GS&GG - Key Terms

Question 1

Actors

Answer 1

Players on the world stage that participate in the global governance, exercise power, make decisions, solve problems and improve lives

Question 2

Agrotechnologies

Answer 2

The application of modern technologies, such as irrigation technologies to agriculture

Question 3

Antarctic convergence

Answer 3

A natural boundary in the Southern Ocean which loops all the way around the Antarctic continent and separates cold north-flowing waters from the warmer waters of the subantarctic

Question 4

Banana republic

Answer 4

A country whose economy is dependent on one or few commodities, often leading to a politically unstable state

Question 5

Bandwidth throttling

Answer 5

The deliberate slowing of internet service by an internet service provider (ISP)

Question 6

Bilateral

Answer 6

Between two parties

Question 7

Bioprospecting

Answer 7

The process of discovery and commercialisation of new products based on biological resources

Question 8

Colonialism

Answer 8

The policy or practise of a power in extending control over weaker nations or peoples

Question 9

Comparative advantage

Answer 9

When a country specialises in producing only those goods that can be produced efficiently and at the lowest opportunity cost

Question 10

Council of the European Union

Answer 10

Represents the government of member countries and promotes/defends national interests. The government ministers share power over the EU budget and legislation with the European Parliament

Question 11

De-skilling

Answer 11

When traditional skills and crafts may be lost when production technology replaces manpower

Question 12

Doha Development Round

Answer 12

The trade-negotiation round of the WTO that began in 2001 (also known as the Doha Round or the Doha Development Agenda)

Question 13

Domain

Answer 13

A territory or activity over which control is exercised

Question 14

Domestic monopoly

Answer 14

When a single firm controls a large proportion of the domestic market (>25%). Therefore domestic prices are kept high due to less competition

Question 15

Dutch disease

Answer 15

Negative consequences as a result of large increases in a countries income. It is usually associated with the discovery of natural resources (e.g. oil) or high levels of FDI

Question 16

Economies of scale

Answer 16

The ability to reduce costs proportionately by increasing the scale of production

Question 17

Empowerment

Answer 17

To give power or authority to someone > fuller participation of women

Question 18

European Commission

Answer 18

An executive body that is responsible for proposing and implementing EU laws, monitoring treaties and the day-to-day running of the EU > members appointed by national governments

Question 19

European Council

Answer 19

Sets up the EU’s overall political direction and priorities > heads of state or government of EU member countries

Question 20

European Parliament

Answer 20

Represents 500 million EU citizens > directly elected by them. Adopts laws proposed by the commission. Power over EU budget with the Council of the European Union

Question 21

Fair trade

Answer 21

A value-based organisation and trademark that aims to tackle injustices of the globalised economy.
- farmers guaranteed minimum price
- premium for reinvestment
- fair terms of trade

Question 22

Flexibility of production

Answer 22

A method of production that is sufficiently flexible to be able to respond to both planned and unplanned changes, e.g. strike action or natural disaster

Question 23

FDI

Answer 23

Investment by a company (TNCs) based in one country into a company based in another country. Acquire control to have significant influence over the foreign company

Question 24

G8 + 5

Answer 24

A group that meets annually to discuss economic development (Canada, France, Germany, Italy, Japan, Russia, UK, USA + China, India, Brazil, Mexico and South Africa)

Question 25

G20

Answer 25

An inter-governmental organisation which comprises 19 individual countries plus the EU > developed and developing countries

Question 26

Global Commons

Answer 26

Those parts of the planet that fall outside national jurisdiction and to which all nations have access

Question 27

Global Governance

Answer 27

An international process of consensus-forming which generates guidelines and agreements ‘governing’ the actions of those same players

Question 28

Global product

Answer 28

A product that is marketed and branded throughout the world e.g. Coca-Cola

Question 29

Glocalisation

Answer 29

A combination of the words globalisation and localisation. Developed and distributed globally but adapted to meet the local market

Question 30

Horizontal integration

Answer 30

Involves improving links between firms in the same stage of production > TNC acquires competitors and uses common structures in the hope of cost saving

