The capitalist world economy is what Wallerstein (1974) would call a ‘world system’. This term refers to:

a means of transporting money between different areas of a country
an empire with a bureaucratic administration but no political centre
an awareness of risks and dangers that affect the environment as a whole
a unit with a division of labour that extends across ethnic and cultural groups
a unit with a division of labour that extends across ethnic and cultural groups  Wallerstein understood the process of globalization in terms of the emergence of a global, capitalist world economy, which was in turn an example of a ‘world system’. He introduced the concept of the ‘world system’ to refer to a unit with a complete division of labour that extends across different ethnic and cultural groups. There were two kinds of world systems: world empires and world economies: the latter had multiple political centres but were economically integrated. 629

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