GLOBAL GOVERNANCE Flashcards

Question

What are the drawbacks of China's investment in Zambia?

Answer 1

Unequal power relations: China hasn’t helped Zambia develop its own copper-processing industry. Zambia has to sell raw copper to other countries (e.g., UK) for processing, then buy it back. This reduces Zambia’s profits and increases reliance on wealthier nations.

Answer 2

Developed the Tazara railway for copper transport. Provided 10,000 Chinese workers, boosting Zambia’s workforce. Built the Kariba Dam, supplying hydroelectric power to the copper industry.

Answer 3

Unequal power relations: China hasn’t helped Zambia develop its own copper-processing industry. Zambia has to sell raw copper to other countries (e.g., UK) for processing, then buy it back. This reduces Zambia’s profits and increases reliance on wealthier nations.

Answer 4

China is an emerging economy and is expanding its wealth and influence by investing in other parts of the world.

Answer 5

. They fill essential jobs . Address labour shortages . Skilled workers help maintain economic growth.

Answer 6

. Migrant workers send remittances . Foreign investments improve infrastructure and jobs . TNCs drive social and economic growth.

Answer 7

. HICs share successful strategies for economic and social growth . New business models like outsourcing reduce costs and improve services, plus create jobs in LICs

Answer 8

LICs build industries through technology, leading to new factories and employment opportunities.

Answer 9

. They often experience exploitation . Poor working conditions . Social or health issues due to economic migration.

Answer 10

. Aid can be mismanaged . TNCs profit from LICs without fair reinvestment . Low wages highlight income inequality.

Answer 11

LICs may feel forced to adopt HIC policies that may not benefit them, like not joining trade agreements will put them at a massive disadvantage.

Answer 12

Research is done in HICs while manufacturing is outsourced, LICs rely on outdated technology due to costs, and automation in HICs reduces job opportunities.

Answer 13

It's enable some States to drive global systems to their own advantage and directly influence geopolitical events.

Answer 14

Counties gain superpower status through economic, military, culture, and technological dominance over many countries. Can be done through 'soft power' (cultural influence and diplomacy) or 'hard power' (use of military force and economic trade policies )

Answer 15

With neighbouring countries, as this reduces transport costs.

Answer 16

Buying and selling of goods and services

Answer 17

A tax put on imports to encourage people to buy goods from their own country

Answer 18

A document issued by a national government authorizing the importation of certain goods from a specific source

Answer 19

Grants or allowances usually awarded to a domestic producers to reduce their costs and make them more competitive to compete with imported goods

Answer 20

Restrictions on exports implemented for Political or economic Reasons by countries and international organisations to maintain international peace and security

Answer 21

The involved partial or complete prohibition of commerce and trade with a particular country usually put in place the political not commercial reasons

Answer 22

Restrictions placed on imports based on obstacles such as quality or standard of goods or how they're produced. E.g. EU put restrictions on child labour made products

Answer 23

One country specialise in producing in exporting goods that they can produce more efficiently at lower costs.

Answer 24

Some Industries trying to cluster in geographical areas as sharing of regional skills and information saves costs.

Answer 25

A strong affluent growing market draws in exporters because there's a potential to grow and increase volume of sales

Answer 26

Political Alliances are important in determining which countries cooperate and trade with each other conversely conflict may lead to sanctions or embargos.

Answer 27

An international treaty on trade conditions for products and services between countries, which is a result of collective bargaining contracts, defines the trade rules

Answer 28

The world trade organisation tries to remove barriers to trades like tariffs, trying to persuade nations to reduce tariffs.

Answer 29

A system of buying and selling goods and services that isn't really under control of the government.

Answer 30

Trade barriers between the member countries are eliminated but each member country maintains its own tariffs against countries that aren't members

Answer 31

Same as free trade areas (trade barriers between member countries or eliminated but tariffs against countries that are members are maintained) but common countries impose a common tariff against non-member countries outside the Bloc.

