THE LATEST DEVELOPMENTS OF WORLD HISTORY
A. Post-War Japanese Economy
After World War II, the Japanese economy experienced very rapid growth so that it is called the Post-War Japanese Economic Miracle. This name was given to the historical phenomenon of the record period of Japanese economic growth after World War II, which was driven primarily by United States investment and partly by the Japanese government's economic interventionist practices, particularly through the Ministry of International Industry and Trade.
The special characteristics of the Japanese economy during the years of the “economic miracle” included: cooperation between producers/manufacturers, suppliers, distributors and banks in a closely knit group (keiretsu); strong, shunto company unions; good relations with government bureaucrats, and guaranteed lifetime employment (shusin koyo) in large companies and factories with strong blue-collar unions. Since 1993, Japanese companies have begun to abandon some of these norms in an effort to increase profitability and efficiency.
B. Japan's single currency
The Japanese yen is one of the strongest currencies in the world and one of the most traded currencies on the foreign exchange market. Japan is one of the leading industrial countries in Asia and has a very strong position in international trade. However, because Japan is very dependent on raw materials that must be imported from outside, fluctuations in the Yen are heavily influenced by fluctuations in the prices of raw materials and petroleum in the international market. Recently, fluctuations in the Yen have been closely related to fluctuations in the Nikkei index, the Japanese capital market index and the country's real estate market.
In its history, the Japanese economy experienced a bleak period during the oil embargo in the early 70's. However, during the takeover of Kuwait by Iraq which led to the 1992 Gulf War, it did not affect oil prices so that during this event the Japanese economy was not too affected. The Yen currency recorded its highest value in April 1995 which reached a rate of 1 Dollar equal to 80 Yen. This can be achieved because of the United States' economic policy which seeks to increase exports. With a lower dollar value, it is hoped that it will increase the export competitiveness of US products compared to similar products made in Japan.
European Single Currency
The euro is the currency used in the 16 member states of the European Union. In terms of circulation, this currency was used on January 1 1999, but physically it was only used on January 1 2002. Euro banknotes look the same everywhere, but the coins on the back are different. The coins of each country are given its own symbol.
The euro from one country can be used in the other twelve countries.
Although Euro banknotes look the same, there is also a small difference, namely the number, so you can tell which country it's from.
· In Germany the number starts with X
· In Ireland the number starts with T
· In the Netherlands the number starts with P
· In Greece the number starts with Y
· In France the number starts with U
· In Luxemburg the number starts with ?
· In Austria the number starts with N
· In Finland the number starts with L
· In Belgium the number starts with Z
· In Italy the number starts with S
· In Portugal the number starts with M
· In Spain the number starts with V
Countries using the Euro
There are sixteen member states of the European Union that use the Euro as currency. The area where this currency is used is known as the Eurozone. The first 11 countries started using it in early 1999. Greece became the 12th user since early 2001. From 1 January 2007 Slovenia joined. Cyprus and Malta use it since January 1 2008. The last one is Slovakia, which joined on January 1 2009. The following are countries that use this currency:
1. Germany
2. Ireland
3. Netherlands
4. France
5. Luxembourg
6. Austria
7 . Finland
8. Belgium
9. Italy
10. Portugal
11. Spain
12. Greece
13. Slovenia
14. Cyprus
15. Malta
16. Slovakia
In addition, several small countries also use the Euro:
1. Andorra
2. Monaco
3. San Marino
4. Vatican
Some regions are also allowed to use the Euro as currency:
1. Montenegro
2. Kosovo
C. Organization of Petroleum Exporting Countries (OPEC)
OPEC is an organization of oil exporting countries. This organization was established with the intention of regulating the production and price of crude oil. OPEC was founded on November 14, 1960 on the initiative of the countries of Iraq, Iran, Kuwait, Saudi Arabia and Venezuela. Indonesia has been a member of OPEC since 1962. OPEC members have increased with the inclusion of Algeria, Ecuador, Gabon, Libya, Qatar, Nigeria and the United Arab Emirates.D. North-South Cooperation
I . The Process of Birth of North and South Cooperation
The birth process of North-South cooperation began with a meeting between oil-producing countries and oil-consuming countries on April 7, 1975 in Paris, France. This ministerial level meeting was then officially popularized with the term International Economic Cooperation Conference which was first held on 16-18 December 1975 in Paris. This forum was later known as the North-South Dialogue. This forum includes non-formal, non-governmental and non-UN meetings.
