{"id":13738,"date":"2014-02-13T23:27:51","date_gmt":"2014-02-13T23:27:51","guid":{"rendered":"http:\/\/www.mometrix.com\/academy\/?page_id=13738"},"modified":"2026-05-04T09:25:35","modified_gmt":"2026-05-04T14:25:35","slug":"globalization-millennium-milestones","status":"publish","type":"page","link":"https:\/\/www.mometrix.com\/academy\/globalization-millennium-milestones\/","title":{"rendered":"Globalization"},"content":{"rendered":"\n\t\t\t<div id=\"mmDeferVideoEncompass_Q_NHFk0eCqg\" style=\"position: relative;\">\n\t\t\t<picture>\n\t\t\t\t<source srcset=\"https:\/\/www.mometrix.com\/academy\/wp-content\/uploads\/2023\/01\/circle-play-duotone.webp\" type=\"image\/webp\">\n\t\t\t\t<source srcset=\"https:\/\/www.mometrix.com\/academy\/wp-content\/uploads\/2023\/01\/circle-play-duotone.png\" type=\"image\/jpeg\"> \n\t\t\t\t<img fetchpriority=\"high\" decoding=\"async\" loading=\"eager\" id=\"videoThumbnailImage_Q_NHFk0eCqg\" data-source-videoID=\"Q_NHFk0eCqg\" src=\"https:\/\/www.mometrix.com\/academy\/wp-content\/uploads\/2023\/01\/circle-play-duotone.png\" alt=\"Globalization Video\" height=\"464\" width=\"825\" class=\"size-full\" data-matomo-title = \"Globalization\">\n\t\t\t<\/picture>\n\t\t\t<\/div>\n\t\t\t<style>img#videoThumbnailImage_Q_NHFk0eCqg:hover {cursor:pointer;} img#videoThumbnailImage_Q_NHFk0eCqg {background-size:contain;background-image:url(\"https:\/\/www.mometrix.com\/academy\/wp-content\/uploads\/2023\/01\/1011-globalization-1.webp\");}<\/style>\n\t\t\t<script defer>\n\t\t\t  jQuery(\"img#videoThumbnailImage_Q_NHFk0eCqg\").click(function() {\n\t\t\t\tlet videoId = jQuery(this).attr(\"data-source-videoID\");\n\t\t\t\tlet helpTag = '<div id=\"mmDeferVideoYTMessage_Q_NHFk0eCqg\" style=\"display: none;position: absolute;top: -24px;width: 100%;text-align: center;\"><span style=\"font-style: italic;font-size: small;border-top: 1px solid #fc0;\">Having trouble? <a href=\"https:\/\/www.youtube.com\/watch?v='+videoId+'\" target=\"_blank\">Click here to watch on YouTube.<\/a><\/span><\/div>';\n\t\t\t\tlet tag = document.createElement(\"iframe\");\n\t\t\t\ttag.id = \"yt\" + videoId;\n\t\t\t\ttag.src = \"https:\/\/www.youtube-nocookie.com\/embed\/\" + videoId + \"?autoplay=1&controls=1&wmode=opaque&rel=0&egm=0&iv_load_policy=3&hd=0&enablejsapi=1\";\n\t\t\t\ttag.frameborder = 0;\n\t\t\t\ttag.allow = \"autoplay; fullscreen\";\n\t\t\t\ttag.width = this.width;\n\t\t\t\ttag.height = this.height;\n\t\t\t\ttag.setAttribute(\"data-matomo-title\",\"Globalization\");\n\t\t\t\tjQuery(\"div#mmDeferVideoEncompass_Q_NHFk0eCqg\").html(tag);\n\t\t\t\tjQuery(\"div#mmDeferVideoEncompass_Q_NHFk0eCqg\").prepend(helpTag);\n\t\t\t\tsetTimeout(function(){jQuery(\"div#mmDeferVideoYTMessage_Q_NHFk0eCqg\").css(\"display\", \"block\");}, 2000);\n\t\t\t  });\n\t\t\t  \n\t\t\t<\/script>\n\t\t\n<p><script>\nfunction Rl9_Function() {\n  var x = document.getElementById(\"Rl9\");\n  if (x.style.display === \"none\") {\n    x.style.display = \"block\";\n  } else {\n    x.style.display = \"none\";\n  }\n}\n<\/script><\/p>\n<div class=\"moc-toc hide-on-desktop hide-on-tablet\">\n<div><button onclick=\"Rl9_Function()\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.mometrix.com\/academy\/wp-content\/uploads\/2024\/12\/toc2.svg\" width=\"16\" height=\"16\" alt=\"show or hide table of contents\"><\/button><\/p>\n<p>On this page<\/p>\n<\/div>\n<nav id=\"Rl9\" style=\"display:none;\">\n<ul>\n<li class=\"toc-h2\"><a href=\"#What_Is_Globalization\" class=\"smooth-scroll\">What Is Globalization?