Social unit 3 vocab

• Bretton Woods Agreement


  Became one of the foundations of economic globalization (established new international monetary system)
• International Monetary Fund (IMF)


  An organization of 189 countries working to foster global cooperation, secure financial stability, facilitate international trade, promote high employment and reduce poverty
• Equalization Payment


  Tax money collected from all provinces by the federal government and then dispersed to distribute wealth more equally throughout Canada
• Gold Standard


  A provision of the Bretton Woods agreement that all printed money (paper dollar) should be convertible to gold and could be cashed in at any time for that gold
• Inflation


  Amount of currency increases, but each unit of currency buys less
• World Trade Organization


  Sets rules for global trade and uses tribunals to decide on trade disputes
• World Bank


  International financial institution that provides loans to countries around the world
• Quota


  Proportional shares such as those paid by member countries of the International Monetary Fund
• Cold War


  A global economic/political competition that divided the communist countries (led by Soviet Union) against the western capitalist democracies (led by United States)
• Centrally Planned Economy


  Government planners decide what goods to produce, and how many
• Free Market Economy


  System with no government involvement in the production/control of goods and services
• International Money Markets


  Markets where funds are loaned for a short time to businesses or governments that are bought and sold
• Recession


  A period of reduced economic activity lasting longer than two business quarters (six months)
• Totalitarian


  A political system where individuals are totally subordinate to the decisions of the state
• General Agreement on Tariffs and Trade (GATT)


  Established rules governing trade, especially by removing tariffs and other barriers
• Tariff


  A tax imposed on imports to increase their price and reduce competition with domestic products
• Free Trade Agreement (FTA)


  An economic treaty between countries that sought to promote trade by reducing tariffs and other barriers between the participating countries
• North America Free Trade Agreement (NAFTA)


  Free trade agreement between Canada, US, and later expanded to Mexico
• Gross Domestic Product (GDP)


  The total value of goods produced, and services provided in a country during one year
• European Union


  An economic/political union between 27 European countries
• Trading Blocs


  Groups of countries that establish rules for trade between the participating countries
• Trade Liberalization


  The process of reducing barriers to trade, opening an industry to more competition by removing government regulations
• Privatization


  When publicly run businesses are sold to the private sector
• Outsourcing


  The hiring of one company by another to fulfill certain tasks in production
• Comparative advantage


  A country's ability to produce a product or service with comparatively fewer resources than another country
• Deforestation


  The destruction of forests by clearing or burning it for economic development (building roads) or through changes in earth's vegetation because of global warming
• Urbanization


  Changing rural land to urban (city) space, the movement of people to these areas
• Kyoto Protocol


  International agreement that was intended to reduce greenhouse gas emissions as a means to combat climate change
• Spirituality


  A consideration of matters beyond the purely material
• Stewardship


  A feeling of connection with the environment, and the desire to preserve it for future generations
• Sustainability 


  Something that can be maintained into the future
• National Energy Policy (NEP)


  The Federal government made oil companies in Alberta lower their prices to protect Canadians from paying global market prices for oil and gas
• Economic Globalization


  Widespread international movement of goods, services, technology, capital, and information around the world
• Transnational Corporations


  Corporation that operate in two or more countries (multinational corporations)
• Free Trade


  International trade left to its natural course, without tariffs, quotas, or other restrictions
• Economic growth


  Increase in the amount of goods/services produced per head of the population over a period of time
• Knowledge Economy


  The use of knowledge to produce economic benefits
• Foreign Direct Investment (FDI)


  Investment in a country made by a foreign company
• Resource Gap


  When people have to do without adequate resources
• Ship Breaking


  The process of breaking apart an old ship for its useful materials