Africa Economy

Specialization = focusing on one specific good or service

This is helpful because it allows resources to be used more efficiently

Embargo = ban

Quota = limit

Tariff = tax

Capital Goods = things that help you make other products; example = forklift

Human capital = investing in human's education

Human Capital improves the economy because the workers are more knowledgeable and experienced in their field

Have a lot of oil

However, they don't have enough investment in human capital or capital goods

Example: an oil rig could help them produce more oil more easily

Starting your own business or company

Great for the economy!

Helps boost GDP

Currency = money

When you go to a new country, or trade with another country, your currencies usually don't match up

SO , you have to use an exchange rate to change your currency to theirs in order to trade / buy things