Economic Structure & Governance of Globalization

Comprehensive vocabulary flashcards covering economic globalization, global stratification typologies, development theories, market integration, and the global interstate system.

Economic Globalization

A historical process representing human innovation and technological progress, characterized by the integration of economies and the movement of capital, goods, and services.

Trade Liberalization

The removal or reduction of restrictions or barriers on the free exchange of goods between nations.

Protectionism

A policy of systematic government intervention in foreign trade with the objective of encouraging domestic production through tools like quotas and tariffs.

Global Stratification

A concept describing the unequal distribution of wealth, power, resources, and influence among the nations of the world.

First World

A political classification referencing North America and Western capitalist nations.

Second World

A political classification used for the Soviet Union.

Third World

A broad political classification including almost all nations not in the First or Second Worlds.

High Income Countries

Nations ranked by the replacement typology with a Gross National Income (GNI) per capita of $11,500$ or more in current USD in the year $2007$.

Middle Income Countries

Nations with a GNI per capita between $900$ and $11,500$ in current USD in the year $2007$.

Low Income Countries

Nations with a GNI per capita of $900$ or less in current USD in the year $2007$.

Global South

A term for agrarian economies with constant turmoil and poverty, depicted by the Brandt Line as the poorer side of the global divide.

Global North

Wealthy nations identified as having developed societies, advanced technology, established democracy, and dominance in trade and politics.

Brandt Line

A visual representation founded by Willy Brandt to depict the global divide between rich and poor nations caused by colonialism, debt, and trade.

Modernization Theory

The idea that rich nations developed the correct culture for trade and rapid economic growth by abandoning traditions in favor of new thinking and future orientation.

Dependency Theory

A theory arguing that wealthy nations deny poorer nations the chance to grow by exploiting their resources, creating a relationship between a dominant Metropolis and a reliant Satellite.

Metropolis (Core)

The center of economic power and capital accumulation that extracts raw materials and cheap labor from the periphery.

Satellite (Periphery)

An underdeveloped economy that supplies raw materials and cheap labor to the core and lacks control over its own resources.

World System Theory

Wallerstein's model that divides the world into Core, Peripheral, and Semi-peripheral nations based on exploitation for labor and raw materials.

Core Nations

Dominant capitalist countries that exploit peripheral countries for labor and raw materials according to World Systems Theory.

Peripheral Nations

Countries that have underdeveloped industry and are dependent on core countries for capital.

Semi-peripheral Nations

Countries that share characteristics of both core and periphery nations.

Market Integration

The interconnectivity of prices, goods, services, financial benefits, and investment opportunities across different locations to form one broader market.

Multinational Companies (MNCs)

Companies with assets and facilities in more than one country, centralized worldwide management, and one headquarter.

Transnational Companies (TNCs)

Companies operating in more than one country with no single headquarter, allowing for deeper adaptation to local culture.

European Union (EU)

A regional organization consisting of $27$ countries with shared regional objectives within Europe.

ASEAN

The Association of Southeast Asian Nations, comprising $11$ nations aiming to increase economic growth and cooperation.

AfCFTA

The African Continental Free Trade Area, which seeks to reduce trade barriers and enhance intra-African commerce.

MERCOSUR

The Mercado Comun del Sur, established in $1991$ to create a single market between Argentina, Bolivia, Brazil, Paraguay, and Uruguay.

GCC

The Gulf Cooperating Council, which advances a customs union and single market among Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates.

Global Interstate System

The complex network of relationships, interactions, and institutional governance among sovereign states on a global scale.

State

An independent political and legal entity with fixed geographic boundaries, a government, and sovereignty.

Nation

A socio-cultural entity consisting of a group of people with a common language, history, and culture, but without a mandatory fixed territory.

Nationalism

A belief system that establishes nations as the basis for a political system and promotes patriotism and national interests.

Internationalism

A desire for increased cooperation and solidarity between states and individuals for the well-being of the global community.

Liberal Internationalism

A concept emphasizing how states and non-states should be organized through interdependence, diplomacy, and political organizations.

Social Internationalism

A belief system advocating for a fair and equal society through social justice, global peace, and the elimination of exploitation.

Global Governance

The sum of laws, norms, policies, and institutions that mediate trans-border relations between citizens, states, and organizations.

International Law

A collection of rules and regulations that define the rights and obligations of states.

International Agreement

A treaty signed by multiple states to establish global rules of conduct.

World Health Organization (WHO)

A specialized agency of the United Nations with $194$ member states that coordinates global health policy, regulations, and research.