<\/a><\/li>\n<li class=\"toc-h2\"><a href=\"#Early_Globalization_and_Global_Trade\" class=\"smooth-scroll\">Early Globalization and Global Trade<\/a><\/li>\n<li class=\"toc-h2\"><a href=\"#Industrialization_and_Modern_Globalization\" class=\"smooth-scroll\">Industrialization and Modern Globalization<\/a><\/li>\n<li class=\"toc-h2\"><a href=\"#Transportation,_Finance,_and_Global_Markets\" class=\"smooth-scroll\">Transportation, Finance, and Global Markets<\/a><\/li>\n<li class=\"toc-h2\"><a href=\"#Digital_Globalization\" class=\"smooth-scroll\">Digital Globalization<\/a><\/li>\n<\/ul>\n<\/nav>\n<\/div>\n<div class=\"accordion\"><input id=\"transcript\" type=\"checkbox\" class=\"spoiler_button\" \/><label for=\"transcript\">Transcript<\/label>\n<div class=\"spoiler\" id=\"transcript-spoiler\">\n<h2><span id=\"What_Is_Globalization\" class=\"m-toc-anchor\"><\/span>What Is Globalization?<\/h2>\n<p>\nThe term <em>globalization<\/em> refers to the interconnectedness of the world\u2019s nations and cultures. It\u2019s been caused and enhanced by international trade, the internet, e-commerce, wireless communications, and the ease of international travel.<\/p>\n<p>The messages and experiences that have been transmitted with these technologies have socialized enormous groups of people of different ethnic and linguistic backgrounds into shared cultures, via movies, music, fashion, video games, and even language itself.<\/p>\n<p>Today, we\u2019ll be looking at how globalization has shifted and changed international culture since the 15th century. Let\u2019s get started!<\/p>\n<h3><span id=\"English_and_Global_Culture\" class=\"m-toc-anchor\"><\/span>English and Global Culture<\/h3>\n<p>\nAs a result of the recent economic success of English-speaking countries, <strong>English<\/strong> has emerged as a main language of international business and cultural spheres. It\u2019s also arguably intertwined national economies into a global market system in line with the economic views of many English-speaking countries. But the whole story of globalization is longer and more complex.<\/p>\n<h2><span id=\"Early_Globalization_and_Global_Trade\" class=\"m-toc-anchor\"><\/span>Early Globalization and Global Trade<\/h2>\n<h3><span id=\"The_Age_of_Exploration_and_the_Columbian_Exchange\" class=\"m-toc-anchor\"><\/span>The Age of Exploration and the Columbian Exchange<\/h3>\n<p>\nCross-pollination of cultures and spreads of \u201cdominant\u201d cultures have been taking place since the dawn of civilization, but globalization as we know it really began to emerge in earnest during the European <a class=\"ylist\" href=\"https:\/\/www.mometrix.com\/academy\/age-of-exploration\/\">Age of Exploration<\/a>, which began in the 15th century.<\/p>\n<p>The establishment of overseas European empires by the Portuguese, Spanish, Dutch, French, and British in territories in Africa, the Americas, and Asia during this time opened up lucrative markets for international trade in goods and ideas. In the \u201cColumbian Exchange,\u201d named after the pioneering voyages of <a class=\"ylist\" href=\"https:\/\/www.mometrix.com\/academy\/christopher-columbus\/\">Christopher Columbus<\/a>, goods from the Americas, such as cocoa, tobacco, and corn were traded for European horses, cows, and sheep.<\/p>\n<h3><span id=\"ProtoGlobalization_and_Multinational_Trade\" class=\"m-toc-anchor\"><\/span>Proto-Globalization and Multinational Trade<\/h3>\n<p>\nAs these trading links deepened, the world entered a period of \u201cproto-globalization,\u201d lasting roughly from 1600 to 1800. Proof that the world had entered an era of globalized markets came with the enormous Chinese demand for precious metals mined from European overseas empires.