1B: Measuring development Flashcards
GDP - Gross Domestic Product
total value of goods produced and services provided by country per year
GDP flaws
inaccurate
varies in each country
difficult to measure
economic success
PPP - Purchasing power parity
theory of exchange rates of currency = equilibrium when powers are equal in 2 countries
accounts: cost of living and inflation
HDI - Human development index
UN
social and economic development
4 criteria: mean years of schooling, expected years at school, life expectancy and national income per capita
GINI coefficient
inequality of distribution - shows rich/poor divide
1 = perfect inequality
0 = perfect equality
Richest 2% are wealthier than…
than half the world
Rich compensate how much worth of AID each year to poor countries?
$130 billion
MDGs
World target set in 2000
To be achieved by 2015
8 Goals
SDGs
Sustainable development target set in 2105
17 Goals
Achieve by 2030
More than $2 trillion dollars flowing from poor to rich each year because…
large corporations use tax avoidance
Poor repay loans multiple times
Trade rules that exploit poor for resources and labour
200 years ago, rich were
3x richer
end of colonialism (1960s), rich were
35x richer
today, the rich are
80x richer
