Change In The Economic World Flashcards
What is development?
Development is when a country is improving.
What is the global development gap?
The difference in development between more and less developed countries.
What are measures of development?
Measures used to compare the development of different countries.
What does GNI stand for?
Gross National Income.
What is GNI per head?
GNI divided by the population of a country.
What is the birth rate?
The number of live births per thousand of the population per year.
What is the death rate?
The number of deaths per thousand of the population per year.
What is the infant mortality rate?
The number of babies who die before they are 1 year old, per thousand babies born.
How does wealth typically change as a country develops?
Wealth increases.
What is the relationship between education and development?
Education levels typically increase as a country develops.
What is the relationship between health and development?
Health indicators typically improve as a country develops.
What does the literacy rate measure?
The percentage of adults who can read and write.
What does access to safe water indicate?
The percentage of people who can get clean drinking water.
What is life expectancy?
The average age a person can expect to live to.
What is a limitation of using GNI per head as a measure of development?
It can be misleading because it is an average and does not show variations within the country.
True or False: GNI usually accounts for informal employment.
False.
What does the term ‘people per doctor’ refer to?
The average number of people for each doctor.
Fill in the blank: As a country develops, it gets _______.
wealthier.
What is the most common way of classifying a country’s level of development?
By looking at its wealth.
What are Lower Income Countries (LICs)?
The poorest countries in the world, where the GNI per head is very low.
What are Higher Income Countries (HICs)?
The wealthiest countries in the world, where the GNI per head is high.
Provide examples of Higher Income Countries (HICs).
- UK
- USA
- Canada
- France
Provide examples of Lower Income Countries (LICs).
- Afghanistan
- Somalia
- Uganda
What are Newly Emerging Economies (NEEs)?
Countries that are rapidly getting richer as their economy moves from primary industry to secondary industry.
Provide examples of Newly Emerging Economies (NEEs).
- Brazil
- Russia
- India
- China
- South Africa
What are the MINT countries?
- Mexico
- Indonesia
- Nigeria
- Turkey
What is the Human Development Index (HDI)?
A measure that combines income, life expectancy, and education level to assess development.
How is HDI calculated?
- Income (GNI per head)
- Life expectancy
- Education level (average number of years of schooling)
What does a country’s HDI value indicate?
It indicates both the country’s level of economic development and the quality of life for its residents.
What is the range of HDI values?
Between 0 (least developed) and 1 (most developed).
True or False: Nigeria has a high HDI despite being classified as an NEE.
False.
What are population pyramids used for?
To show the population of a country by age.
What information is displayed on the horizontal axis of a population pyramid?
The number of men and women.
What information is displayed on the vertical axis of a population pyramid?
Age groups.
What is natural increase in population?
When the birth rate is higher than the death rate.
What characterizes Stage 1 of the Demographic Transition Model?
High birth and death rates, low life expectancy.
What factors contribute to high birth rates in Stage 1?
- No use of contraception
- High infant mortality rates
What causes high death rates in Stage 1?
- Poor healthcare
- Famine
What does DTM stand for?
Demographic Transition Model
What is the primary economic activity in Stage 1 of the DTM?
Agriculture
Which countries are typically classified as Newly Emerging Economies (NEEs)?
India, China, South Africa, and the MINT countries (Mexico, Indonesia, Nigeria, Turkey)
What is the birth rate characteristic of Stage 1 in the DTM?
High due to no use of contraception and high infant mortality
What is the death rate characteristic of Stage 1 in the DTM?
High due to poor healthcare and famine
Which country is an example of Stage 2 in the DTM?
Many Low-Income Countries (LICs)
What happens to the birth rate in Stage 3 of the DTM?
It falls rapidly
What economic shift occurs in Stage 3 of the DTM?
From agriculture to manufacturing
What is the characteristic of the death rate in Stage 4 of the DTM?
Low due to good healthcare
True or False: In Stage 5 of the DTM, the population experiences a natural decrease.
True
What is the life expectancy trend in Stage 4 and 5 of the DTM?
High life expectancy
What is the relationship between HDI, GNI, and the DTM stages?
HICs and LICs link to different stages of the DTM
Fill in the blank: The population growth rate is ______ if the death rate is higher than the birth rate.
negative
What is the characteristic of the population size in Stage 1 of the DTM?
High and fluctuating
Which country has an HDI of 0.4?