<\/p>\n<p>Under the <strong>Ming Dynasty<\/strong>, Chinese rulers had done away with paper money and gone to a silver-based currency. They quickly ran out of silver mined in China though, and by the late-16th century were importing 50 tons of silver a year, much of it from Spanish and Portuguese mines in the Americas.<\/p>\n<p>European merchants traded silver for Chinese silks, porcelain, and other fine wares. Individuals were soon able to earn returns on the multinational companies formed during this time. 1602 marked the formation of the Dutch East India Company, the first multinational corporation that sold stock.<\/p>\n<h2><span id=\"Industrialization_and_Modern_Globalization\" class=\"m-toc-anchor\"><\/span>Industrialization and Modern Globalization<\/h2>\n<h3><span id=\"Steam_Power,_Mass_Production,_and_Imperial_Expansion\" class=\"m-toc-anchor\"><\/span>Steam Power, Mass Production, and Imperial Expansion<\/h3>\n<p>\nEuropean empires and a former colony of the British Empire, the United States, launched new periods of territorial, economic, and cultural expansion in the 19th century, beginning modern globalization. In Europe and America, the Industrial Revolution fueled this change, catalyzed by the steam engine. First patented by <strong>Thomas Savery<\/strong> in 1698, the invention was substantially improved by <strong>James Watt<\/strong> in the latter half of the 18th century, and eventually took the form of the high-pressure steam engine in the early part of the 19th century.<\/p>\n<p>The effects of powerful steam engines in factories were revolutionary, allowing for standardized, mass production of household goods. Steam-powered travel by train and boat quickened the pace and extended the reach of international trade.<\/p>\n<p>European governments used this era of globalization to expand their overseas empires, particularly in Africa and Asia. This hegemonic expansion oftentimes put local populations in horrible conditions using their labor to extract raw materials that were transformed into value-added goods by European factories. With <strong>European imperialism<\/strong> came the massive spread of international banking, railroads, factories, and mechanized weapons.<\/p>\n<p>The wealth and connections generated by these trends proved a double-edged sword in globalization\u2019s development. Through them, Europeans imprinted their culture on African, Asian, and Middle-Eastern colonies, but eventually those colonies used the advances of globalization to throw off the European yoke.<\/p>\n<h2><span id=\"Transportation,_Finance,_and_Global_Markets\" class=\"m-toc-anchor\"><\/span>Transportation, Finance, and Global Markets<\/h2>\n<h3><span id=\"Transportation_and_Global_Supply_Chains\" class=\"m-toc-anchor\"><\/span>Transportation and Global Supply Chains<\/h3>\n<p>\nThe steam-powered trains and ships of the 19th century accelerated globalization by reducing the cost and time of overseas and inland transportation. And the invention of containerized shipping in 1956 allowed for economical multinational supply chains, further increasing global interconnectedness.<\/p>\n<p><strong>Commercial air travel<\/strong>, thanks to the development of accessible airports and jumbo jets, became a largely affordable and economical means of long-distance travel in the 1970s.<\/p>\n<h3><span id=\"Cashless_Payments_and_Global_Money\" class=\"m-toc-anchor\"><\/span>Cashless Payments and Global Money<\/h3>\n<p>\nThe transition to a cashless economy through globalized technology began when American Express introduced the first general-purpose credit card in 1958, followed by Visa and MasterCard\u2019s versions a decade later. By the 1970s, debit cards had also arrived on the scene, and with usage of both credit and debit cards skyrocketing, by the 1990s much of the world was conducting personal-consumer transactions with virtual money.