Global Interactions Flashcards
(280 cards)
Food miles
A measure of the distance food travels from its source to the consumer. This can be given either in units of actual distance or of energy consumed during transport.
Globalisation
The growing interdependence of countries worldwide through the increasing volume and variety of cross-border transactions in goods and services and of international capital flows, and though the more rapid and widespread diffusion of technology
What is global shift?
Under global shift, manufacturing industries at first and more recently services have relocated in significant numbers from developed countries to selected developing countries
What are the Asian Tigers?
South Korea
Taiwan
Hong Kong
Singapore
Would a country with higher tariffs be more or less globalised ?
It would be less globalised
What is Foreign direct investment ?
Overseas investments in physical capital by transnational corporations
Emerging markets
Developing countries that are experiencing the fastest rate of growth in the global economy
What are the three big financial centres of the world ?
London
New York
Tokyo
Impacts on LEDCs of the 2008 global financial crisis (statistics)
- In 2009, World Bank estimated 2 million kids have died as result
- March 09 report by UNESCO estimated 390million poorest Africans have suffered income decline of 20%
- IMF said world’s poorest 22 countries needed additional $25billion in 2009
Mongolia: part of the global periphery // what are the root causes of it economic problems?
- From 1923 the country’s economy was heavily subsidised by the Soviet Union
- Mongolia had high literacy levels, basic health care + education + full employment
- The speed of Soviet Union’s collapse + loss of financial support lead to significant economic problems
Mongolia: part of the global periphery // what percentage of people live in poverty?
35% Mongolians live in poverty
Mongolia: part of the global periphery // In what ways is Mongolia a typical developing country ?
- Highly primary product dependent
- Collapse of mining revenues due to 2008 global recession has caused acute financial problems
- 1/3 population live as nomadic herders
- In recent years, drought + unusually cold winters have decimated livestock, destroying the livelihood of hundreds of thousands of households.
- Many have moved to the capital where they live in impoverished conditions
Mongolia: part of the global periphery // impact of global financial crisis
- has meant a fall in demand for most commodities, resulting in significantly lower products
- from mid-2008 to Jan 2009, copper prices fell by 64%
- government revenue has declined with falling commodity prices
- this has resulted in the trade balance swinging from positive to negative
- considerable government cuts are being implemented, but will have a disproportionate impact on poorest sections of society
- domestic banking system has very limited capacity to finance government due to its small size
Mongolia: part of the global periphery // why has the value of remittances from Mongolians working abroad fallen?
- The economies of foreign countries have also contracted
- This has reduced the flow of vital income for many families with inevitable impact on local economies.
- More + more Mongolians are returning home, but cannot find employment
Mongolia: part of the global periphery // how have livestock herders been affected by falling prices of cashmere?
- The economic situation has seen demand for expensive cashmere products decline, leading to a 33% fall in cashmere prices in Mongolia in 2008.
- The fall in demand and prices means many herders have struggled to repay loans they have taken out.
- Some herders are now forced by banks to sell their livestock to repay the loans.
Are LDCs very affected by interactions between the core and periphery ?
- The least developed countries (LDCs) are the most marginalised in the world and have been relatively unaffected by the interactions between global core and periphery.
- Where effects have been felt they are as likely to have been negative as positive.
Diffusion definition
The spread of a phenomenon over time and space
Intermodal transportation definition
Transporting freight by using 2 or more transportation modes. This is made possible by transportation terminals linking different modes of transport
Friction of distance definition
As the distance from a place increases, the interactions with the place decrease, usually because the time and costs involved increase with distance
Distance decay definition
The reduction in the amount of movement or spatial interaction between 2 places the greater the distance they are apart
Time-space convergence definition
This process concerns the changing relationship between time and space, and notably the impacts of transportation improvements on such a relationship
Time-space divergence definition
When the journey time between places increases due to congestion, lower speed limits or other limiting factors
Supply chain definition
The movement of products from a manufacturer to a distributor to a retailer and any points in between
Deregulation definition
The lifting of government controls over an industry which usually results in greater competition and lower prices for consumers