Notes For All Chapters – Political Science Class 12
Key Concepts and Issues since 1991: Globalisation
What is Globalisation?
- Globalisation means the world is more connected due to changes after 1991.
 - It started after events like the fall of the Soviet Union, Eastern Europe changes (1989), and the Kuwait crisis (1990).
 - It involves economic, political, social, cultural, and technological changes.
 - The world is described as a post-Cold War era or post-Soviet world order.
 - Globalisation makes countries, people, and events interlinked—what happens in one place affects others.
 
Key Features of Globalisation
1. Increased Interconnectedness:
- Countries and people are more connected through trade, communication, and technology.
 - Example: Indian companies like Tata invest in the UK, and foreign companies like Microsoft invest in India.
 
2. Role of the State:
- Some say the importance of the state (government) has reduced because of global rules and organisations.
 - But nationalism and the state’s role in making laws are still strong.
 
3. Technology and Economics:
- Technology (like the internet) and trade bring countries closer.
 - Some believe sovereignty (a country’s control over itself) is challenged by global markets.
 
4. Civil Society and Non-State Actors:
Groups like NGOs (e.g., Greenpeace) or social movements work across borders to solve issues like poverty or the environment.
Areas Affected by Globalisation
1. Economic Issues
- Free Flow of Finance Capital:
- Money moves easily between countries for investments.
 - Indian companies like Tata and ONGC invest abroad (e.g., Tata owns Jaguar Land Rover in the UK).
 - Foreign companies like Nestlé and Microsoft invest in India for things like airports or food chains (e.g., McDonald’s).
 - Before the 1990s, strict government rules limited such investments, but now it’s easier.
 - Why it matters for India: Foreign investment helps build industries, roads, and railways, but infrastructure (roads, airports) is more important than consumer goods (like fast food).
 
 
Changes in Trade:
- Trade rules changed after the 1990s.
 - GATT (1948) was replaced by the World Trade Organisation (WTO) in 1995.
- WTO promotes free trade by reducing taxes on imports and settling trade disputes.
 
 - Trade now includes services (like banking, insurance) and intellectual property (like copyrights, patents).
 - Container cargo ships made it easier to transport huge amounts of goods worldwide.
 
Rise of Transnational Companies:
- Companies that work in many countries are called multinational or transnational companies.
- Multinational: Has a home country (e.g., Tata from India).
 - Transnational: No single home country (e.g., Nestlé).
 
 
Impacts:
- More jobs for skilled and semi-skilled workers (e.g., Indian workers in West Asia or the USA).
 - Small shops face competition from big companies but survive by providing local services.
 - Farmers can sell directly to companies, and new technology helps them export goods like rice, spices, and fruits.
 
2. Political Issues
Rise of Democracy:
- After the Soviet Union’s fall (1991), many countries moved toward democracy.
 - Terms like Participatory State (everyone helps make decisions), Citizen-Centric Governance, and Good Governance became important.
 - Civil society (people and NGOs) plays a bigger role in government decisions.
 
Role of the State:
Some say the state’s power is reducing due to:
- External factors: Global laws, WTO rules, or environmental issues.
 - Internal factors: Ethnic conflicts or demands from NGOs.
 
But the state is still important for making laws and protecting people.
Non-State Actors:
- Groups like NGOs (e.g., Amnesty International) or even terrorist groups influence global issues.
 - They focus on problems like human rights or the environment.
 
Human Rights:
- Protecting human rights is a big focus in globalisation.
 - Developed countries stress individual rights (freedom, speech).
 - Developing countries like India focus on social justice (food, shelter, education).
 - India believes human rights should match a country’s culture and history.
 
Examples:
- India follows WTO trade rules and treaties like the Indus Waters Treaty with Pakistan.
 - NGOs like Greenpeace criticise India on issues like human rights in Kashmir.
 - Movements like Narmada Bachao Andolan raised global awareness about big dams.
 
Question:
- Is the state still relevant in globalisation, or is its role reducing?
 
3. Ideological Issues
- During the Cold War, countries were divided into:
- Socialist/Communist (Soviet Union, China).
 - Capitalist (USA, Western Europe).
 
 
India was Democratic Socialist with a Mixed Economy (both public and private sectors).
After 1991, the world moved toward a Market Economy (business and trade-driven).
- USA: Capitalist market economy.
 - Western Europe: Welfare market economy (focus on people’s well-being).
 - China: Socialist market economy (socialist but market-driven).
 - India: Economic liberalism (open to business but with some control).
 
4. Technology
Technology changed how we communicate after the 1990s.
Examples:
- TV: From only Doordarshan to many private channels (e.g., CNN entered India in 1990).
 - Phones: From public phones and trunk calls to mobile phones and STD/ISD.
 - Internet: Connects people instantly, with social media like WhatsApp, Facebook, and Instagram.
 
These technologies work across borders, helping NGOs, companies, and even criminals operate globally.
Example: The Arab Spring in Egypt used social media like Facebook to organise protests.
5. Social and Cultural Issues
Global media and travel have created a global cosmopolitan culture (mix of cultures).
Western influence is strong:
- People eat fast food (burgers, pizzas).
 - Festivals like Diwali or Christmas are celebrated in modern ways.
 - New celebrations like Mother’s Day or Friendship Day are popular.
 - Clothes are more Western (jeans, t-shirts).
 
Individualism: People value personal space (“I want my privacy”) more than family traditions.
Materialism: Credit cards encourage spending beyond one’s means.
Urbanisation and globalisation have weakened traditional family systems.
Positive Aspects of Globalisation
- More job opportunities, especially in private sectors (IT, services).
 - Better connectivity through the internet and phones.
 - Indian goods (fruits, spices) reach global markets.
 - Youth have access to global education and careers.
 - Awareness of global events and cultures.
 
Negative Aspects of Globalisation
- Fear that the state’s welfare role (helping the poor) may reduce.
 - Small businesses and farmers struggle to compete with big companies.
 - Local cultures may weaken due to Western influence.
 - India’s history of opposing foreign control makes some people resist globalisation.
 - Risk of inequality—rich get richer, poor may suffer.
 
India’s Challenge
- India associates foreign trade with its past under British rule, so some oppose open markets.
 - Socialists dislike globalisation for ideological reasons; capitalists fear losing protection.
 - The state must protect India’s values and ensure welfare for the poor.
 
Key Terms to Remember
Globalisation: World becoming more connected.
WTO: World Trade Organisation, promotes free trade.
Sovereignty: A country’s control over its laws and land.
Multinational Companies: Operate in many countries with a home base.
Transnational Companies: Operate globally without a single home country.
Market Economy: Economy driven by trade and business.
Non-State Actors: Groups like NGOs or movements that influence global issues.

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