<\/p>\n<p>While for some in the rich world this has meant unnecessary spending and debt, in developing nations, access to money via their smartphones allows for better trade and increases in quality of living.<\/p>\n<h3><span id=\"Bretton_Woods,_the_IMF,_and_the_World_Bank\" class=\"m-toc-anchor\"><\/span>Bretton Woods, the IMF, and the World Bank<\/h3>\n<p>\nMoney, specifically the US dollar, has played a decisive role in globalization. In the years after the Second World War, the globalized, international monetary system as we know it came into existence. The <strong>Bretton Woods Conference<\/strong> of 1944, headed by representatives of the Allies who had defeated Nazi Germany and imperialist Japan, were designed to foster open markets and increasing economic interconnectedness. It also led to the creation of what would become the World Bank and the International Monetary Fund (IMF).<\/p>\n<h3><span id=\"The_Asian_Tigers,_GATT,_and_the_WTO\" class=\"m-toc-anchor\"><\/span>The Asian Tigers, GATT, and the WTO<\/h3>\n<p>\nParticipation in the globalized system of commerce and its attendant technological innovations probably saved the economies of South Korea, Singapore, Taiwan, and Hong Kong from devastating debt crises and even allowed them to unleash a newfound period of prosperity, birthing the name \u201cAsian Tigers.\u201d<\/p>\n<p>From the 1960s through much of the 1990s, the four Asian Tigers carried out self-sufficient industrialization programs and exported their way to prosperity, while largely free of external debt. South Korea had appreciable levels of debt, but nullified the potential disadvantage through robust exportation of manufactured goods.<\/p>\n<p>With the end of the <strong>Cold War<\/strong> in 1991, globalization was soaring to new heights, and also new depths. The General Agreement on Tariffs and Trade (or GATT), inked in 1947 and subsequently expanded, had ushered in a period of trade liberalization around the world. GATT eventually morphed into the World Trade Organization (WTO) in 1995, and by 2001 exports represented 16.2% of gross world product, nearly double the figure of 8.5% in 1970.<\/p>\n<p>Russia was considered a developing country in the 1990s, but like China it has since used globalization strategically: Russia acceded to the WTO in 2012, and though the WTO currently has 164 members including the US, Russia and China arguably cooperate as closely now against the US as they did during the Cold War, partly because of renewed American economic hostility towards both countries.<\/p>\n<h2><span id=\"Digital_Globalization\" class=\"m-toc-anchor\"><\/span>Digital Globalization<\/h2>\n<h3><span id=\"Computers,_the_Internet,_and_Mobile_Communication\" class=\"m-toc-anchor\"><\/span>Computers, the Internet, and Mobile Communication<\/h3>\n<p>\nTime, space, and access to large amounts of information have been compressed enormously through the modern era of globalization. ARPANET, the US Department of Defense funded precursor to the internet, took shape in 1969. In 1981, IBM released the first personal computer and introduced the term \u201cPC\u201d into mass usage. Apple followed suit in 1984 with the Macintosh, which came with its own screen and mouse.