unit 7 Flashcards
Comparative Advantage
The relative cost advantage a country or organization has to produce certain goods or services for trade
complemenatrity
The mutual trade relationship that exists between two places based on the supply of raw material and the demand for finished products or services
conservation
The practice of protecting and sustainably managing natural resources and ecosystems
deindustrialization
Process by which a country or area reduces industrial activity
ecotourism
a form of tourism based on the enjoyment of natural areas that minimizes the impact on the environment
export proccessing zones (EPZs)
an area within a country that is subject to. make favorable regulations to encourage foreign investment and the manufacturing of goods for export
european union
formed to focus on strengthening the economic development of countries within this prominent economic region by eliminating trade barriers between member countries
fordism
a highly organized system for industrial production that focuses on efficiency and productivity in mass production
Free Trade Zones (FTZs)
a relatively large geographical area within a country in which businesses pay fewer or no tariffs on goods to encourage or facilitate its role in international trade
Global Recession 2008
a severe worldwide economic downturn that originated in the US with a collapse of the housing market, leading to widespread financial impacts and affecting economies across the globe, primarily due to the interconnected nature of the global financial system.
growth poles
a place of economic activity clustered around one or more high-growth industries that stimulate economic gain by capitalizing on some special asset
International Monetary Fund (IMF)
their primary mission is to ensure the stability of the IM system that enables countries and their citizens to conduct business with each other.
International Division of Labor in the late 1800s
Developed countries are manufacturing, and less developed countriesare doing primary sector activities
Just-in-Time delivery
a system where goods are delivered as needed so that companies keep in inventory only what is needed for near-term production.
Maquiladora
an american owned factory locatered in Mexico
MERCOSUR
The Southern Common Market was established to create a South American trade bloc
Multiplier effect
the economic effect in which a change creates a larger change
neoliberalism
Beliefs that favor free-market capitalism in which trade has no constraints from government
New International Division of Labor in the 1970s and onward
Splitting up of economic activities in LDCs and MDCs switch to more tertiary activities
offshore outsourcing
the process where one or more aspects of production are moved to an organization in another country
Organization of the Petroleum Exporting Countries (OPEC)
controls 75% of the worlds crude oil resources (Saudi Arabia, Iran, Algeria, Libya, Ecuador)
Post Fordism
where parts of the product are made in different factories and assembled close to the market allowing for easier variation
preservation
the act of protecting and maintaining natural environments, landscapes, and historical sites from degradation or destruction
South African Development Community (SADC)
formed in 1979 to foster economic cooperation and integration among its 16 member states (Angola, Eswatini, Seychelles, Tanzania, Zimbabwe)
Special Economic Zones (SEZs)
an area within a country that offers more favorable economic regulations to attract foreign businesses
UN 17 sustainable goals
goals for 2050 for improvment and betterment of the world so all countries are equal in development
World Trade Organization (WTO)
a supranational organization with 164 member countries from around the world. Their goals are to provide governments with a forum to negotiate trade agreements, settle disputes, and oversee trade rules
