APHUG Unit 7

industrial revolution

series of improvements in industrial technology that transformed the process of manufacturing goods

cottage industry

home-based manufacturing

productivity

the value of a particular product compared to the amount of labor needed to make it

primary sector

extracts or harvests products from the Earth. production of raw materials and basic foods

secondary sector

manufactures finished goods, also manufacturing, processing, and construction

tertiary sector

service industry, provides services to the general population

quaternary sector

intellectual activities and information processing

quinary sector

high levels of decision making in a society

site

the physical characteristics of a place

situation

the location of a place relative to another place

site factors

industrial location factors related to the costs of factors of production inside a plant

labor-intensive industry

an industry in which wages and other compensation paid to employees constitute a high percentage of expenses

fordist production

mass production

post-fordist production

flexible production, workers are in groups and perform a variety of tasks with problem solving

situation factors

location factors relating to the transportation of materials into and from a factory

bulk-reducing industry

an industry in which the inputs weigh more than the final products

bulk-gaining industry

makes something that gains volume or weight during production

break-of-bulk point

location where transfer among transportation modes is possible

agglomeration

concentration of businesses in one particular area

development

process of improving the conditions of people through diffusion of knowledge and technology

developed country (MDC)

UN refers to it as a very high developed country, progressed further along the development continuum

developing country (LDC)

has made some progress towards development, less than the developed country

Human Development Index (HDI)

measures the level of development for a country through a combination of 3 factors: decent standard of living, long and healthy life and access to knowledge

pupil/teacher ratio

number of enrolled students divided by the number of teachers

literacy rate

percentage of a country’s people who can read and write

gross national income (GNI)

value of the output of goods and services produced in a country in a year, including money that leaves and enters the country

purchasing power parity (PPP)

adjustment made to the GNI to account for differences among countries in thee costs of goods

gross domestic product (GDP)

the value of the outputs of good and services produced in a country in a year

gross national product (GNP)

total value of goods produced and services provided by a country during one year equal to the GDP plus the net income from foreign investments

adolescent fertility rate

the number of births per 1,000 women ages 15-19

maternal mortality rate

the annual number of female deaths per 100,000 live births from any cause related to or aggravated by pregnancy or its management

gender inequality index

measures the gender gap in the level of achievement in 3 dimensions: reproductive health, empowerment, and labor market

gender development index

measures the gender gap in the level of achievement for the 3 dimensions of the HDI: income, education, and life expectancy

female labor force participation rate

percentage of women holding full-time jobs outside the home

microfinance

the provision of small loans and other financial services to individuals and small businesses in LDCs that are unable to obtain loans from commercial banks

world-systems theory

in an increasingly unified world economy, MDCs form an inner core area, LDCs occupy peripheral locations

self-sufficiency path

countries encourage domestic production of goods, discourage foreign ownership of businesses and resources, and protect business from international competition

international trade path

countries open themselves to foreign investment and international markets

Rostow’s stages of economic growth

traditional society, preconditions for takeoff, takeoff, drive to maturity, high mass consumption

core country

high income countries, many by pass poorer countries, MDCs, depends on periphery country's for raw materials, periphery countries depend on them, exploit peripheral countries for labor

semi-periphery

middle-income countries, in between and depends on both, China and India are examples, share characteristics of both core and peripheral countries, Acts as a buffer between the core and periphery

periphery

poor income nations, lack industrial capacity, cant invest in own development, LDCs, dependent on core countries for capital ($), have underdeveloped industry

foreign direct investment (FDI)

investment made by a foreign company in the economy of another country

structural adjustment program

economic “reforms/adjustments” like economic goals, strategies for achieving the objectives and external financing requirements

free trade

no tariffs, quotas, or restrictions on trade

complementarity

connecting with trade partners that complement out economic needs

comparative advantage

a country should specialize in producing and exporting a product they have an advantage in making, and should import products from other countries that they have a disadvantage making

new international division of labor

selective transfer of some jobs to LDCs

outsourcing

turning over much of the responsibility for production to independent suppliers

vertical integration

a company controls all pages of a highly complex production process

maquiladors

plants in Mexico near the US border

deindustrialization

our manufacturing industry no longer employs large numbers of people in factories but has people who have services and process informaition

offshoring

moving elements of your company’s operations overseas while keeping them within the company

reshoring

repatriation of outsourced services, sometimes with labor force brought to country

export processing zones

special manufacturing zones that attract transnational corporations and multinational corporations

multiplier effect

the expansion of an area’s economy because of the industries located there. people need housing, transportation, food, etc. and these all come from other jobs

technopoles

hubs for information, based industry and high technology manufacturing

growth poles

connection of high-value economic development more highly innovative and technically advanced industries

sustainable development goals

reduce disparities between MDCs and LDCs, replaced Millennium Development Goals

fair trade

international trade that provides greater equity to workers and small businesses in LDCs