Economics Past Paper PDF

Need to study Unit 1 **Balance of trade**: The difference between a country's exports and imports. **Globalization**: The growing connection of economies, cultures, and trade worldwide. **Trade deficit**: When a country imports more than it exports. **Trade surplus**: When a country exports mor...

Need to study Unit 1 **Balance of trade**: The difference between a country's exports and imports. **Globalization**: The growing connection of economies, cultures, and trade worldwide. **Trade deficit**: When a country imports more than it exports. **Trade surplus**: When a country exports more than it imports. **Populism**: Political focus on the needs and concerns of ordinary people. **Portfolio investment**: Investing in foreign stocks, bonds, or other financial assets. **Business**: Activities aimed at making a profit by selling goods or services. **Branch plant**: A factory or office owned by a foreign company in another country. **Domestic business**: A business that operates within its home country only. **Domestic market**: The customers and businesses within a country that buy goods or services. **Exports**: Goods or services sold to other countries. **Foreign direct investment (FDI)**: When a company invests in and owns businesses in another country. **Foreign markets**: International locations where goods or services are bought and sold. **Imports**: Goods or services bought from other countries. **Interdependence**: When countries rely on each other for goods, services, or resources. **International business**: Trade or business activities between different countries. **Tariff**: A tax on imported goods. **Trade**: The exchange of goods or services between people or countries. **Trading partner**: A country or entity that trades with another. **Transaction**: An exchange of goods, services, or money. \-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-- Unit 2 **Licensing agreement**: A contract allowing someone to use a company's brand or technology. **Floating rate**: An exchange rate that changes based on market supply and demand. **Currency devaluation**: When a country lowers its currency's value compared to others. **Currency speculation**: Forex **Exchange rate**: The value of one currency compared to another. **Hard currencies**: Stable, widely accepted currencies like the U.S. dollar or euro. **Inflation**: The increase in prices over time, reducing money\'s buying power. **Joint venture**: A business partnership between two or more companies for a specific goal. **Soft currencies**: Unstable currencies not widely accepted internationally. **Trade embargo**: A ban on trade with a specific country. **Trade quota**: A limit on the amount of a good that can be imported or exported. **Trade sanctions**: Penalties placed on a country's trade to enforce policies. **World Trade Organization (WTO)**: An organization promoting global trade and resolving trade disputes **Exclusive distribution rights**: The right to sell a product in a specific area. **Franchise**: A business model where a company licenses its brand and operations to others. **Foreign subsidiary**: A company owned by a parent company in another country. **Value-added**: The increase in a product's value at each production stage. **Global sourcing**: Buying goods or services from suppliers worldwide. **Gross domestic product (GDP)**: The total value of goods and services a country produces. **Protectionism**: Restricting imports to protect local businesses. Unit 3 **Competitive advantage**: Makes a product for cheaper comparative to another **Capital markets**: Places where people and companies buy and sell financial assets like stocks and bonds. **Human Development Index (HDI)**: A measure of a country's quality of life, including health, education, and income. **Productivity**: How efficiently goods or services are produced using resources. **Telecommuting**: Working remotely, usually from home, using technology. Unit 4 **Commodity:** A basic good or raw material/primary agricultural product that can be bought and sold **Counter culture:** a group opposing norms of mainstream culture **Cultural Dimension:** A way to compare differences in cultures **Cultural Intelligence:** Capability to adapt, relate, and work effectively across various cultures **Cultural Norm:** Shared expectation on people\'s behaviour **Culture:** shared values, beliefs and customs of a group of people **Monochronic:** Encouragement of completing one task at a time **Polychronic:** Encouragement of working on multiple tasks or projects at a time **Rationalization:** Any attempts to increase a company's effectiveness or efficiency **Spatial Perception:** Ability to understand and interpret the physical space around you, including the relationships between objects and your own body **Subculture:** A cultural group within a larger or predominant culture, distinguished by factors like class, ethnic background, religion, or lifestyle **Absolute Advantage**: The ability to produce a greater quantity of a good or service **Autocracy:** A system of government run by one person with absolute power **Business Cycle:** Growth/decline in an economy Peak -\> Recession -\> Depression -\> Trough -\> Recovery -\> Expansion **Centrally Planned Economy:** Communism; Decisions are made centrally by the government **Circular Flow Model:** A diagram showing how money, goods, services, and resources flow between households, businesses, and governments in an economy. **Comparative Advantage:** The ability to produce at a lower opportunity cost **Democracy:** power = people, voting **Developed Economics:** high per capita income/strong GDP **Developing Economies:** (communism → capitalism) **Economic System:** Society organizes the flow of goods and services. **Economies in Transition:** communism -\> market