Globalisation (have some paper flashcards on this too)

Question 1

Sovereign wealth fund and purpose

Answer 1

government owned investment funds and banks to diversify revenue scheme

Question 2

special economic zone and conditions

Answer 2

an industrial area, near the coastline, where favourable conditions are created to attract foreign TNCs. Conditions include low tax rate, exemption from tarrifs and export duties

Question 3

what is required for a special economic zone

Answer 3

good infrastructure, subsides, gov support, large, skilled and cheap workforce

Question 4

Neoliberalism

Answer 4

idea that government intervention disrupts economic growth

Question 5

Privatisation

Answer 5

To raise money and reduce gov spending by the transfer of a business, industry, or service from public to private ownership and control - encourages FDI from one business into another country

Question 6

Start-ups

Answer 6

lowering taxes and changing regulations and laws to encourage new businesses

Question 7

open door policy

Answer 7

started by USA about china, encouraging equal privileges for all the countries trading with China
china using strict controls e.g birth n. to curb population growth

Question 8

China and SEZ

Answer 8

china has 550 SEZ’s nowdays and in 1990’s SEZ’s were 50% of chinas wealth

Question 9

First step of the open door policy china aggreed to

Answer 9

set up four special economic zones e.g shenzen with tax incentives to attract foreign business

Question 10

What was a result of the open door policy in china

Answer 10

Has had one of the fastest periods of economic growth in world history, huge numbers of entrepreneurs in china
GDP in 1998 4x higher than in 1980

Question 11

whats the cumulative causation model

Answer 11

model showing that the introduction of a new industry, creates more jobs, an improved workforce, increased demand in services, increased population, increased income and tax, new construction, becoming a growth pole

Question 12

what are hubs and why are they relevant

Answer 12

they are cores that are highly connected, transport and communication usually focuses on these cores, which increases investment and production of goods- globally significant activity is focused on cores

Question 13

what do upward transition areas benefit from

Answer 13

offshoring and outsourcing

Question 14

what do downward transition areas lose out on

Answer 14

FDI, due to negative impact of offshoring and outsourcing

Question 15

What is the KOF index and whats its purpose

Answer 15

its a measure of globalisation and is used to identify trends

Question 16

What is KOF index made from

Answer 16

economic, social, political globalisation

Question 17

What is A T Kearney index made from

Answer 17

political engagement(participation in treatys, peacekeeping etc) technological connectivity (number of users, servers etc)
personal contact (telephone calls, travel, remittance payments)
Economic intergration (volume of international trade and FDI)

Question 18

difference between KOF and AT Kearney

Answer 18

A T Kearney uses more holistic indicators and includes a ranking based on a weighting system

Question 19

global shift

Answer 19

the relocation of companies from OECD countries to NIC countries predominantly from N america and western europe to latin america and SE aisa

Question 20

OECD

Answer 20

organisation of economic cooperation and development

Question 21

NIC

Answer 21

newly industrialised country

Question 22

Benefits in developing nations for people and environment

Answer 22

-economic benefits (higher wages, loans from foreign companies, economic reform, etc)
-improved education and healthcare
-culteral shift, empowering human rights
-social impact, gov spending on social projects

Question 23

example of empowering human rights

Answer 23

SDG5 ( United Nation’s Sustainable Development Goals) gender equality

Question 24

costs in developing nations for people and environment

Answer 24

-diet, nutrition transition (access to fast food, things they never had before), health issues
-reduce biodiversity
-increase population and carbon footprint
-more waste, wealthy people consume more
-social impact- women dont have kids due to time spent at work and new found individuality

Question 25

why is 2001 relevant to china

Answer 25

when they joined the WTO (world trade organisation), growth exponentially in GDP

Question 26

what is the IMD

Answer 26

index of multiple deprivation

Question 27

what is the IMD comprised of

Answer 27

-income
-employment levels
-education
-health
-crime
-barriers to housing and services
-living environment

Question 28

what is the IMD split into

Answer 28

deciles and rank- 1st is most deprived and 32,844th is least deprived- ranks and 10 deciles

Question 29

what country is IMD applicable to

Answer 29

just england

Question 30

what are social and environmental problems as a result of economic restructuring

Answer 30

economic restructuring

Question 31

what does it mean by industries moving from blue collar to white collar industries

Answer 31

manual to service sector (office) industries