WEEK 5: MARKET INTEGRATION Flashcards
2 types of institutions under imf (international financial institutions)
private, igo (intergovernmental organization)
2 examples of private imf
merrill lynch, citigroup
2 examples of igo’s in imf
world bank, imf (international monetary fund)
imfs that are owned by private sectors
private imfs
imfs that have interventions from the government
igo (intergovernmental organization)
2 founders of merrill lynch
charles e. merrill & edmund c. lynch
this igo was created to help the economy of countries that were severely affected during world war ii
world bank
lends to governments of middle-income and creditworthy low-income countries
international bank for reconstruction and development
provides interest-free loans (credits and grants to governments of the poorest countries
international development association
provides exclusive help to private sectors by financial investments, mobilizing capitals, and providing advisory to businesses and governments
international financial corporation
promote direct investments into developing countries
multilateral investment guarantee agency
provides facilities for conciliation and arbitration of investment disputes
international center for settlement & investment
purpose behind the establishment of the world bank
to fight poverty
purposes of the international monetary fund
- to stabilize economies
- to restore sustainable growth
- to balance payment problems
2 regional development banks
- asian development bank
- african development bank
this is the role of ifi’s (international financial institutions) in the global economy
they are actors
ifi’s facilitate the ____________________ and provide ______________ to nation states and global corporations
lending of money, financial grants
global corporations are _______ from the phenomenon of globalization
inseparable
3 periods of global corporations
- trade and exchanges
- colonialism and imperialism
- american, japanese, and european corporations
the practice of eradicating existing cultures to be replaced by existing cultures shared by others
imperialism
the forgetting or overshadowing of your own culture in place of other cultures; with your own culture being left behind
colonialism
true or false: global corporations are so powerful that they can create a financial crisis if they want to
true
they are agents or actors of economic development
global corporations
they have investment in other countries, but do not have coordinated product offerings in each country. they are more focused on adapting their products and services to each individual local market
multinational corporations (mnc)
they are more complex organizations which have invested in foreign operations, have a central corporate facility but give decision-making, research and development, and marketing powers to each individual foreign market
transnational corporations (tnc)
