World Economic

• China is the First Country in the world to have met the poverty-reduction target set in UN Millennium Development Goals and has had remarkable success in lifting more than 400 million people our of poverty
• China has a strong government control
• China the government directs economic policy and its implementation and is less susceptible than democratic India to sudden changes resulting from political pressures
• India political pressures slowed the implementation of policies
• India has emerged as the fifth-largest market in the world when its GDP is measured on the scale of purchasing power parity
• When evaluating a country, a manager is assessing the country's income and the purchasing power of its people
• Gross Domestic Product is the value of all the goods and services produced by a country in a single year
• Product in GDP stands for production, or economic output, of final goods and services sold on the market.
• GDP= C + I + G + (X - M)
• Purchasing Power Parity (PPP) is an economic theory that adjusts the exchange rate between countries to ensure that a good is purchased for the same prices in the same currency.
• Human Development Index (HDI) measures people's satisfaction with life and their health, education, and income.
• The US Economy has a history of bouncing back relatively quickly.
• The strength of the US economy is due in large part to its diversity.
• European Union represent the monetary union of twenty-seven European countries.
• One of the primary purposes of the EU was to create a single market for business and workers accompanied by a single currency, the euro
• Germany the fifth-largest economy in the world, after the United States, China, Japan, and India
• Germany remains the fourth-largest auto manufacturer behind China, Japan, and the United States
• An archipelago consisting of four large islands, Honshu, Hokkaido, Kyushu, and Shikoku- and about four thousand small islands, which when combined are equal to the size of California
• Japan the overwhelming success of the economy overshadowed other policy issues. This is particularly evident with the once powerful Ministry of international Trade and Industry (MITI)
• The Developing World refers to countries that rank lower on the various classifications
• World Trade Organization (WTO), An international organization that regulates trade between countries.
• Developing countries sometimes find that their economies improve and gradually they become emerging markets
• All of the emerging-market countries were once considered developing nations
• The term "emerging markets" date back to 1981, recalls the man who invented it, Antoine van Agtmael.
• An emerging market country can be defined as a society transitioning from a dictatorship to a free market-oriented economy, with increasing economic freedom, gradual integration within the global market place, an expanding middle class, improving standards of living and social stability and tolerance, as well as an increase in cooperation with multilateral institutions
• C is private consumption, I is gross private investment, G is government spending, X is exports, M is imports