oriented systems **Fiscal Policy:** Government decisions on taxation to control macroeconomy **Gross Domestic Product (GDP):** The total value of all goods and services produced within a country over a specific period **Lobbying:** The act of attempting to influence policymakers or legislation on behalf of specific interests or organizations. **Market Economy:** Capitalism; government has little direct involvement in businesses **Mixed Economy:** Mix of capitalism and and communism **Monetary Policy:** A central bank manages money supply and interest rates to influence economic activity and maintain price stability. **Opportunity Cost:** Cost of giving something up to get something else **Political System:** How a government is organized and operates. **Totalitarianism:** A single authority with absolute control Unit 6 - **Cartel**: A group of businesses or countries that agree to control prices or production to limit competition. **Euro**: The official currency used by many countries in the European Union. **Paris Agreement**: A global treaty where countries commit to reducing greenhouse gas emissions to combat climate change. **Trade Organizations**: Groups that promote and regulate international trade **TFWP (Temporary Foreign Worker Program)**: Allowing employers to hire foreign workers to fill temporary labor shortages. **Trade Agreement**: A treaty between countries to reduce trade barriers and encourage economic exchange. Unit 7 -\ \ **Business Ethics**: Principles guiding right and wrong behavior in business. **Corporate Corruption**: Unethical or illegal actions by a company for financial gain. **Corporate Social Responsibility (CSR)**: A company's efforts to positively impact society and the environment. **Cultural Relativism**: The idea that ethics and morals vary based on cultural norms. **Dumping**: Selling goods in a foreign market at unfairly low prices. **Ethical Dilemma**: A situation where choosing between two options challenges ethical principles. **Ethical Imperialism**: Imposing one's own ethical standards on other cultures. **Microcredit**: Small loans given to low-income individuals to start businesses. **Non-Governmental Organizations (NGOs)**: Independent groups working for social, environmental, or humanitarian causes. **Pollution**: The release of harmful substances into the environment. **Predatory Dumping**: Selling goods at extremely low prices to eliminate competition. **Resource Depletion**: The exhaustion of natural resources due to overuse. **Stakeholder**: Anyone affected by a company's actions (e.g., employees, customers, communities). **Subsidizing**: When a government provides financial support to reduce costs for businesses or consumers. **Sweatshops**: Workplaces with poor conditions, low wages, and often exploitative practices. Unit 8 - **Acquisition Strategy**: A plan for a company to grow by buying other companies. **Business to Business (B2B)**: Transactions between businesses (e.g., one company selling to another). **Business to Consumer (B2C)**: Transactions between businesses and individual consumers (e.g., a store selling to customers). **Centralized Marketing Strategy**: Marketing decisions made by a central team, rather than by local branches. **Clickstream Data**: Data tracking the websites and pages a user visits online. **Decentralized Marketing Strategy**: Marketing decisions made by local or regional teams rather than a central authority. **Demographics**: Statistical data about a population, like age, gender, and income. **Discount Pricing**: Offering products at a lower price than usual to attract customers. **Discretionary Income**: Money left over after basic expenses (like food and housing) that can be spent on non-essentials. **Disposable Income**: Income left after taxes, used for essential expenses and savings. **Ebusiness**: Doing business online, including buying, selling, and services through the internet. **Economies of Scale**: Cost advantages gained when a company produces more, reducing the cost per unit. **Ethnocentrism**: The belief that one\'s own culture or group is superior to others. **Four P\'s of Marketing**: Product, Price, Place, and Promotion---key elements in marketing a product or service. **Influencers**: People with a large online following who promote products or services. **Market Research**: Collecting and analyzing data about markets and customers to inform business decisions. **Marketing**: Activities a company uses to promote and sell its products or services. **Mark-Up**: The difference between the cost of a product and its selling price. **Maslow\'s Hierarchy of Needs**: A theory of human needs, where basic needs must be met before higher-level needs. **Penetration Pricing**: Setting a low price initially to attract customers and gain market share. **Premium Pricing**: Setting a high price to reflect the high quality or exclusivity of a product. **Price Skimming**: Setting a high price initially and then gradually lowering it to attract more customers. **Primary Research**: Collecting original data directly from sources (e.g., surveys, interviews). **Psychological Pricing**: Pricing designed to influence customer perceptions (e.g., \$9.99 instead of \$10). **Secondary Research**: Analyzing existing data collected by others (e.g., reports, studies). **Target Market**: The specific group of customers a company aims to sell to. **Thorndike\'s Law of Effect**: The idea that behaviors followed by satisfying outcomes are likely to be repeated. **Trade Show**: An event where businesses display their products or services to potential customers. **Two C\'s of Marketing**: **Customer** and **Cost**---focusing on customer needs and the cost of meeting those needs. **Vending Machine**: A machine that sells products (usually snacks or drinks) automatically when money is inserted.