Phenomenon regarding the idea corporations and others can draw from labor markets around the world ; made possible through improvements in communication and transportation systems
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Assembly Line Production
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Arrangement of workers, machines, and equipment in which the product being assembled passes consecutively from operation to operation until completed.
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Colonialism/Imperialism
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Attempt by one country to establish settlements and to impose its political, economic, and cultural principles in another territory.
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Gross National Product (Gross National Income)
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the total value of goods and services produced by a country per year plus net income earned abroad by its nations; formerly called "gross national product."
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Gross Domestic Product
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The total value of goods and services produced within the borders of a country during a specified time period, usually a calendar year.
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IMF
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International Monetary Fund//a United Nations agency to promote trade by increasing the exchange stability of the major currencies
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Self-Sufficiency Model
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Model encourages countries to isolate fledgling businesses from competition of large international corporations. Example--India.
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Break of bulk point
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A location where goods are transferred from one type of carrier to another. (e.g. Barge to Railroad)
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Export Processing Zones
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Areas where government create favorable investments ad trading conditions to attract export-orientated industries.
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International Division of Labor
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A division of work between rich and poor countries under which low-waged workers in the global South do assembly, manufacturing, and office work on contract to companies based in the global North.
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Human Development Index (HDI)
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Is a composite statistic of life expectancy, education, and income indices used to rank countries into four tiers of human development.
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Quinary Activities
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A sometimes separately recognized subsection of tertiary activity management functions involving highest level decision making in all types of large organizations.
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Core-Periphery Model
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A model of the spatial structure of an economic system in which underdeveloped or declining peripheral areas are defined with respect to their dependence on a dominating developed core region.
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Ecotourism
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A form of tourism, based on the enjoyment of scenic areas or natural wonders, that aims to provide an experience of nature or culture in an environmentally sustainable way.
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Factors of Production
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Land, labor, and capital; the three groups of resources that are used to make all goods and services
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Transnational Corporation (TNC)
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A large business organization operating in at least two separate national economies; a form of multinational corporation.
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Maquiladora
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Factories built by US companies in Mexico near the US border to take advantage of much lower labor costs in Mexico.
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Right to Work
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Refers to statutes that prohibit unions from making union membership a condition of employment.
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Bulk Reducing Industry
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An industry in which the final product weighs less or comprises a lower volume than the inputs.
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Agglomeration
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The spatial grouping of people or activities for mutual benefit.
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Fair Trade
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producers in LDCs are compensated to a level that they can support livelihood
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Quaternary Activities
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Those parts of the economy concerned with research, with the gathering and dissemination of information, and with administration of the other economic activity levels.
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Industrial Revolution
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The term applied to the rapid economic and social changes in agriculture and manufacturing that followed the introduction of the factory system to the textile industry of England in the last quarter of the 18th century.
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Secondary Activities
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Those parts of the economy involved in the processing of raw materials derived from primary activities in altering or combing materials to produce commodities of enhanced utility and value.
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Infrastructure
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The basic structure of services, installations, and facilities needed to support industrial, agricultural, and other economic development; included are transport and communications, along with water, power, and other public utilities.
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Footloose Firm
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A firm with manufacturing activities for which the cost of transporting activities or product is not important in determining location of production; an industry or firm showing neither market nor material orientation.
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Rust Belt
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The northern industrial states of the United States, including Ohio, Michigan, and Pennsylvania, in which heavy industry was once the dominant economic activity. In the 1960s, 1970s, and 1980s, these states lost much of their economic base to economically attractive regions of the United States and to countries where labor was cheaper, leaving old machinery to rust in the moist northern climate.
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Tertiary Activities
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Those parts of the economy that fulfill the exchange function, that provide market availability of commodities, and that bring together consumers and providers of services.
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Millennium Development Goals
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Eight development goals adopted by the Millennium Declaration of 2000, consisting of 18 targets to be achieved by the year 2015. It includes 1) eradicating extreme poverty and hunger, 2) achieving universal primary education, 3) reducing child mortality, 4) and promoting gender equality.
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Asian Tigers
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South Korea, Singapore, Taiwan, and the then-British colony of Hong Kong: first countries to adopt the international trade alternative
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Just in Time Production
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Seeks to reduce inventories for the production process by purchasing inputs for arrival just in time to use and producing output just in time to sell.
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Levels of Development
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Levels of the quality of life in a given country. MDC, LDC, NIC. (More developed country, less developed country, newly industrialized country.)
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Deindustrialization
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Process by which companies move industrial jobs to other regions with cheaper labor, leaving the newly deindustrialized region to switch to a service economy and to work through a period of high unemployment.
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Development
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The process of growth, expansion, or realization of potential; bringing regional resources into full productive use.
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Informal Economy
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That part of a national economy that involves productive labor not subject to formal systems of control or payment; essentially money that is not regulated or taxed by the government.
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Vertical Integration
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Practice where a single entity controls the entire process of a product, from the raw materials to distribution
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Least cost Theory
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The view that the optimum location of a manufacturing establishment is at the place where the costs of transport and labor and advantages of agglomeration or deglomeration are most favorable.
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Outsourcing
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Producing abroad parts or products for domestic use or sale.
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Sustainable Development
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Development at a rate that can be maintained and not overdeplete resources
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Bulk Gaining Industry
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An industry in which the final product weighs more or comprises a greater volume than the inputs.
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Hinterland
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The market area surrounding an urban center, which that urban center serves.
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World Bank
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A specialized agency of the United Nations that makes loans to countries for economic development, trade promotion, and debt consolidation. Its formal name is the International Bank for Reconstruction and Development.
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Comparative Advantage
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The principle that an area produces the items for which it has the greatest ratio of advantage or the least ratio of disadvantage in comparison to other areas, assuming free trade exists.