Globalisation

    OCR
    GCSE

    Analyze the process of increased integration and interdependence of national economies through cross-border movement of goods, services, technology, and capital. Evaluate the drivers of globalisation, including trade liberalisation, containerisation, and technological advancement, alongside the consequences for developed and developing economies regarding inequality, growth, structural unemployment, and environmental sustainability.

    5
    Objectives
    4
    Exam Tips
    4
    Pitfalls
    4
    Key Terms
    4
    Mark Points

    Learning Objectives

    What you need to know and understand

    • Definition of Globalisation: Increased integration and interdependence of national economies.
    • SPICED: Strong Pound Imports Cheaper Exports Dearer.
    • Current Account components: Trade in goods, Trade in services, Primary income, Secondary income.
    • Methods of protectionism: Tariffs, Quotas, Subsidies, Embargoes.
    • Benefits of MNCs: FDI, job creation, tax revenue, infrastructure development.

    Marking Points

    Key points examiners look for in your answers

    • Award marks for clear, logical chains of reasoning (AO3) that link economic causes to effects (e.g., how tariffs lead to higher prices and reduced consumer surplus).
    • Credit responses that explicitly use the quantitative data provided in the case study to support arguments (AO2).
    • Candidates must accurately define key terms such as 'MNC', 'FDI', and 'Globalisation' without ambiguity (AO1).
    • High-level responses must evaluate the 'extent' of impact, considering short-run vs long-run effects or the elasticity of demand for exports/imports.

    Examiner Tips

    Expert advice for maximising your marks

    • 💡In 'Evaluate' questions, ensure the final judgement is supported by prior analysis, not just a summary of points.
    • 💡When analysing exchange rates, always link the change in price to the likely change in demand for exports/imports.
    • 💡Use the 'It depends on...' technique to generate evaluation marks (e.g., depends on the size of the tariff or the reaction of trading partners).
    • 💡Allocate approximately 1 minute per mark; spend 12-15 minutes on the final 12-mark extended response.

    Common Mistakes

    Pitfalls to avoid in your exam answers

    • Confusing the effects of a 'strong' versus 'weak' currency on imports and exports (SPICED acronym errors).
    • Failing to distinguish between 'economic growth' (GDP) and 'economic development' (HDI/living standards).
    • Providing one-sided arguments in 12-mark questions, neglecting the potential drawbacks of globalisation or protectionism.
    • Stating that tariffs 'ban' imports rather than making them more expensive.

    Study Guide Available

    Comprehensive revision notes & examples

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    Key Terminology

    Essential terms to know

    Likely Command Words

    How questions on this topic are typically asked

    State
    Calculate
    Explain
    Analyse
    Evaluate
    Discuss

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