Answer 32

Same as Customs Union (where trade barriers between member countries that are eliminated and a common tariff is set against non-member countries) but also, there's a free flow of goods, services, capital, and labour between the countries with no restrictions.

Answer 33

Can take different forms but members operate as a common market trade (barriers between countries or eliminated, a common tariff is imposed against non-member countries and there's free flow of good, services, capital and labor with no restrictions) with the additional integration of a common tax system/currency.

Answer 34

. Comparative advantage (specialised in producing goods efficiently) . Geopolitical relations . Agglomerarion (companies clustered in regions) . Proximity (neighbour countries) . Market size/ strength

Answer 35

Factors that affect a countries access to markets ○ technology ○ transport costs ○ security ○ border control ○ communication systems ○ management and information systems ○ trading relationships ○ trading blocs and agreements ○ wealth and economic development ○ geopolitical relations ○ global financial relations ○ government policies

Answer 36

Countries with less wealth have less access to markets. HICs can often afford to pay higher tariffs for higher profits, but LIC's struggle to pay the high tariffs and can't save money through outsourcing, reducing access to markets

Answer 37

○Economies of scale (cost savings from larger market size) ○Attracts investment due to larger market opportunities ○Opens borders to new technology ○Elimination of trade barriers improves trade and production ○Employment: People can move easily between member countries ○Common currency makes transactions easier ○Political benefits: Promotes democracy and human rights ○Social benefits: Raises standards in healthcare, education, etc. ○Resource sharing enhances economic efficiency

Answer 38

○trade diversion (shifting trade to less efficient member countries) ○loss of sovereignty ○ potential for conflicts with the World Trade Organization (WTO), which promotes free and open trade among all member countries. These conflicts can arise over tariff reductions, etc.

Answer 39

Lower costs due to cheaper land and wages Access to new resources and markets Fewer regulations on environment and labour

Answer 40

Ethical issues (sweatshops, environmental damage) Reputation damage Social and environmental concerns

Answer 41

Generates jobs, income, and introduces new technology Workers gain new skills Improves energy, transport, and infrastructure

Answer 42

Poor working conditions and low wages Exploitation of resources Negative impact on environment and culture

Answer 43

Cheaper goods for consumers Specialization in management and financial services → higher-paying jobs

Answer 44

Loss of manufacturing jobs Deindustrialization Abandoned factories and economic decline in some areas

Answer 45

○ to find the lowest cost location for their production ○ take advantage of foreign exchange rates that make exports cheaper ○ exploit a mineral or other resources available in other countries

Answer 46

An arrangement where the supply chain of a company is owned completely by that country (from raw materials to finished product) e.g. BP

Answer 47

A company diversify its opperations by expansion, merger, or takeover to give a broader capability of the same stage of production

Answer 48

Subcontracting part of business opperations to other companies e.g. different countries (cheaper)

Answer 49

Relocation part of the business overseas e.g. for the advantage of lower costs or access to international markets.

Answer 50

A process of international integration and where national economies, societies, world views, products, ideas, and cultures become increasingly integrated globally through trade, communications, transport, and immigration.

Answer 51

○ Economic - cause by growth if TNCs, increased trade, faster cheaper transport ○ Cultral/ social - caused by migration, global communication networks ○ Political - caused by growth of western democracies (influence on less developed countries)

Answer 52

The KOF index measures a countries globalisation looking at - economic (36%- flows like trade/finance) - social (38% phone minutes, information flows, cultural proximity e.g. no. McDonald's) - political aspects (26% no. International organisations that the countries involved in)

Answer 53

Characteristics

Answer 54

Flows of capital, labour, products, services, and information; global marketing; patterns of production, distribution, and consumption.

Answer 55

All money that moves between countries

Answer 56

Flows of capital, labour, products, services, and information; global marketing; and patterns of production, distribution, and consumption

Answer 57

○ rise in international migrants to move to richer areas to work ○ send remittances back to their country ○ they want a better life and better jobs

GLOBAL GOVERNANCE Flashcards

(83 cards)