Term
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Definition
| the shift toward a more integrated and interdependent world economy |
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Term
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Definition
| the merging of historically distinct and separate national markets into one huge global marketplace |
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Term
| GLOBALIZATION OF PRODUCTION |
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Definition
| sourcing goods and services from location around the globe to take advantage of national differences in the cost and quality of various factors of production |
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Term
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Definition
components of production such as:
-labor
-energy
-land
-capital |
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Term
| GENERAL AGREEMENT ON TARIFFS AND TRADE (GATT) |
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Definition
| international treaty that committed signatories to lowering barriers to the free flow of goods across national borders; led to the WTO |
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Term
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Definition
| the organization that succeeded the General Agreement on Tariffs and Trade and now acts to police the world trading system |
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Term
| INTERNATIONAL MONETARY FUND |
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Definition
| international institution set up to maintain order in the international monetary fund |
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Term
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Definition
| international organization set up to promote economic development, primarily by offering low interest loans to cash strapped governments of poorer nations |
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Term
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Definition
| an international organization made up of 191 countries charged with keeping international peace, developing cooperation between nations, and promoting human rights. |
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Term
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Definition
| occurs when a firm exports goods or services to consumers in another country |
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Term
| FOREIGN DIRECT INVESTMENT (FDI) |
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Definition
| occurs when a firm invests resources in business activities outside its home country |
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Term
| FACTORS AFFECTING GLOBALIZATION |
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Definition
-education
-limited liability forms of business ownership
-technology
-growth in property rights
-intellectual property protection
-diminishing restrictions on trade and investment flows
-growing homogeneity in tastes |
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