The paper entails the transition of the global economies to the new world. It highlights the incidences that featured in the first and second global economies and the new world. For instance, the paper has outlined how transportation methods enhanced international cooperation in the first global economy. The policies of international trade have been outlined to have marked the second global economy. The second global economy’s decline was marked by the end of the Second World War. More importantly, the second global economy was demonstrated by the decline of the Cold War and the Soviet Union. Peace and cooperation are some of the issues that marked the new world. International treaties sought to maintain global peace and cooperation at the beginning of the new world.
Transition of the Global Economies to the New World
The first global economy was attained through incredible technological advances of the industrial revolution. For instance, new methods of transportation reduced the ancient long travels on foot. Additionally, a voyage from Chicago to New York initially took three weeks while after technological advances occurred in the transport sector; the journey finally could take two days (Eckel and Neary 188-217). Gradual but substantial advancements marked the second global economy in protective policies. The protective policies came with free trade that spread in diverse nations. The new world was marked by the decline of the Cold War in 1989 and finally the failure of the Soviet Union two years later. This period was evident through the transformation of the global system of relations and leadership. With the decline of the Cold War, national primacies transformed and western allies bestowed an enhanced precedence to their economic interests.
THE FIRST GLOBAL ECONOMY
The first global economy was marked by massive development road, railway, and sea modes of transportation (Charvet and Kaczynska-Nay 1-13). The new modes of transportation fully interconnected international markets and enabled the entry of imported goods from the ports into the interior. On this note, the first global economy enhanced international exchange of goods and services. It is evident that the first global economy led to success in different sector but declined due to lack of regulated markets. The unrestrained marketplaces, with their cruelty and instability, were the forces that eventually caused the decline of the first global economy; therefore, it did not end well.
THE SECOND GLOBAL ECONOMY
The first free trade treaty was between the Great Britain and France. After this incidence, many trade treaties followed, which intended to protect the nation’s trading activities (Eckel and Neary 188-217). The free trade was not viewed as a commercial matter but as a global affair. Therefore, in this view, free trade resulted in diverse worldwide relations. International relations resulted in peaceful cooperation amid countries. Through nonviolent international cooperation, prosperity and interdependence were born. The effects of the second global economy were evident in the 19th century. Whereas the height of trade barriers was still within rational bounds, it was extensively understood that barricades would only upsurge with time. For instance, the great powers were quickly combining political regulations in an enraged hurry of striking land grabbing. The world seemed to be breaking into great royal alliances where some separated from the others. It appeared as though the states that regulated the alliances would become supreme; those devoid of enough land were to combine for self-sufficiency as affluence would be feted.
The relations that linked the ideas of central preparation and the visions of the 20th century were fictitious, to a larger degree, attributable to the many different actions of the Industrial Counterrevolution. Nevertheless, those who trailed the deadly lucidity, most openly and reliably, and the most substantial historical influence, were the state communists of Imperial Germany (Appadurai 282-295). The communist history endured thus casting extensive glooms. The action of establishing liberal rules followed amid the shells of the old order; therefore, it had to compete with wholly deformed circumstances. The world economy is still plagued with condemned systems, which deteriorate the present and complicate the future. The second global economy declined after the Second World War.
THE NEW WORLD
During this period, the world recorded democracy, peace, and enhanced prosperity (Charvet and Kaczynska-Nay 1-13). A change in the US policy was evident during the leadership of President Bush. Fresh and enhanced nationalistic importance was carried out during the succession of President Clinton (Appadurai 282-295). Advocates outlined that the financial battle substituted outdated security and political welfare. A transformation in the US attitudes and primacies resulted in financial unilateralism and endorsement of the North American Free Trade Treaty. An additional substantial indicator of this modification was the existence of a poorly managed trade process.
Changes in nationwide primacies and international rules had a huge and significant effect on the global economy (Raschke and Cheema 662-674). An extraordinary transformation in human affairs occurred as the stream of massive amounts of trade, investment, and expertise across countrywide boundaries. In the new world, political, economic, and social actions are becoming international in scope, and relations amid countries and societies on many faces enlarged. As integrative developments broaden and deepen internationally, markets have become, and are becoming significant instruments of determining both inland and worldwide matters (Raschke and Cheema 662-674). A global economy categorized by unlimited trade, investment flows, and the worldwide actions of international companies will profit the rich and impoverished similarly. These modifications show that international societies are being incorporated into a global economic structure and rocked by financial and technological powers with which they have a petite connection.
Fiscal revolts have connected national economies meticulously to one another and considerably improved the metropolises in emerging states. The improved sincerity of national economies has significantly strengthened global economic competition. The increase of international products traded in worldwide markets has been complemented by a substantial transformation in the sequence of global trade.
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