<\/p>\n<p>Between 1989 and 1991, Oxford-trained physicist Tim Berners-Lee, with help from others, developed web pages, HyperText Transfer Protocol (HTTP) and Universal Resource Locators (URLs), components of what became known as the internet. Increasing connectivity online proceeded alongside increasing connectivity on the phone. Dr. Martin Cooper of Motorola came out with the first modern cell phone in 1973; Tokyo introduced the first commercial cell-phone network in 1979; and by 1982, commercial cellular phone service was available in the US.<\/p>\n<h3><span id=\"Social_Media,_ECommerce,_and_Online_Entertainment\" class=\"m-toc-anchor\"><\/span>Social Media, E-Commerce, and Online Entertainment<\/h3>\n<p>\n<strong>Personal computers<\/strong> and fast <strong>internet connections<\/strong> have made globalization itself faster, deeper, and potentially more dangerous, as well as more beneficial. Together, they\u2019ve given rise to the phenomenon of social media and multinational social-media corporations that have become profit-making machines for their shareholders, coming full circle to the rise of stock-issuing multinational corporations that began in the 1600s.<\/p>\n<p>By December 2013, LinkedIn, Facebook, and Twitter had all become publicly-traded companies through initial public offerings. Citizens of almost any country with access to the Internet can find answers to just about anything using internet search engines like Google although some governments, like China, heavily censor the internet and restrict access to information.<\/p>\n<p>Individuals can communicate and grow their personal networks through cell phones, email, LinkedIn, and Facebook; they can reach audiences and amass followings quickly through Twitter; and they can order items from the comfort of their homes on Amazon, which previously would have required trips to brick-and-mortar stores. The internet has even expanded the realm of movies and TV, with scripted productions being broadcast over internet-connected Over-the-Top (or OTT) networks including Netflix and Hulu. <\/p>\n<h3><span id=\"Digital_Risks_and_Financial_Instability\" class=\"m-toc-anchor\"><\/span>Digital Risks and Financial Instability<\/h3>\n<p>\nBut this high-speed connectivity also allows large-scale investors to pour large volumes of money into banks and stock markets just as quickly as they can pull it out. The internet has expanded the power of these high-frequency traders, and they\u2019re arguably responsible for an increased risk of bubbles forming in stock markets. The closer linkages to international markets and fast, virtual money which the internet provided, were definitely among the causes of the financial crisis in East Asia in the 1990s.<\/p>\n<p>Like any disruptive change, globalization has brought positive and negative consequences in its wake. Economies of sovereign countries can catapult into spectacular growth, or be ruined overnight. Through cell phones, personal computers, and the internet, we\u2019re connected more than ever before. Money flows easier and quicker, and we can make purchases online; but our appreciation of real value can suffer in the process.<\/p>\n<p>I hope this overview was helpful! Thanks for watching, and happy studying!<\/p>\n<ul class=\"citelist\">\n<li><a href=\"https:\/\/en.wikipedia.org\/wiki\/Columbian_exchange\"target=\"_blank\">\u201cColumbian Exchange.\u201d Wikipedia<\/a><\/li>\n<li><a href=\" https:\/\/en.wikipedia.org\/wiki\/Globalization#Early_modern\"target=\"_blank\">\u201cGlobalization.\u201d 2023. Wikipedia<\/a><\/li>\n<li><a href=\"https:\/\/www.thoughtco.com\/invention-of-the-steam-engine-104723\"target=\"_blank\">Kelly, Martin. 2019. \u201cThe Inventors of the Steam Engine Were No Punks.\u201d ThoughtCo<\/a><\/li>\n<li><a href=\"https:\/\/www.thoughtco.com\/the-european-overseas-empires-1221203\"target=\"_blank\">M. A., Medieval Studies, and Medieval Studies B. A. n.d. \u201cA Look at the History of European Overseas Empires.