Grouping together of many firms from the same industry in a single area for collective or cooperative use of infrastructure and sharing of labor resources.
2
New cards
Least Cost Theory (Alfred Weber)
Businesses seek locations that minimize transportation and labor costs.
3
New cards
Break
of
4
New cards
Colonialism
Attempt by one country to establish settlements and to impose its political, economic, and cultural principles in another territory.
5
New cards
Commodity Theory
the scarcer something is, the more desirable it becomes
6
New cards
Complementary advantage
when both parties have goods or services that the other party desires
7
New cards
Comparative advantage
the ability to produce a good at a lower opportunity cost than another producer
8
New cards
Core countries
industrialized former colonial states that dominate the world economic system
9
New cards
Debt crisis
The massive accumulation of loans taken out by third world countries and owed to northern banks and governments from the 1970s onward
10
New cards
Dependency theory
a model of economic and social development that explains global inequality in terms of the historical exploitation of poor nations by rich ones
11
New cards
Economies of scale
factors that cause a producer's average cost per unit to fall as output rises
12
New cards
Ecotourism
the practice and business of recreational travel based on concern for the environment
13
New cards
Export
processing zones
14
New cards
Fordist methods
Manufacturing process broken down into differentiated components, with different groups of people performing different tasks to complete the product.
15
New cards
Formal Economy
The legal economy that is taxed and monitored by a government and is included in a government's Gross National Product; as opposed to an informal economy
16
New cards
Fossil fuels
Coal, oil, natural gas, and other fuels that are ancient remains of plants and animals.
17
New cards
Free trade agreements
Goal is to increase trade among countries by reducing tariffs (NAFTA
18
New cards
Gender empowerment
Compares the ability of women and men to participate in economic and political decision making.
19
New cards
Gender Inequality Index (GII)
A measure of the extent of each country's gender inequality
20
New cards
Global financial crisis
The economic crashes that happened internationally due to the globalization of the world's economy. Problems in some countries (Europe and the United States), caused financial problems in countries that trade with them.
21
New cards
Gross Domestic Product (GDP)
A measurement of the total goods and services produced within a country.
22
New cards
Gross National Income (GNI) per capita
the figure that results from dividing a country's GNI by the total population
23
New cards
Gross National Product (GNP)
The total value of goods and services, including income received from abroad, produced by the residents of a country within a specific time period, usually one year.
24
New cards
Growth poles
economic activities that are deliberately organized around one or more high
25
New cards
High technology industries
Companies that support the growth and development of sophisticated technologies. It is a very new industry that has rapidly transformed many cities and countries.
26
New cards
Human Development Index
Indicator of level of development for each country, constructed by United Nations, combining income, literacy, education, and life expectancy
27
New cards
Imperialism
A policy of extending a country's power and influence through diplomacy or military force.
28
New cards
Income distribution
The way the national income is divided into "shares" ranging from the poor to the rich.
29
New cards
Industrialization
The development of industries for the machine production of goods.
30
New cards
Infant mortality rates
Annual number of deaths of infants(one and under) compared to the number of live births
31
New cards
informal economy
Economic activity that is neither taxed nor monitored by a government; and is not included in that government's Gross National Product; as opposed to a formal economy
32
New cards
international division of labor
The process where the assembing procedures for a product are spread out through different parts of the world
33
New cards
International Monetary Fund
a United Nations agency to promote trade by increasing the exchange stability of the major currencies
34
New cards
Just
in
35
New cards
Labor
market participation
36
New cards
Literacy rates
percentage of people who can read and write
37
New cards
Manufacturing
The process of making a raw material into a finished product; especially in large quantities.
38
New cards
Markets
Bring buyers and sellers together to exchange goods and services
39
New cards
MERCOSUR
Pact among Argentina, Brazil, Paraguay, and Uruguay to establish a free trade area
40
New cards
Microloans
Small
41
New cards
Multiplier effects
the idea that every one dollar of government spending creates more than one dollar in economic activity
42
New cards
Neoliberal policies
economic policies that are predicated on a minimalist role for the state, assuming the desirability of free markets as the ideal condition not only for economic organization but also for political and social life
43
New cards
OPEC
Organization of Petroleum Exporting Countries
44
New cards
Outsourcing
A decision by a corporation to turn over much of the responsibility for production to independent suppliers.
45
New cards
Post
Fordist methods of production
46
New cards
Primary sector
The portion of the economy concerned with the direct extraction of materials from Earth's surface, generally through agriculture, although sometimes by mining, fishing, and forestry.
47
New cards
Public transportation projects
a public project in development or under construction to provide a new transportation facility or to improve or maintain the existing system of state highways.
48
New cards
Quaternary sector
Service sector industries concerned with the collection, processing, and manipulation of information and capital. Examples include finance, administration, insurance, and legal services.
49
New cards
Quinary sector
Service sector industries that require a high level of specialized knowledge or technical skill. Examples include scientific research and high
50
New cards
Renewable energy
A resource that has a theoretically unlimited supply and is not depleted when used by humans.
51
New cards
Reproductive health
issues of safe sex, prevention and treatment of STIs, contraception, fertility and infertility, sexual health, pregnancy, and childbirth
52
New cards
Stages of Economic Growth
A theory developed by Walt Rostow in which five stages of economic organization are recognized: traditional society, preconditions for takeoff, takeoff, drive to maturity, and high mass consumption.
