7.4 Globalization and Its Challenges Lesson

What is the difference between imports and exports?

Exports are the goods and services a nations produces and sells to other nations; imports are the goods and services a nation buys from other nations.

1. Globalization has been credited with helping shift________to less developed countries, in part because corporations can take advantage of lower______________costs. 2. An example of a country that has benefited immensely from globalization is_________________. 3. While helping boost economies in less developed countries, globalization has also been blamed for__________ loss in developed countries.

1. wealth; labor 2. China 3. job

What is a quota?

A quota is a limit on how much of a good can be imported.

Why is specialization a good idea?

It allows nations to export the products they produce best and import the products that other nations produce best.

What is the result of excessive population growth in developing countries?

Limited natural resources such as infertile land and lack of coastal access can limit economic growth for a country.

What is the main benefit of outsourcing?

Lower operating costs

How do multinational firms contribute to globalization?

They produce and sell items around the world

How would you define globalization?

The movement toward a more integrated and interdependent world economy

How does economic growth contribute to the decline in poverty rates in developing nations?

When per capita income increases, the proportion of people living in poverty decreases.