Global challenges for the future

Question 1

Externalities

Answer 1

The range of benefits and costs generated by economic activity that aren’t fully accounted for in economics, e.g. pollution

Question 2

Global shift

Answer 2

The global-scale relocation of different types of industrial activity, which also brings social, political and environmental changes to nations

Question 3

Deindustrialisation

Answer 3

The decline of regionally important manufacturing industries

Question 4

Post-industrial economy

Answer 4

Replacement of traditional manufacturing or mining employment by an employment structure focused on services and technology (the tertiary and quaternary sectors)

Question 5

Purchasing power parity

Answer 5

A measure of average wealth that takes into account the cost of a typical ‘basket of goods’ in a country (goods often cost less in low-income countries, meaning wages go further than expected)

Question 6

Quaternary sector

Answer 6

The component of a country’s employment structure that includes research, information management and financial management

Question 7

Ecological footprint

Answer 7

A measurement of the land or water required to provide a person or society with the energy, food and resources they consume and the waste they produce

Question 8

Food miles

Answer 8

The distance food travels from a farm to the consumer