The United States and France as the initiators of the North-South dialogue forum see the need for cooperation between oil-using countries and oil-producing countries. This is to overcome the energy crisis (oil), economic crisis, and oil embargo. The intention was welcomed by oil-producing countries, resulting in an international economic cooperation conference in December 1975 in Paris. Industrial countries view that the survival of the economy and industrial life is very dependent on the energy sector.
Initially, North-South cooperation only consisted of countries attending the International Economic Cooperation Conference in Paris, namely 27 countries. In its development, this forum expanded and developed into a forum for cooperation between industrialized countries and developing countries. The International Economic Cooperation Conference in mid-December 1975 in Paris was attended by countries belonging to the European Economic Community (EEC), Japan, the United States, Australia, Canada, Spain, Sweden and Switzerland as representatives of the North. While the South was attended by Algeria, Argentina, Brasilia, Cameroon, Egypt, India, Indonesia (representatives from ASEAN), Iran, Iraq, Jamaica, Mexico, Nigeria, Pakistan, Peru, Saudi Arabia, Venezuela, Yugoslavia, Zaire and Zambia.
Seeing the success of the first trial in December 1975 in Paris, a second trial was planned in Paris in December 1976. However, due to several obstacles, such as the need in the United States, West Germany and Japan, the second trial was adjourned in June 1977.
Between the two meetings, a high-ranking level trial and a member group meeting were held (April-November 1976). This trial was intended to help solve problems that would be decided at a ministerial meeting in May/June 1977.
From the two International Economic Cooperation Conferences and the results of intermediary meetings, the North-South dialogue forum has progressed. This cooperation is not only in terms of oil trading on the international market, but also extends to the fields of energy, raw materials, development and finance, and other sectors that support the global economy.
II. Objectives of North and South Cooperation
In general, the objectives of the North-South forum are as follows: a.
To harmonize relations between industrialized countries and developing countries. Economic management
The international community has demanded a new order that requires dialogue and cooperation between the North and the South.
b. Include the participation of developing countries in the international economic order and relations. To realize this goal, developing countries are active in making decisions at UN forums and in forums outside the UN.
c. To share profits fairly from the results of international trade.
Judging from its objectives, North-South cooperation can be interpreted as a mutually beneficial mutual communication forum. This communication forum has given birth to an attitude of educating one another, convincing one another, and changing the world order. In this cooperation, intergovernmental relations and relations between private parties have been established.
III. The Relationship Between North and South
The terms North and South actually have more economic meaning than geography. The North is identified as a group of developed countries, while the South tends to be addressed to developing countries or Third World countries. Northern countries include developed countries located in Western Europe, America and Canada. Southern countries include countries located in Asia, Africa, and Latin America.
Economically, developed countries have strong economies, while developing countries have relatively weak economies. In terms of natural wealth, developed countries do not have sufficient natural resources. Even so, these deficiencies can be overcome by mastering technology.
Differences in social, economic and cultural conditions between the North and South have led them to a state of interdependence. On the one hand, northern countries have advantages in science and technology, but are not supported by abundant natural resources. In contrast, Southern countries have relatively abundant natural resources, but are not supported by mastery of technology. Under these conditions, both parties consider it important to have North-South cooperation.
The main problem in North-South cooperation is efforts to change the new world relations order that is more just. The relationship must shift from blackmail by the North to shared benefit sharing. In other words, the relationship must change from a form of subordination to a form of partnership.
However, in reality, the form of North-South relations still tends to have a domination-subordination pattern. This form of cooperation only creates prosperity for the North countries. Southern countries are still experiencing various deficiencies. For example, a decrease in exchange rates for the goods they produce, environmental destruction, and increasing dependence on northern countries.
Northern countries tend to impose their development model on Southern countries. This coercion they do through negotiations in international financial institutions. The World Bank and IMF (International Monetary Fund), which were originally planned as financial institutions to help all countries in the world in development, were in fact used as tools by Northern countries to impose a development model that favored stronger countries. The World Bank and IMF issued a Structural Adjustment Program or SAP (Structural Adjustment Program) which basically forced countries that received debt relief to open up their domestic markets more, emphasized economic activities that produced goods that could be exported, and reduced government subsidies to public sector.
