De Blij Chapter 10.1

Front 1

Commodity Chain

Back 1

Series of links connecting the many places of production and distribution and resulting in a commodity that is on world market.

Front 2

Dependency Theory

Back 2

A model of economic and social development that explains global inequality in terms of the historical exploitation of poor nations by rich ones.

Front 3

Desertification

Back 3

The gradual transformation of habitable land into desert.

Front 4

Developing

Back 4

Relating to societies in which capital needed to industrialize is in short supply.

Front 5

Dollarization

Back 5

When a poorer country ties the value of its currency to that of a wealthier country, or when it abandons its currency and adopts the wealthier country’s currency as its own.

Front 6

Export Processing Zones

Back 6

Zones established by many countries in the periphery and semi-periphery where they offer favorable tax, regulatory, and trade arrangements to attract foreign trade and investment.

Front 7

Formal Economy

Back 7

The legal economy that is taxed and monitored by a government and is included in a government’s Gross National Product; as opposed to an informal economy.

Front 8

Gross Domestic Product

Back 8

The market value of all final goods and services produced within a country in a given period of time.

Front 9

Gross National Income

Back 9

The monetary worth of what is produced within a country plus income received from investments outside the country.

Front 10

Gross National Product

Back 10

A measure of the total value of the officially recorded goods and services produced by the citizens and corporations of a country in a given year.

Front 11

Human Development Index

Back 11

Indicator of level of development for each country, constructed by the United Nations, combining income, literacy, education, and life expectancy statistics

Front 12

Informal Economy

Back 12

Economic Activity that is neither taxed nor monitored by a government; and is not included in that government’s Gross National Product; as opposed to a formal economy.

Front 13

Island of Development

Back 13

Place built up by a government or corporation to attract foreign investment and which has relatively high concentrations of paying jobs and infrastructure.

Front 14

Less Developed Country

Back 14

A country that is at a relatively early stage in the process of economic development Ex. Zimbabwe

Front 15

Literacy Rate

Back 15

The percentage of people that can read and write in a given population.

Front 16

Maquiladoras

Back 16

The term given to zones in northern Mexico with factories supplying manufactured goods to the US market. The low wage workers in the primarily foreign owned factories assemble imported components and/or raw materials and then export finished goods.

Front 17

Micro-credit Program

Back 17

program that provides small loans to poor people, especially women, to encourage development of small businesses.

Front 18

Millenium Development Goals

Back 18

eight international development goals that 192 United Nations member states and at least 23 international organizations have agreed to achieve by the year 2015. They include reducing extreme poverty, reducing child mortality rates, fighting disease epidemics such as AIDS, and developing a global partnership for development.

Front 19

Modernization Model

Back 19

A model of economic development most closely associated with the work of economist Walter Roslow. The modernization model (sometimes referred to as modernization theory) maintains that all countries go through five interrelated stages of development, which culminate in an economic state of self sustain economic growth and high levels of mass consumption.

Front 20

More Developed Country

Back 20

A country that has progressed relatively far along a continuum of development.