Question

With the listed terms give their definition and 1 significance in terms of economics or international political relations.

- Heavily Indebted Poor Countries:

- Globalization:

- Generalized System of Preferences:

- Foreign Aid:

- Export Oriented Growth:

- Economic Development Ladder:

- Easy ISI:

- Debt forgiveness:

Answer 1

Heavily Indebted Poor Countries:

The heavily indebted poor countries (HIPC) are a group of 37 developing countries with high levels of poverty and debt overhang which are eligible for special assistance from the International Monetary Fund (IMF) and the World Bank.

Significance of HIPC :

The HIPC Initiative was designed as one important building block in a broader development architecture of policies, programs and institutional development in support of sustainable growth and poverty reduction. The Initiative was modified in 1999 to provide three key enhancements: Deeper and Broader Relief

Globalization:

Globalization is the process of interaction and integration among people, companies, and governments worldwide. As a complex and multifaceted phenomenon, globalization is considered by some as a form of capitalist expansion which entails the integration of local and national economies into a global, unregulated market economy. Globalization has grown due to advances in transportation and communication technology. With the increased global interactions comes the growth of international trade, ideas, and culture. Globalization is primarily an economic process of interaction and integration that's associated with social and cultural aspects. However, conflicts and diplomacy are also large parts of the history of globalization, and modern globalization

Significance :Globalization is about the interconnectedness of people and businesses across the world that eventually leads to global cultural, political and economic integration. It is the ability to move and communicate easily with others all over the world in order to conduct business internationally.

Generalized System of Preferences

The Generalized System of Preferences, or GSP, is a preferential tariff system which provides tariff reduction on various products.

Significance:

GSP promotes economic growth and development in the developing world. GSP promotes sustainable development in beneficiary countries by helping these countries to increase and diversify their trade with the United States. The GSP program provides additional benefits for products from least developed countries.

Foreign Aid:

Foreign aid is money that one country voluntarily transfers to another, which can take the form of a gift, a grant or a loan. In the United States, the term usually refers only to military and economic assistance the federal government provides to other governments.

significance :

Foreign aid can save the lives of millions of people living in poverty around the world. It addresses issues such as health, education, infrastructure and humanitarian emergencies. Foreign aid is a broad term.

Export Oriented Growth:

Export-oriented industrialization (EOI) sometimes called export substitution industrialization (ESI), export led industrialization (ELI) or export-led growth is a trade and economic policy aiming to speed up the industrialization process of a country by exporting goods for which the nation has a comparative advantage.

Significance.

Export-led growth is important for mainly two reasons: The first is that export-led growth improves the country's foreign-currency finances, as well as surpass their debts as long as the facilities and materials for the exports exist.

- Economic Development Ladder:

Climbing the ladder of economic development means the accumulation of wealth per capita, generally leading to healthier, happier, and longer-lived people. Increased wealth can lead to the end of squalor, hunger, backbreaking labour, and epidemic disease.

Easy ISI:

Import substitution industrialization (ISI) is a trade and economic policy which advocates replacing foreign imports with domestic production.

Significance

ISI is based on the premise that a country should attempt to reduce its foreign dependency through the local production of industrialized products.

Debt forgiveness:

Debt forgiveness occurs when a government creditor entity in one economy formally agrees - via a contractual arrangement - with a debtor entity in another to forgive (extinguish) all, or part, of the obligation of the debtor entity to the creditor, the amount forgiven is treated as a capital transfer from the creditor.