Chapter 7 & 9 Vocab Flashcards
Economic globalization
The spread of trade, transportation, and communication systems around the world in the interests or promoting worldwide commerce.
Reparations
The act of making amends for wrongdoing. Reparations may include payments made by a defeated enemy to countries whose territory was damaged during a war.
Communism
An economic and political system whose purpose is to eliminate class distinctions. Everyone would work for the benefit of all and would receive help as he or she needs it.
Economic depression
A period of low economic activity accompanied by high levels of unemployment.
Market economy
An economy in which government regulations are reduced to a minimum and businesses are free to make their own decisions.
Outsourcing
A business strategy that involves reducing costs by using suppliers of products and services in countries where labour is cheaper and government regulation may be less strict.
Containerization
The transporting of goods in standard-sized shipping containers.
Trade liberalization
A process that involves countries in reducing or removing trade barriers, such as tariffs and quotas, so goods and services can move around the world more freely.
Free trade
The trade that occurs when two or more countries eliminate tariffs and taxes on the goods and services they trade with one another.
Consensus
General agreement.
Sanctions
A penalty. Often an economic penalty, such as a trade boycott, taken to pressure a government to agree to carry out certain actions or follow certain rules.
What is an example of economic globalization?
Canada selling it oil to countries around the world
What is an example of reparations?
The money Germany was ordered to pay to Russia, Britain, France after WW1. They also had to give up their colonies
What is an example of communism?
The economy of the USSR or soviet union. Where property belonged to everyone and farmers worked on collective farms
What is an example of Economic Depression?
The Great Depression
