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Movement of People and Capital



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Movement of People and Capital


A general increase in awareness, opportunity and transportation technology has allowed for people to move about the world in search of a new home, a new job, or to flee a place of danger.
Most migration takes place within or between developing countries, possibly because of lower standards of living and lower wages push individuals to places with a greater chance for economic success.

Diffusion of Knowledge


The word 'diffusion' simply means to spread out, and that is exactly what any new found knowledge does. When a new invention or way of doing something pops up, it does not stay secret for long. A good example of this is the appearance of automotive farming machines in Southeast Asia, an area long home to manual agricultural labor.

Non-Governmental Organizations (NGOs) and Multinational Corporations


As global awareness of certain issues has risen, so too has the number of organizations that aim to deal with them. So-called non-governmental organizations bring together people unaffiliated with the government and can be nationally or globally focused.
Many international NGOs deal with issues that do not pay attention to borders (such as global climate change, energy use, or child labor regulations).

The central economic problem is about scarcity and choice


Human wants are virtually unlimited whilst the resources to satisfy our wants are limited. The most pressing wants are food, housing, clothing and warmth. They have to be satisfied first. Advances in technology, however, have added new wants and brought about new ways of satisfying existing wants. For example, our wants for cars and television sets were unknown to previous generations and the wants to travel, regarded as difficult in the past, can be satisfied easily because of many different types of transport. At any time, people in different countries of the world can produce only a limited amount of goods and services because the available resources are limited, or scarce. These resources or factors of production as they are often called are of three types:

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