53
New cards
Secondary sector
The portion of the economy concerned with manufacturing useful products through processing, transforming, and assembling raw materials.
54
New cards
Semi
periphery countries
55
New cards
Service Sectors
Produces intangible goods, more precisely services instead of goods and is comprised of various service industries.
56
New cards
Small
scale finance
57
New cards
Special economic zones
specific area within a country in which tax incentives and less stringent environmental regulations are implemented to attract foreign business and investment
58
New cards
Sustainable development
Development that meets the needs of the present without compromising the ability of future generations to meet their own needs.
59
New cards
Tariffs
Taxes on imported goods
60
New cards
Tertiary sector
The portion of the economy concerned with transportation, communications, and utilities, sometimes extended to the provision of all goods and services to people in exchange for payment.
61
New cards
World System Theory (Immanuel Wallerstein)
One world connected by a network of economic exchange relationship// control flows from Core
62
New cards
least
cost theory (Weber)
63
New cards
World Trade Organization
Administers the rules governing trade between its 144 members. Helps producers, importers, and exporters conduct their business and ensure that trade flows smoothly.
64
New cards
Agglomeration
Grouping together of many firms from the same industry in a single area for collective or cooperative use of infrastructure and sharing of labor resources.
65
New cards
Least Cost Theory (Alfred Weber)
Businesses seek locations that minimize transportation and labor costs.
66
New cards
Break-of-bulk point
A location where transfer is possible from one mode of transportation to another.
67
New cards
Colonialism
Attempt by one country to establish settlements and to impose its political, economic, and cultural principles in another territory.
68
New cards
Commodity Theory
the scarcer something is, the more desirable it becomes
69
New cards
Complementary advantage
when both parties have goods or services that the other party desires
70
New cards
Comparative advantage
the ability to produce a good at a lower opportunity cost than another producer
71
New cards
Core countries
industrialized former colonial states that dominate the world economic system
72
New cards
Debt crisis
The massive accumulation of loans taken out by third world countries and owed to northern banks and governments from the 1970s onward
73
New cards
Dependency theory
a model of economic and social development that explains global inequality in terms of the historical exploitation of poor nations by rich ones
74
New cards
Economies of scale
factors that cause a producer's average cost per unit to fall as output rises
75
New cards
Ecotourism
the practice and business of recreational travel based on concern for the environment
76
New cards
Export-processing zones
zones established by many countries in the periphery and semi-periphery where they offer favorable tax, regulatory, and trade arrangements to attract foreign trade and investment
77
New cards
Fordist methods
Manufacturing process broken down into differentiated components, with different groups of people performing different tasks to complete the product.
78
New cards
Formal Economy
The legal economy that is taxed and monitored by a government and is included in a government's Gross National Product; as opposed to an informal economy
79
New cards
Fossil fuels
Coal, oil, natural gas, and other fuels that are ancient remains of plants and animals.
80
New cards
Free trade agreements
Goal is to increase trade among countries by reducing tariffs (NAFTA - no tariffs between US, Canada, and Mexico)
81
New cards
Gender empowerment
Compares the ability of women and men to participate in economic and political decision making.
82
New cards
Gender Inequality Index (GII)
A measure of the extent of each country's gender inequality
83
New cards
Global financial crisis
The economic crashes that happened internationally due to the globalization of the world's economy. Problems in some countries (Europe and the United States), caused financial problems in countries that trade with them.
84
New cards
Gross Domestic Product (GDP)
A measurement of the total goods and services produced within a country.
85
New cards
Gross National Income (GNI) per capita
the figure that results from dividing a country's GNI by the total population
86
New cards
Gross National Product (GNP)
The total value of goods and services, including income received from abroad, produced by the residents of a country within a specific time period, usually one year.
87
New cards
Growth poles
economic activities that are deliberately organized around one or more high-growth industries.
88
New cards
High technology industries
Companies that support the growth and development of sophisticated technologies. It is a very new industry that has rapidly transformed many cities and countries.
89
New cards
Human Development Index
Indicator of level of development for each country, constructed by United Nations, combining income, literacy, education, and life expectancy
90
New cards
Imperialism
A policy of extending a country's power and influence through diplomacy or military force.
91
New cards
Income distribution
The way the national income is divided into "shares" ranging from the poor to the rich.
92
New cards
Industrialization
The development of industries for the machine production of goods.
93
New cards
Infant mortality rates
Annual number of deaths of infants(one and under) compared to the number of live births
94
New cards
informal economy
Economic activity that is neither taxed nor monitored by a government; and is not included in that government's Gross National Product; as opposed to a formal economy
95
New cards
international division of labor
The process where the assembing procedures for a product are spread out through different parts of the world
96
New cards
International Monetary Fund
a United Nations agency to promote trade by increasing the exchange stability of the major currencies
97
New cards
Just-in-time delivery
Shipment of parts and materials to arrive at a factory moments before they are needed
98
New cards
Labor-market participation
A statistic that determines what percentage of an age group or gender is currently working
99
New cards
Literacy rates
percentage of people who can read and write
100
New cards
Manufacturing
The process of making a raw material into a finished product; especially in large quantities.