APHUG Unit 7 Vocabulary

@ Jannace - SEHS - '25 (P5)

industrial revolution

transformation of economy through mechanization, new power sources and chemical process

textile

fabric woven from the fibers of wool, cotton or flax

labor productivity

average amount of goods/services produced per worker per unit of time

fossil fuels

natural fuel derived from the fossilized remains of living organisms

commercial farmers

farmers who raise crops and livestock to sell to the market for profit

wage labor

employer pays worker for a task ( per day or hour)

wokring class

people in an industrial economy who depend on wage labor to obtain necessities of life

capitalist class

people who owns the means of production and pay the wages of workers

middle class

people who are salaried professionals or office wage workers

labor unions

workers in a particular industry established to collectively bargain with capitalists

mass production

manufacture in large quantities

assembly line

manufacturing completed one steps @ a time until complete

mass consumption

purchase large amounts of mass-produced goods by large #'s of people

International Division of Labor

labor forces in different countries and world regions

economic sectors

grouping of industries based on what is produced and the activities of the workforce

primary sector

extraction of raw materials

secondary sector

manufacturing (transforming raw materials into usable forms)

tertiary sector

provide services and includes salaried professionals

quaternary sector

service that require knowledge

quinary sector

decision makers

base industry

the industry of disproportionate economic importance and on whose existence other industries and employment sectors depend

semi-periphery

countries with elements of core and periphery (BRICS)

break of bulk point

cargo switches modes of transportation (boat to train)

containerization

transport using shipping containers

least-cost theory

(Alfred Weber) location of manufacturing is influenced by labor and transportation costs

World Systems Theory

coutnries are interdependent

Dependency Theory

periphery are poor bc they rely on core during colonialism and imperialism

commodity dependence

occurs when commodities account for more than 60% of the value of a country's exports

Gross National Product

value of all goods and services made by a country's residents and businesses, regardless of production location

Gross Domestic Product

measures production inside of a country, no matter who makes it

Gross National Income

the total amount of money earned by a nation's people and businesses

GDP per capita

a country's GDP divided by total population

Purchsing Power Parity

measures prices @ different locations

Gender Inequality Index

measure of inequality between women and men in: reproductive health, empowerment and the labour market

Human Development Index

measure of a country's average achievements in three basic aspects of human development: health, knowledge and standard of living

informal sector

the part of any economy that is not officially recorded, monitored or taxed by the government

formal sector

the part of the economy that is officially recorded by the government

income distribution

how a country's total GDP is distributed among the individuals in its population

Gender Empowerment Measure

a measure of inequalities between men's and women's opportunities in economic participation and decision making

gender parity

way of documenting progress toward gender equality (using access to education, average income and workforce participation)

microloan

a very small loan to people with little income or collateral intended to help them establish or expand a small business

mercantillism

each country strives to export more than it imports in order to accumulae wealth

protectionism

trade rules that restrict imports in order to accumulate wealth

absolute advantage

a country's ability to produce a good or service more efficiently than another country

comparative advantage

a country’s ability to produce one product much more efficiently than other products within its economy

complementarity

measure of how well one country’s export profile matches another country’s export profile

Transnational Corporation

company with operations in multiple countries

competitive advantage

anything that gives a company an edge over its competitors

neoliberalism

market oriented reform policies (ie. eliminating price controls)

International Monetary Fund

works to foster financial stability, facilitate international growth and promote sustainable economic growth

World Bank

provide funding and expertise promote sustainable economic growth in developing countries

World Trade Organization

regulates trade among 184 member states, providing a framework for negotiating trade agreements and resolving trade disputes

free trade agreements

a treaty between two or countries that reduces tariffs and promotes foreign investment

tariff

tax on imported goods and services

customs union

an agreement between two or more countries to remove trade barriers and lower or eliminate tariffs

Mercosur

customs union including Argentina, Brazil, Paraguay, Uruguay

Organization of Petroleum Exporting Countries

an international trade agreement designed to regulate the output of oil

trade embargo

official ban on trade with a a specific country or good

financial market

marketplace where financial instruments are traded

debt crisis

occurs when a governments debts exceed its tax revenues to the point that it cannot meet its own loan payments

import substitution industrialization

trade and economic policy that advocates replacing foreign imports with domestic production

Fordism

the system of mass production that was pioneered in the early 20th century by the Ford Motor Company

corporate disinvestment

companies stop investing in construction, equipment and improvement

offshoring

relocation of manufacturing and support services from one country to another

otusourcing

the practice of hiring a party outside a company to perform services or create goods

deindustrialization

decline in industrial activity of a region or economy

special economic zones

an area in a country that has different economic regulations than other regions within the same country

export processing zone

industrial zone with special incentives to attract foreign investments to places where imported materials undergo processing or assembling before being re-exported

free trade zone

where goods may be handled, manufactured or reconfigured, and reexported without the intervention of the customs authorities

new international division of labor

shift manufacturing from developed countries to developing countries

post-Fordism

modern industrial production has moved away from mass production in huge factories to specialized markets

just-in-time manufacutring

the production of small batches of goods as needed by customer demand

high technology industry

industries having high concentrations of workers in STEM

agglomeration economies

large number of companies, services, and industries exist in close proximity to one another

multiplier effects

creation of new businesses and jobs in other industries as the result of the investment in a different industry

growth poles

location chosen to stimulate economic expansion within a larger geographic area (centered around an industry)

sustainable development

development that meets the needs of the present, without compromising the ability of future generations to meet their own needs

resource depletion

the consumption of natural resources faster than they can be replenished

environmental pollution

the contamination of the physical land and biological components of the environment to the point that normal function are negatively affected

point source pollution

any identifiable source from which contaminants are discharged

nonpoint source pollution

contaminants originating from multiple different sources

climate change

a long term shift in global or regional climate patterns

carbon offsets

activities that lower the amount of carbon dioxide in the atmosphere

carbon neutrality

achieving zero carbon dioxide releases through a combination of emission reduction and carbon removal

ecotourism

responsible travel to natural areas that conserve the environment, sustains the wellbeing of the local people and involves interpretation and education