changing economic world Flashcards
define gross domestic product
the total value of goods and services a country produces in one year
define migration
movement of people from one place to another to live or work
define transnational corporation
a company that has investments in many countries
define industrial structure
the proportion of the workforce employed in different sectors of the economy
(primary, secondary, tertiary, quaternary)
define development
the progress of a country in terms of economic growth
define development gap
the difference in living standards between HIC’s and LIC’s
define gross national income
the total amount of money earned by a nation’s businesses, including businesses overseas
define human development index
a measure of average achievement in areas of human development, health, education and standard of living
how is GDP different to GNI
GDP doesn’t include national income abroad
name the fast developing countries
BRICs
MINTs
brazil
russia
india
china
mexico
indonesia
nigeria
turkey
what is the world’s current population
8 billion
ways to measure development
literacy rates
people per doctor
GNI
birth/ death rates
infant mortality
life expectancy
access to safe water
how does people per doctor affect social quality of life
in HIC’s there are more doctors, so less people per doctor- they receive better medical care
LIC’s cannot afford medical resources such as machines
how does literacy rates affect social quality of life
low literacy rates means kids lack a valuable education- cannot get great jobs e.g doctors
less doctors= more patients untreated
define birth/death rates
the number of births/ deaths per 1000 population
define infant mortality rates
the number of deaths of children under the age of 1 per 1000 population
define life expectancy
the average number of years a person is expected to live
define literacy rates
the percentage of people with basic reading and writing skills
what makes up the human development index
education
life expectancy
income
why is healthcare a significant development indicator
poor quality pf healthcare means higher death rates and a lower life expectancy
sick people cannot work- dont earn a salary- less government taxes
population characteristics of LIC’s and HIC’s
LIC- low life expectancy, increasing population due to a lack of contraception, high birth rates
HIC- high life expectancy
slowly declining population as people have less kids
physical causes of uneven development
diseases- people unable to work
extreme weather- droughts means reduced crop yield
floods- damages infrastructure
limited access to clean water- makes people unable to work
positive effects of colonialism
europeans brought new technology to african countries to help with farming and infrastructure
education- global countries were taught english
negative effects of colonialism
african, asian, south american cultures became part of slave trade
Haiti colonised by the french and they mismanaged land- degradation of natural resources
Haiti earthquake
2010, magnitude of 7
250,000 dead- lead to water contamination- diseases
300,000 injured- overcrowding in hospitals
300,000 homes damaged- homelessness
25% schools destroyed- lower literacy rates
economic causes of uneven development
poverty- less taxes to government, so less investment into improving infrastructure
trade- LIC’s trade primary goods that have low value and generate little money
HIC’s trade secondary goods (TVs, computers)
outcomes of uneven development
global migration
wealth unevenly distributed
poor healthcare and education
strategies to reduce the development gap
global scale:
investment by TNC’s
industrial development
aid
small scale:
intermediate technology
fairtrade
debt relief
microfinance loans
investment by TNC’s
FDI (foreign direct investment)
:( are footloose- can leave at anytime so economic growth is not always long-term]
:( profit leakage
industrial development
china’s economic growth by development of manufacturing industries (steel, electric goods)
economic zones- international investors don’t pay tax
:( poor working conditions
:( rich/poor inequalities
:( air pollution, waste
:) job opportunities
:) development
:) attracts investors
aid
gift to other countries (LIC’s)
UK gives 0.7% of income to international countries- Syria, Nigeria
:) development- building a dam brings energy and jobs
:( only short-term development
intermediate technology
reduces energy costs
E.g solar panels for farmers to fuel irrigation systems
:) reduces costs
:( small scale- doesn’t help many farmers
fairtrade
producers get a fair minimum wage for their goods
local community gets a premium- spent on schools, hospitals
:) farmers get higher incomes
:( some consumers cant afford fairtrade
debt relief
HIC’s write off the debts of LIC’s
:) gives money to develop- money to improve services
:( might not be used correctly
microfinance loans
small loan given to villages
farmers given money to improve crop yields E.g buying irrigation systems
:) poorer people not dependant on charities
:( must be paid back
reasons for the growth of tunisia’s tourism industry
climate- hot summers
links with europe- people speak french
cheap package holidays- TUI
landscape- beaches, mountains
