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Economics

Econ Chapter 18

TermDefinition
Development the process by which a nation improves the economic, political, and social well-being of its people
Developed Nation nation with a higher average level of material well-being
Less Developed Country nation with a low level of material well-being
per capita gross domestic product a nations gross domestic product (GDP) divided by its total population
industrialization the extensive organization of an economy for the purpose of manufacture
subsistence agriculture level of farming in which a person raises only enough food to feed his or her family
literacy rate the proportion of the population over age 15 that can read and write
infant mortality rate the number of deaths that occur in the first year of life per 1,00 live births
infrastructure the services and facilities necessary for an economy to function
newly industrialized country less developed country that has shown significant improvement in the measure of development
population growth rate the increase in a country's population in a given year, expressed as a percentage of the population figure at the start of the year
natural rate of population increase the difference between the birth rate and the death rate
arable suitable for producing crops
malnutrition inadequate nutrition
internal financing financing derived from the savings of a countrys citizens
foreign investment investment originating from other countries
foreign direct investment the establishment of an enterprise by a foreigner
foreign portfolio investment the entry of funds into a country when foreigners make purchases in the country's stock and bond markets
World Bank the largest provider of development assistance
United Nations Development Program United Nations program dedicated to elimination of poverty through development
International Monetary Fund organization formed to stabilize international exchange rates and facilitate development
debt rescheduling lengthening the time of debt repayment and forgiving, or dismissing, part of the loan
stabilization program an agreement between a debtor nation and the IMF in which the nation agrees to revise its economic policy
privatization the sale or transfer of state-owned businesses to individuals
work ethic system of values that gives central importance to work
glasnost a policy of political "openness" introduced into the Soviet Union in the late 1980's
perestroika Soviet leader Gorbachev's plan for economic restructuring
light industry the production of small consumer goods
special economic zones designated regions in China where foreign investment is encouraged, businesses can make most of their own investment and production decisions, and foreign companies are allowed to operate
Created by: halvy
 

 



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