Geography Chapter 4

ore

a mineral composed of several different elements

alloy

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What is the world's most important alloy?

steel

What is the most important mining product in the world?

petroleum

economics

the study of the process by which people and countries make choices on the development and distribution of their resources, goods, and services

National wealth and influence depend not so much on natural resources as on what the nation does with what it has.

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capitalism

a free-market economy in which anyone may go into business in an attempt to make a profit

capital

money and equipment necessary to build industry

free market

another name for a capitalistic market in its ideal form without government interference

Some business actions may be economically profitable but morally wrong.

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socialism

an economic system in which the government owns the major industries and promises to make production decisions for the welfare of society

The most extreme form of socialism is called. . .

communism.

Every nation is a mixed . . .

economy.

gross domestic product (GDP)

the monetary value of all the goods and services produced for sale within a country's borders over the course of a year

per capita GDP

the average value of products produced by each person in the country

development

the effective use of raw materials, labor, and capital

The developing countries have not taken advantage of their people's skills.

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self-sufficiency

the ability to produce everything needed without buying from other countries or selling to them

imports

all of the goods that a country receives from other countries

exports

the primary and secondary goods that a country ships to other countries

tariffs and quotas

taxes on imports and exports

embargo

a ban on importing or exporting certain products or trading with a particular country