BUS-A 201 Chapter Notes - Chapter 8: International Trade, Foreign Direct Investment, World Trade Organization
Document Summary
Globalization - process by which the world economy is becoming a single interdependent system. Import - product made or grown abroad but sold domestically. Export - product made or grown domestically but sold abroad. High income countries: canada, u. s, europe, australia, japan, south. Annual per capita income >,746 usd: upper-middle income countries: china, colombia, lebanon, turkey, argentina, and south africa. Annual per capita income -,745 usd: low-middle income countries: ukraine, philippines, armenia, guatemala, and vietnam. - usd: low-income countries (developing countries): afghan, haiti, etc. Geographic clusters - groups of high-income and upper middle-income countries. 3 main markets - north america, europe, and asian pacific. Brics - 5 huge emerging markets: brazil, russia, india, china, and south africa. Absolute advantage - ability to produce something more efficiently than any other country. Comparative advantage - the ability to produce some products more efficiently than others.
