Topic Review: Production

Many countries are dependent on ___________ which is internationally traded by countries located in the Middle East.

Supply and demand affect the pricing of products that are traded internationally.

When oil prices go up, it also affects the price of ____________?

Globalization is the expansion of businesses within a small community.

Companies take advantage of their natural resources, such as natural gas, fish or lumber to help create profit.

An example of globalization is making goods in China and selling them in America.

Nafta is a free trade agreement between these 3 countries.

The E.U. or European Union is an agreement that united the economies of European countries by the sharing of a single currency, the Euro.

Outsourcing allows companies to keep labor costs low by hiring in other countries with lower standards of living. A major company in America that does this is ________________.

The impact of interdependence between countries means they need each other for financial success and encourages good economic relations.

The biggest cash crop in modern-day America is corn and soybeans. The very first cash crop in America was ________________.

Although the United States is still the leading world economic power, this role is being challenged by the globalization of trade.

The 4 factors of production are land (natural resources), labor, capital and _______________________.

When one part of factors of production is missing then there will be a ________________ supply of the item being produced.

Undeveloped countries do not always have the required capital to produce economic results. The word capital refers to ___________.