CHAPTER 6:

LOCATING THE GLOBAL SOUTH

Mary Leona Luz A. Cabo

Rosebil C. Villablanca

Rowena Cajeda
 Written report: Locating The Global South
The term “Global South” used to be called as the “Third world”. The historical
emergence of the term is by looking at how inequalities have been produced through
political projects like colonization and present day neo-liberalism globalization.
Industrialization, borderless economy, and open market were the factors that define the
niche of the Global South. Countries of the Global South are dubbed as less developing
and struggling economies. They can be described as products of the western
colonization and an offshoot of the western industrialization.

There is a big difference between Global south and Global north. Global south is
constituted by region in Asia, Africa, Middle East and South, and Latin America which
are all developing nations and non-democratic. On the other hand, the Global North is
constituted like USA, Canada, Western Europe, Developed parts of Asia, Australia and
New Zealand which are wealthy, industrialized and democratic capitalist. The highly
developed economies have the access of the productive factors of the Global South. On
the one hand, the developed economies have the upper hand of the most of the raw
materials for manufacturing. Both are highly advanced in the development of industrial
resources, financial resources, the military and foreign political powers. The lack of
ownership of the productive factors like land, labor, capital, and entrepreneurial ability
makes the Global South countries dependent to the rich countries like Global North.
This economic condition was disclosed by Wolla and Surbhi that the growth rate of the
less developed nation determines the gap between rich and poor countries. The
countries with low industrialization, unstable economic policies, poor access to
productive factors, and low human capital make it hard for them to develop. As a result
global south counties became the haven for criminality, prostitution, environmental
degradation, graft and corruption, illegal drugs, and terrorism cells. This phenomenon of
economic stagnation creates influx of migration, dependence to foreign aids, and
ballooning foreign debts to those rich countries that can offer them their remedy for
economic development. Likewise, the ownership and little access to capital make the
global south countries to cling to their former colonizers whom offer trades and
development at a lesser advantage. With higher productivity and innovation incentives
such countries in the south could bounce back and play their roles in the competitive
world of globalization.

But there are various conditions affecting disparity of the Global South, which led
to the assumptions why it cannot easily adjust to globalization. First is the under
development of the Global South, globalization creates both affluence and poverty, neo-
liberalism cause and reinforce the endemic poverty of the Global South, various forms
inequality cut across national boundaries and Global South in the interstate inequalities.
Solutions to problems produced by globalization are largely forwarded on state level.
According to Eric Hobshwan, states may not be ideal for the purpose of a much
globalized world. Walden Bello contends that development in the Global south must
begin by drawing most of a country’s financial markets. While, G W F Hegel believes
that a universal “spirit” propelled world history, leading humankind to higher levels of
consciousness.

The resistance of the Global South from the colonial order starts with the
Property Rights that refers to the ability of people and business to own land and capital.
Next is the Free and Open Markets which refers the ability of people and businesses
to buy and sell goods and services with minimal interference by government and the
last is Rule of the Law that holds the law-not individual government leaders-govern a
nation and that the government, government leaders and all the people must follow the
law. The Rule of law provides a sense of stability and certainty for economic
transactions. Economic growth is defined as an increase in the nation’s capacity to
produce goods and services, It is the result of the process, or is the product of
development and it is an increase in output or production one can get the economic
growth of a country by comparing its GDP at present with the GDP last year. However,
it is not so easy to measure development as it is based upon many parameters such as
health, education, literacy levels, and life expectancy and so on.

The Global South poses a challenge in the world today; the ill living conditions
must be addressed properly. The quest and desire for optimum satisfactions must be
the goal in every government as regard its people. Finding means to properly allocate
limited resources for maximum benefit. By understanding scarcity and limitation of
goods and services one must not complain but rather adapt it to obtain probable
benefits in the consumption goods and services. Finally, increasing access to
international trade can provide markets for the goods produced by less-developed
countries and also increase productivity by increasing the access to capital resources.

The rise of the Global South is one of the most profound transformations the
world economy has seen in decades. In emerging countries aspirations are high. In
order to succeed in meeting demands, one must fully understand cultures and know the
world.