Models
In the least cost theory, this is the ideal location for a factory of a bulk reducing good
Close to the source
This term refers to the total value of all goods and serviced produced within a country's borders, regardless of the producer's national origin
GDP
This sector of the economy involves the extraction and harvesting of raw materials from the environment
Primary Sector
The process in which goods are transported across the world using shipping containers
Containerization
Small, short-term loans typically ranging from $100 to $25,000, aimed at entrepreneurs and small business owners, particularly in developing countries.
Microloan
This model assumes countries will inevitably progress in similar fashion through the same five development stages, all ending in wealthy mass consumption societies
Rostow's Stages of Economic Growth
This term refers to the total income of a country's residents and businesses, including investment income, regardless of where it was earned, as well as money from abroad such as foreign investment, remittances and development aid
GNI
Jobs in this sector of the economy include teachers, waiters, nurses, and bus drivers
Tertiary Sector
The country where the Industrial Revolution Started
England
The term for the development of industry in a country
Industrialization
This model regards world history as moving through a series of socioeconomic systems culminating in the modern world system by about the year 1900.
Wallerstein's World Systems Theory
This term refers to the total value of all the goods and services made by a country's residents and businesses in a specific time period, regardless of the country or location in which they were made
GNP
This sector of the economy is defined by the refining of raw materials and the transformation of those materials into a finished good
Secondary Sector
This term refers to any kind of raw material that is bought, sold, and traded
Commodity
A treaty between two or more nations to reduce or eliminate barriers to trade
Free Trade Agreement
A country that is neither a core country nor a periphery country
Semi-Periphery
The data that makes up the Human Development Index includes
GNI per Capita, education levels, and life expectancy at birth
Give an example of a job in the quinary sector
Examples: CEO, government officials, upper level management, etc.
A tax on imported goods, removed during free trade agreements
Tariff
Income-generating activities not registered, taxed, or monitored by the government. May include baby sitting, dog walking, snow shoveling, illegal activities, etc.
Informal Sector of the Economy
The final stage of Rostow's 5 Stages of Development
Mass Consumption
This term refers to a measure of how much a common basket of goods costs locally in the currency of each country being compared
Purchasing Power Parity
This sector of the economy is defined by jobs that do research and development
Quaternary sector
The term used to describe a location where cargo is transferred from one mode of transportation to another
Break in/of bulk point
This term refers to countries that industrialized first, have high levels of consumption, and complex manufacturing systems
Core Country