Why is there a Global North-South economic divide in world politics today?

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Ian Jackson – POLI 3045 – The Politics of Globalisation

Why is there a Global North-South economic divide in world politics today?

There have been and still are many problems in the world of politics today. The Global North-South economic divide is just one of them. In order for this essay to be answered, it needs to be split into several sections accordingly. Firstly a definition of what the ‘North-South’ divide will be offered, however there are many types of North-South divides (like digital divide, knowledge divide) but this essay will be looking at the economic divide. Secondly and the pivotal part is the reasons as to why the divide still exists in world politics today with reasons such as colonialism and trade. Finally a conclusion will be given summarising the essay and also provide ways to bridge the ‘gap’ in the North-South economic divide as for many states the divide has more disadvantages than advantages.

The North-South divide is the socio-economic and political division which exists between the wealthy developed countries, known collectively as "The North", and the poorer developing countries, as "The South". Although most nations comprising the "North" are in fact located in the Northern Hemisphere, the divide is not primarily defined by geography. The term was coined to differentiate the cultural divide between East and West. As nations become economically developed, they may become part of the "North", regardless of geographical location, while any other nations which do not qualify for "developed" status are in effect deemed to be part of the "South". For more than a generation, the North-South divide was central to the explanation of world inequality and poverty. From the 1960’s until the late 1980’s, the image of a world split between the wealthy developed countries of the North and the poor developing countries of the South fuelled the activity of policy makers and scholars alike.

Through the 1950’s and 1960’s, countries regarded as developing nations were weighted down with unequal trade agreements, multinational pricing practices, debt burden, pre-capitalist appropriation of labour, capital flight, the looting of natural resources and local corruption. As well, it was harder for the developing countries to compete and work in an economic system that favoured the northern countries. The international financial institutions, the stock markets, the commodity cartels and the monopoly structure of global capitalism stacked the cards against the developing world, in favour of tilting the economic wheel of prosperity towards the North. As a result, the pillage of the third world continued, even after the colonizers departed and, supposedly, left free, open and independent societies. In the process, however, the developing countries were left with depleted resources, a barren land, stagnate economies, financially ruined governments and impoverished people. From the 1960’s until the late 1980’s, the world split between the wealthy developed countries of the North and the poor developing countries of the South fuelled the activity of policy makers and scholars alike.

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One of the foremost reasons for why the north-south divide exists is because of colonialism. For a long time many countries in the North held colonies in the South as assests and prevented them from developing so that their power was retained. A good example is Zambia, which only gained independence in 1954. Up until then, Zambia was suppresed since over 70% of profits from copper went overseas and only $60 million of capital flowed into the country each year. Therefore the colonial power acted as a block to development. This is not the case now but there is ...

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