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Chap. 10 Vocab

QuestionAnswer
commodity chain a series of links connecting the many places of production and distribution and resulting in a community that is on world market
dependency theory model of economic and social development that explains global inequality in terms of the exploitation of poor nations by rich ones
desertification the gradual transformation of habitable land into desert
developing relating to societies in which capital needed to industrialize is in short supply
dollarization when a poorer country ties the value of its currency to that of a wealthier country, or when it abandons its currency and adopts the wealthier country's currency as its own
export processing zones zones established by many countries in the periphery and semi-periphery where they offer favorable tax, regulatory, and trade arrangements to attract foreign trade and investment
formal economy the legal economy that is taxed and monitored by a government and is included in a government's Gross National Product; as opposed to an informal economy
Gross Domestic Product (GDP) the market value of all final goods and services produced within a country in a given period of time
Gross National Income (GNI) the monetary worth of what is produced within a country plus income received from investments outside the country
Gross National Product (GNP) a measure of the total value of the officially recorded goods band services produced by the citizens and corporations of a country in a given year
Human Development Index (HDI) indicator of level of development for each country, constructed by the United Nations, combining income, literacy, education, and life expectancy statistics
informal economy economic activity that neither taxed nor monitored by a government; and is not included in that government's GNP; as opposed to a formal economy
island of development place built up by a government or corporation to attract foreign investment and which has a relatively high concentrations of paying jobs and infrastructure
Less Developed Country (LDC) a country that is at a relatively early stage in the process of economic development ex: Zimbabwe
Literacy Rate (LR) the percentage of people that can read and write in a given population
Maquiladoras Mexican manufacturing plants that import and assemble duty-free components for export
micro-credit program program that provides small loans to poor people, especially women, to encourage development of small businesses
millennium development goals eight international development goals established by 192 UN member state all by the target date of 2015
modernization model according to the Rostow Modernization model, each stage is a function of productivity, economic exchange, technological improvements, and income, and economic growth occurs when advancing from one stage to another
More Developed Country (MDC) a country that has progressed relatively far along a continuum of development
neocolonialism a process of acculturation or cultural imperialism where forms of industrial, political and economic organization are imposed on other cultures under the guise of getting aid/progressing
neoliberalism a strategy for economic development that calls for free markets, trade, and minimal gov. intervention in the economy
quaternary activity service sector industries concerned with the collection, processing, and manipulation of information ex: finance, admin, insurance
Rate of Natural Increase (RNI) the annual rate of population growth
special economic zones an area in which the business and trade laws are different from the rest of the country to attract foreign business and investment
structural adjustment loans loans granted by international financial institutions to countries in the periphery and the semi periphery in exchange for certain economic and governmental reforms in that country ex: opening the country to foreign trade
structuralist theory a model of economic development that cheats economic disparities among countries as a result of historically derived power relations within the global economic system
tertiary activity economic activity associated with the provision of services ex: transportation, banking, retailing, education, and office based jobs
three-tier structure the division of the world into the core, periphery, and semi periphery
trafficking when a family sends a child or an adult to a labor recruiter and hopes they will send money back
vectored diseases a disease carried from one host to another by an intermediate host
Created by: a.bby
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