explain the multiplier effect
1- growth of jobs in tourism industry
2- workers get more money
3- spend money in local shops
4- increased taxes to government
5- government improves services/ infrastructure
6- attracts more tourists
positives of tourism in Tunisia
job creation- multiplier effect
literacy rates increased by 13%
education for girls
negatives of tourism in tunisia
2015- terrorist attack at a holiday resort- tourism decline
pollution- sewage on beaches
footpath erosion- attraction is destroyed
water intensive- causes water scarcity- locals spend money on water not health- sick
profit leakage to foreign investors
describe the location of Nigeria
west Africa
Coastal country
East of Benin, South of Niger
capital city is Abuja
global importance of nigeria
nollywood- nigerian film industry third largest in world
nigerian diaspora has 1.24 million in other countries
2.7% of world’s oil supplied by nigeria
african cup of nations
regional importance of nigeria
has largest population in africa- 218 million
largest economy in west africa
leadership roles- formation of african union
how does environment vary across nigeria
north- dry, little vegetation,close to sahara desert, hard to grow crops on- farmers get less income
south- coastal, tropical, close to equator
internal migration from north to south
how does diversity vary across nigeria
north- mainly muslim
south- mainly christian
250 ethnic groups make up a third of population- different beliefs could cause conflict
cultural importance of nigeria
nigerian football team won african cup of nations 3 times- attracts tourists- tourist revenue
define NEE
countries experiencing economic development, mainly with industrialisation, not agriculture
positives of a youthful population
nightlife- attracts tourists
young workforce- attracts investors
labour shortages filled
negatives of a youthful population
overpopulation due to high birth rates
not enough housing
pressure on services
political context of nigeria
british colony
slave trafficking
civil war from declaration of independence
describe nigeria’s changing industrial structure
used to be mainly agriculture (primary sector)
is now mainly services (tertiary sector)
telecommunications- mobile phones
film industry- nollywood 3rd largest in world
dangote cement
secondary industry
30,000 nigerian employees
to build homes, infrastructure- homes for locals, income for locals- multiplier effect
attracts foreign companies
nigeria’s oil industry
nigeria supplies china with 30,000 oil barrels a day
china invested $1 billion into improving railways- brought jobs in short-term
job creation- 10% of nigerias population works in oil industry
shell
a TNC that extracts oil
operates in nigeria
social impacts of shell
:) niger delta- poor region, shell created schools (jobs), pharmacy, gave running water and electricity- improved quality of living
:) job creation
:( poor working conditions, long hours little pay
:( oil theft turns niger delta into a centre for crime
:( oil spills- less fish- less food
economic impacts of shell
:) 90% of workers are nigerian
:) 20,000 indirect jobs, 6000 direct jobs
:( oil theft- costs shell and government billion dollars
:( profit leakage
:( management positions taken by foreigners
environmental impacts of shell
:) shell foundation helps sustainability
:( oil spills- destroy mangroves, kill fish
:( toxic fumes - air pollution
:( reliance on fossil fuels- global warming
nigerias trading relationships
part of the commonwealth- strong links with UK
part of african union
exports crude oil, rubber, cotton to the EU :( primary goods, little value
bilateral aid
aid from one country to another
UK give £300million to nigeria a year
China gives weapons
multilateral aid
aid from a group of countries to another
4 reasons nigeria needs aid
- debt relief
-terrorism (boko haram)
-famine
-malaria
large scale aid in nigeria
top down
money to build a dam- short term job creation, energy, irrigation for farmers
:( expensive to maintain and build
:( floods
small scale aid in nigeria
bottom up
‘roll back malaria’
christian aid taught sanitation and how to use malaria nets
introduced boreholes instead of wells
short term/ emergency aid
help victims of terrorism
UNHCR- provide shelter, food, medicine
:( short-term
long term/ development aid
aid to nigeria from UK
encourage contraception
fight malaria
improve infrastructure
environmental impacts of industrial growth
toxic waste dumped in rivers- water pollution
toxic fumes- air pollution, respiratory problems
environmental impacts of urban growth
squatter settlements- poor waste disposal
traffic congestion- air pollution
urban expansion as a cause of deforestation
environmental impacts of mineral and oil extraction
mining- chemicals pollute rivers- kills fish
oil spills- kill mangroves- kill fish
oil spills cause fires- releases CO2
positive effects of economic development in nigeria
life expectancy rose from 45 to 55
HDI rose from 0.467 to 0.535
niger delta
job creation- multiplier effect
money from oil exports
negative effects of economic development in nigeria
urban disparities- north is undeveloped
boko haram- lowers life expectancy
oil spills, oil theft, reliance on fossil fuels = global warming
