Changes in development

Question 1

What are the economic ways to measure development?

Answer 1

Income per Capita
Economic sector balance

Question 2

Income per Capita:

Answer 2

Is the mean average income of a group of people
Calculated: The total source of income for a country divided by the population to provide an average

Question 3

Economic sector balance:

Answer 3

The economy is split into four economic sectors and their importance changes as the country develops
Calculated: Estimation of the contribution of each economic sector to the total national income

Question 4

What are the social ways to measure development?

Answer 4

Human Development Index (HDI)
Gender Inequality Index (GII)
Environmental Quality

Question 5

Human Development Index (HDI):

Answer 5

Indicator which ranks countries based on their economic and social criteria
Calculated: 3 measures, life expectancy, income and education scored between 0-1. Average score is then taken

Question 6

Gender Inequality Index:

Answer 6

Measures gender inequalities linked to three aspects: reproductive health, empowerment and labour force participation rate
Calculated: Countries are scored between 0-1. Higher the value the greater the inequality

Question 7

Environmental quality:

Answer 7

Measured using the Environmental Performance Index looking at the amount of pollution outdoors and the quality of air inside homes
Calculated: Countries ranked in order according to their performance across 11 areas related to environmental quality

Question 8

Widening Income Inequality:

Answer 8

• As Globalisation has increased so has the development gap
• The average income gap between the world’s richest and poorest has widened as a result of the rapid growth in European and North American countries
• Many low income countries have progressed to middle-income creating developed, emerging and developing countries around the world

Question 9

What is the Gini Coefficient?

Answer 9

Is a measure of inequality in the distribution of household income
- Countries are scored between 0-100
- The higher the value the greater the income inequality
- Score of 0 suggests everyone has the same income in a country
- Score of 100 suggests a single person receives all of a countries income

Question 10

Examples of the winners of globalisation?

Answer 10

• TNCs: can access markets around the world (globally) promoting trade, often can have access to technology and innovation helping with expansion, also allowed TNCs to build globally recognised brands

Question 11

Examples of losers of globalisation?