changing the economic world Flashcards
measures of development
GNI GDP BIRTH RATE DEATH RATE INFANT MORTALITY RATE PEOPLE PER DOCTOR LITERACY RATE ACCESS TO SAFE WATER LIFE EXPECTANCY HDI
What is gni
gross national income
the total value of goods and services produced by a country in a year, including income from overseas
what is gdp
the total value of goods and services a country produces in a year
what is birth rate
the number of live babies born per thousand of the population per year
what is death rate
the number of deaths per thousand of the population per year
what is infant mortality
the number of babies who die under 1 year old per thousand babies born
what is HDI
this measure is calculated using life expectancy, education level and income per head
what is the difference in development between two countries called
global development gap
why is it not good to use one measure of development to judge a country
it can be misleading, if they’re used on their own as a country develops, some aspects develop before others, so it might seem that a country’s more developed than it actually is
using more than one measure of development or using the HDI index avoids these problems.
the demographic transition model and development
stage 1- least developed stage, birth rates are high because of the lack of contraception, income is low and death rate is high because health care is bad
stage 2- is not very developed, lots of lics and is stage 2, birth rates are high because the economy is centred on agriculture and so adults need lots of children to help with farm work, death rates decrease, as there is better diet and health care
stage 3- a lot of nees are in stage 3, birth rates decline as they receive better education and gender equality improves, manufacturing dominates the economy so not that many children needed to work on the farm, death rates continue to fall as healthcare gets better
stage 4 and 5 - most developed stages, HICs are in the stage, income is high, death rates are low as healthcare is good, birth rates low
factors causing uneven development environmental
poor climate
frequent natural hazards
poor farming land
few raw materials
how does poor climate cause uneven development
means low food production this can lead to malnutrition and a poor quality of life]
having fewer crops available to sell reduces the money available to spend on services and goods
because less is sold and brought the government receives lower taxes so there is less money to spend on development
how does frequent natural hazards cause uneven development
a lot of money is used to repair the damages caused by the natural hazard
natural disasters harm the quality of life of those affected and reduce the money available to the government to spend on developing
how does poor farming land cause uneven development
means food production will be low, this can lead to malnutrition and a poor quality of life
how does few raw materials cause uneven development
raw materials are sold in exchange for money
economic factors causing uneven development
poor countries often have to get loans from wealthier countries and this money has to get paid back with interest a country cant spend money on development until it has paid back its debt
poor trade links-this limits the countries revenue and therefore the amount of money available to invest in development
reducing the development gap
debt relief- is when all or some of the counties debt is cancelled or interest rates are reduced, this means countries have more money to spend on development, instead of always worrying about paying off debt
immediate technology- refers to tools, machines and systems that improve the quality of life, whilst being easy to use, affordable to get and cheap to maintain
aid- can come in the form of money or resources and is given from one country to another
fair trade-farmers in LIC’s get a fair price for their goods, this means farmers have enough money to feed their families
case study for how tourism reduces the development gap
Tourism can increase gross national income because more money will come into the country.
Kenya is an East African lower income country, which is appealing to tourists because of its tribes, warm weather and outstanding natural beauty. In an attempt to accelerate the country’s development, the Kenyan government has made changes that aim to increase tourism.
in 2009 visas were cut in half for adults and completely dropped for children under 16, landing fees at coastal airports have been scrapped for chartered aircrafts - this increased the number of tourists from 0.9 million to 1.8 million annual visitors from 1995 to 2011
advantages of tourism (case study)
tourism is responsible for 12% of kenyas total gdp
the tourism industry employs 10% of the workforce
Kenya has 24 national parks, which use the revenue from tourist entry fees to maintain the landscape
kenyas HDI score from 0.45 to 0.55 now
disadvantages of tourism (case study)
most of the income from tourism doesn’t find its way to the local people
in some instances tribes have been forced to move from their land so that mire national park could be created for tourists to enjoy
vegetation is destroyed and animals are disturbed by safari vehicles
example of immediate technology
solar powered LED lightbulbs
economic development (case study)
India is a rapidly developing newly emerging economy (NEE) in Southern Asia. It’s growing population is currently at 1.3 billion.
Since 1947 the country has been run by its own democratically elected government.
India’s development is moderate (HDI = 0.61).
Inequality is a big issue, with some people being very wealthy but more than 20% living in poverty.
Education is improving, but the literacy rate is still under 70%.
India’s main exports are services and manufactured goods.
indias changing industrial structure
primary industry employs 50% of the working population, but is becoming a smaller part of indias economy. it makes up only 17% of its gdp
secondary industry has grown to employ 22% of the workforce, they provide people with reliable jobs and selling manufactured goods overseas brings more income into india than selling raw materials
tertiary and quaternary industries have become a much larger part of the economy, employing 29% of the workforce. tertiary and quaternary industries contribute the most to indias GDPP - 53%
what are TNCs
TNCS are companies that are located in or produce and sell products in more than one country
they’re usually located in poorer countries because labour is cheaper, and there are fewer environmental and labour regulations which means they make more profit
