AP HUG UNIT 7

Industrial Revolution

A period of major industrialization that took place during the late 18th and early 19th centuries, marked by the transition from handmade to machine-made goods.

Industrialization

The development of industries in a country or region on a wide scale.

Deindustrialization

The process of social and economic change caused by the removal or reduction of industrial capacity or activity.

Globalization

The process by which businesses or other organizations develop international influence or start operating on an international scale.

Imperialism

A policy or practice by which a country increases its power by gaining control over other areas of the world.

Colonialism

The practice of acquiring and maintaining colonies, often involving the settlement of colonizers and the exploitation of resources.

Neocolonialism

The practice of using capitalism, globalization, and cultural imperialism to influence a country, as opposed to direct military or political control.

Cottage Industries

Small-scale, decentralized manufacturing businesses often operated out of homes rather than factories.

Assembly line

A manufacturing process in which parts are added to a product in a sequential manner to create a finished product more efficiently.

Henry Ford

An American industrialist and founder of the Ford Motor Company, known for revolutionizing assembly line production.

Fordism

The system of mass production that Henry Ford developed, characterized by assembly line production and standardization.

Substitution principle

The economic theory that a good or variable can be replaced or substituted by another.

Post-Fordism

An economic system characterized by flexible production, innovation, and the mass customization of products.

Formal economy

The part of the economy that is regulated, monitored, and taxed by the government.

Informal economy

Economic activities that are not regulated by the government or formal institutions.

Primary sector

The sector of the economy that extracts and harvests natural resources.

Secondary sector

The part of the economy that transforms raw materials into manufactured goods.

Tertiary sector

The sector of the economy that provides services rather than goods.

Quaternary sector

The sector of the economy focused on knowledge-based activities involving services like information technology, research and development.

Quinary sector

The sector that involves high-level decision making and the creation of new ideas or services.

Multiplier effect

The phenomenon where an increase in spending produces an increase in national income and consumption greater than the initial amount spent.

Agglomeration economies

The benefits that firms obtain by locating near each other to enhance productivity.

Isotropic plain

A hypothetical flat landscape with no variation in resources or topography, often used in economic modeling.

Hinterland

The area surrounding a city that provides it with resources and goods.

Alfred Weber

A German economist who developed the least-cost theory of industrial location.

Least cost theory

Weber's model that suggests that businesses will locate where they can minimize transportation costs and maximize profits.

Location triangle

A model representing the optimal location for industries based on market, materials, and costs.

Bulk-reducing industry (other names: weight-losing industry)

An industry where the final product weighs less than the raw materials used.

Bulk-gaining industry (other names: weight-gaining industry)

An industry where the final product weighs more than the raw materials.

Break of bulk location

A location where goods are transferred from one mode of transport to another.

Energy-oriented or dependent industry

Industries that rely heavily on energy resources due to the nature of their production processes.

Labor-oriented or dependent industry

Industries that require a large amount of labor to produce their goods.

Commodity chain

The series of processes involved in the production and distribution of a commodity.

Locational interdependence

The theory that the location of a firm is influenced by the location of other firms.

Just-in-time delivery

An inventory strategy to increase efficiency and decrease waste by receiving goods only as they are needed.

Vertical integration

An arrangement where the supply chain of a company is owned by that company.

Horizontal Integration

The process of a company increasing production of goods or services at the same part of the supply chain.

Synergy

The interaction or cooperation of two or more organizations, substances, or other agents to produce a combined effect greater than the sum of their separate effects.

Footloose

Referring to industries that can be located anywhere without regard to factors such as resources or transportation.

Front offices

The departments of a company responsible for dealing directly with customers or clients.

Back offices

The departments of a company that support the front office but do not deal directly with customers.

Offshoring

The practice of relocating business processes from one country to another, typically for cost savings.

Outsourcing

The business practice of hiring a party outside a company to perform services or create goods that traditionally were performed in-house.

Containerization

A system of intermodal freight transport using standardized containers.

