World Politics Chapter 5

Front 1

bilateral

Back 1

Interactions between two transnational actors.

Front 2

classical liberal economic theory

Back 2

A body of thought based on Adam Smith’s ideas about the forces of supply and demand in the marketplace, emphasizing the social and economic benefits when individuals pursue their own self-interest.

Front 3

communications technology

Back 3

The technological means through which information and communications are transferred.

Front 4

decolonization

Back 4

The process by which sovereign independence was achieved by countries that were once colonies of the great powers.

Front 5

Developed Countries

Back 5

A category used by the World Bank to identify Global North countries with an annual GNI per capita of $12,746 or more (WDI, 2015).

Front 6

developing countries

Back 6

A category used by the World Bank to identify low-income Global South countries with an annual GNI per capita at or below $1,045 and middle-income countries with an annual GNI per capita of more than $1,045 but less than $$12,746 (WDI, 2015).

Front 7

development

Back 7

The processes, economic and political, through which a country develops to increase its capacity to meet its citizens’ basic human needs and raise their standard of living.

Front 8

digital-divide

Back 8

The division between the Internet-technology rich Global North and the Global South in the proportion of Internet users and hosts.

Front 9

dualism

Back 9

The separation of a country into two sectors, the first modern and prosperous and centered in major cities, and the second at the margin, neglected and poor.

Front 10

emerging powers/middle powers

Back 10

Countries with rising political and economic capabilities and influence that seek a more assertive role in international affairs.

Front 11

expert-led industrialization

Back 11

A growth strategy that concentrates on developing domestic export industries capable of competing in overseas markets.

Front 12

first world

Back 12

The relatively wealthy industrialized countries that share a commitment to varying forms of democratic political institutions and developed market economies, including the United States, Japan, the European Union, Canada, Australia, and New Zealand.

Front 13

foreign aid

Back 13

Economic assistance in the form of loans and grants provided by a donor country to a recipient country for a variety of purposes

Front 14

foreign direct investment (FDI)

Back 14

A cross-border investment through which a person or corporation based in one country purchases or constructs an asset such as a factory or bank in another country so that a long-term relationship and control of an enterprise by nonresidents results.

Front 15

Global North

Back 15

A term used to refer to the world’s wealthy, industrialized countries located primarily in the Northern Hemisphere.

Front 16

Global South

Back 16

A term now often used instead of “Third World” to designate the less developed countries located primarily in the Southern Hemisphere.

Front 17

gross national income (GNI

Back 17

A measure of the production of goods and services within a given time period, which is used to delimit the geographic scope of production. GNI measures production by a state’s citizens or companies, regardless of where the production occurs.

Front 18

Group of 77 (G-77)

Back 18

The coalition of Third World countries that sponsored the 1963 Joint Declaration of Developing Countries calling for reform to allow greater equality in North–South trade.

Front 19

import-substitution industrialization

Back 19

A strategy for economic development that centers on providing investors at home incentives to produce goods so that previously imported products from abroad will decline.

Front 20

indigenous peoples

Back 20

The native ethnic and cultural inhabitant populations within countries, referred to as the “Fourth World.”

Front 21

information technology

Back 21

The techniques for storing, retrieving, and disseminating through computerization and the Internet recorded data and research knowledge.

Front 22

laissez-faire economics

Back 22

The philosophical principle of free markets and free trade to give people free choices with little government regulation.

Front 23

least developed of the less developed countries (LLDCs)

Back 23

The most impoverished countries in the Global South.

Front 24

mercantilism

Back 24

A government trade strategy for accumulating state wealth and power by encouraging exports and discouraging imports.

Front 25

modernization

Back 25

A view of development popular in the Global North’s liberal democracies that wealth is created through efficient production, free enterprise, and free trade, and that countries’ relative wealth depends on technological innovation and education more than on natural endowments such as climate and resources.

Front 26

multinational corporations (MNCs)

Back 26

Business enterprises headquartered in one state that invest and operate extensively in many other states.

Front 27

New International Economic Order (NIEO)

Back 27

The 1974 UN policy resolution that called for a North–South dialogue to open the way for the less developed countries of the Global South to participate more fully in the making of international economic policy.

Front 28

newly industrialized countries (NICs)

Back 28

The most prosperous members of the Global South, which have become important exporters of manufactured goods as well as important markets for the major industrialized countries that export capital goods.

Front 29

official development assistance (ODA)

Back 29

Grants or loans to countries from donor countries, now usually channeled through multilateral aid institutions such as the World Bank for the primary purpose of promoting economic development and welfare.

Front 30

realpolitik

Back 30

The theoretical outlook prescribing that countries should increase their power and wealth in order to compete with and dominate other countries.

Front 31

remittances

Back 31

The money earned by immigrants working in rich countries (which almost always exceeds the income they could earn working in their home country) that they send to their families in their home country.

Front 32

Second World

Back 32

During the Cold War, the group of countries, including the Soviet Union, its (then) Eastern European allies, and China, that embraced communism and central planning to propel economic growth.

Front 33

self-determination

Back 33

The liberal doctrine that people should be able to determine the government that will rule them.

Front 34

small powers

Back 34

Countries with limited political, military, or economic capabilities and influence.

Front 35

Third World

Back 35

A Cold War term to describe the less developed countries of Africa, Asia, the Caribbean, and Latin America.