Gambia
Which country has an HDI of 0.6?
India
What is a primary reason for high birth rates in Stage 2 of the DTM?
Economy based on agriculture requiring more children
What demographic feature is represented on the horizontal axis of a population pyramid?
Age groups
What demographic feature is represented on the vertical axis of a population pyramid?
Population size
What is the characteristic of the birth rate in Stage 4 of the DTM?
Low and steady
What factors contribute to a low birth rate in developed countries (Stages 4 and 5)?
High standard of living and healthcare
What is the typical characteristic of the population in Stage 1 of the DTM?
Very few places are at stage 1 now
What physical factor can lead to a country being less developed?
A Poor Climate
Countries with extreme climates, like very hot or very cold, often have low agricultural productivity, leading to malnutrition.
How does a poor climate affect food production?
It limits the amount of food that can be produced, leading to malnutrition and a low quality of life.
What is the impact of malnutrition on economic activities?
Fewer crops to sell, less income for people, and reduced government tax revenue.
What happens if a country has poor farming land?
It is difficult to grow crops or graze animals, leading to similar effects as a poor climate.
What are the consequences of lacking raw materials?
Fewer products to export, making less money for development projects.
What infrastructure challenges do developing countries face regarding raw materials?
They often cannot afford to develop necessary infrastructure like roads and ports.
How do natural disasters affect a country’s development?
They require significant spending on rebuilding, reducing government funds for development projects.
What economic factor is related to poor trade links?
It limits the money made, reducing available funds for development.
What is the relationship between debt and development?
Very poor countries borrow money, which must be repaid, limiting funds for development.
How does an economy based on primary products affect development?
Countries that export primary products are typically less developed due to lower profits compared to manufactured goods.
What historical factor contributed to uneven development?
Colonisation
Colonised countries often had their resources exploited, leading to long-term economic disadvantage.
What is a consequence of colonisation on developing countries?
Increased inequality and prevented the colonised from developing their own economies.
What is the impact of uneven development on wealth distribution?
It leads to significant income disparities between developed and less developed countries.
How much higher is the income in more developed countries compared to less developed ones?
Over 40 times higher
Example: The income in developed countries is significantly greater than in countries like Chad.
What is the effect of wealth on living standards?
Wealthier individuals have better access to goods and services that improve comfort and quality of life.
What is a consequence of international migration?
Many people migrate from less developed countries in search of better opportunities.
Fill in the blank: Countries that were _______ by another country tend to have lower development levels.
colonised
True or False: Uneven development leads to large flows of international migration.
True
What is uneven development?
Differences in wealth and health among countries or regions
Name a historical cause of uneven development.
Colonisation
How does colonisation affect development levels?
Colonised countries often have lower development levels upon gaining independence than if they hadn’t been colonised.
What was the role of European countries in colonisation?
They colonised many regions from the 16th to the 20th centuries, extracting raw materials and selling manufactured goods.
What is a consequence of the profit distribution during colonisation?
Profits went to colonisers, increasing inequality.
How does war impact development?
War can slow or reduce development even after it ends.
What are some effects of war on a country’s infrastructure?
Damage to infrastructure and property, disruption of healthcare and education
What was Syria’s HDI value in 2008?
0.65
What was Syria’s HDI value in 2016 after five years of war?
0.54
What are some consequences of uneven development?
Differences in wealth and health, large flows of international migration
How does income differ between developed and less developed countries?
People in more developed countries have a higher income.
What was the GNI per head comparison between the UK and Chad?
GNI per head in the UK is over 40 times higher than in Chad.
What is the wealth inequality example from Kenya in 2017?
The richest 10% earned 23 times more than the poorest 10%.
How does wealth impact standard of living?
Wealthy individuals can afford goods and services that enhance comfort and convenience.
How does healthcare differ between developed and less developed countries?
Healthcare is usually better in more developed countries.
What is the life expectancy in the UK?
81 years
What is the life expectancy in Chad?
53 years
What is the infant mortality rate in Chad?
73 per 1000 births
What is the infant mortality rate in the UK?
3.7 per 1000 births
What diseases can lead to higher mortality rates in LICs and NEEs?
Diseases that are easily treatable in HICs
How many people did diarrhoea kill in South Asia and sub-Saharan Africa in 2016?
Over 1.4 million
What motivates international migration from LICs and NEEs to HICs?
