6-Economics-Macroeconomics-International

bumiputra

Malysia "son of the soil" program {bumiputra} gave preferences to Malays.

carry trade

Hedge funds can borrow cheaply in Japan and other low-interest countries and lend in high-interest countries {carry trade}.

chaebol

Korean conglomerate {chaebol}.

foreign aid

Richer countries can send money and expertise {foreign aid}| to poorer countries. Aid can require loans or purchases. Foreign aid must be long-term to make exports increase. Foreign aid has little effect if receiving country has political trouble or management and work skills are low. Savings rates must be high, and capital yields must be great. Aid can help giver countries whose economy has contracted.

keiretsu

Major Japan banks have allied companies {keiretsu}, which own each other's stock. Banks supply money for investment and affect stock price or short-term profits. Ministry of Finance and Ministry of International Trade and Industry direct economy.

maquiladora

Mexico allows factories {maquiladora}, which make exports, near north border, to have financing from abroad to employ Mexican workers.

Third World

During Soviet-Union period, many countries {Third World} were non-aligned. After that, Third World refers to countries with poor, undeveloped economies that are agricultural and labor intensive.

yakuza

Japanese gang {yakuza}.

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6-Economics-Macroeconomics

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