Working class

A social class consisting of people employed in manual labor or industrial work.

Middle class

A social class between the upper class and working class, typically characterized by moderate income.

Barter

The exchange of goods and services without the use of money.

Complementarity

A condition where two or more items enhance or complete each other.

Trading blocs

Groups of countries that agree to trade with each other without tariffs.

Newly industrialized countries (NICs)

Countries that have recently developed a significant manufacturing sector.

Transnational corporations

Companies that operate in multiple countries beyond their corporate headquarters.

New international division of labor

The shifting of jobs and industries to countries with lower labor costs.

Export Processing Zone (EPZ)

Areas within which goods may be landed, handled, manufactured, or reconfigured and re-exported without the intervention of customs authorities.

Special economic zones

Designated areas in countries that possess special economic regulations that differ from other areas in the same country.

Island of Development

A relatively small area of a country that is developed compared to the rest of the country.

Maquiladoras

Manufacturing operations in Mexico that take advantage of low labor costs.

Postindustrial

A stage of society's development when the economy transitions from manufacturing-based to service-based.

Brownfields

Previously developed land that is not currently in use and may be contaminated.

Rust Belt

Regions of the northern United States characterized by declining industry, aging factories, and population loss.

Sun Belt

Region in the southern United States that is characterized by a warm climate and rapid economic growth.

Corporate park

An area where companies cluster together for business purposes.

Technopoles

Urban centers that support and attract high-tech industries and research.

Digital divide

The gap between those who have easy access to digital technology and those who do not.

Growth poles or centers

Economic activities concentrated in specific regions driving growth in surrounding areas.

Spin-off benefits

Positive effects that result from an economic or technological development.

Backwash effects

Negative economic effects on an area that occur as a result of growth in another area.

Per capita

An average per person, often used in reference to income or production.

Gross national product (GNP)

The total value of all goods and services produced by a country's residents in a given time period.

Gross domestic product (GDP)

The total value of all goods and services produced within a country's borders in a specific time frame.

Gross national income (GNI)

The total income received by a country's residents and businesses, including income from abroad.

Human Development Index (HDI)

A composite statistic of life expectancy, education, and per capita income indicators.

W.W. Rostow

An economist known for his stages of economic growth theory.

Stages of Economic Growth Model

Rostow's model describing economic development through five stages from traditional society to high mass consumption.

Modernization model

A theory that suggests that societies advance through similar stages of development.

Immanuel Wallerstein

A sociologist known for developing the World Systems Theory.

World Systems Theory

A social theory that explains the dynamics of the world economy through the historical context of global capitalism.

Dependency model

A theory that suggests that economic development in some countries is dependent on the underdevelopment of others.

Core-Periphery model

A model that describes the relationship between developed (core) and developing (periphery) countries.

Core country

A country that is more economically developed and has greater power in the global economy.

Periphery country

A country that is less economically developed and often exploited by core countries.

Semiperiphery country

A country that has characteristics of both core and periphery nations.

Participatory development

A process that engages individuals and communities in the planning and implementation of development projects.

Sustainable development

Development that meets the needs of the present without compromising the ability of future generations to meet their own needs.

Ecotourism

Responsible travel to natural areas that conserves the environment and improves the well-being of local people.

Millennium Development Goals

A set of eight international development goals established following the Millennium Summit of the United Nations in 2000.

Non-Governmental Organization (NGO)

A non-profit group that operates independently of any government, typically to address social, environmental, or political issues.

Microcredit or microfinance

Providing small loans to impoverished borrowers who typically lack collateral, steadiness, and a verifiable credit history.

North American Free Trade Agreement (NAFTA)

A trade agreement between Canada, Mexico, and the United States aimed at eliminating trade barriers.

United States, Mexico, Canada Agreement (USMCA)

The trade agreement that replaced NAFTA, intended to strengthen trade between the three countries.

Desertification

The process by which fertile land becomes desert, typically as a result of drought, deforestation, or inappropriate agriculture.