Trade and Finance in International Relations

Vocabulary flashcards covering key concepts in trade and finance related to international relations.

International Monetary Fund (IMF)

An institution that provides loans to countries in financial distress, often requiring structural adjustment programs that impose austerity, privatization, and liberalization.

World Bank

An institution that funds development projects but prioritizes economic growth over social equity.

World Trade Organization (WTO)

An institution that oversees international trade rules, promotes trade liberalization, and resolves trade disputes.

Neoliberalism

An economic ideology favoring deregulation, free trade, and reduced government intervention in the economy.

Structural Adjustment Programs (SAPs)

Policies imposed by the IMF that require countries to implement austerity measures, privatization, and liberalization to receive financial support.

Global South

Countries with developing economies, often more vulnerable to the effects of global trade and financial systems.

Financialization

The rise of speculative finance, where financial markets and motives dominate over productive investment.

Dependency Theory

A theory explaining that wealth flows from peripheral (developing) countries to core (developed) countries, reinforcing economic inequality.

Fair Trade

An alternative economic framework emphasizing just labor practices, sustainability, and equitable returns for producers.

South-South Cooperation

Trade and investment initiatives among developing countries, exemplified by BRICS and China's Belt and Road Initiative (BRI).