In connection with the various conditions experienced by the Southern countries, reforms were made among the Southern countries themselves. Southern countries increased their political and economic power. The South builds various relationships and builds its collective strength through positive activities within itself and does not make a position vis-Ã -vis the countries of the North.
On the other hand, the North must let the countries of the South freely implement their various alternative development strategies, without discriminating or sabotaging these countries. Countries in the North must carry out economic policies and foreign policies that are based on healthy long-term interests that will preserve humanity and the earth. In the long term, such an approach would serve the interests of the North's own people.
Southern countries with a tendency to gain an equal bargaining position with Northern countries, are concentrated in organizations such as the Group of 77 and the Non-Aligned Movement (NAM). It is in these containers that Southern countries channel their aspirations.
At the XI NAM Summit in Jakarta in 1992, one of the important decisions made was the need for a North-South Dialogue (North-South Dialogue). This dialogue is focused on the problems of international commodity trade. Southern countries want a fair price composition from the sale of these commodities within the framework of the New Partnership for Development (partnership for development). The North-South dialogue also discussed the issue of financial assistance for developing countries and reducing the foreign debt burden. The agricultural and industrial sectors are also the main issues that are attempted to be discussed.
NAM's position within the framework of North-South cooperation has become increasingly meaningful since the end of the Cold War. as a political movement. NAM is becoming increasingly important in its existence in fighting for what is called . "a more just world economic order". The focus of the movement is to invite developed countries to pay wider attention and act more fairly towards the process of economic development in developing countries.
IV. Southern Group of Countries
The countries of the Southern Group are the designation of developing countries (third world) which happen to be the majority located in the southern hemisphere with the main livelihood being agriculture and the level of prosperity that is still low. The Southern Group consisted of dozens of newly independent and developing countries, among them Indonesia. These developing countries were formerly colonial countries which had the following characteristics:
Traditional culture
, agrarian economy and low per capita income,
high birth rate, high
poverty and unemployment
In dealing with the North Group which dominates the world economy, the South Group formed an alliance better known as the 77 group with its initial members being 77 countries (1964) and in 1990 there were more than one hundred countries.
The 77th Group fought hard to urge the North Group so that the old economic system that only benefited the North Group was overhauled so that there would be equity and justice in prosperity. The Southern Group's fight against poverty has the support of organizations such as OPEC. Meanwhile the North Group, which previously competed against each other, finally united at the summit in London, Venice and Tokyo to equalize their steps in facing the South Group.
V. Northern Group of Countries
The Northern Group of Countries is the designation for developed countries/industrial countries, the majority of which are located in the northern hemisphere. Consisting of the United States, Canada, France, Britain, Germany, Italy and Japan, which is the only Asian country. The seven countries are known as the "Group of Seven" or G-7.
In an effort to maintain its position as an industrialized country after its colonial period had passed, they allied themselves. At certain times, summit meetings are held to discuss the problems faced. With increasingly sophisticated technology, industrial production is increasing. They are also wary of developing countries joining the Southern Group.
In the relationship between industrialized countries and the countries of the Southern group, it is very unequal because the benefits are only enjoyed by developed countries. The evidence is as follows:
Developing countries are burdened with large debts with high interest rates and many are experiencing bad credit.
It is difficult for developing countries' export products to penetrate the market in developed countries
. VI. South-South Group
The Southern Group is increasingly convinced that it is felt that South-South cooperation is increasingly needed to be fostered, and cannot continue to wait for the North Group's mercy. The leader of the South-South Group is Julius Nyerere, former President of Tanzania. Thanks to this improved understanding, the top five Southern Countries held a Summit in Kuala Lumpur (1990). The Indonesian delegation was led by President Soeharto. A number of decisions were taken in an effort to strengthen cooperation, such as reducing trade rates and increasing trade.
VII. North South Dialogue
One of the main struggles of third world countries is changing international economic relations. They seek capital, technology and management skills from developed countries, but developed countries want to maintain the Status Quo. Through the international economic cooperation conference in Paris, 16-18 December 1975, the "North-South Dialogue" was initiated to seek points of agreement in demanding a more equitable distribution of wealth and greater participation for developing countries in economic relations. economics and international decision-making such as UN forums and non-UN forums.
Source: hasna inayah
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