Unit 5 Environmental and Economic Issues of Latin America CDA Study Guide

  1. What type of environmental issues affects Mexico City?

Air pollution

  1. What is the relationship between literacy rate and standard of living?

When literacy rate is high, standard of living I high. When literacy rate is low, standard of living is low.

  1. If you were to start a lemonade stand, the lemons and sugar you use to make the lemonade, are what type of factor of production (what type of resource)?

Capital Resource

  1. Someone who provides the money and means to open a business is called ______

Entrepreneur

  1. What are capital resources/physical capital? Give two examples.

All of the factories, machines, technologies, buildings, and property needed by businesses to operate.

Examples: computers, building, copy machine, tables/chairs, etc

  1. What are human resources? Give two examples.

The knowledge and skills that make it possible for workers to earn a living producing goods and services.

Examples: Training of workers, sending workers to a workshop, paying for workers education and/or healthcare.

  1. What are natural resource? Give two examples.

“Gifts of nature”;

Examples: water, sun, oil, trees

  1. ______goes up when a country invests in natural resources, capital resources/physical capital and/or human resources.

GDP

  1. What is a purpose of NAFTA?

To allow free trade between Mexico, Canada and the United States (no tariffs)

  1. What country borders Mexico to the North?

The United States

  1. What is Mexico’s biggest export?

Oil/petroleum

  1. Why is tourism important to Mexico?

It brings in a lot of money into the country which boosts the economy

  1. What is standard of living?

The quality of life that people in a county have based on literacy rate and GDP

  1. What is the relationship between GDP and standard of living?

If standard of living is high then GDP is high; if standard of living is low then GDP is low.

  1. What city in Latin America is located between two mountains, densely populated with a lot of cars that cause air pollution?

Mexico City

  1. What are some causes of environmental issues in Mexico City?

Emissions from cars, high elevation, surrounded by the Sierra Madre Mountains

  1. What is the main export/resource of Venezuela that is causing environmental problems in the country?

Oil/petroleum

  1. In what country is deforestation a problem? (Hint: the Amazon River and Amazon Rainforest are both mostly in this country!)

Brazil

  1. ______is the best indicator of people’s education level in a given country.

Literacy rate

  1. What kind of economy does Cuba have?

Mixed, but mostly command

  1. The United States does not trade with Cuba, what type of trade barrier is this?

Embargo

  1. What is a tariff?

Tax on imports

  1. What is currency exchange? Why is a system to exchange currency important?

When you trade one type of currency for another. It makes trade easier to trade between countries.

  1. What are the benefits of voluntary trade?

Countries are better off afterwards since they both trade and end up getting what they want.

  1. What is GDP (Gross Domestic Product)?

The total value of all the goods and services produced in that country in one year

  1. What kind of economy does Mexico have?

Mixed, mostly market

  1. What crops are important in Cuba?

Sugar cane and tobacco

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