Unit 5 - "Political and Economic Changes and Development"

Economic Globalization

The increasing integration and interdependence of national economies around the world

supranational organization

Organization of three or more states to promote shared objectives.

International Monetary Fund (IMF)

an international organization that acts as a lender of last resort, providing loans to troubled nations, and also works to promote trade through financial cooperation

world bank

A specialized agency of the United Nations that makes loans to countries for economic development, trade promotion, and debt consolidation. Its formal name is the International Bank for Reconstruction and Development.

World Trade Organization (WTO)

a trade organization that replaced the old General Agreement on Tariffs and Trade (GATT)

European Union (EU)

(syn Common Market) an economic association established in 1957 by a number of Western European countries to promote free trade among its members

Economic Community of West African States (ECOWAS)

The West African regional organization, including 15 member countries from Cape Verde in the west to Nigeria and Niger in the east.

economic liberalization

the process of limiting the power of the state over private property and market forces

multinational corporations (MNCs)

companies with operations in more than one country

Special Economic Zones (China)

these include the Pudong District, Xiamen, Shantou, Shenzhen, Zhuhai, and the Hainan Province (all of these are coastal areas providing vital economic advantages for the country of China)

privatization

To change from government or public ownership or control to private ownership or control.

pemex

Mexico's powerful state-owned oil monopoly.

state-owned business

a legal entity that is created by the government in order to partake in commercial activities on the government's behalf

Nigerian National Petroleum Corporation (NNPC)

The state-run oil company in Nigeria

Foreign Direct Investment (FDI)

Investment made by a foreign company in the economy of another country.

environmental degradation

damage to or destruction of the natural environment

intergovernmental organization

an organization formed with groups of governments for a specific purpose

United Nations (UN)

an organization of independent states formed in 1945 to promote international peace and security

free market

An economic system in which prices and wages are determined by unrestricted competition between businesses, without government regulation or fear of monopolies.

subsidies

a sum of money granted by the government or a public body to assist an industry or business so that the price of a commodity or service may remain low or competitive.

Agricultural subsidies

financial assistance to farmers through government-sponsored price-support programs.

tariff

A tax on imported goods

infrastructure

the basic physical and organizational structures and facilities (e.g., buildings, roads, and power supplies) needed for the operation of a society or enterprise.

green technologies

environmentally friendly innovations that consider the long-term impact on the environment, e.g. renewable energy sources such as solar panels and wind turbines.

Systemic pollution

use of technology polluting

austerity measures

policies meant to save money

NAFTA (North American Free Trade Agreement)

Allows open trade between the US, Mexico, and Canada.

Maquiladora zones

SEZs on Mexico's northern border with the United States

Rentier State

A country that obtains much of its revenue from the export of oil or other natural resources.

resource curse

the difficulties faced by resource-rich developing countries, including dependence on exporting one or a few commodities whose prices fluctuate, as well as potentials for corruption and inequality