Discussion on Globalization.

A comment from my brother, Josh, currently in the Peace Corp stationed in Moldova.

Brett,
Thanks for trying to take a stab at my question. I have to say though I'm a little confused by the direction of the response you take.

You mention that what I ask “is a bit of a loaded question.” But I'm wondering why you say so. Trust me when I say I wasn't hoping for an indictment of globalization by you. Obviously it's a complex process with more gray than black or white. But still there has to be some dissenting voices, and I'm curious to know what that backlash is and how it differs from Kenya to Nicaragua. Or maybe you are saying – if I am reading between the lines correctly – that there is no backlash.

You say you haven't had any negative conversations about downsides of Western culture. That's good, (great, in fact). But does that suggest to you that there are none to be had, or merely that people are too polite to mention these downsides to a guest in their community (and a representative of that particular hegemonic institution in question).

I don't think anyone could argue the myriad benefits of globalization. You mention access to information and more freedom of choice, which are certainly true. But I wonder how that access is spread across the economic line: is it equal for poor and wealthy alike? What about in the families you visit? How do they compare with an average American, or even an average Nicaraguan family? Has this new information focused itself in the hands of the wealthy and thus compounded the economic divide, or has it helped to close the gap.

You mention seeing people on the buses with tons of American clothes and that there is an abundance of American products for sale. So how does this help the people. Maybe they look cool (or at least like the characters from Western movies they see). But at what price to their economy – and taking that a step further – to the livelihood of the individual. What effect does the flooding of cheap second-hand clothing on the market have on local or national clothing businesses. Can anyone compete with this? Or is this just another way that a poorer country is forced to become irrevocably reliant on a wealthier country.

If you want a place to start asking people around you, I suggest CAFTA (and it's relationship to Nicaragua's increasingly lopsided trade balance) or the rise in the drug economy. Or maybe, when you're visiting those families, do an informal survey of how many family members are forced to work abroad to send remittances home for lack of local job opportunities. I read somewhere that Nicaragua is more than 50 percent. What effect is the lack of one or both parents having on the families, and how will this manifest itself in the future generations?

You may be correct in saying there isn't a backlash to globalization and that it's benefits outweigh its costs. But I am pretty skeptical of the rosy picture you seem to be painting. Mostly I am surprised because I have never been to a country where people (with a little probing) aren't willing to voice their concerns about the effects that a more dominant culture – be it American, Russian, French or any other former colonial power – have on their own culture. And here you've been to two in the same summer.

My response:



You present all valid points, those are indeed many of the blaringly obvious downsides of globalization. Perhaps, also, I have managed to paint an overly rosy picture; but I want to make sure that you know not all effects of western culture and technology have the negative effect of providing youth of a developing country with false idols such as 50 cent and Tupac (I am referring of course to your blog posting here and your underlying implications that Western Culture and Mass Media can give the wrong impression). I don´t disagree with this view in particular, mind you, for this effect can even be seen in the United States with kids having an overly romanticized view of the “Gangster” way or gunslinging in the Wild West even. There are many downsides to globalization, but all too often these downsides are blown out of proportion to the effect of ignoring how it indeed helps more than we know. I am not saying there are no backlashes, I´m saying the backlashes should be fairly obvious and I want to focus on the unseen benefits.

I will start by citing one of my first observations in Kenya. The Telecommunications network there is, in my opinion, more advanced in many ways than that of America. Almost no one has a land line, but cell phones almost as common in the States. The network there, however, has many more features that are well ahead of the times in America. Cell phones are pay as you go. You add minutes to your phone by either buying a scratch card with a special code that you text to the network hub, or you go to a vendor and they literally text more minutes to your account. This same feature, in fact, is in Nicaragua as well. Additionally in Kenya, if my friend is out of minutes and I have some to spare, I can actually text them some minutes if desired. Because of the established communication giants in America, this is something that we should not expect to see in our country anytime soon. Because of the lacking infrastructure in developing countries, however, they are able to implement this newer wireless technology much quicker.

This feature has provided not only a simpler method for communication with greater availability for the masses, but has had several other positive effects as well. When I say people buy minutes, I mean that they add a balance to their phones (Kenyan Shillings in Kenya, and Dollars in Nicaragua) and then the balance is diminished based on the calling rate applicable to who you call (it costs more to call land lines and international). This means that when you give some of your balance to a friend, you are literally loaning them money. The way that this feature has been put to use is that vendors can actually sell their goods without having to accept cash. It is very possible, and quite common in fact, for people to buy things such as a soda or batteries by sending a text rather than handing over some bills.

This example is more of a convenience than an actual benefit, but there is another underlying benefit. Having a bank account is a luxury that has not been available to many Kenyans in the past. Because of minimum balance requirements and excessive service charges, a bank account was common only to the upper class. The capabilities of this Telecommunications, however, has effectively given the middle and lower classes access to the advantages of banking. People have even gone so far as to use the service as a substitute for ATM´s in some places.

In response to your question on American Products and how they benefit the people, I can´t be quite as optimistic, however. Nicaragua has a very troubled history (both political and economic) that has been heavily influenced by past and present US politics and desires. While superficial benefits can be seen in the availability of low cost “quality” products from companies such as Walmart (which owns at least two of the major supermarkets here), one can´t help but wonder how much of those profits actually stays in country and how much is filtered North to the corporate headquarters. Additionally, this irrevocable reliance on a wealthier country is blaringly obvious for me. The proximity of Nicaragua to a wealthy nation makes it seemingly worse here than in Kenya (although not by much). Because of the lack of Industry here, many products are purchased from foreign companies. Additionally, this means that when the product breaks down the only replacement parts available usually come from foreign companies as well.

I can´t say for sure how long this effect will last, probably for decades to come due to the political instability of the region, but I can say it is not unnoticed. It will take time to fix, but people are trying. Many people do realize the benefits of economic independence and domestic production over imports, and I have already read several books on the topic in my time here. There is a reason why I have been working on technologies with simple designs using locally available materials and technologies. This is the same reason why I am working with a local NGO rather than a foreign service. While it has become a bit of a fad word recently, it is promising to see that there are more prevailing sustainable solutions today than ever before.