APHUG Terms quiz 7.1-7.5

7.1-7.5

industrial revolution

the term used for the transformation from an agricultural society to an industrial society as a result of new technologies and facilitated by the availability of natural resources (resulting in factories, mass-produced goods, and assembly lines that replaced handmade goods)

Primary sector

economic activity that involves extracting (raw materials) or harvesting (food) products

               e.g. gathering industries (renewable resources): agriculture, forestry, hunting and gathering, fishing, grazing

               e.g. extractive industries (nonrenewable resources):  mining, quarrying 

Secondary sector

economic activity that processes raw materials and transforms them into finished goods

               e.g. manufacturing industries

tertiary sector

economic activity that provides services

               e.g.  health, legal, education, restaurants, stores

Quaternary sector

economic activity that involves collecting, processing & manipulation of information & capital

                    e.g.  finance, insurance, computer services

Quinary Sector

economic activity consisting of high-level decision making and advancement of human capacities

                    e.g. scientific research, higher education, government

Core

countries where economic power (wealth, innovation, technology) is concentrated that control and benefit from the global market on which periphery and semi-periphery countries depend 

                    e.g. U.S., Western European countries, Canada, Australia, Japan

semi-periphery

countries that are industrializing that exert more power in the world economy than the periphery, but are dominated to some degree by the core

                      e.g. newly industrialized countries such as Brazil, Russia, India, China, South Africa, Turkey

periphery

:  countries with low levels of economic productivity and a disproportionately small share of the world’s wealth with weaker state institutions, lower standards of living and are often dependent on the core

                     e.g. Sub-Saharan African countries (except South Africa), parts of South America and Asia

labor

availability/cost

break of bulk point

the transfer of transported cargo from one kind of carrier to another

                                               e.g. port: from ship to truck

agglomeration

the clustering of businesses that can benefit from close proximity because they share skilled-labor

                 e.g. auto industry in Michigan

                        technology industry in northern California

                        insurance industry in Connecticut

Wallerstein’s World Systems Theory (Core-Periphery Model)

model that describes how economic power is distributed between dominant regions and less powerful regions and proposes that less developed countries are defined by their dependence on a developed core

GDP (gross domestic product)

measurement of the total value of goods and services produced within the borders of a country during a specific time period, usually one year

GNP (gross national product):

measurement of the total value of goods and services produced within the borders of a country plus the net income from companies that are located outside the country and foreign investments during a specific time period, usually one year

GNI per capita (gross national income per capita):

measurement of the total value of goods and services produced within the borders of a country plus the net income from companies that are located outside the country and foreign investments, but minus dividend payments and indirect business taxes during a specific time period, usually one year, divided by the population

formal and informal economic activity:

: the percent of taxed and non-taxed economic activity within a country

           e.g. semi-periphery and periphery countries tend to have a larger percentage engaged in the non-taxed economy

Gini coefficient

measurement of income distribution within a population

                                     e.g. percent of income inequality vs income equality

GII (gender inequality index

measurement that evaluates women’s status in a country based on participation in economic, political, and labor-market participation, as well as reproductive health issues, indices of empowerment, and labor-market participation

HDI (human development index

measurement used by the United Nations to calculate development in terms of human welfare (using both economic and social indicators)

gender parity

measurement of the relative access to education of males and females

                          e.g. ratio of females to males enrolled in a given stage of education (primary, secondary)

literacy rate

percent of population who can read and write

access to health care

refers to the ease with which an individual can obtain needed medical services

infant mortality rate

number of deaths under one year of age per 1,000 live births during a given year

gender inequality

acknowledges that gender affects an individual’s lived experiences; gender inequality is experienced across different cultures; tradition and culture pose obstacles to women’s economic development, especially in less developed countries

microloan

low interest loans usually for smaller sums of money to provide extremely poor people the opportunity to open a small local business and is often targeted to women in less developed countries to lift them out of poverty and is helping to improve standards of living

Gender parity

equality in representation and opportunities

microfinancing

a category of financial services that are individuals and small businesses that are for individuals and small businesses who lack access to traditional banking services ( can cause debt)

bulk reducing good

a product that becomes lighter and easier to transport as production occurs ( tree to pencil)

bulk gaining good

a product that becomes heavier and more difficult to transport as production occurs( metal to car)

cottage industry

prior to the industrial revolution, most goods were produced at home ( specialized)

Effects of Industrial Revolution

New technologies, availability of natural resources, growing populations

use of fossil fuels and renewable energy

percent from which a country obtains its energy source

objective of gender equality

: a society in which women and men enjoy the same opportunities, rights, and obligations in all spheres of life and is linked to sustainable development

Rostow’s Stages of Economic Growth

: theory that assumes all countries are capable of development along the same trajectory which encompasses five stages of linear development towards self-sustained economic growth and high levels of mass consumption

traditional society:

stage in which the dominant activity in a society is subsistence farming and the social

                                           structure is rigid and unchanging and resistant to technology

Pre-conditions for take off

progressive leadership moves the country toward greater

                                          flexibility, openness and diversification

take off stage

industrialization occurs and sustained growth takes hold, urbanization and technological  

                                          breakthroughs occur

drive to maturity stage

technologies spread, industrial specialization occurs and international trade expands;

                                                   population growth decreases

high mass consumption stage

service sector increases; widespread production of goods and services and mass

                                                             consumption      

Global South

countries generally considered "less developed" or "developing," often located in Africa, Asia, and Latin America

commodity dependence

a situation where a country's economy relies heavily on the export of a few primary commodities