\u201d<\/a><\/li>\n<li><a href=\"https:\/\/www.worldatlas.com\/articles\/who-are-the-four-asian-tigers.html\"target=\"_blank\">\u201cWho Are the Four Asian Tigers?\u201d n.d. WorldAtlas<\/a><\/li>\n<li><a href=\"https:\/\/en.wikipedia.org\/wiki\/General_Agreement_on_Tariffs_and_Trade\"target=\"_blank\">\u201cGeneral Agreement on Tariffs and Trade.\u201d Wikipedia<\/a><\/li>\n<li><a href=\"https:\/\/www.euronews.com\/2019\/11\/29\/russia-and-china-deepen-ties-with-river-amur-bridge\"target=\"_blank\">\u201cRussia and China Deepen Ties with River Amur Bridge.\u201d 2019<\/a><\/li>\n<li><a href=\"https:\/\/en.wikipedia.org\/wiki\/History_of_the_Internet\"target=\"_blank\">\u201cHistory of the Internet.\u201d Wikipedia<\/a><\/li>\n<li><a href=\"https:\/\/www.thoughtco.com\/history-of-the-ibm-pc-1991408\"target=\"_blank\">\u201cIBM\u2019s Invention of the First Personal Computer.\u201d ThoughtCo<\/a><\/li>\n<li><a href=\"https:\/\/www.thoughtco.com\/the-history-of-apple-computers-1991454\"target=\"_blank\">Bellis, Mary. 2019. \u201cThe History of Apple Computers.\u201d ThoughtCo<\/a><\/li>\n<li><a href=\" https:\/\/www.thoughtco.com\/history-of-the-internet-1992007\"target=\"_blank\">\u201cHow Much Do You Know about the History of the Internet?\u201d ThoughtCo<\/a><\/li>\n<li><a href=\"https:\/\/www.thoughtco.com\/martin-cooper-history-of-cell-phone-1989865\"target=\"_blank\">\u201cWho Invented the Cell Phone?\u201d ThoughtCo<\/a><\/li>\n<li><a href=\"https:\/\/www.investopedia.com\/financial-edge\/0212\/how-the-internet-has-changed-investing.aspx\"target=\"_blank\">Fuhrmann, Ryan. 2019. \u201cHow the Internet Has Changed Investing.\u201d Investopedia<\/a><\/li>\n<li><a href=\"https:\/\/www.frbsf.org\/economic-research\/publications\/economic-letter\/1998\/august\/what-caused-east-asia-financial-crisis\/\"target=\"_blank\">Moreno, Ramon. 1998. \u201cWhat Caused East Asia\u2019s Financial Crisis?\u201d Federal Reserve Bank of San Francisco<\/a><\/li>\n<\/ul>\n<\/div>\n<\/div>\n\n<div class=\"home-buttons\">\n<p><a href=\"https:\/\/www.mometrix.com\/academy\/history\/\">Return to History Videos<\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Return to History Videos<\/p>\n","protected":false},"author":1,"featured_media":100120,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"open","template":"","meta":{"footnotes":""},"class_list":{"0":"post-13738","1":"page","2":"type-page","3":"status-publish","4":"has-post-thumbnail","6":"page_category-history-videos","7":"page_category-video-pages-for-study-course-sidebar-ad","8":"page_type-video","9":"subject_matter-social-studies"},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.mometrix.com\/academy\/wp-json\/wp\/v2\/pages\/13738","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.mometrix.com\/academy\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.mometrix.com\/academy\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.mometrix.com\/academy\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mometrix.com\/academy\/wp-json\/wp\/v2\/comments?post=13738"}],"version-history":[{"count":5,"href":"https:\/\/www.mometrix.com\/academy\/wp-json\/wp\/v2\/pages\/13738\/revisions"}],"predecessor-version":[{"id":292967,"href":"https:\/\/www.mometrix.com\/academy\/wp-json\/wp\/v2\/pages\/13738\/revisions\/292967"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.mometrix.com\/academy\/wp-json\/wp\/v2\/media\/100120"}],"wp:attachment":[{"href":"https:\/\/www.mometrix.com\/academy\/wp-json\/wp\/v2\/media?parent=13738"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}