Economics Definition

Front 1

-Globalisation

-Multinational Corporation

-GATT

-WTO

Back 1

-a process by which the world's economies are becomin more closely integrated.

-a company whose production activities are carried out in a number of countries.

-General Agreement on Tariffs and Trade, the precursor of the WTO, which organised a series of 'Rounds' of tariff reductions.

-a multilateral body responsible for overseeing the conduct of international trade.

Front 2

-Comparative advantage

-Tariffs

-Quotas

-Export subsidies

-Regulations

Back 2

-countries can gain from engaging in international trade by specialising in the production of goods & services in which they have a lower pportunity cost of production.

-taxes on imports

-quantity restrictions on imports.

-given to firms to givce them a competitive advantage which they export to foreign markets.

-e.g.specifying safety rules for the design of goods-can make it very difficult and expensive for foreign firms.

Front 3

-VER
-Non-tariff barriers

Back 3

-an agreement by a country to limit its exports to another country to a given quantity.
-measures imposed by a government that thave the effect of inhibiting international trade, often comprise rules and regulations that control the standard of products that can be sold in a country.

Front 4

-Free trade areas
-Customs union

Back 4

-a group of countries that agree to trade without barriers between themselves, but having their own individual barriers with countries outside the area.
ASEAN (Association of South East Asian Nations)
-a group of countries that agree to trade without barriers between them, and with a common tariff barrier against the rest of the world.

Front 5

-FDI
-The balance of payments
-Current account

Back 5

-investment undertaken in one country by companies based in other countries.
-a set of accounts that monitors the transactions that take place between UK residents and the rest of the world.
-account identifying transactions in goods and services between the residents of a country and the rest of the world.

Front 6

-Financial account
-Capital account
-Visible trade
-Invisible trade

Back 6

-account identifying transactions in financial assets between the residents of a country and the rest of the world.
-account identifying transactions in (physical) capital between the residents of a country and the rest of the world.
-trade in goods.
-trade in services

Front 7

-Real exchange rate
-Terms of trade
-Import penetration ratio
-Export sales ratio

Back 7

-the nominal exchange rate adjusted for differences in relative inflation rates between countries.
-the ratio of export prices to import prices.
-ratio of the % of imports of a product to home demand.
-ratio of the % of exports of a product to total manufacturers' sales.