Chapter 3: Mini Quiz Flashcards
What is Economic globalization?
The spread of trade, transportation, and communication systems around the world in the or promoting worldwide commerce
What is an example of economic globalization?
The oil and gas pipelines and large tankers that carry oil products from Canada to markets around the world.
What are reparations?
The act of making amends for wrong doings. May include payments by a defeated enemy to countries whose territory was damaged by war
What is an example of reparations?
Germany was ordered to make payments to Britain, France, and Russia after world war 1. They also had to give up their colonies
What is communism?
An economic and political system whose purpose was to eliminate class disticntions
What was the world first communist state?
The Soviet Union
How did communism work in the USSR?
Land and property belonged to everyone and eveyone worked for the benefit of all
What is economic depression?
A period of low economic activity , accomonied by low levels of employment
What is an example of economic depression?
The great depression of 1929
What was the purpose of the Bretton wood conference?
To try to find a way to prevent another economic turmoil that could lead to another world war
What two organizations were mapped out of the Bretton Woods conference?
-The World Bank
-The International Monetary fund
They were to help expand international trade
What agreement was established at the Bretton Woods conference?
The General Agreement on Trade and Tariffs. To gradully eliminate tarrifs and other trade barriers
What emerged from GATT?
The world trade organization that helped to regulates
What did John Maynard Keynes say about the role of government in the economy?
When economic depression happens the government should set up programs and hire the unemployed to ensure that people had money to spend
What did Friedrich Hayek say about the rold of government in the economy?
A government should protect market by ensuring its rules do not interfere with competition between bussiness
