National Differences in Political, Economic, and Legal Systems

This set of flashcards covers key vocabulary and concepts related to the political, economic, and legal systems of countries, as discussed in the lecture.

Political Economy

The interconnected political, economic, and legal systems of a country.

Collectivism

A political system that stresses the primacy of collective goals over individual goals.

Individualism

A political concept that emphasizes the freedom of individuals in economic and political pursuits.

Democracy

A political system where government is by the people, exercised directly or through elected representatives.

Totalitarianism

A form of government where one person or political party exercises absolute control over all spheres of human life.

Market Economy

An economic system where the production and pricing of goods and services are determined by supply and demand.

Command Economy

An economic system where the government plans all aspects of the economy, including production and pricing.

Mixed Economy

An economic system that incorporates elements of both market and command economies.

Legal Systems

The framework of laws and regulations that govern a country, including the enforcement mechanisms.

Common Law

A legal system based on tradition, precedent, and custom, commonly found in former British colonies.

Civil Law

A legal system based on a detailed set of laws organized into codes, found in many countries including Germany and France.

Theocratic Law

A legal system based on religious teachings, with Islamic law being the most widespread form.

Intellectual Property

Property that is the product of intellectual activity, including patents, copyrights, and trademarks.

Corruption

The abuse of power for personal gain, including private and public actions that exploit property rights.

PESTEL Analysis

A framework for analyzing the external environment of a business, including Political, Economic, Social, Technological, Environmental, and Legal factors.

Political Risk

The risk associated with political changes that may affect the stability and operations of businesses.

Fragile States Index

A measure of a country's political stability based on factors like conflict, governance, and poverty.

CISG

United Nations Convention on Contracts for the International Sales of Goods, establishing rules for international sales contracts.

Hofstede Index

A framework for understanding cultural differences across countries based on dimensions such as uncertainty avoidance and individualism.