To escape conflict or improve quality of life
How many people move from Mexico to the USA each year?
Over 130,000 legally, with thousands more illegally
What is a consequence of migrant workers moving to HICs?
They contribute to the economies of HICs instead of LICs, increasing the development gap.
Fill in the blank: Uneven development leads to differences in _______ and health.
[wealth]
What is foreign-direct investment (FDI)?
FDI is when people or companies in one country buy property or invest in infrastructure in another country.
FDI leads to better access to finance, technology, expertise, improved infrastructure, and increased services.
What are some benefits of foreign-direct investment?
Benefits include:
* Better access to finance
* Improved technology and expertise
* Enhanced infrastructure
* Increased industry and services.
What is aid in the context of global development?
Aid is money or resources given to a country by a charity or foreign government for development projects.
Examples include constructing schools, building dams, and providing farming knowledge.
What challenges can aid present?
Challenges include:
* Potential waste by corrupt governments
* Projects may stop if local knowledge and support are insufficient after funds run out.
What is the fair trade movement?
The fair trade movement aims for farmers in LICs to receive a fair price for their goods, allowing them to support their families.
Companies selling fair trade products must pay producers a fair price.
What are the benefits of fair trade for local communities?
Benefits include:
* Farmers receiving a premium to develop their local area
* Examples include improving local hospitals, schools, and clean water access.
What is intermediate technology?
Intermediate technology includes tools and systems that improve quality of life while being simple to use, affordable, and easy to maintain.
An example is solar-powered LED lightbulbs in Nepal.
How does microfinance work?
Microfinance involves giving small loans to individuals in LICs who may not qualify for traditional bank loans, enabling them to start businesses and become financially independent.
What are some benefits of microfinance?
Benefits include:
* Higher incomes for borrowers
* Ability to invest in livestock and other assets.
What are potential downsides of microfinance?
Downsides include:
* Encouragement of debt
* Uncertainty about its effectiveness in reducing poverty on a large scale.
What is debt relief?
Debt relief is when debts are lowered, allowing countries to have more money for development.
An example is Zambia receiving debt relief.
How does tourism contribute to economic development in Kenya?
Tourism helps by attracting visitors, which generates revenue for the local economy and creates jobs.
What measures has Kenya taken to boost tourism?
Measures include:
* Reducing visa fees
* Dropping landing fees for children under a certain age.
What are some benefits of tourism in Kenya?
Benefits include:
* Increased revenue for local businesses
* Job creation in the tourism sector
* Support for national parks.
What are some negatives associated with tourism in Kenya?
Negatives include:
* Limited economic benefits for local companies
* Displacement of local communities
* Potential for environmental degradation.
What is the main focus of the content?
Reducing the Global Development Gap
What type of development does tourism help increase in Kenya?
Economic development
What percentage of Kenya’s GDP is contributed by tourism?
Nearly 4%
Fill in the blank: In 2006, Zambia had its debt _______.
cancelled
What was cut by 50% in 2009 to encourage tourism in Kenya?
Visa fees for adults
How many visitors did tourism increase from in Kenya from 1995 to 2017?
0.9 million to 1.4 million
What infrastructure has Kenya invested in to boost tourism?
Transport infrastructure
What is the Human Development Index score increase for Kenya since 2000?
From 0.45 to 0.59
True or False: Most of the money earned from tourism in Kenya goes to local communities.
False
What negative impact does tourism have on Maasai communities?
Forced off their land
What is one environmental issue caused by tourist vehicles?
Destroying vegetation
How many people are employed directly or indirectly by the tourism industry in Kenya?
Over 1.1 million
What was the purpose of dropping landing fees at airports on the Kenyan coast?
To encourage more tourists
Fill in the blank: The Madaraka Express railway links Nairobi to the _______.
coast
What is a benefit of the entry fees charged at national parks in Kenya?
Maintaining the national parks
What challenge does tourism face in Kenya following terrorist attacks?
Fluctuating tourist numbers
What type of companies often benefit from Kenya’s tourism earnings?
Big companies based in HICs
What has been a significant change in tourism numbers in Kenya from 1995 to 2017?
Increase from 0.9 million to 1.4 million visitors
What is one of the main strategies for reducing the development gap?
Increasing tourism
What is development?
The process of improving the economic, social, and political conditions of a country.
