C211: Global Economics for Managers (WGU) Cengage Text with 1005 complete solutions

Globalization The close integration of countries and peoples of the world. Purchasing Power Parity (PPP) A conversion that determines the equivalent amount of goods and services that different currencies can purchase. Scenario Planning A technique to prepare and plan for multiple scenarios (either high or low risk). Risk management The identification and assessment of risks and the preparation to minimize the impact of high-risk , unfortunate events. Gross National Income (GNI) GDP + income from non-resident sources abroad. GNI is the term used by the World Bank and other international organizations to supersede the term GNP. Gross National Product (GNP) GDP + income from non-resident sources abroad. reverse innovation An innovation that is adopted first in emerging economies and is then diffused around the world. International Business (IB) (1) A business or firm that engages in international crossborder economic activities and/or (2) the action of doing business abroad. semiglobalization A perspective that suggests that barriers to market integration at borders are high, but not high enough to insulate countries from each other completely. BRIC Brazil, Russia, India, and China base of the pyramid (BOP) Economies where people make less than $2,000 per capita per year. emerging economies A term that has gradually replaced the term "developing countries" since the 1990's. emerging markets A term that is often used interchangeably with "emerging economies" nongovernmental organizations (NGO's) An organization that is not affiliated with governments. Expatriate Manager A manager who works "abroad", or "expat" for short. Gross Domestic Product (GDP) The sum of value added by resident firms, households, and governments Foreign Direct Investment (FDI) Investment in, controlling, and managing value-added activities in other countries. Group of 20 (G-20) The group of 19 major countries plus the European Union (EU) whose leaders meet on a biannual basis to solve global economic problems. liability of foreignness The inherent disadvantage that foreign firms experience in host countries because of their non-native status. global business Business around the globe. international premium A significant pay raise when working overseas. multinational enterprise (MNE) A firm that engages in foreign direct investment (FDI) Triad North America, Western Europe, and Japan Expatriate Manager (expat) A manager who works abroad, or "expat" for short. Nontariff Barriers (NTB) Trade barrier that relies on nontariff means to discourage imports. tariff barrier Trade barrier that relies on tariffs to discourage imports. deadweight costs Net losses that occur in an economy as a result of tariffs. free trade The idea that free market forces should determine how much trade with little or no government intervention.