Political and economic organisations

Question 1

what are political and economic organisations?

Answer 1

bodies that are set up to control and oversee international agreements

Question 2

describe the Bretton woods

Answer 2

• principle was to restabilise the world economy and avoid a return to conditions that prevailed during the great depression of the 1930’s when a global economic down turn led to trade being replaced by protectionism.
• organise international organisations, provides the framework

Question 3

define the role of the world bank

Answer 3

• lends money on a global scale, gives direct grants to developing countries, imposes strict conditions on its loans and grants

Question 4

define the role of the IMF (International Monetary Fund)

Answer 4

channels loans from rich nations to countries that apply for help. in return, recipients must agree to run the free-market economies that are open to outside investment , TNC’S can enter these countries more easily as a result, strict financial conditions.

Question 5

define the role of the WTO

Answer 5

• advocates trade liberilisation, especially for manufactured goods, and asks countries to abandon protectionist attitudes in favour of untaxed trade
• failed to stop richest countries subsidising their own food producers, this protectionism is harmful to farmers in developing countries who want to trade on a level playing field

Question 6

define liberalisation

Answer 6

free market (trying to rid taxes, quotas, tariffs)