8.1 Flashcards
Define ‘development’
Change for the better usually economically improving standard of living
Define ‘development gap’
Social and economic disparity between wealthy and the poor occurring global and locally
Give four methods of measuring development
GDP
GDPpc
GDPpc based on PPP
GNIpc
How does GDP suggest development?
Reflects economic activity and broadly standard of living
How does GDPpc suggest development?
Mean wealth per person but disguises disparities between very rich and very poor
How does GDPpc based on PPP suggest development?
(Purchasing Power Parity) difference in cost of living between countries usually compared against the USA
How does GNIpc suggest development?
The total wealth created by a country including income from exports minus debts and taxes, since exchange rates vary this can change over time
Why are the four measures not the best way to show development?
Other ways take in a broader range of statistics
Development is not just one-dimensional focused only on economics
How is development also considered to be through human well-being?
- Improving lives (not just through economics)
- Giving people opportunities to develop their abilities
- Creating choices for people to live their own life e.g. girl’s education
Describe the North-South divide
1981 landmark report by Willy Brandt
Wealthy North held 80% of the world’s wealth
Reports concern that poverty was affecting two-thirds
Why is the Brandt line not so applicable now?
Complex development pattern so some countries e.g. Singapore or parts of countries e.g. Hong Kong are rapidly developing
Gap between rich and poor has widened
What is the happy planet index?
Measures sustainable wellbeing, life expectancy, inequality and ecological footprint
What is the HPI calculation?
(Wellbeing x life expectancy x inequality of outcomes) / ecological footprint
Who are leading and who are at the bottom of the HPI?
1 - Costa Rica
2 - Mexico
139 - Luxemburg
140 - Chad
Evaluate the HPI
- Only measure taking into account environmental quality
- Unreasonable to expect people to perceive their wellbeing in the same way
- E.g. Mexico is high on HPI but many risk their lives to go to the USA which is low ranking showing people value their standard of living highly