Economics and Social Security Flashcards

Vocabulary practice flashcards covering macroeconomic indicators, international economic integration levels, and the national social security and insurance system based on the lecture questions.

Gross Domestic Product (GDP)

The indicator reflecting the scale and total market value of all final goods and services produced within a nation's territory over a specific period (such as one year), serving as a core measure of economic growth.

Human Development Index (HDI)

A composite indicator of economic development used to measure social progress, synthesizing human development across three dimensions: health, education, and income.

Gini Coefficient

An indicator measuring inequality in income distribution, utilized to evaluate economic development and social equity rather than economic growth.

Economic Growth vs. Economic Development

Economic growth is characterized strictly by an increase in GDP size, whereas economic development requires economic growth combined with positive structural shifts across sectors and marked improvements in social progress.

GDP Growth Rate

The percentage rate of change in comparative-price GDP over time, calculated as $\frac{\text{GDP}_{t} - \text{GDP}_{0}}{\text{GDP}_{0}} \times 100\%$ (e.g., an increase from $800$ to $840$ billion VND represents a $5\%$ growth rate).

Free Trade Agreement (FTA)

A form of economic integration where member countries eliminate the majority of internal trade barriers among themselves while each country maintains its own independent tariff schedule toward non-member countries.

Foreign Direct Investment (FDI)

An international economic activity where foreign investors commit capital to construct and directly manage factories or operational enterprises within a host country.

International Economic Integration

The process by which a nation binds its national economy to regional and global economies based on the principles of mutual benefit and compliance with shared regulations.

Bilateral Economic Integration

A level of international integration established when two individual countries directly negotiate and conclude trade agreements to eliminate barriers based on equality and mutual advantage.

Global Economic Integration

The widest scope of international integration involving numerous nations and institutions worldwide under shared regulatory systems, typified by accession to the World Trade Organization (WTO).

Social Security

A public system of policies and measures executed by the State and societal forces to protect members against basic risks, reduce poverty, provide essential living conditions, and foster stability, development, and social equity.

Insurance (Nature and Financial Role)

A financial service that enables risk transfer and financial stabilization for individuals and businesses, mobilizes idle capital for public infrastructure and education investments, and shields state budget revenues.

Social Insurance

A statutory insurance program designed to replace or partially offset participant income when they encounter specific life events, such as reaching eligible retirement age.

Mandatory Social Insurance Obligation

A legally binding statutory duty requiring an employer to pay mandatory social insurance contributions, which cannot be waived or paid out directly as cash wages even if requested by the employee.

Voluntary Social Insurance Maternity Regime (July 1, 2025)

An updated social insurance provision taking effect from July 1, 2025, which entitles eligible voluntary social insurance participants to receive maternity benefits.

Unemployment Insurance

A social security policy that pays monthly benefits and provides free job counseling and vocational retraining support to employees who have lost their jobs due to enterprise downsizing.

Health Insurance

A component of the social protection system that subsidizes medical examination and inpatient treatment expenses (e.g., paying $80\%$ of hospital costs for covered illnesses).

Commercial Insurance

A market-based financial product offered by commercial companies to safeguard against civil liability and financial losses, such as compulsory civil liability insurance for motor vehicle operators.

Emergency Social Assistance

A social security policy that delivers immediate relief—such as emergency provisions of food and temporary housing—to households severely impacted by sudden events like natural disasters.

Basic Social Services Policy

A targeted social security policy component aimed at securing fundamental public amenities—such as providing clean water access and housing support—for low-income and vulnerable populations.