Power Places and Networks

Question 1

KOF index

Answer 1

a way of measuring globalisation

measures
- FDI figures
- embassies
- no of UN peace missions
- TV ownership
- books bought and sold

Question 2

global interactions

Answer 2

all the varied economic, social, political and environmental processes that make up globalisation

Question 3

transnational corporations

Answer 3

businesses whose operations are spread across the world, operating as buyers and sellers

Question 4

soft power

Answer 4

• cultural influence
• international decision making
• moral and ethical authority

Question 5

hard power

Answer 5

• military actions or threat
• economic sanctions
• trade and aid policy

Question 6

USA

Answer 6

• 40% of global personal wealth
• large influence over intergovernmental organisations
• used military and intelligence services to interfere in over 50 countries since 1945

Question 7

China

Answer 7

• worlds largest economy
• average annual economic growth of 10%
• largest standing army in the world
• one party system meaning high stability

Question 8

global financial crisis

Answer 8

• global trade grew between 1990 and 2007
• crashed between 2007-2009
• some countries experienced severe financial difficulty
• annual cross border capital flows of 3 trillion are well below 2007 peak of 8.5 trillion

Question 9

MINT group

Answer 9

fast growing economies of

• mexico
• indonesia
• nigeria
• turkey

Question 10

trade bloc

Answer 10

voluntary international organisations that exists for trading purposes

Question 11

tariffs

Answer 11

taxes that are paid when importing or exporting goods and services between countries

Question 12

trickle down policy

Answer 12

the positive impacts on peripheral regions caused by the creation of wealth in core areas

Question 13

neoliberal policy

Answer 13

a philosophy to managing economics and societies that takes the view that government should be kept to a minimum

Question 14

international aid

Answer 14

the gift of money, good or service to a developing country

Question 15

FDI - foreign direct investment

Answer 15

a financial injection made by a TNC into a nations economy

Question 16

international aid flows

Answer 16

• international aid is a gift of money, goods or services to a developing country
• donor can be a country or group of countries
• targeted at specific long term goals for countries and communities

Question 17

offshoring

Answer 17

TNC’s moving parts of their own production processes to other companies to reduce costs

Question 18

acquisitions

Answer 18

when two firms in different countries create a single entity

Question 19

joint venture

Answer 19

two companies forming a partnership to handle business in a particular territory

Question 20

globalisation

Answer 20

TNC’s investing in a global product to take into account geographic variations in taste

Question 21

multi governmental organisations

Answer 21

an agreement between countries to allow boundaries to be crossed freely by flows

Question 22

trade blocs

Answer 22

voluntary international organisations that exist for trading purposes bringing greater economic strength and securityt

Question 23

free trade zone

Answer 23

an area where goods can be imported and exported without trade barriers in place

Question 24

special economic zone

Answer 24

an industrial area where favourable conditions such as low tariffs and tax rates attract foreign TNC’s