APHuG Unit 7 Vocabs 4/4/25

Adolescent Fertility Rate

Number of births per 1000 women who are 15-19

Base Industry

An industry that other industries & employment sectors depend on

Commodity Dependence

When commodities account for more than 60% of total export

Core

Countries with economic power control & benefit from global market

Dependency Theory

That less developed countries are in a position of dependency because it's hard to compete

Developed Country

Country/Region that has achieved high level growth (Industrialization, Economy, Quality of Life)

Developing Country

A country that is in the early stages of development (WIP)

Development

Process of improvement of people through diffusion

Fair Trade

Trade between countries that gives equality to workers (Fair Pay)

Formal Sector

Regulated, organized & structured economic activity (w/ government)

Gender Inequality Index (GII)

Indicator of each country's gender inequality in terms of health, empowerment, and labor (By the UN)

Gender Parity

Documented progress toward gender equality between men/women (Progress for equality)

Gross Domestic Product (GDP)

Value of total outputs of goods/services made in a country's border each year

Gross National Income (GNI)

Value of a country's income earned by its citizens each year

Gross National Product (GNP)

Total value of goods & services produced within a border + the net income from companies located outside & foreign investment (Products made inside and outside a country)

Human Development Index (HDI)

Indicator to measure a country's development by income, education & quality of life

Inequality-Adjusted Human Development Index (IHDI)

Modifications to the HDI to account for inequality

Informal Sector

Economic activities NOT regulated/recognized by a government (lawn mowing for $10)

Literacy Rate

Percent of population who can read & write

Microfinance

Provision of small loans to small business and individuals in developing countries

Periphery

Countries w/ low levels of economic productivity & small share of the world's wealth (3rd world)

Primacy Sector

Of the economy that works with extraction natural resources from the earth (Ex: Mining, harvesting)

Productivity

Value of product compared to the amount of labor needed to make it (Value > Labor)

Purchasing Power Parity

Amount of money needed in a country to buy the same thing in another (50 pounds in the UK but 45 dollars in the US)

Quaternary Sector

Economic activity that involved collecting, processing & manipulation of information & capital (Finance, computer services, research)

Quinary Sector

Economic activity consisting of high-level decision making & human advancements (President, CEO, Bosses)

Rostow's Stages of Development

All countries are capable of development towards self-sustained growth & consumption (5 stages)

Secondary Sector

Of the economy w/ manufacturing/processing natural resources

Semi-Periphery

Countries that are industrializing that has more power than periphery but still under core countries (In between: Russia, China, India)

Tertiary Sector

Of the economy w/ goods & services in exchange for payment (Restaurant, salon, etc.)

Absolute Advantage

Nation's ability to produce a good/service more efficiently than other producers

Agglomeration

When businesses cluster near a big one to take advantage of skilled labor & supplies (Costume factory next to Disneyland)

Assembly Line

Manufacturing where parts & procedure happen 1 by 1 at a time in a different station/line

Break of Bulk Point

Location where transfer is possible from one mode to another (Ships -> Trains -> Trucks)

Bulk-Gaining Industry

Industry where the final product is in greater volume than the rest (Costco)

Bulk-Reducing Industry

Industry where the output is less than the original input

CoGeneration

Producing 2 forms of energy from 1 fuel (Fuel cells makes electricity and water)

Comparative Advantage

Country's ability to make a produce much more efficiently (less costly) than another in its economy

Complementarity

Measure of how a country's export profile matches another's import profile (Tea export in VN = import in UK)

Cottage Industry

Manufacturing based in homes (Prior to IR)

Deindustrialization

Decline/sometimes disappearance of employment in manufacturing (Higher technology = less humans)

Ecotourism

Travel to natural areas in support of conservation efforts

Forist Production

Form of mass production where a worker has 1 task repeatedly (Ex: Mr. Rundquist's window factory)

Export Processing Zones (EPZs)

Industrial area to attract foreign investments for processing & assembly

FreeTrade Agreement

Treaty between 2/more countries to reduce tariffs & promotes foreign investment (reduce tariffs)

Growth Poles

Geographic center of economic activity organized to a specific industry

Industrial Revolution

Period of rapid development in industry of manufacturing

Just-In-Time Delivery

Shipments of parts & materials to arrive moments before needed to save storage

Labor Union

Coalition of workers in particular industry to bargain with business owners (Ex: Strikes)

Least-Cost Theory

Transportation & labor costs play a strong role in determining factory locations (Alfred Weber)

Maquiladora

A US factory built in Mexico near the US border to take advantage of labor costs

Mass Production

Machine manufacturing of large quantities of identical products

Mercosur

South American Trade bloc w/ Argentina, Brazil, Paraguay & Uruguay (Supranationalist)

Multiplier Effects

Creation of new business & jobs in other industries as a result of other industry investment (Restaurant opens, napkins made, napkin employees buy stuff, gets money)

New International Division of Labor

Transfer of jobs that require less skill & lower pay from developed countries to less developed countries

Offshoring

Relocation of manufacturing survices from 1 country to another (cutting costs w/ Maquiladora)

Organization of the Petroleum Exporting Countries (OPEC)

Organization to coordinate petroleum policies in member countries (how much to export)

Outsourcing

Decision by a corporation to turn responsibilities of production to independent supplies (to 3rd parties to lower labor costs)

Post-Fordist Production

Adoption of flexible work rules like worker's allocation with a variety of tasks (More single tasks)

Protectionism

Trade rules that restrict imports in order to protect domestic industries (raising tariffs)

Resource Depletion

Consumption of natural resources faster than they can be replaced

Right-To-Work Laws

Law that prevents a union & a company from a contract that requires a worker to join as employment (No requirements to keep/get jobs)

Shipping containers

Stackable metal boxes used to transport goods by ship, railroad, or truck

Site Factors

Location factors related to the cost of production inside a plant (inside costs)

Situation Factors

Location factors related to transportation of materials in & out of factory

Special Economic Zones (SEZs)

Area within a country that has different economic regulations than the rest (SEZs in China to gain money)

Tariffs

Taxes on imported goods & services

Textile

Fabric of cloth woven from the fibers of wool/cotton (usually in clothes)

Theory of Mercantilism

Export more than import

Trade Embargo

Official ban on trade with a specific country/goods

Transnational Corporation (TNC)

Company with the power to coordinate & control operations in more than 1 country (McDonalds everywhere)

Vertical Integration

Traditional mass production, where a company controls all phases of production process (self-chain)