Basic Economy Concepts
The social science that studies production, distribution, and consumption of goods and services
What is Economics?
Core concepts that guide economists and policy makers throughout the world
What are Economic Paradigms?
taxes on imported goods
What are Tariffs?
two consecutive quarters of declining economic growth.
What is a Recession?
An adaptation of liberal economic theory applied to a world economy.
What is Neoliberalism?
the amount of goods available on the market
What is Supply?
refers to a range of systems of economic analysis based on the notion that the value of goods and services stem from both physical ad mental human labor required to produce those goods and services.
What is Marxism?
government funding/assistance to businesses to protect them from risk.
What are Subsidies?
An inability of a country to pay back its debt.
What is a Sovereign Debt Crisis?
set of policies aimed at instituting free markets for the entire Western hemisphere
What is the Washington Consensus?
humans have unlimited wants and desires
What is Demand?
Adam Smith's theory that wealth is produced by a nation through the efficient division of labor and use of resources.
What is Liberal Economics?
A trade restriction that sets physical limits on the quantity of a good that can be imported into a country during a specific period of time.
What are Import Quotas?
Ability of banks to pay debts without incurring unacceptable losses.
What is Banking Liquidity?
China-led alternative to Washington consensus and Western-led institutions.
What is the Beijing Consensus?
the value of demands not met
What is opportunity cost?
Nations pass through four stages before reaching the stage of high mass consumption.
What is W.W. Rostow's Modernization Theory?
Government policies that prioritize state intervention to protect national labor, production, and wealth.
What is Economic Nationalism?
Branch of economics rooted in the principle that realistic economic projections need to include costs of environmental and ecological damage such as pollution and resource loss.
What is ecological economics?
Set of meetings held every two years between the leaders across the Western Hemisphere to discuss economic issues
What is the Summit of the Americas?
This occurs when we have unlimited demands but limited supply
What is Scarcity?
this theory argued that both capitalist and Marxist economic theories were inappropriate for modeling economic development in the developing world because they were derived from Western European historical experiences.
What is Wallerstein's Dependency Theory?
this field is concerned with the study of the combined performance of all markets in a defined market system. It may have nation-states or global regions as its unit of analysis.
What is Macroeconomics?
Annual gathering of finance ministers and governors from major economies
What is the G20?
Meeting the needs of present communities without jeopardizing future generations.
What is sustainability?