Chapter 18 : Lesson 2 Globalization
Essential Question: Why is economic integration important in a global economy
Globalization : movement toward a more integrated and interdependent world economy
Multinationals : corporations producing and selling without regard to national boundaries and whose business activities are located in several different countries
Outsourcing : hiring outside firms to perform non-core operations to lower operating cost
World Trade Organization : international agency that administers trade agreements, settles trade disputes between governments, and organizes trade negotiations
Free-Trade Area : group of countries that have agreed to reduce or remove trade among themselves.
European Union : established in 1993, its 28 member countries make it the largest single unified market in the world
Euro : Single currency of the European Union
ASEAN : Group of ten Southeast Asian nations working to promote regional cooperation, economic growth, and trade
COMESA : a trading organization consisting of nineteen nations that pools its resources to produce peace and security
Cartel : group of sellers or producers acting together to raise prices be restricting availability of a product
Organization of Petroleum Exporting Countries (OPEC) : organization formed to oversee a common policy for sale of petroleum
Review Question: Chapter 18 : Lesson 2 Read pages 531-539 and answer Review Questions on page 539. Hand in Google Class Room.