Vocab 7 (part 1) Flashcards
(25 cards)
Agglomeration
the tendency of enterprises in the same industry to cluster in the same area
Break-of-bulk point
location where it is more economical to break raw materials into smaller units before shipping them further
bulk-gaining industry
industry in which the finished goods cost more to transport than the raw materials
bulk-reducing industry
industry in which the raw materials cost more to transport than the finished goods
Commodity dependence
an aspect of dependency theory that occurs when more than 60 percent of a country’s exports and economic health are tied to one of two resources
Comparative advantage
the relative cost advantage a country or organization has to produce certain goods or services for trade
Complementarity
the mutual trade relationship that exists between two places based on the supply of raw materials and the demand for finished products or services
Cottage industry
preindustrial form of manufacture in which members of families spread out through rural areas worked in their homes to make goods
Deindustrialization
process by which a country or area reduces industrial activity, particularly in heavy industry and manufacturing
Dependency theory
a theory that describes the development challenges and limitations faced by poorer countries and the political and economic relationships poorer countries have with richer countries
Dual economies
economies with two distinct distributions of economic activity across the economic sectors
Economic sectors
collections of industries engaged in similar economic activities based on the creation of raw materials, the production of goods, the provision of services, or other activities
Ecotourism
a form of tourism based on the enjoyment of natural areas that minimizes the impact to the environment
Export processing zone
an area within a country that is subject to more favorable regulations (usually including the elimination of tariffs) to encourage foreign investment and the manufacturing of goods for export
Fordism
a highly organized and specialized system for industrial production that focuses on efficiency and productivity in mass production; named after Henry Ford
Formal sector
businesses, enterprises, and other economic activities that have government supervision, monitoring, and protection, and are also taxed
Free trade zone
a relatively large geographical area within a country in which businesses pay few or no tariffs on goods to encourage or facilitate its role in international trade
Gender development index
a measurement that calculates gender disparity in the three basic dimensions of human development: health, knowledge, and standard of living
Gender inequality index
a measurement that calculates inequality based on three categories: reproductive health, empowerment, and labor-market participation
Gross domestic product
the total value of the goods and services produced by a country’s citizens and companies within the country in a year
Gross National income
the total value of goods and services globally produced by a country in a year divided by the country’s population
Gross National Product
the total value of the goods and services produced by a country’s citizens and companies both domestically and internationally
Growth pole
a place of economic activity clustered around one or more high-growth industries that stimulate economic gain by capitalizing on some special asset
Human development
the processes involved in the improvement of people’s freedoms, rights, capabilities, choices, and material conditions
