Module 1-2: Globalization Flashcards
(38 cards)
Define Globalization
the process of increasing traditional trade and interconnnectivity
What are the advantages of trade?
- the exploitation of a country’s comparative advantage
- increases competition and lowers world prices
- improve employement
- to further regulate world trade to aid in the economy
- reduce barriers to international trade
- lower trade barriers and restriction
Roles and Purpose of the General Agreement on Tariffs and Trade
The conference that gathered 44 nations
Bretton Woods Conference
Bretton Woods Conference
a series of new rules for the post-WW2 international monetary system and marked the birth of a new international economic framework.
What organization do these countries belong to; Mexico, Canada and United States
NAFTA
A country that can produce the commodity more efficiently than the other country can
Absolute Advantage
Countries specialize in and export those goods and services where they have a ________ advantage and import those commodities where they do not have a ________ advantage.
Comparative Advantage
Settle legal dispute as the security council
International Court of Justice
The leading institutions of global governance as ASEAN is regional cooperation
United Nation
Improvements in machinery, equipment, method and, techniques that help achieve goods and services with higher efficiency
Technological advances
Political isolationism
a foreign policy that isolates the country from military and political alliances with other nations
The practice of people in from different cultures interacting and sharing cultural expression
Cultural Exchange
Who explain the pattern of international trade that we observe in the world economy?
Heckscher-Ohlin Theory
The interplay between the proportions of production factors (such as land, labor, and capital) available in different countries and the proportions in which they are needed for producing particular goods.
Heckscher-Ohlin Theory
Formally known as the United Nations Monetary and Financial Conference
Bretton Wood Conference
What date did the Bretton Woods Conference happen?
July 1994
known as the Bretton Woods Institutions
International Monetary Fund and World Bank or the International Bank for Reconstruction and Development.
Provide short-term loads to aid aid countries facing balance-of-payments deficits
World Bank or International Bank
Grant long-term loans for the economic development of less developed countries and the reconstruction of war-torn countries in Europe.
International Bank for Reconstruction and Development
Often considered as the major beneficiary of globalization
China
One of the potential drawbacks of globalization
Income Inequality
It is a trade pact between the United States, Mexico, and Canada created on January 1, 1994
NAFTA
Established on 8 August 1967 in Bangkok by the five original member countries: Indonesia, Malaysia, Philippines, Singapore, and Thailand
ASEAN
