unit 7

Question 1

cottage industries

Answer 1

industries where most things being produced are by the tradition methods and techniques; small scale

industrial revolution usually decreases these industries because of machinery

Question 2

economic sectors

Answer 2

primary: extracting resources from the earth; agriculture, fishing, mining, oil
secondary: manufacturing goods/raw resources being manufactured
tertiary: services; teachers, doctors, nurses
quantinary: gathering information; researcher
quinary: decision making; CEO

Question 3

value added product

Answer 3

a product that is processed to have a higher price after being manufactured (final price)
strawberries —> strawberry jam

Question 4

capital investment

Answer 4

when a person or a business invests money or resources into production of a product to eventually get profit

Question 5

industrialization

Answer 5

development of industrial activities

Question 6

deindustrialization

Answer 6

decline in industrial activities
NOT going backwards into primary jobs, moving into tertiary (services)

Question 7

break of bulk point

Answer 7

a point in transportation where the mode of transportation is switched (airplane to train to truck etc.)

Question 8

webers least cost theory

Answer 8

where and how to make a business the most profitable
agglomeration: clustering like businesses together
transportation cost: finding the transportation that would cost the least
labor cost: cheapest labor

Question 9

bulk reducing good

Answer 9

a good that is heaviest when first extracted, manufacturer would be closest to where it is being extracted because since it is heavy, transportation would cost more

Question 10

bulk gaining

Answer 10

weight is put onto the product after being manufactered, manufacturer would be closer to the market as it is light and can be transported at its natural state

Question 11

core countries

Answer 11

most economically advanced and high living standards

Question 12

semi-periphery

Answer 12

developing economy and are industrializing

Question 13

periphery countries

Answer 13

least economically stable and have a low living standard

Question 14

multinational corporation

Answer 14

company that has many different factories around the world

Question 15

formal economy

Answer 15

recognized by the government and is legal (services; doctors, nurses) better and safer of for the society

Question 16

informal economy

Answer 16

not regulated and not recognized by the government; small businesses, vendors

Question 17

gross domestic product (GDP)

Answer 17

goods and services produced within the country of origin’s borders

Question 18

gross national product (GNP)

Answer 18

goods and services produced outside the boundaries of the country of origin, business and $ being made is still theirs

Question 19

gender inequality index (GII)

Answer 19

inequality of gender, scale of 0-1, zero being no inequality

Question 20

maternal mortality rate

Answer 20

number of pregnant women deaths per 100,000 live births

Question 21

adolescent fertility rate

Answer 21

number of 15-19 year olds giving birth per 1000

Question 22

total fertility rate

Answer 22

average number of births per women

Question 23

crude birth rate

Answer 23

number of deaths per 1000 population

Question 24

human development index (HDI)

Answer 24

measures social and economic development of a country (scale of 0-1, 1 being a good HDI score)

Question 25

know: the more economically developed a country, the more energy consumption in that country

Question 26

microloans

Answer 26

small loans provided to individual that cannot access them from traditional banking

Question 27

microfinancing

Answer 27

services that are for small businesses that lack access to them because of tradition banking policies saving accounts, insurance

Question 28

gender parity

Answer 28

the equality between men and women in terms of access of education and equal wages from work

Question 29

dependency theory

Answer 29

the LDC are dependent on the MDC for economic growth

Question 30

decolonizations

Answer 30

colonies begin to separate out from their colonizers country and become independent

Question 31

neoliberal policies

Answer 31

economic and political ideologies that emphasizes individual freedom over government control, free market and free trade

Question 32

trade groups

Answer 32

world trade organization (WTO), EU, OPEC (control most of the world petroleum), MERCOSUR

Question 33

complimentary index

Answer 33

the trade where country A needs something country B needs to sell; equal benefits

Question 34

comparative advantage

Answer 34

a country focusing on what they are best at they produce what they are best at (for cheaper as they have high developed machinery) and trade for other goods other countries specialize in

Question 35

know: increase international trade —> deindustrialization —> interdependence

Question 36

economic restructuring

Answer 36

shift in production, employment, trade, etc.

Question 37

offshoring

Answer 37

process of relocation a business to a different country (cheaper labor)

Question 38

outsourcing

Answer 38

a business contracts a service to a different provider (decrease cost usually)

Question 39

exporting processing zones

Answer 39

different economic regulations to try and get goods for exports

Question 40

multiplier effect

Answer 40

money earned —> spent on business —> business makes money —> thst buisness spends money on a different buinseness and so forth

Question 41

economies of scale

Answer 41

as companies grow, it is sable to reduce average cost (still technically cost more because of heavy machinery but individual cost is less)