CS1 - Global flows & the UK
Which massive flows interconnect the world & the UK?

1. Worldwide trade & investment
• ‘Made in world’ goods
- The technical transport & communication revolutions explain the dramatic fall in the cost of phone calls, passenger and freight traffic. And the political decision to liberalise, deregulate trade opened borders worldwide.
=> It allows British TNCs like GSK pharmaceuticals to choose where to locate its different activities (R&D, headquarters, plants) depending on the cost and skills of labour, local legislation, currency, taxes rates and incentives. This IDL accounts for the massive flows of goods and the increase in world trade..
• Massive financial flows
- Today’s globalization is financial. Massive capital flows criss-cross the planet at light speed thanks to the communication revolution. They mostly move between developed countries, with the exception of China an increasingly powerful financial centre, and Latin America to a lesser extend.
- In 2015 London became the top world financial centre over New York as it is a business-friendly (deregulated) and connected city with a highly skilled workforce and a good image. On a national scale, the conservative victory in the 2015 general election, the strength of the Union and powerful business and finance services also contributed. But Brexit has yet to happen…

2. People on the move
• International tourism on the rise
- 2016 global trends: more tourists => more spending => economic growth and sustainable development. Arrivals to top destinations, developed (EU & US) and emerging countries, increased. Tourists from main sending countries (China n°1 followed by US & EU) also increased.
- The UK is the 8th destination and London attracts many visitors for sightseeing (iconic monuments), cultural activities (concert halls and museums) & deluxe shopping (Harrods).
• Worldwide migration flows
- General trends: From less developed source/sending countries to more developed host/receiving countries within the South, from the South to the North and inside the North
- UK trends: largest inflows from developing New CW Indian sub-continent & Zimbabwe (despite 2004 law) + developed US = brain drain, highest increase from Poland (A8) ; outflow to Spain (amenity/lifestyle migration)
• Major pull factors
- Most developed countries are multiethnic, cosmopolitan, multicultural thanks to immigrants attracted by traditional political and economic but also by more specific pull factors.
- The most famous is the American Dream but maybe there is a British Dream too. Indeed, non-White migrants already settled in a EU country with a more extensive Welfare State are ready to immigrate to the UK. They feel non-white self-made people are more celebrated even if it’s harder at first due to UK’s more liberal economy. They also think Commonwealth immigration increased diversity and resulted in a truly multiethnic, less prejudiced society.