Glossary from chapter 17 and 18 of the book OpenStax, Principles of Macroeconomics for AP® Courses
This glossary was extracted from Chapter 17 and 18 of the book OpenStax, Principles of Macroeconomics for AP® Courses. OpenStax CNX. 4 Aug 2017 which is licensed under a Creative Commons Attribution 4.0 International License.
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economy of a country that has demonstrated the ability to catch up to the technology leaders by investing in both physical and human capital
the economies of Taiwan, Singapore, Hong Kong, and South Korea, which maintained high growth rates and rapid export-led industrialization between the early 1960s and 1990 allowing them to converge with the technological leaders in high-income countries
a series of studies that show, statistically, that 70% of the differences in income per person across the world is explained by differences in physical capital (savings/investment)
a program for early childhood education directed at families with limited educational and financial resources.
nation with a per capita income of $12,475 or more; typically has high levels of human and physical capital
a nation that has a per capita income of less than $1,025; a third of the world’s population
a nation with per capita income between $1,025 and $12, 475 and that has shown some ability, even if not always sustained, to catch up to the technology leaders in high-income countries
the theory that rational private households might shift their saving to offset government saving or borrowing
deficits that occur when a country is running both a trade and a budget deficit