AP Human Geo Unit 7 Notes

foreign direct investment (FDI)

investment made by a foreign company in the economy of another country

microfinance

the provision of small loans and other financial services to individuals and small businesses in developing countries that are unable to obtain loans from commercial banks

structural adjustment program

a policy framework paper containing economic reforms or adjustments

development

the process of improving the conditions of people through diffusion of knowledge and technology

developed country

country progressed further along the development continuum

developing country

country has made some progress toward development, though less than the developed countries

Human Development Index (HDI)

measurement of the level of development for a country through a combination of 3 factors: a decent standard of living, a long and healthy life, and access to knowledge

Gross national income (GNI)

the value of the output of goods and services produced in a country in a year, including money that leaves and enters a country

Purchasing power Parity (PPP)

an adjustment made to the GNI to account for differences among countries in the cost of goods

gross domestic product (GDP)

the value of the output of goods and services produced in a country in a year

primary sector

activities that directly extract materials from the Earth through agriculture and sometimes mining, fishing, and forestry

secondary sector

manufacturers that process, transform and assemble raw materials into useful products as well as industries that fabricate manufactured goods into finished consumer goods

tertiary sector

the provision of goods and services to people in exchange for payment

Productivity

value of a particular product compared to the amount of labor needed to make it

pupil/teacher ratio

number of enrolled students divided by the number of teachers

literacy rate

percentage of a country’s people who can read or write