4.9 Closing the development gap?

Question 1

How many times did China’s GDP grow between 1990 and 2015?

Answer 1

14 times

Question 2

What have been the consequences of such rapid growth of GDP in developing countries?

Answer 2

• a new global elite of super rich has emerged, with China’s richest 1% of people owning one third of China’s property and industrial wealth
  -There has been a huge disparity in growth between advanced economies and newly industrializing Asian countries versus the developing countries of Latin America, the Middle East and Africa. The development gap widened

Question 3

What is GNI?

Answer 3

gross national income- the value of goods and services earned by a country

Question 4

What is GDP?

Answer 4

Same as GNI but excluding foreign earnings

Question 5

What is the human development index?

Answer 5

composite indicator
measures:
-life expectancy
-education
-GDP

Question 6

What is the gender inequality index?

Answer 6

Measures inequality between men and women
It uses indicators relating to:
-reproductive health- as gender inequalities fall, fertility rates and maternal mortality rates will fall, and the age of having a first child rises
-empowerment- women in politics
-education and employment

Question 7

How can we measure the increasing inequality of income distribution?

Answer 7

gini index- an index with values between 0 and 100% shown using a lorenz curve

Question 8

What does a low gini index value indicate?

Answer 8

-a more equal income distribution
-0 represents perfect equality

Question 9

What does a high gini index value indicate?

Answer 9

-Indicates unequal distribution
-100 represents perfect inequality

Question 10

What is income inequality like in China?

Answer 10

An east west divide in China exists as incomes decline the further inland you go
-The gini index of China in 2010 was 47% and its inequality is rising
-However, the areas doing best economically are doing this at the expense of the environment