Development and Resource Issues 📈 Flashcards
What are the four measures of global patterns of development?
• ECONOMIC- increased employment and rising income
• SOCIAL- rising life expectancy and access to healthcare, water and education
• POLITICAL- stable governt and freedom of speech
• ENVIRONMENT- sustainability, preservation and rest of natural environment
Describe the development gap, continuum and how development is measured. What are some problems??
• BRANDT LINE= north south divide
Becoming less and less relevant tbh due to MINT countries and NICS.
Continuum better- sliding scale, ranked in gross national income per capita-
- HICS
- Upper middle
- Lower middle
- LICS
- NICS= massive recent boost in development
CANNOT JUST BE DONE BY COUNTRY!! MASSIVE DISPARITY!! Ie Mumbai. Also, happiness (GNH) ie Bhutan
Maybe Mumbai?
How is economic development measured?
• GDP (Gross Domestic Product)
• GNI (Gross national income)
• employment- how formal the work is/ what work they do
• poverty- less than $1.90 a day
What are the limitations of evidence of development?
• measure wealth, not social factors
• do not recognise disparity/ inequality within a country
• do not consider COST OF LIVING
UNITED NATIONS uses HDI (human development index), which combines life expectancy, education and per capita.
EMPHASISE that QUALITY OF LIFE should be the ultimate measure of a counties development, not economic growth alone
How does trade operate? How could this cause uneven development?
1) GLOBAL TRADE- value of exports higher than cost of imports, country makes money. MANY LICS exploited bc dependant on it but HICS have the power to go wherever cheapest- limited purchasing power.
• lics export low value goods ie Malawi = little income, borrow money, further dept, detrimental to development
• also LICS disadvantaged by protection policies: tariffs and quotas. However, positives inc subsidies- government benefits
2) FREE TRADE- without limits, tarrifs or control. More job opportunities, both directly and indirectly, More choice and lower prices. Happens in TRADE BLOCS. A= large workforce and make more money = develop
D= country swamped by cheap imports, damage own industry.
Explore advantages and disadvantages of belonging to a Trade Bloc
A-
• NO TAXES = goods cheaper
• WIDER VARIETY= inc qu o/ life
• QUOTAS= stop markets being flooded with cheap goods
D-
• discourages international buying which does one of two things:
1) lower product quality, ie eu bananas
2) LICs out of loop= cheaper elsewhere
• depends on politics and continues success of EU
How have the patterns of development changed?
Pt 2= what characteristics an NIC
WORLD BECOMING INC INTERDEPENDENT bc massively increased trade and growth of NICS.
Whilst ur at it, what characterises a NIC?
• rapid eco growth
• industrialisation and urbanisation
• foresight investment
• infrastructure
• dev o/ MNCs
• expansion of domestic market
Compare a LIC to a NIC regarding government and qu o/ life
LIC- Malawi
Agriculture 84% labour and 85% of export earnings.
90% exported to UK and South Africa
RELIANT ON CHILD LABOUR. Plantations
Dependent on aid from world bank &IMF
NIC- Vietnam
Thirty years ago rlly poor. 1986 communist government= eco and pol reforms. Population embraced liberalisation, opened up to foreign investment and heavy invested in education.
ATT BIG COMPANIES IE SAMSUNG. Also big clothing companies= large exporters.
2002-2018, 45 million out of poverty
How does Global trade change?
Improved:
1) Technology and communication
2) improved transport
3) restrictions on trade lifted
4) growth of MNCS
What are the impacts of MNCs on the country? (Yes that’s right, massive case study time) 👟
BENEFITS:
1) PROVIDES JOBS and skills for people
2) MULTIPLIER EFFECT spreads wealth out > INC QU O/ LIFE of workers
3) competition encourages improved quality of products
DISADVANTAGES:
1) profits sent back to HIC
2) DOES NOT support local companies
3) if an MNC finds it cheaper to operate in a diff country, move
4) EXPLOITATION- lack of international laws= child labour, unsafe cond, etc
Give an example of an MNC in an LIC
(NIKE)
NIKE OFC!!!
• worlds most valuable clothing brand 2025
• valued at $137 billion
• MNC operates and sells in over 140 countries
Benefits- substantial employment, (40,000 jobs) higher than average wages, cumulative causation (attract other companies (MNCs)), exports high, more formal work, MORE TAX.
G9- Vietnam attracts MNCs which boosts local economy and job offers. Competition between MNCs= higher pay and rights
Disadvantages- BEHIND SWOOSH- suffer sexual and verbal abuse, lack of healthcare and compulsory overtime; child labour; undermine culture; HUGE fossil fuel demand. Company image undermine national culture, political influence.
G9- easily go to another country with worse laws/ that is poores, ie late 1980s labour costs in Korea rose, moved to Indonesia. GIVES COUNTRY NO STABILITY!!
