vocab
Capitalism
Process of letting the competitive market determine the price of goods
Least Cost Theory
explains the
locational pattern of economic
activities by identifying factors
that influence this pattern
Export Processing Zones
Attracts multinational organizations to invest in labor-
intensive assembly and manufacturing in the host
country.
Growth Poles
places of
economic activity clustered around one or
more high-growth industries that stimulate
economic growth by capitalizing on some
special asset
What is a common impact of urbanization regardless of a country’s level of economic development?
Urbanization creates a labor force with a diversity of job skills and compensation levels.
Socialism
government control of basic items in an economy
3 major factors that determine
location of manufacturing
1. Transportation
2. Labor
3. Agglomeration
Globalization
is expanding the gap between
the Core and the Periphery
Fordism
focused on
automation, standardization,
economies of scale, and a
division of labor in which each
worker has just one task
Which of the following best describes the difference in urban transportation issues faced by cities in different parts of the world?
The relatively low population density of North American cities encourages automobile use, sprawl, and traffic congestion.
Communism
Is the total government control of all prices in a society, ranging from bread to
utilities
Perishable Products
• Must be located near market
• Short shelf live/ fast expiration
Comparative advantage
the relative cost
advantages of producing certain goods and services
for trade.
Post-Fordism
relies on automation through the use of robots and computer systems, centered on low-volume manufacturing and flexible system that allow for quick responses to changes in the market
Although photovoltaic solar farms appear to be a free resource with few negative impacts, there are environmental problems related to this type of renewable energy production. Which statement explains the limits to the sustainability of solar panel farms to produce electricity for a city in a more developed country?
Large amounts of land, permanently cleared of natural vegetation are needed.
Bulk Reducing Industry
Cost of shipping inputs to factory > cost of
shipping outputs to market
Bulk Gaining Industry
Cost of shipping outputs to market > cost of
shipping inputs to factory
Complementarity
refers to the mutually beneficial
trade relationship between two countries that results
when they have different comparative advantages
Offshore Outsourcing
Moving production to places
outside the country in which
they are headquartered
As a less developed country’s economy evolves, the size of the primary sector, the size of the secondary sector, and the size of the tertiary sectors fluctuate. Which of the following statements best describes the highest level of job-opportunity change as countries shift from the periphery to the semiperiphery level of development?
Secondary sector employment increases as the demand for manufactured products increases
Deglomeration
The “unclumping” of similar businesses due to over
crowding
Distance-decay
the impact of a function or activity will
decline as one moves away from its point of origin
Deindustrialization
change that
occurs with the decline in
percentage of workers in
secondary sector & reduction in
industrial capacity
Special Economic Zones
An area within a country that is subject to different and
more beneficial economic regulations than other areas
Examining the countries shown in white on the map of the former Yugoslavia, which of the following explains why the area would be referred to as a shatterbelt region?
The countries comprise a strategically positioned area and have unstable national governments.