What is meant by the development gap?
The disparity in levels of development between different countries or regions.
List five measures of development.
- GDP per capita
- Life expectancy
- Literacy rates
- Access to clean water
- Employment rates
Give one way countries can be classified.
By income levels.
What do HIC, LIC, and NEE stand for?
- HIC: High-Income Country
- LIC: Low-Income Country
- NEE: Newly Emerging Economy
Describe the five stages of the demographic transition model.
1) High stationary
2) Early expanding
3) Late expanding
4) Low stationary
5) Declining
How is a country’s level of development linked to the different stages of the DTM?
Levels of development vary with demographic transition stages, reflecting changes in birth and death rates.
How can climate result in uneven development?
Climate can affect agricultural productivity, resource availability, and living conditions.
Explain how debt can cause uneven development.
High debt levels can limit resources available for development and hinder economic growth.
Give two historical factors that can affect how developed a country is.
- Colonial history
- Trade relationships
What are the consequences of uneven development?
- Increased poverty
- Social unrest
- Migration pressures
- Environmental degradation
Explain how debt relief can reduce the global development gap.
Debt relief allows countries to allocate more resources towards development projects instead of debt repayment.
Give four other strategies to reduce the global development gap.
- Foreign direct investment
- Education and skills training
- Infrastructure development
- Trade agreements
Name one country that is trying to grow tourism to close the development gap.
India
Give one positive and one negative effect for the country of this increase in tourism.
- Positive: Economic growth
- Negative: Environmental degradation
What is India’s current level of development?
Emerging economy.
How is India’s industrial structure changing?
Increasing focus on services and technology sectors.
What is a TNC?
Transnational Corporation.
Name a TNC that operates in India.
Coca-Cola
Describe the advantages and disadvantages of TNCs to India.
- Advantages: Job creation, technology transfer
- Disadvantages: Profit repatriation, local business competition
Explain how India’s trading relationship with the wider world is changing.
Increasing integration into global markets and trade agreements.
What is the difference between short-term and long-term aid?
- Short-term aid: Immediate assistance for emergencies
- Long-term aid: Sustainable development projects
Explain the difference between top-down and bottom-up aid.
- Top-down aid: Government-driven projects
- Bottom-up aid: Community-driven initiatives
Describe the impact of India’s economic development on quality of life.
Improved access to education, healthcare, and living standards.
Describe the environmental impacts of India’s economic development.
Increased pollution, deforestation, and resource depletion.
What sort of industry has become more important as the UK becomes post-industrial?
Service and technology industries.
Why has there been an increase in the number of science parks in the UK?
To foster innovation and support technology-based businesses.
What are the main causes of economic change in the UK?
- Globalization
- Technological advancements
- Policy changes
How can the effect of industry on the environment be reduced?
Implementing sustainable practices and regulations.
Why is it important that the UK continues to improve its transport networks?
To enhance connectivity and support economic growth.
Give three examples of the UK’s strong links with other countries.
- Trade agreements
- Cultural exchanges
- Diplomatic relations
Give two contrasting ways that changes in the UK economy are affecting rural areas.
- Economic decline in traditional industries
- Growth in tourism and services
What is the north-south divide?
The economic and social disparity between northern and southern regions of the UK.
How is the UK government trying to reduce the north-south divide?
Investing in infrastructure and promoting economic development in the north.
What is used to compare and understand a country’s level of development?
Measuring development
Includes various indicators such as economic and social metrics.
What does the term ‘employment type’ refer to?
The proportion of the population working in primary, secondary, tertiary and quaternary industries.
This helps in understanding the economic structure of a country.
What is Gross Domestic Product per capita?
The total value of goods and services produced in a country per person, per year.
It is a key economic indicator reflecting the economic performance of a country.
What does Gross National Income per capita represent?
An average of gross national income per person, per year in US dollars.
It includes all income earned by residents of a country, regardless of where it is earned.
What is the infant mortality rate?
The number of children who die before reaching 1 per 1000 babies born.
This is a critical social indicator reflecting healthcare quality.
What does the literacy rate indicate?
The percentage of population over the age of 15 who can read and write.
It is a vital measure of educational attainment in a population.
What is meant by life expectancy?
The average lifespan of someone born in that country.
It serves as an important indicator of overall health and living conditions.
What is the Human Development Index (HDI)?
