International Relations

The relationship between geography and the economic conditions and behavior of states that define their levels of production, trade, and consumption of goods and services

The relationship between geography and politics and their consequences for states' national interests and relative power.

The study of the intersection of politics and economics that illuminates why changes occur in the distribution of states' wealth and power

The integration of states through increasing contact, communication, and trade, as well as increased global awareness of such integration

The financial procedures used to calculate the value of currencies and credits when capital is transferred across borders through trade, investment, foreign aid, and loans

From a French phrase that adam smith and other commercial liberals in the 18th century used to describe the advantages of freewheeling capitalism without government interference in economic affairs

The increasing transnationalization of national markets through the worldwide integration of capital flows

The selling of one currency (or product) and purchase of another to make a profit on changing exchange rates

The processes for determining the rate at which each state's currency is valued against the currency of every other state, so that purchasers and sellers can calculate the costs of financial transactions across borders, such as foreign investments, trade, and cross-border travel

The decisions made by stats' central banks to change the country's money supply in an effort to manage the national economy and control inflation, using fiscal policies such as changing the money supply and interest rates

The rate at which one state's currency is exchanged for another state's currency in the global marketplace

The total amount of currency in circulation in a state, calculated to include demand deposits, such as checking accounts in commercial banks, and time deposits, such as savings accounts and bonds, in savings banks.

Dominant economic approach during the Bretton Woods system, which combined open international markets with domestic state intervention to attain such goals as full employment and social welfare

The set of regimes created after WWII designed to promote monetary stability and reduce barriers to the free flow of trade and capital

Massive sales of a country's currency, caused by the anticipation of a future decline in its value