city is a city that is well thought out to be an important node
in in the world’s economic system. Sassen's key concept of the global city is an
emphasis on the flow of information and capital. Cities are major nodes in the
interconnected systems of information and money, and the wealth that they capture is
intimately related to the specialized businesses that facilitate those flows -- financial
institutions, consulting firms, accounting firms, law firms, and media organizations.

Moreover, Sassen points out that these flows are no longer tightly bound to
national boundaries and systems of regulation; so the dynamics of the global city are
dramatically different than those of the great cities of the nineteenth century.

Value/Thrusts Integration
Global cities are mediums of globalization and center of development but remain sites
of inequality

Lesson 3 - THE GLOBAL CITY

Introduction:

This chapter focuses on what sociologist Saskia Sassen popularized term,


Global city which is primarily economic. And initially identified three global cities: New
York, London, and Tokyo, all of which are hub of global finance and capitalism.

Intended Outcome/Learning Objectives:


At the end of the lesson the students will be able to:
1. explain why globalization is a spatial phenomenon;
2. identify the attributes of global city;
3. analyze how cities serve as an engine of globalization

Stimulating Learning (Motivation)


1. What is a global city? Is it similar with world city?
2. Give some indicators of a global city.
3. Identify the three global cities.
4. Are there inequalities happening in a global city?

Inculcating Concepts (Input/Lesson Proper)

THE GLOBAL CITY

Saskia Sassen (1991) identified only three global cities: New York, London, and Tokyo
(hubs of global capitalism).

This choice indicated that the criteria for the status of the global city were primarily
economic.

GLOBAL CITIES (Sassen, 1991) are the ‘command centers’, the main nodes of
triumphant global capitalism.
Global City vs. World City

WORLD CITY
It referred to a type of city which we have seen over the centuries in earlier
periods in Asia and in European colonial centers. In this regard, it can be said that most
of today's major global cities are also world cities, but that there may well be some
global cities today that are not world cities in the full, rich sense of that term.

GLOBAL CITY
It is a city generally considered to be an important node in the global economic
system; it is a significant production point of specialized financial and producer services
that make the globalized economy run.
Shanghai World Financial Center
World Financial Center (now officially known as Brookfield Place) New York
San Francisco is the home of the most powerful internet companies – Facebook,
Twitter, and Google.

Global City - The idea of “global city” emerged in the social science literature in the
1980s.
The concept was preceded by the idea of ‘world city’.
Through the global cities the nation-states project their significance onto the global
stage.

Global cities are the main financial centers i.e. stock exchanges and indices
 New York’s Wall Street
 London’s ‘Footsie’ (the informal name for
 FTSE 100 Index of the largest listed
 companies)
 Tokyo’s Nikkei
 Financial Times Stock Exchange 100 Index (FTSE)

Global cities are also at the top of the ‘urban cultural hierarchy’ in terms of cultural
innovation and ability to attract visitors.

Global cities are residents to ‘knowledge workers’, a highly mobile, career-


minded middle class KNOWLEDGE WORKERS are those "high level employees
who apply theoretical and analytical knowledge, acquired through formal
education, to develop new products or services".
PETER DRUCKER

Knowledge workers are those who acquire, manipulate, interpret, and apply
information in order to perform multidisciplinary, complex and unpredictable work. They
analyze information and apply expertise in a variety of areas to solve problems,
generate ideas, or create new products and services.

The burgeoning presence of the ‘knowledge workers’ lead to gentrification.


Gentrification is a general term for the arrival of wealthier people in an existing urban
district, a related increase in rents and property values, and changes in the district’s
character and culture.This refers also to the displacement of poor communities by rich
outsiders
Social class polarization and residential segregation of the affluent from the poor.

According to Sassen (1991), global cities are characterized by occupational and


income polarization, with the highly paid professional class on the one end and
providers of low-paid services on the other. Instead of being egg-shaped, with those in
the middle being a majority, the labor market of global cities is increasingly ‘hourglass-
shaped’ with a hollow middles (Autor et al., 2006; Baum, 1999)

INDICATORS FOR GLOBALITY (CHARACTERISTICS)


A. Economic power - Sassen remains correct in saying that economic power largely
determines which cities are global. New York may have the largest stock market in
the world but Tokyo houses the most number of corporate headquarters (613
company headquarters as against 217 in New York)

B. Global cities are also centers of authority - Washington D.C. may not be as
wealthy as New York, but it is the seat of American state power. People around the
world know its major landmarks: the White House, the Capitol Building (Congress),
the Supreme Court, the Lincoln Memorial, and the Washington Monument.

It houses major international organizations; centers of political influence


New York - United Nations
Brussels - European Union
Jakarta - ASEAN

Centers of higher learning and culture


New York Times - New York City
Harvard University - Boston

The Challenges of Globalization


Global cities conjure up images of fast-paced, exciting, cosmopolitan lifestyles.
But such descriptions are lacking. Global cities also have their undersides. They can be
sites of:
 great inequality and poverty as well as tremendous violence.
 “Pathologies” of Global Cities
 Congested
 Polluted
 Major terror attack
The phenomenon of driving out the poor in favor of newer, wealthier residents is
called gentrification. Global cities are sites of globalization. They are, therefore,
material representations of the phenomenon. Through them, we see the best of
globalization; they are places that create exciting fusions of culture and ideas. They are
also places that generate tremendous wealth. However, they remain sites of great
inequality, where global servants serve global entrepreneurs.

SALIENT FEATURES OF GLOBAL CITY


 International and national connectivity
 Diversified international population base
 International cuisine
 International culture
 International infrastructure
 International business presence
 Support for a recognized language of international business
 Global economic and political importance

Global City: Key Indicators:


Global City: Key Indicators
In which cities do the world's billionaires live?
London 77
New York 61
San Francisco 57
Moscow 38
Hong Kong 49
Los Angeles 35
Beijing 33
Mumbai 21
Paris 30

Activity/ies:
Divide yourselves into groups of five members. Then go around on different districts and
list down the different features and characteristics of each district. Note the following:
a. The kind of houses dominant in the area
b. The way the neighborhoods are organized (gated residences, open residences,
etc.)
c. The kind of occupations of the people, languages they speak and even the food
they eat.

Then make a comparison of these districts through answering the following questions:
a. The differences between these districts are quite obvious, but can cite
similarities?
b. How do these districts complement or compete each other?

Using/Applying Knowledge (application/integration)


The student determine the difference between global city vis-a-vis world city; its
indicators, positive and negative impacts in the globalization process.

Evaluating Understanding (Assessment)


Answer the following questions in a ½ a sheet of paper (5 points each):
1. How do Saskia Sassen define a global city?
2. Why is there a growing inequality felt in global cities?
3. How do governments address the issue on diversity due to the rapid entrance of
different nationalities and culture?

Upgrading Competence and Expanding Insights (enrichment phase)


Make a poster portraying the positive and negative impacts globalization to global cities.

Reference to/Reflection on Value/Thrusts Integration:

1. Lisandro E. Claudio and Patricio N. Abinales. The Contemporary World. C and E


Publishing, Inc. 2018, 839 EDSA, South Triangle, Quezon City.
2. Martinez, et.al. The Contemporary World. Mindshapers Co. Inc. Intramuros, Mtro
Manila
3. Internet

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