|
Development gap |
The difference in wealth between MEDCs and LEDCs. |
|
Free trade |
When imports and exports are not restricted. |
|
Gross domestic product |
(GDP) the total value of goods produced by a country regardless of
nationality. |
|
Human development index |
(HDI) Measures wealth of a country by studying GDP and social
indicators. |
|
LEDC |
Less economically developed country, normally found in the Southern
Hemisphere. |
|
MEDC |
More economically developed country, usually found in the Northern
Hemisphere. |
|
NGO |
Non government organisation |
|
Purchasing power parity |
(PPP) This means that the GDP of a country can be adjusted because,
for example, a dollar buys more in some countries than in others. |
|
Social indicators |
A way of measuring the wealth in the HDI of a country by looking at
different factors such as death rate, infant mortality, literacy … |
|
Tariff |
Tax on imports. |
|
Trade balance |
The difference between imports and exports. |
|
Trade deficit |
Imports are bigger than exports. |
|
Trade surplus |
Exports are bigger than imports. |
|
Trading blocks |
Countries that have grouped together for trade, eg. EU. |
|
World Trade Organization |
(WTO) Makes the rules on world trade. |