Question 31

Incentive gap

Answer 31

The gap between the need for international cooperation and the motivation to undertake it

Question 32

International Monetary Fund (IMF)

Answer 32

Standardises global financial relations and aims to promote global monetary and exchange stability by monitoring the global economy and encouraging the growth of international trade

Question 33

International Whaling Commission (IWC)

Answer 33

A voluntary organisation set up to monitor and conserve global whale shocks and oversee the whaling industry

Question 34

Jurisdiction gap

Answer 34

Gap between the increasing need for global governance and a lack of authority with the power to take action

Question 35

Loss leaders

Answer 35

Goods that supermarkets sell so cheaply that no profit is made in order to use them as an incentive to lure in shoppers

Question 36

Marine Protected Areas (MPAs)

Answer 36

Marine areas where certain activities are limited or prohibited in order to meet specific conservation, habitat protection or fisheries management protection

Question 37

Marine reserves

Answer 37

Fully protected areas > provide highest levels of protection to all elements of the ocean ecosystem

Question 38

Member countries of the EU

Answer 38

Implement laws passed by the EU > commission ensures the laws are properly applied and implemented

Question 39

Monopoly

Answer 39

Single company or group controls most of the market > little choice and competition

Question 40

Non-Governmental Organisation (NGOs)

Answer 40

A non-profit organisation created by a private organisation or people not participating in government

Question 41

Organisation of Petroleum Exporting Countries (OPEC)

Answer 41

An organisation or cartel that follows a common approach to the sale of oil

Question 42

Organisation for Economic Cooperation and Development (OECD)

Answer 42

Gloabl ‘think tank’ for the worlds richest 35 countries to promote economic and social prosperity

Question 43

Over-specialisation

Answer 43

When the focus of production is on only one or two products > lack of flexibility and ability to diversify

Question 44

Participation gap

Answer 44

Refers to the fact that international cooperation remains primarily the affair of governments

Question 45

Primary products

Answer 45

Goods made of natural raw material (not manufactured)

Question 46

Product dumping

Answer 46

Product exported at a price that is lower in the foreign market than the price charged domestically

Question 47

Purchasing power

Answer 47

Amount consumers can buy with their money. More trade = higher purchasing power

Question 48

Single-product economy

Answer 48

A country that relies on one, or a very small number, of products (usually raw materials) for its export earnings

Question 49

Sovereignty

Answer 49

Power or authority countries have to govern themselves

Question 50

Spreading of locational risks

Answer 50

Spreading of risks by investing in different geographical locations

Question 51

Status quo

Answer 51

‘Existing state of affairs’ or to keep social or political matters the same

Question 52

Tariff

Answer 52

A tax that is paid on goods coming into or going out of a country

Question 53

Terms of trade

Answer 53

The value of a country’s exports relative to that of its imports

Question 54

Trade bloc

Answer 54

Set of countries trade freely without barriers. Countries outside the bloc pay a set tariff

Question 55

Trade liberalisation

Answer 55

Also known as free trade that involves removing barriers (trade duties or customs). The fewer the barriers, the greater volume of trade

Question 56

Trade protectionism

Answer 56

The use of barriers (import tariffs or customs) in order to increase the price of imports (protect domestic production)

Question 57

Transatlantic Trade and Investment Partnership (TTIP)

Answer 57

A new trade deal (negotiated by the US and EU) with the aim of liberalising ‘one third of global trade’

Question 58

Transnational companies (TNCs)

Answer 58

Corporations or companies that operate in at least two countries

Question 59

United Nations Environment Programme (UNEP)

Answer 59

Leading global environmental programme > sets environmental agenda > promote coherent implementation of the environmental dimension of sustainable development

Question 60

Vertical Integration

Answer 60

An industry where one company either owns or controls multiple stages in the production and distribution chain

Question 61

World Bank

Answer 61

Promotes investment globally and provides loans for countries under certain conditions

Question 62

World Trade Organisation (WTO)

Answer 62

A global organisation that deals with the rules of trade between nations