ib test review

  1. leader of usa
  2. leader of canada
    stephen harper
  3. leader of germany
    angelina markel
  4. leader of iran
    mahmoud ahmadinjad
  5. leader of north korea
    kim jon un
  6. largest GDP
    • usa
    • china
    • japan
  7. capital intensive
    an industry tat requires a substantial amount of money (capital) to stat or operate
  8. commune
    self sufficient community based on principles of communal property and shared responsibilities
  9. currency exchange rate
    the rate at which one currancy can be exchanged for another or for gold
  10. end product imports/ exports
    imports. exports of finished manufactured goods/products ready for use by consumer or by producer of goods/ services
  11. export and import permits act
    a canadian law that is used to impose trade sanctions on goods by means of area control list, export control list and the import control list
  12. guild
    associations of merchants and craftspeople started in the middle ages and organized within a town for mutual aid or business benefit
  13. interdependence
    reliance of two or more groups on the actions of one another to fulfill certain wants or needs
  14. investment canada act(ICA)
    a canadian federal act to provide for the review of significant investments in canada by non canadians
  15. labour intensive
    an industry that requires a large number of skilled or unskilled workers
  16. primary industries
    industries that are based on raw materials from nature (fishing agriculture etc)
  17. primary resources
    raw materials stemming from a countrys primary resources
  18. protectionism
    the practice of protecting domestic industries and economies
  19. domestic industry
    industry that manufactures goods within their own country
  20. resource based imports/ exports
    imports and exports of primary resources
  21. self sufficiency
    the ability to provide for all of ones basic needs without relying on anyone else
  22. semi manufactures items
    partially manufactured to the specifications of manufacturers to be finished and used in the final manufacture or assembly of products
  23. special economic measures act
    a law that authorizes the canadian government to apply economic sanctions in response to a serious threat to internatioal peace and security
  24. economic sanctions
    barriers or penalties one country places on another
  25. tariff
    customs duty on merchandise imports the purpose of which is to give a price advantage to similar locally produced goods or to raise revenues for the country
  26. united nations act
    canadian act that incorporates into canadian law decisions passed by the un security council
  27. world trade organization (WTO)
    the principal internatioal organization that deals with the rules of trade between and among nations
  28. intentional community
    communities that attempt to somwhat be self sufficient
  29. china exported / imported
    silk and tea

    imp spices fro india and clothing from northern europe
  30. spices
    once the most imp trade commodity to preserve food enhance flavour eliminate ordours -- grows in china and indea
  31. the spanish empire
    extended from alaska to chile

    • claimed by colonists liek chrisotpher columbus
    • the colonies provided spain with fish agricultural producs (sugar)

