Презентация - Structure of the world economy Indicates of internationalization International division of labour

Тимофеева А. А. 2017

The national states Transnational corporations Regional integration associations International organizations Тимофеева А. А. 2017 The structure of the world economy 25. The structure of the world economy ( open ?)

National economies The main subject of the world economy Economic sovereignty: key decisions remain with the government of the reviewed country Goods, services, capital, labour and knowledge are of national origin And yet the value of national economies in the world economy is declining National economic sovereignty in some integration s has already combined with the supranational decision-making mechanism (especially the EU). International economic relations are also increasingly taking integration color : is made in the EU Тимофеева А. А. 2017 26. Why national countries are The main subject of the world economy? What are the reasons of their decreasing influence?

Internationalization 27. Definition of internationalization

Тимофеева А. А. 2017 Indicators of internationalization Participation in the world trade: Export quota Import quota Foreign trade turnover quota The share of imports in retail turnover The mapping of the country share in world exports, with its share in world GDP (Russia 0,7 (1,8% : 2,6%); United States 0,6 (12% : 20%); Japan 0,7 (5% : 7%)) The value of exports per capita (Russia – $ 1800, United States – $ 3,500, China – $ 500) OPEN ECONOMY CLOSED ECONOMY 26. Indicators of internationalization according to Participation in the world trade

COUNTRY GDP (PURCHASING POWER PARITY) CHINA $17,630,000,000,000 EUROPEAN UNION $17,610,000,000,000 UNITED STATES $17,460,000,000,000 INDIA $7,277,000,000,000 JAPAN $4,807,000,000,000 GERMANY $3,621,000,000,000 RUSSIA $3,568,000,000,000 BRAZIL $3,073,000,000,000 FRANCE $2,587,000,000,000 INDONESIA $2,554,000,000,000 UNITED KINGDOM $2,435,000,000,000 MEXICO $2,143,000,000,000 ITALY $2,066,000,000,000 KOREA, SOUTH $1,786,000,000,000 COUNTRY EXPORTS CHINA $2,252,000,000,000 EUROPEAN UNION $2,173,000,000,000 UNITED STATES $1,610,000,000,000 GERMANY $1,547,000,000,000 JAPAN $710,500,000,000 KOREA, SOUTH $628,000,000,000 FRANCE $578,300,000,000 NETHERLANDS $552,800,000,000 HONG KONG $528,200,000,000 RUSSIA $520,300,000,000 UNITED KINGDOM $503,400,000,000 ITALY $500,300,000,000 CANADA $465,100,000,000 SINGAPORE $449,100,000,000 Export quota 30. Calculation of export quota

Тимофеева А. А. 2017 Next lecture

Participation in the international movement of factors of production ( capital) The volume of accumulated foreign investment in the country relative to its GDP The amount of external debt relative to GDP The volume of payments on service of external debt relative to revenues from exports of goods and services 25. Indicators of internationalization according to forms of international economic relations (open)

Participation in the international movement of factors of production (labour, information) The share of foreign workers in total employment The number of occupied overseas domestic labor The share of foreign patents and licences in the total number of resident patents and licenses The size of the export and import of technologies 25. Indicators of internationalization according to forms of international economic relations (open)

Transnational corporations Represent a system of enterprises (firms), including head (parent) company (it generally defines the nationality of TNCs) and their foreign branches the parent company provides control over the foreign companies through the ownership of 10% or more of ordinary shares or equivalent share capital The forms of branches The Department - is firm in the host country, which is owned by parent company wholly or jointly with another company, the Department is not a legal entity A subsidiary company is a company in which the parent company owns more than 50% of shares and which is registered in the host country as a legal entity, i.e. as an independent company. An associated company is a company in which the parent company owns at least 10%, but not more than 50% of shares and which is a legal entity. Тимофеева А. А. 2017 27. Forms of branches

Тимофеева А. А. 2017 the company, with the foreign assets about 25-30 % of their total volume and with branches in two or more countries Transnational corporation ( indexes) I T 1/3 (A I /A R I /R S or I /S) x 100 % , where I T is the index of transnationalization, %; A I — foreign assets; A — total assets; R I — sales of goods and services by foreign affiliates; R — total sales of goods and services; S I — a foreign employees; S — the total number of employees of the company. 28. Definition of transnational corporation 29. Index of transnationalization and its calculation

