Unit 5 Topic 7 Flashcards
What is a commodity chain?
All of the different activities and processes that go into producing a product.
Can start with the extraction to selling of the product
Involves many different people from all around the world
What are economies of scale?
As a company grows it is able to reduce the average cost to produce its product. (As companies get large they have access to more capital, which allows them to scale up production.)
As companies grow, the carrying capacity can increase
Example: Irrigation, Mechanization, Greenhouses, etc.
What is an input?
An item, good, or product that goes into the production of a final good.
What is a surplus economy?
When a country has more exports than imports
What is a tariff?
A tax that is put on imported goods
What is a protective tariff?
Used to push up the price of imported products as a protective measure against foreign competition.
What is a prohibitive tax?
When a tax is so high that it makes an import (goods from foreign countries) far too expensive. It discourages the purchasing of foreign goods.
What is a revenue tax?
Mainly to raise government income rather than to protect domestic products.
What is large-scale commercial agriculture?
Refers to the production of crops or livestock on a large scale
Usually incorporates machinery and irrigation
Usually owned by corporation or large businesses
Impact family farms with competition
Can impact the environment with pesticides, fertilizers, irrigation, etc.
What are some changes in food production?
Less family owned farms
More business/company owned farms
Farms cost more money to maintain/use
Less human labor is being used/More automation and machinery
A higher carrying capacity and a lower agricultural density around the world
The average farm size has increased while the amount of farms in general has greatly decreased
More debates on animal/food rights
More debates on GMO, pesticide, herbicide, etc. use.