    spain introduced the slave trade into the americans to run sugar plantations and silver mines
  32. canadian trade
    • john cabot --> came to canada newfound land in search for spices found fish instead
    • fur trade between aboriginals and europe(became very successful)
  33. HBC hudson bay company
    • initially established 3 departments
    • fur trade
    • land sale
    • retail
  34. effects of trade
    • self sufficiency replaced by trade
    • beginning of interdependence
    • attracted immigration
  35. trade from eurpe to canada
    • stylish clothes
    • household furniture
    • manufactured food
    • precision tools
  36. from canada to europe
    • fish 
    • fur
    • metals
    • wheat
    • wood
  37. NAFTA
    • northa american free trade agreement
    • 1993 canada signed it 
    • eliminates tariffs among the US canada and mexico
  38. FTAA
    free trade area of the americans
  39. canadas largest trading partners
  40. changes in canadas economic identity
    • ccanada trades primary resources to countries tha onver them to semi manufacuted goods and resel the to their won populatiosn
    • they are not labour intensive
    • trade in services is increaseing
  41. canadas major industries :primary industries
    wheat farming agriculture fishing forestry logging and energy and mining
  42. canadas major industries : manufacturing
    processed foods beverages rubber plastic leather textile wood furniture and fixtures paper printing and publishing and primary metals
  43. canadas major industries services
    • activities performed by experts pilots mechanics accountants engineers doctors teachers arhitects -- fastest growing sector
    • commercial services travel and transportation and gov
  44. advantages of international trade
    • sell something we dont need 
    • creates jobs
    • attracts investments
    • attracts new technology and materials
    • offeres canadians a wider choice in producs and services
    • more competition in market place -- encourages competitive pricing technological advances and improved servies including education
  45. cycle
    employees spend money-> create demand -> creates new or expanded businesses-> business create jobs
  46. disadvantages of international trade
    • economic exploitation
    • loss of cultural identity
    • physical harm
    • support of non democratic systems  
    • special welfare issues--> maintaining sertain standards (health safety wage compensations etc) supporting businesses that dont have these prepetuates this issue
    • environmental issues
    • political issues (wars can ocur bc of natural resources)
  47. barriers to international trade
    • tariffs
    • currency fluctuations
    • investment regulations
    • environmental restrictions
    • foreign relations and trade sanctions
    • safety regulations
    • immigration policies
  48. tariffs
    • tax imposed by local gov on imported goods
    • protects local businesses from low priced competitive products
    • allows ppl to buy canadian products
  49. currency fluctuations
    • fluctuationc value of currency on international markets can be major barrier to trade
    • as countrys currency is devalued in realation to another the country with devalued  can sell mor to other country
  50. investment regulations
    • ICA canadas federal investment canada act 
    • non canadian investors must comply with provisions of ICA
  51. environmental restrictions
    • large protion of canadas econ depends on its natural resources
    • foreigh insets and diseases could harm canadian econ
    • restictions are help to protet canadian crops and fish and forests
    • all products imported must comply with canadian standards
  52. foreign relations and trade sanctions
    • placing limits onf officail and diplomatic contgacts and travel freezing assets in canada that belong to other natiosn restricting trade
    • Special Economic Measure Act SEMA and the export and import permits act and united nations act
  53. safety regulations
    affects domestic and foreign imports act as barriers to foreign exports who may need to make costly changes to conform canadian standards
  54. immigtration poloicies
    econ benefits from immigrans skills and financial investments
  55. Business climate
    the  state of the business environment  the economy and the stock market
  56. export
    a good or service that is produces in one country and sold in another country
  57. foreign direct investment FDI
    establishment of a subsidiary operation or a joint venture in a foreigh country used when a compan in one country wishes to expand into another country
  58. goods
    raw materials semi manufactured goods or manufactured goods
  59. import
    a good or service brought into a country
  60. international business
    • create ship and sell goods and services internationally 
    • inc trade licensing the use of assets and foreign investment
  61. organisation for economic cooperation and development (OECD)
    a monitoring agnecy that offeres governements a setting in which to discuss and evelop econ and socail policy
  62. outsourcing
    to obtain goods parts materials or services from an outside source
  63. portfolio investment
    purchase of shares and bonds for the income they yeild of the capital gains they may bring and not for exercising of ownership or control
  64. private sector investment
    • the part of the econthat is free of governmetn control
    • commitment of money or capital to projects
  65. products
    a good or service
  66. public sector investment
    • the part of the econ that is under direct control of the gov
    • the pubilc sectors commitment of money or capital to rprojets in  order to gain financial return
  67. raw materials
    materials in their natural state
  68. services
    activities that individuals groups organizations or companies perform to advise or assist other individuals organizations or companies
  69. why do companies expand internationally?
    • expand markets and increase sales
    • controlling expenses(lower labour costs oursourcins etc)
    • diversification(dont depend on the econ of one country)
    • competitiveness (protect themselves from competitors )
  70. Reasons for recent growth in international business
    • developments in tech
    • developments in transportation
    • free borders
    • business confidence
    • global competition
  71. advantages of doing business in canada
    • lower production and business costs
    • human resources
    • positive business climate
  72. leverage
    • borrowing money to finance and investment decision
    • amplifies the investment outcome
    • could be bad or good
Card Set
ib test review