Тимофеева А. А. 2017 TNC Area of activity Assets Sales Employment Integral index of transnationality «ЛУКойл» (РФ) Нефтяная промышленность 26,2 78,0 9,2 37,8 «Норильский никель» (РФ) Цветная металлургия 10,4 84,9 1,8 32,3 «Новошип» (РФ) Морские перевозки 91,7 85,0 1,4 58,9 «Русал» (РФ) Цветная металлургия 11,4 81,2 8,6 62,9 Приморское морское пароходство (РФ) Морские перевозки 86,4 77,6 50,0 71,3 «Мечел» (РФ) Черная металлургия 3,3 60,6 13,0 25,6 Дальневосточное пароходство (РФ) Морские перевозки 32,5 31,2 4,2 22,8 «Алроса» (РФ) Горнодобывающая промышленность 1,0 45,3 0,0 15,4 «Газпром» (РФ) Добыча газа и нефти Нет данных 67,3 Нет данных Нет данных ОМЗ (РФ) Тяжелое машиностроение 38,5 51,7 38,5 42,9 «Северсталь» (РФ) Черная металлургия 2,6 59,3 13,0 25,0 General Electric (США) Производство электрического и электронного оборудования 59,8 37,2 46,3 47,8 Vodafone Group (Великобритания) Телекоммуникации 95,8 85,3 80,1 87,1 Ford Motor (США) Автомобильная промышленность 58,9 41,6 45,5 48,7 British Petroleum (Великобритания) Нефтяная промышленность 80,0 81,5 83,1 81,5 Hatchison Wampoa (Гонконг) Различные отрасли 80,4 49,5 82,8 70,9 Petronas (Малайзия) Нефтяная промышленность 36,0 29,3 11,8 25,7 Singtel (Сингапур) Телекоммуникации 75,9 69,9 45,3 67,1 Samsung Electronics (Ю. Корея) Производство электрического и электронного оборудования 21,9 77,7 34,3 44,7 CITIC Group (Китай) Различные отрасли 17,0 27,2 17,1 20,4

Тимофеева А. А. 2017 Diversity and competition is an illusion 30. Why diversity and competition is an illusion 31. Top-3 most powerful countries in the world (video)

Тимофеева А. А. 2017

Тимофеева А. А. 2017

Тимофеева А. А. 2017

Тимофеева А. А. 2017

Тимофеева А. А. 2017

Regional integration associations Economic integration - the interaction of national economies, leading to their gradual economic merger The reasons for economic integration: The main reason for this process is the desire to improve the economic efficiency of production, and the integration is primarily economic in nature; Strengthening political influence; The means of avoiding military politic conflicts. Тимофеева А. А. 2017 32. Definition of Economic integration

Тимофеева А. А. 2017

International organizations Organizations created on the basis of an international Treaty or by a decision of existing international organizations to analyze, discuss and resolve various issues of international economic life. Тимофеева А. А. 2017

Тимофеева А. А. 2017 Classification of International Organizations NGO IMPORTANT INTERNATIONAL ORGANIZATIONS Name Type Date Founded Members as of 2006 Amnesty International NGO 1961 1.8 million members in 150 countries International Olympic Committee (IOC) NGO 1894 115 individuals, who represent the IOC in their home countries Organization of Petroleum Exporting Countries (OPEC) IGO 1960 11 states, including Venezuela, Qatar, and Indonesia Salvation Army NGO 1878 Runs programs in more than 100 countries; has 3.5 million volunteers Save the Children NGO 1932 Helps children in poverty around the world, including the United States and Nepal United Nations (UN) IGO 1946 191 states, including Burkina Faso, Denmark, the United States, and Jamaica World Bank IGO 1945 Offers loans to more than 100 states, including Cameroon and Senegal Specialized purpose General purpose

Тимофеева А. А. 2017 international division of labor

The material basis of the world economy is the international division of labor Тимофеева А. А. 2017

Functional Territorial Public Technical (isolated) Regional international General The selection of branches Particular The selection of sub-branches The division of labor on the number of partial functions within the enterprise Differentiation in society of various social functions The division of labor is differentiation, specialization of labor activities, leading to the identification and coexistence of its different species, the separation of labor in society Тимофеева А. А. 2017

The classifier of types of economic activity Consists of 17 sections: 1. Agriculture, hunting and forestry 2. Fishing and fish farming 3. Mining 4. Manufacturing 5. Production and distribution of electricity, gas and water 6. Construction 7. Wholesale and retail trade; repair of motor vehicles, motorcycles, household goods and personal items 8. Hotels and restaurants 9. Transport and communications 10. Financial activities 11. Operations with real estate, rent and granting of services 12. Public administration and military security; obligatory social security 13. Education 14. Health and social services 15. Other community, social and personal services 16. Provision of services for the household 17. Activities of extraterritorial organizations Тимофеева А. А. 2017

The social division of labour expressed in the form of specialization of production Specialization of production reflects a process of concentration of production of certain products or parts in independent industries and specialized enterprises The forms of specialization Subject the production of finished end products Detailed– the production of parts and components Technological – the production of semi-finished products Тимофеева А. А. 2017

the international division of labor forms International general International particular International technical the international division of labor consequences international specialization – concentration of resources of the country in those industries, where it has natural or acquired advantages International cooperation – the process of establishment and development of production linkages between firms in different countries Тимофеева А. А. 2017 33. The international division of labor forms and their meaning 34. the international division of labor consequences

Тимофеева А. А. 2017 Questions: The structure of the world economy Definition of the term Internationalization Reasons for Internationalization Absolute and relative Indicators of internationalization for a) trade b) capital flows c) labour migration d) information flows (To be able to create these indicators) Export quota, import quota, foreign trade quota (how to calculate) Definition of Transnational corporation How TNC control its branches? Types of TNC branches Index if transnationalization (how to calculate) Explain why Diversity and competition is an illusion Economic integration (definition) Reasons for Economic integration Examples of Regional integration associations International organizations (definition) Types of International organizations with 1 example General division of labor (definition, examples) Particular division of labor (definition, examples) Technical division of labor (definition, examples) International division of labor (definition, examples) The forms of specialization. Reasons for specialization International cooperation (definition)