Related Issue 3 - Review Flashcards
What was the Bretton Woods Agreement?
A postwar international monetary system that decided on a fixed exchange rate based on the gold standard.
What is the difference between a fixed and floating exchange rate?
What is the World Bank and what is its purpose?
An international institution that provides loans to countries around the world for capital projects. It was originally established after WWII to help rebuild Europe.
What is the IMF and what is its purpose?
Its original goals were to set a dependable exchange rates for world currencies to allow for increased international trade.
Its current goals are to promote international financial stability and monetary cooperation. It also facilitates international trade, promotes employment and sustainable economic growth, and helps to reduce global poverty.
Why were Keyne’s ideas on the economy?
- “Demand side of economics”
Believed that the government should intervene when things are bad (create jobs and infrastructure)
What were Hayes’s ideas on the economy?
- “Supply side economics”
Believed that government intervention hurt economic growth and stability.
What is CUSMA? What are arguments in favour and against it?
Maintains the elimination of many tariffs between the three countries, to facilitate the free flow of goods.
What it the WTO and what does it do?
The international organization dealing with the global rules of trade between nations. Its main function is to ensure that trade flows as smoothly and freely as possible.
G8 (G20)
The Group of Eight (G8) is an informal meeting representing the world’s most powerful economies. (democracies)
Leaders meet annually to discuss matters related to the global economy, development, the environment, and international security.
What are transnationals?
Give one positive impact of TNCS and one negative impact.
How has techno;got influenced economic globalization?
How do trade blocs provide sustainable prosperity?
What is the EU
A common market allowing for free trade of goods and services.
How does trade liberalization promote free trade?
