Unit 6

Question 1

break-of-bulk

Answer 1

an area where the mode of transportation changes while distributing products (seaports, airports)

Question 2

BRICS

Answer 2

Brazil, Russia, India, China, and South Africa - developing economies in stage four of rostow’s model

Question 3

NICs

Answer 3

Newly Industrialized Countries - in stage three of rowstow’s model

Question 4

bulk-gaining industry

Answer 4

an industry where the outputs weigh more than the inputs, making it harder to ship -> more cost effective to have the factory closer to the market (cars, bottled drinks, books, etc.)

Question 5

bulk-reducing industry

Answer 5

an industry where the inputs weigh more than the outputs, making it easier to ship out -> more cost effective to have the factory closer to the inputs (pencils, paper, meat, nails, etc.)

Question 6

comparative advantage

Answer 6

when a country/company/region can produce a good at a lower cost than another due to better climates, more land area, cheaper labor, etc.

Question 7

complementarity

Answer 7

the ability of one place to supply goods to meet another place’s demands

Question 8

cottage industry

Answer 8

a system used before industrialization where families would produce goods inside their homes

Question 9

deindustrialization

Answer 9

the process where industrialization in a core country declines due to manufacturing being relocated to peripheral countries, results in job loss and cheaper goods

Question 10

dependency theory

Answer 10

peripheral countries are reliant on core countries to export their goods to, and their development is held back because of it

Question 11

footloose industry

Answer 11

an industry where the location has little effect on the success of the industry (ex: online games or companies)

Question 12

fordism

Answer 12

the assembly line first used by Ford where each person had one task, increased production

Question 13

post-fordism

Answer 13

similar to fordism, but with automation and robots instead of humans, allows for more flexibility of products

Question 14

GDP

Answer 14

Gross Domestic Product, measure the total value of goods and services with a country during the year

Question 15

GNP

Answer 15

Gross National Product, the total value of goods and services by citizens, domestic or abroad

Question 16

GNI

Answer 16

Gross National Income, the value of all goods, services, and trade

most accurate economic indicator and used to calculate the HDI

Question 17

Gender Inequality Index

Answer 17

the number that represents gender equality, based on reproductive health, empowerment, and labor-market participation

Question 18

GINI coefficient

Answer 18

the economic inequality within a country

Question 19

HDI

Answer 19

measures how developed a country is based on standard of living (GNI), long and healthy life (life expectancy at birth), and knowledge (expected + mean years of schooling)

Question 20

Industrial Revolution

Answer 20

began in the mid 1700s in Great Britain, marked the beginning of industrialization

Question 21

informal sector

Answer 21

illegal or “under the table” goods or services that are not documented by the government

Question 22

formal sector

Answer 22

regulated and taxed goods + services that are included in a countries GDP and GNI

Question 23

location theory

Answer 23

a theory predicting where a business should be located based on factors such as transportation and labor costs

Question 24

neoliberalism

Answer 24

the belief that open markets and free trade will lead to overall economic development

Question 25

primary sector

Answer 25

the initial harvesting of raw materials (farming, mining, forestry, etc.)

Question 26

quaternary sector

Answer 26

under the tertiary sector, the quaternary sector is the creation and transfer of information

Question 27

quinary sector

Answer 27

high level decision makers of a society or company

Question 28

Rostow’s Model of Modernization

Answer 28

explains the five stages of development within a country. has been heavily criticized due to its focus of linear, even development without any consideration of other countries

Question 29

secondary sector

Answer 29

creates goods from the raw materials (manufacturing, carpentry, etc.)

Question 30

tertiary sectory

Answer 30

the sector focused on services such as the law, transportation, health, etc.

Question 31

World Bank

Answer 31

a division under the UN that provides loans to countries to aid in economic development

Question 32

Weber’s least-cost theory

Answer 32

there are three main cost factors that determine where a company should be located: transportation, labor, and agglomeration

Question 33

agglometation

Answer 33

the clustering of one industry (Silicon Valley, Wall Street, Hollywood)

Question 34

export processing zone

Answer 34

a region within a country that is designed to attract MN organizations to invest in these areas, focused on exports (ex: China)

Question 35

special economic zone

Answer 35

a region w/ a different economic regulations, designed to bring in foreign business and investment, import based