Chapter 9- Global Inequality Flashcards
Measure of a country’s yearly output of goods and services per person
Gross National Income (GNI)
Represent 18% of the world’s population
Receive 68% of worlds total income
High income countries
70% of the worlds population lives in these countries
Make up 31% of worlds total income
Middle income countries
12% of worlds population lives in these
Only 0.7% of the worlds total income
Low income countries
Theories about economic development that assume the best economic consequences will occur if individuals are free to make their own economic decisions
Recommend adoption of modern capitalist institutions
Market oriented theories
Argues that low income societies develop economically only if they adopt modern economic institutions and technologies, and adopt cultural values that emphasize savings and productive investment
Modernization theory: a market oriented theory
The economic belief that free-market forces, achieved by minimizing government restrictions on business, provide the only route to economic growth
Neoliberalism: a market oriented theory
Marxist theories of economic development
Argue that poverty of low income countries stems directly from their exploitation by wealthy countries and by the transnational corporations that are based in wealthy countries
Dependency theories
The process whereby western nations established their rule in parts of the world away from their home territories
Colonialism: a dependency theory
The theory that poor countries can still develop economically, but only in ways shaped by their reliance on the wealthier countries
Dependent development: a dependency theory
Emphasizes the interconnections among countries based on the expansion of a capitalist world economy
The division of the world into three unequal economic zones
World-systems theory
Core: the most advanced industrial countries, which take the big share of profits in the world economic system
Periphery: countries that depend on the core producing societies for their trading relationships
Semiperiphery: countries that supply sources of labor and raw materials to the core industrial countries and the world economy, but are not themselves fully industrialized societies
Economic zones: World-systems theory
Worldwide networks of labor and production processes yield a finished product
Focuses on global businesses and their activities rather than relationships between countries
Global commodity chains theory
Said that the main reason for persistent inequality is the core in the world system
The core rakes in most profit
“Unveiling Inequality” by Roberto Patricio and Timothy Patrick Moran
11% of the worlds population do not have access to healthy water
37% of worlds population lack access to good sanitation
860k deaths due to malaria every year
805 million people worldwide are chronically undernourished
HIGHEST RATES OF HUNGER FOUND IN SUB SAHARAN AFRICA, WHERE 1 in 4 are hungry
Health inequality
