4.1.1 Global economies

Question 1

define emerging economies

Answer 1

economies that have increased growth rates but low income per capita (per person)
e.g china/india/brazil

Question 2

why are emerging economies growing at a faster rate than uk economies?

Answer 2

-cause of the growth of the manufacturing sector
-uk has seen decline in manufacturing sector as manufacturing in emerging economies = lower labour costs + access to raw materials

Question 3

what country is the largest manufacturing economy + exporter?

Answer 3

China

Question 3

name factors leading to globalisation

Answer 3

-trade liberalisation (freedom to trade)
-growing influence of multi-national cooperations
-communication + It
-capital liberalisation
-emerging economies

Question 4

Define globalisation

Answer 4

economic integration of different countries through increasing freedoms

Question 5

Business impacts of economic growth

Answer 5

-increasing profits (as busi enters new markets)
-decrease cost of production (lower labour costs)
-increased trade opps (demand increases)
-increase in investment

Question 6

individual impacts of economic growth

Answer 6

-reduced unemployment
-increase average incomes (individs have rising moments)
-access to quality public services

Question 7

indicators of growth purpose

Answer 7

-to asses economic growth
-business will consider these when deciding which markets to invest in for future expansion

Question 8

indicators of growth

Answer 8

-GDP per capita (high standard of living)
-literacy (skill)
-Health (clean water/mortality rate)
-HDI (combo of life expectancy, education + income)

Question 9

what does BRICS stand for?

Answer 9

-Brazil
-Russia
-India
-China
-South Africa

Question 10

what does BRICS account for?

Answer 10

-42% of the worlds pop
-23% of global GDP
-17% of worlds trade
-26.6% of worlds land area
-13.2% of worlds voting power

Question 11

developed economies factors

Answer 11

-high income per capita
-high levels of education
-low mortality rates
-low birth rates

Question 12

emerging economies factors

Answer 12

-moving away from agriculture
-characterized by fast growth

Question 13

developing economies

Answer 13

-low GDP
-high mortality rates
-fast pop growth

Question 14

what does MINT stand for?

Answer 14

Mexico
Indonesia
Nigeria
Turkey

Question 15

Mexico factors

Answer 15

-global manufacturing base. Price of labor = stable over decade
-obtaining construction permits electricity + protecting investors

Question 16

Nigeria factors?

Answer 16

-Africa’s largest economy with predicted growth of 7.4% GDP
-corruption/poverty/infanstructure + poor ed system

Question 17

Indonesia factors?

Answer 17

-leading commodity producer that can meet needs of Asia’s strong growth
-too much red tape + inadequate infanstructure to facilitate ease of doing business

Question 18

Turkey factors?

Answer 18

-located at crossroads of Europe + Asia
-high interest rates to tackle 8% inflation + political instability

Question 19

What are the rapid economic growth + newest nations country’s called?

Answer 19

CIVETS

Question 20

What does CIVET stand for?

Answer 20

Colombia
Indonesia
Vietnam
Egypt
Turkey
South Africa

Question 21

What is GDP per capita?

Answer 21

Value of total GDP divided by population of country
-no indication of distribution
-may need to be recalculated

Question 22

Literacy + health

Answer 22

Important development factors as provide info about country’s infrastructure + opps

Question 23

What is HDI

Answer 23

Human development index
Ed/life ex/standard of living
Measures economic a+ social welfare of countries over time
Doesn’t take environment into account
Allows for comparisons