What is the impact of the current energy crisis, which is developing simultaneously in many countries, on the processes of globalization?
Internationally and globally operating social, economic, financial processes, cultural changes taking place, changing standards in the cross-border movement of various factors of production, various categories of capital, value, changes in the field of global Internet media, etc. in recent years have determined changes in the processes of globalization. The SARS-CoV-2 (Covid-19) coronavirus pandemic also modified globalization processes in many ways. Interrupted during the pandemic, the chains of international supply and procurement logistics delayed the delivery of components, prefabricated products and raw materials for production processes of manufactured final products in other regions of the world, in other countries, on other continents. On the other hand, during the pandemic, the scale of digitization and Internetization of economic processes increased, the use of remote communication, data transfer via the Internet, including internationally, increased. The scale of settlements and payments made online increased. The development of e-governance, e-banking, e-commerce, e-logistics, e-learning, purchases made via the Internet, remote work, digitization of public offices and institutions, development of online and mobile banking, offering cultural services of museums, galleries, theaters, etc., has accelerated. Also, the global problems of the climate crisis, the progressive process of global warming, the global problems of environmental pollution and greenhouse gas emissions, the global problems of climate change discussed at the UN-Eth international COP Climate Conferences, etc. determine the processes of pro-environmental and pro-climate globalization. Also, economic and financial crises are sometimes realized internationally and globally. This was the case, for example, during the recent global financial crisis of 2007-2009. Key changes in market trends on commodity exchanges and stock exchanges are simultaneously occurring analogously in many different parts of the world, in different countries, on different continents. At present, in many countries where during the pandemic additional government subsidy programs were applied, financial mainly non-refundable state aid to commercially operating economic entities, additional financial social programs on the basis of the issuance of treasury securities, an increase in the debt of the system of state finances and the printing of money from 2021, an increase in inflation has appeared. Central banks to limit the growth of inflation taking analogous measures to raise interest rates affect economic processes in many countries. The rising cost of money causes a decline in lending, a decline in investment, a decline in the economic activity of companies and enterprises, unemployment may appear. Simultaneously appearing analogous downturn processes may lead to another economic crisis in 2023, which will also be global. Meanwhile, another energy crisis is currently developing in many countries. This crisis also determines the occurrence of various economic problems, which either also operate internationally or take place in the form of analogous economic, social and other processes realizing at the same time, in the same nature in different countries. Since the currently developing energy crisis determines many derivatives of analogous economic and other phenomena occurring in many countries, so it also acquires an international and perhaps global character.
In view of the above, I address the following question to the esteemed community of researchers and scientists:
What is the impact of the currently developing simultaneous energy crisis in many countries on the processes of globalization?
What do you think about this topic?
What is your opinion on this issue?
Please answer,
I invite everyone to join the discussion,
Thank you very much,
Best regards,
Dariusz Prokopowicz
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There is a positive correlation between globalization and energy consumption. Globalization decreases energy consumption in the majority of countries in the long-run. Bidirectional relationship between globalization and energy consumption in the long-run. Globalization has a positive effect on energy consumption.
https://www.sciencedirect.com/science/article/pii/B9780128244401000151
Citation from the source.
Conclusion:
The current energy crisis curbs (decreases) globalization, but energy consumption will increase (if the findings of this article are sound).
A crisis is an event or series of events with negative impact on the survival of the members of an organization. Failure to properly respond to the crisis results is the reduction of size of the organization (death of the organization). For a global organization consisting of several nation/states, this means dissolution of the global properties into separate (non-cooperating and warring) nations (nation either dissolves further or seeks to violently conquer resources from others).
The challenge is to have a global organization that can survive the crises. Humanity has NOT solved this issue, yet. But the current issue is not just the food or energy crisis, it is that there are several crises. So, the ``globalization'' of Bretton-Woods resulted in the decline of the USSR. But the continued hostility toward Russia and the inability of the US to continue the support of the members are creating several crises in the current structure. That is, a need for a new World Order is required and is not being sought. So, humanity will degenerate or will reorganize to include somethin like the Westphalia peace with all nations including China and Russia. Or another ``dark age'' is coming.
Am in agreement with your observations John Hodge
https://courses.lumenlearning.com/atd-herkimer-westerncivilization/chapter/the-peace-of-westphalia-and-sovereignty/
Instead of a traditional balance of power, inter-state aggression may now be checked by the preponderance of power, a sharp contrast to the Westphalian principle.
(citation from the source).
Conclusion:
A new Westphalian system would be a realistic insight into the current entropic situation.
I agree with the views of Dr Stephen I. Ternyik on energy crisis because there is a positive correlation between globalization and energy consumption. Globalization decreases energy consumption in the majority of countries in the long-run. Bidirectional relationship between globalization and energy consumption in the long-run. Globalization has a positive effect on energy consumption. Disruptions to the global energy market are putting Governments worldwide under enormous pressure. Rising energy prices are accelerating the cost-of-living crisis and sustaining the vicious cycle of constrained household budgets; increasing food and energy poverty; and increasing social unrest.
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