7.6-7.8 ap human terms

a situation in which a country ,individual, company or region can produce a good at a lower opportunity cost than a competitor

comparative advantage

the degree to which one place can supply something that another place demands

complementarity

economic strategies that emphasize reducing government intervention in the economy, promoting free-market capitalism, and encouraging privatization and deregulation

neoliberal policies

trade w/o tariffs or restrictions

free trade

A worldwide period of economic difficulty experienced by markets and consumers

global financial crises

promote development w/ states thru economic and political cooperation

EU

organization that reduces tariffs and barriers to trade between countries

WTO

intergovernmental org. of 13 oil-exporting developing nations that coordinates and unifies the petroleum policies of its member countries

OPEC

functions as a customs unions and free-trade area, and has ambitions to become a common market along the lines of the EU

Mercosur

a tax imposed by a government on imported goods and services

tariffs

when a country's imports of goods and services exceed its exports

trade deficit

financial services that are for individuals and small businesses who lack access to traditional banking services

microfinancing

the increasing interconnectedness of the world's economies, cultures, and political systems, facilitated by advancements in transportation, communication, and technology.

globalization

microfinance organization founded in Bangladesh that provides small loans to impoverished individuals, particularly women, without requiring collateral

Grameen bank

the process of a region or country losing its manufacturing base, often leading to job losses and economic decline

deindustrialization

general term for an industry that can be placed and located at any location w/o effect from factors such as resources or transport

footloose economy

investment made by a company or individual from one country into a business or asset located in another country, aiming to gain a lasting interest and control over that investment

foreign direct investment

sourcing out the work out of the country. Someone else does the work for us. Ex: Nike

outsourcing

taking a whole department and putting it in another country. Work is done overseas

offshoring

a specific area withing a country in which tax and investment incentives are implemented to attract foreign (and domestic) businesses and investment

Special economic zones

industrial areas where the gov. creates specialized policies and desirable investment and or manufacturing conditions to attract businesses. Often near airports, seaports, and borders, for easy exports

export processing zones

special zones in which all trade barriers between countries are eliminated

free trade zones

factories built by a US company in Mexico near the US border, taking advantage of the lower labor costs and tax breaks

maquiladoras

refers to the shift from an economy based on industry to one based on services

economic restructuring

system of employment in the various economic sectors spread throughout the world (spreads commodity chain)

new international division of labor

flexible production, workers operate in teams to figure out tasks, outsourcing-NIDL(new international division of labor), automation

post-Fordist production

o a supply chain management strategy where materials or goods are received only when they are needed in the production process, minimizing storage and associated costs

just in time delivery

one basic job produces two non-basic jobs

multiplier effect

cost is reduced when companies increase production because the fixed costs, are spread over more units of production

economies of scale

businesses that heavily rely on research and technological innovation to create and market products and services

high tech industries

a place of concentrated high-value economic development which attracts even more economic development

growth pole

type of growth pole focused on industry and high-tech manufacturing ex: Silicon Valley

technopole

economies are the benefits that come when firms and people locate near one another together in cities and industrial clusers

agglomeration

the consumption of a natural resource faster than it can be replenished, leading to a reduction or exhaustion of that resource

resource depletion

responsible travel to natural areas that focuses on conservation, sustains the well-being of local people while minimizing negative effects of tourism

ecotourism

an accelerated process of creating new ideas to sell on the retail labor

fast fashion

a set of 17 global goals adopted by the United Nations in 2015, aiming to address pressing social, economic, and environmental challenges by 2030, emphasizing sustainable development and global cooperation

Sustainable development goals (SDGs)