IB Geography Topic 6.1.2 Threats to Political and Economic Sovereignty Revision Notes (HL)

IB Geography Topic 6.1.2 Threats to Political and Economic Sovereignty Revision Notes (HL) | RevisionDojo

Written by official IB examiners

Challenges to State Control and Governance

In an interconnected world, states face mounting challenges to governance and political as well as economic sovereignty.
These include tax avoidance, disruptive technologies, and more.

Perceived Loss of Control and Loss of Sovereignty

Multi-governmental organizations like the EU or Mercosur have gained power over certain aspects of life like trade and migration rules traditionally depending solely on national governments.
This combined with the "Shrinking World" and unchecked, or perceived as such, flows of people, goods and ideas have amplified the perception of losing control among certain societies.
This in turn has led to renewed political, cultural, and economic nationalism.

Tax Avoidance and Profit Repatriation

How TNCs Use Tax Havens

Tax havens are jurisdictions with low or zero tax rates, attracting TNCs seeking to minimize tax liabilities. They are mostly small island states (e.g. in the Caribbean), but also countries like Ireland, Panama or Switzerland are considered to be tax havens.
Strategies include:
1. Transfer Pricing: Manipulating prices of goods or services traded within subsidiaries to shift profits to low-tax regions.
2. Profit Repatriation: Moving profits from high-tax countries to tax havens.

Nice try, unfortunately this paywall isn't as easy to bypass as you think. Want to help devleop the site? Join the team at https://revisiondojo.com/join-us. exercitation voluptate cillum ullamco excepteur sint officia do tempor Lorem irure minim Lorem elit id voluptate reprehenderit voluptate laboris in nostrud qui non Lorem nostrud laborum culpa sit occaecat reprehenderit

Definition

Paywall

(on a website) an arrangement whereby access is restricted to users who have paid to subscribe to the site.

anim nostrud sit dolore minim proident quis fugiat velit et eiusmod nulla quis nulla mollit dolor sunt culpa aliqua

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat.

Duis aute irure dolor in reprehenderit

Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum.

Note

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam quis nostrud exercitation.

Excepteur sint occaecat cupidatat non proident

Nemo enim ipsam voluptatem quia voluptas sit aspernatur aut odit aut fugit, sed quia consequuntur magni dolores eos qui ratione voluptatem sequi nesciunt. Neque porro quisquam est, qui dolorem ipsum quia dolor sit amet, consectetur, adipisci velit.

Tip

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat.

Lorem ipsum dolor sit amet, consectetur adipiscing elit.
Sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris.
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum.

Unlock the rest of this chapter with a free account

Challenges to State Control and Governance

In an interconnected world, states face mounting challenges to governance and political as well as economic sovereignty.
These include tax avoidance, disruptive technologies, and more.

Perceived Loss of Control and Loss of Sovereignty

Multi-governmental organizations like the EU or Mercosur have gained power over certain aspects of life like trade and migration rules traditionally depending solely on national governments.
This combined with the "Shrinking World" and unchecked, or perceived as such, flows of people, goods and ideas have amplified the perception of losing control among certain societies.
This in turn has led to renewed political, cultural, and economic nationalism.

Tax Avoidance and Profit Repatriation

How TNCs Use Tax Havens

Tax havens are jurisdictions with low or zero tax rates, attracting TNCs seeking to minimize tax liabilities. They are mostly small island states (e.g. in the Caribbean), but also countries like Ireland, Panama or Switzerland are considered to be tax havens.
Strategies include:
1. Transfer Pricing: Manipulating prices of goods or services traded within subsidiaries to shift profits to low-tax regions.
2. Profit Repatriation: Moving profits from high-tax countries to tax havens.

Definition

Paywall

(on a website) an arrangement whereby access is restricted to users who have paid to subscribe to the site.

anim nostrud sit dolore minim proident quis fugiat velit et eiusmod nulla quis nulla mollit dolor sunt culpa aliqua

Duis aute irure dolor in reprehenderit

Note

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam quis nostrud exercitation.

Excepteur sint occaecat cupidatat non proident

Tip

Lorem ipsum dolor sit amet, consectetur adipiscing elit.
Sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.
Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris.
Duis aute irure dolor in reprehenderit in voluptate velit esse cillum.

1 Changing Population3 subtopics

2 Global Climate - Vulnerability and Resilience3 subtopics

3 Global Resource Consumption and Security3 subtopics

4 Power, Places and Networks (HL only)3 subtopics

5 Human Development and Diversity (HL only)3 subtopics

6 Global Risks and Resilience (HL only)3 subtopics

Option A Freshwater - Drainage Basins4 subtopics

Option B Oceans and Coastal Margins4 subtopics

Option C Extreme Environments4 subtopics

Option D Geophysical Hazards4 subtopics

Option E Leisure, Tourism and Sport4 subtopics

Option F The Geography of Food and Health4 subtopics

Option G Urban Environments5 subtopics

IB Geography 6.1.2 Threats to Political and Economic Sovereignty Notes

1 Changing Population3 subtopics

2 Global Climate - Vulnerability and Resilience3 subtopics

3 Global Resource Consumption and Security3 subtopics

4 Power, Places and Networks (HL only)3 subtopics

5 Human Development and Diversity (HL only)3 subtopics

6 Global Risks and Resilience (HL only)3 subtopics

Option A Freshwater - Drainage Basins4 subtopics

Option B Oceans and Coastal Margins4 subtopics

Option C Extreme Environments4 subtopics

Option D Geophysical Hazards4 subtopics

Option E Leisure, Tourism and Sport4 subtopics

Option F The Geography of Food and Health4 subtopics

Option G Urban Environments5 subtopics

Challenges to State Control and Governance

Perceived Loss of Control and Loss of Sovereignty

Tax Avoidance and Profit Repatriation

How TNCs Use Tax Havens

anim nostrud sit dolore minim proident quis fugiat velit et eiusmod nulla quis nulla mollit dolor sunt culpa aliqua

Duis aute irure dolor in reprehenderit

Excepteur sint occaecat cupidatat non proident

Unlock the rest of this chapter with a free account

Challenges to State Control and Governance

Perceived Loss of Control and Loss of Sovereignty

Tax Avoidance and Profit Repatriation

How TNCs Use Tax Havens

anim nostrud sit dolore minim proident quis fugiat velit et eiusmod nulla quis nulla mollit dolor sunt culpa aliqua

Duis aute irure dolor in reprehenderit

Excepteur sint occaecat cupidatat non proident

Unlock the rest of this chapter with a free account