theme 4.1 Flashcards
What does GDP stand for?
Gross Domestic Product
What characterizes emerging economies?
Increasing growth rates but relatively low income per head
Name three examples of emerging economies.
- India
- China
- Brazil
How does UK growth compare to emerging economies?
UK growth tends to be lower than emerging economies
Why are emerging economies growing rapidly?
Growth of the manufacturing sector
What is the world’s largest manufacturing economy?
China
What was the peak growth rate of China from 2002 to 2021?
Around 14%
What was the peak growth rate of the UK from 2002 to 2021?
4%
What is one advantage of emerging markets for UK firms?
Market development opportunity for selling luxury goods
What is a disadvantage of entering emerging markets?
High operations costs due to unfamiliar territories
What is one risk associated with emerging markets?
Increased risk of political instability
True or False: Economic growth in emerging economies decreases demand for infrastructure.
False
What does globalization refer to?
Economic integration of different countries through increased freedoms in cross-border movement
What are BRICS countries?
- Brazil
- Russia
- India
- China
- South Africa
What are MINT countries?
- Mexico
- Indonesia
- Nigeria
- Turkey
How does economic growth impact businesses?
- Potential for increased profits
- Reduced costs of production
- Increased trade opportunities
What is one impact of economic growth on individuals?
Reduced unemployment
Fill in the blank: _______ is a key economic measure that helps assess the economic well-being of a country’s population.
GDP per capita
Why is GDP per capita important?
- Linked to higher standard of living
- Helps determine if an economy is improving
- Useful for comparing economic growth
What does a healthier population lead to in a workforce?
- Higher productivity
- Lower absenteeism
- Better skills development
What does literacy refer to in an economy?
Percentage of adults who can read and write
Why is literacy important for economic growth?
- Higher workforce quality
- Economic growth link
- Stronger customer base
- Increased foreign investment
What does the Human Development Index (HDI) measure?
Overall development based on life expectancy, education, and income
True or False: HDI accounts for income inequality.
False
What are the three key factors of the Human Development Index?
- Life expectancy
- Mean years of schooling
- Gross National Income per capita
What is one advantage of using HDI?
Provides a comprehensive view of development
What is a disadvantage of using HDI?
Lack of reliable data in some regions
