Gov. Chapter 12

  1. globalization
    Growth in networks of economic, political, social,military, scientific, or environmental interdependence to span worldwide distances. 
  2. protectionist
    A proponent of trade barriers designed to shield domestic producers from foreign competition.
  3. free trade agreement
    A treaty in which two or more nations agree to reduce or elimiate barriers, opening their borders to freer mutual trade. 
  4. culture
    A system of shared knowledge, values, norms, customs, and rituals acquired by social learning. 
  5. free trade
    the flow of goods and services across borders unhindered by government imposed restrictions such as taxes, tariffs, gqoutas, and rules. 
  6. law of comparative advantage
    Efficincy and the general economic welfare are optimized when each country prduces taht for which it enjoys a cost advantage.
  7. protectionism
    The doctrine that government should protect business interests from foreign competitors.
  8. "buy American" laws
    Laws that require or seek to influence governments and agencies to purchase U.S. made goods and services rather than foreign-made services. 
  9. competitve advantage of nations
    A phrase coined by PRofessor Michael Porter identifying a nation as having a cluster of similar producers which gives the nation a special advatage over other countries. 
  10. corruption
    The debasement of integrity for money, postion, provilege, or other self-benefit. It undermines markets by substituting bribery for honest competition based on price, quality, and service.
  11. offsets
    Actions taken by a foreign corporation, at the recmmendation of government purchaser, to spend substantial sums of money to produce a good or service in exchange for the purchase. 
Card Set
Gov. Chapter 12
Gov. Chapter 12