A number that uses life expectancy, education level and income per person.
HDI provides a composite measure of human development.
What are economic indicators examples?
• Employment type
• Gross Domestic Product per capita
• Gross National Income per capita
These indicators help assess the economic health of a country.
What are social indicators examples?
• Infant mortality
• Literacy rate
• Life expectancy
These indicators help evaluate social well-being and quality of life.
Fill in the blank: A number that uses life expectancy, education level and income per person is known as _______.
[Human Development Index (HDI)]
HDI is crucial for understanding human development beyond just economic growth.
What is the global distribution of high-income countries (HICs)?
Most HICs are located in Europe, North America, and Oceania.
HICs are characterized by high levels of income and development.
Where are most newly emerging economies (NEEs) located?
Most NEEs are in Asia and South America.
NEEs are countries experiencing rapid economic growth and industrialization.
Which continent has the majority of low-income countries (LICs)?
Most LICs are in Africa.
LICs are defined by low gross national income (GNI) per capita.
What can cause variations in development within countries?
Development can vary within countries too.
Factors such as regional resources, infrastructure, and governance can affect development.
Name a natural resource that affects uneven development.
Fuel sources such as oil.
Natural resources play a crucial role in the economic development of a country.
What is a climate factor that affects farming?
Reliability of rainfall to benefit farming.
Regular rainfall is essential for agricultural productivity.
How can extreme climates impact industries?
Extreme climates limit industry and affect health.
Harsh climates can hinder economic activities and worker productivity.
What is a benefit of climate in terms of tourism?
Climate can attract tourists.
Pleasant climates often lead to increased tourism, boosting local economies.
What risk is associated with natural hazards?
Risk of tectonic hazards.
Areas prone to earthquakes and volcanic activity face significant development challenges.
What can volcanic material provide to an area?
Benefits from volcanic material and floodwater.
Fertile soil from volcanic ash can enhance agricultural productivity.
How do frequent hazards affect redevelopment?
Frequent hazards undermine redevelopment.
Constant threats can deter investment and slow recovery efforts.
What challenges do landlocked countries face?
Trade difficulties.
Lack of access to coastlines limits trade and economic growth.
How does mountainous terrain affect agriculture?
Makes farming difficult.
Steep slopes and poor soil can limit agricultural practices.
What is a potential advantage of scenic mountainous terrain?
Scenery attracts tourists.
Natural beauty can enhance tourism opportunities and local economies.
What is one benefit of aid for countries?
Aid can help some countries develop key projects for infrastructure faster
Aid can also improve services such as schools, hospitals, and roads.
What is a potential downside of too much reliance on aid?
It might stop other trade links from becoming established.
How does education contribute to economic development?
Education creates a skilled workforce, meaning more goods and services are produced.
What financial benefit do educated people provide to their country?
Educated people earn more money and pay more taxes.
What impact does the stability of government have on a country’s economy?
The stability of government can affect the country’s ability to trade.
What is a trade surplus?
Countries that export more than they import have a trade surplus.
Why are good trade relationships important?
Good trade relationships can improve the national economy.
What is more profitable in trade: trading goods and services or raw materials?
Trading goods and services is more profitable than raw materials.
What health issues can affect economic contribution?
Lack of clean water and poor healthcare can lead to a large number of people suffering from diseases.
How does illness impact a person’s ability to contribute to the economy?
People who are ill cannot work, leading to little contribution to the economy.
What is a consequence of spending more money on healthcare?
More money on healthcare means less spent on development.
How did colonialism affect development in Europe and other countries?
Colonialism helped Europe develop but slowed down development in many other countries.
What is the relationship between industrialisation and development?
Countries that went through industrialisation a while ago have now developed further.
What are the consequences of uneven development?
Consequences include disparities in wealth, health, and migration.
How does wealth differ between developed and less developed countries?
People in more developed countries have higher incomes than those in less developed countries.
What is the impact of healthcare on life expectancy in developed countries?
Better healthcare in developed countries leads to longer life expectancy.
What drives migration from less developed to more developed countries?
People migrate to seek better opportunities and a higher standard of living.
Fill in the blank: People in more developed countries have _______ than those in less developed countries.
higher incomes
True or False: People in less developed countries generally live longer than those in more developed countries.
False
Fill in the blank: Migration occurs when people move to countries with higher levels of _______.
development