OUTSOURCING- giving work to everyone else and not paying fairly, ie factory owner takes 100x, each worker gets x.
What are key drivers of the Tourism economy?
- ageing population= more people surviving and going on holiday
- modern aircrafts = cheaper and more comfortable
- holiday companies= booking easier and more affordable
- internet growth= ppl make own travel and arrangements
What is Enclave tourism? What has contributed to it? Why is it a problem?
Enclave tourism is where people pay one for all.
As a result of TECHNOLOGY:
Trip advisor, check price, research, booking flights, ADVERTISEMENT, comparison, choice and control, convenience.
Problem bc all money goes back to tourism companies= no money spent in local places? Which does not boost economy
Furthermore, all culture can be lost and it county can become overly dependent
G9- dependency can cause eco crisis if due to CC, climate too hot for tourists, ie The Gambia
Explore different eco, soc, pol viewpoints on tourism.
ECO-
❤️ direct and indirect employment, job opportunities, indirect effects= everyone benefit, boost local economy, formal work
🖤 tourists attracted to holiday deals/ packages, DEPENDANCY
SOC-
❤️ multiplier fx- more disp income and afford more- inc qu o life. Invest in companies (ind spending)
🖤 locals not allowed on beaches, culture destroyed, conflict between tourists and locals.
ENV
❤️ money means inv in green tech
🖤 marshlands and beaches destroyed, planes, marine life affected
What is Leakage? Why is it an issue?
Tourists book all inclusive
Between 40-80% goes to MNCs- profit HICs
Talk about informal economy x
Informal economy- beach massages, fruit sellers, souvenir shops etc- DO NOT help country develop and no tax payed
Case study on tourism in a NIC
CANCUN, MEXICO
- Mexico is an emerging market- developing nation inc engaged with global markets.
Cancun loc in Mexico on the peninsula. East of country and East of Mexico.
- 97 million tourists, 2019, 4th in World
- 5.6 million Mexicans directly employed. MULT EFFECT
BUT-
- Enclave tourism and Leakage
CASE STUDY ON TOURISM IN A LIC
The Gambia
THE GAMBIA- of an age group.
LOCATION-
- LIC in West Africa. Borders Atlantic Ocean and borders Sengal.
- in poorest 25% of countries
- 75% employed in agriculture.
SEASONAL TOURISM-
- Too hot in summer, don’t earn enough in Winter= lack of regular income, unable to sustain families in winter.
DEPENDANCY-
- locals dependant on tourism for money.
G9- as global working worsens, climate too hot for tourists, less tourism, economical crisis
How can international aid reduce inequality?
TYPES-
• Bilateral aid- between two countries. Tied aid
• Multilateral aid= money donated by richer countries
• Short term aid
• Long term aid-
• Dept abolition
• NGOs ie oxfam
Why might countries need Aid? What are potential issue regarding it?
- war, famine, natural disasters, corruption, drought, general development.
- mostly given by HICS (G7 countries)
Mostly Germany, followed by France then UK. (uk dipped pandemic 😷)
2010, UK gave India most aid.
ISSUES-
- corruption in country= money not go to Aid
- Food and money given to Ethiopia in 1980s used to feed and pay military
- Tied aid
CASE STUDY ON INTERNATIONAL AID
Mawali and Jpn
MALAWI-
• farmers, Tobacco.
• landlocked= little export
• HIV and AIDS
• 53% pov
SOIL EROSION:
• dem for tobacco= deforestation
• lake for hydroelectric power, ⚡️ washed away (Middle Shire)
AID- COVAMS, saving the soil, funded by Japan. This provides
• education abt soil erosion
• training on pres wildlife
• build barriers
• afforestation
ALL SUSTAINABLE
Japan good relationship, to become part of UN Security Council, selling products
What are the aims/ benefits of Fairtrade?
+ stable wages and safe working conditions
+ restriction on child labour
+ protection of the environment
+ SOCIAL PREMIUM- improves schools and healthcare
Case study on Fairtrade?
GHANA
+ western part of Africa.
+ South of Brandt line
+ directly north of Atlantic Ocean= good for trade.
BEFORE= scales incorrect= exploitation of people, unfair pricing
+ 2.5 million grow cocoa as main crop
+ 90% grown in smallholdings (tiny farms)
+ most export. 75% to EU
BENEFITS OF FAIRTRADE:
+ SOCIAL PREMIUM
+ wells and pipes = good access to clean, healthy water
+ farmers interest at heart, checking welfare officers
+ investment in education
+ farmers voice heard
+ 45% goes to them
+ community
+ training camps
ORGS-
+ Kuapa Kokoo, farmers co-operative
+ Divine chocolate= 1998