chapter 9

Question 1

globalization

Answer 1

the development of social and economic relationships stretching worldwide. In current times, we are all influenced by organizations and social networks located thousands of miles away. A key part of the study of globalization is the emergence of a world system- for some purposes, we need to regard the world as forming a single social order.

Question 2

global inequality

Answer 2

the systematic differences in wealth and power between countries

Question 3

GNI

Answer 3

gross national income, a commonly used measure based total income earned as a result of country’s yearly output of goods and services, including income earned abroad.

Question 4

absolute poverty

Answer 4

a state of poverty in which one lacks the minimal requirements necessary to sustain a healthy existence

Question 5

relative poverty

Answer 5

poverty defined according to the living standards of majority in any given society

Question 6

capabilities approach

Answer 6

an approach to economic development that uses social indicators to emphasize the degree to which people are capable of achieving a life they value, given the opportunities they face

Question 7

neoliberalism

Answer 7

the economic belief that free-market forces, achieved by minimizing government restrictions on business, provide the only route to economic growth

Question 8

modernization theory

Answer 8

a version of neoliberal development theory that argues that low-income societies develop economically only if they give up their traditional ways and adopt modern economic institutions, technologies, and cultural values that emphasize savings and productive investment

Question 9

dependency theories

Answer 9

Marxist theories of economic development that argue that the poverty of low-income countries stems directly from their exploitation by wealthy countries and by the multinational corporations that are based in wealthy countries

Question 10

core countries

Answer 10

according to world-systems theory, the most advanced industrial countries, which take the lion’s share of profits in the world economic system

Question 11

peripheral countries

Answer 11

according to world systems theory, countries have a marginal role in the world economy and are thus dependent on the core countries for their trading relationships

Question 12

colonialism

Answer 12

the process whereby western nations established their rule in parts of the world away from their home territories

Question 13

dependent development

Answer 13

the theory that poor countries can still develop economically, but only in ways shaped by their reliance on the wealthier countries

Question 14

global commodity chains

Answer 14

worldwide networks of labor and production processes that extend from raw materials to the final consumer

Question 15

semi peripheral countries

Answer 15

according to the world systems theory, countries that supply sources of labor and raw materials to the core countries and the world economy while at the same time profiting by extracting labor and raw materials from peripheral countries, but are not themselves fully industrialized societies

Question 16

world systems theory

Answer 16

pioneered by Immanuel Wallerstein, this theory emphasizes the interconnections among countries based on the expansion of a capitalist world economy. This economy is made up of core, semiperipheral, and peripheral countries

Question 17

global capitalism

Answer 17

the current transnational phase of capitalism, characterized by global markets, production and finance; a transnational capitalist class whose business concerns are global rather than national; and transnational systems of governance (such as the world trade organization) that promote global business interests

Question 18

transnational capitalist class

Answer 18

a social class whose economic interests are global rather national, who share a globalizing perspective and similar lifestyles, and who see themselves as cosmopolitan citizens of the world

Question 19

emerging economies

Answer 19

countries located primarily in the global south, such as India and Singapore, that over the past three to four decades have begun to develop a strong industrial base