development dynamics Flashcards
define development
the economic or social progress a country or people make
what are some of the wealthiest countries
- North America
- Western Europe
- parts of Asia
what are some of the poorest countries
- Africa
- South America
why are some countries wealthier than others
- climate
- recourses
- colonisation
- site and situation
what does GDP stand for
gross domestic product
define Gross domestic product
the total value of goods and services produced within a country in a year divided by the number of people in the country
what does HDI stand for
human development index
define human development index
gives countries a score based on the average life expectancy, education levels and income of the people in the country. given a score between 0-1
what is gross national income
amount of money made buy a county by its companies and cooperation’s and debt
what are some causes of global inequalities
- banks are lending less to poor and middle class
- machinery taking over peoples jobs
- education levels
- lack of minimum wages
- natural disasters
- landlocked
what two theories explain how and why countries develop over time
Rostow’s modernisation theory and Franks dependence theory
name each step of Rostow’s modernisation theory
- tradition society
- preconditions for take off
- take off
- drive to maturity
- high mass consumption
briefly explain each step of the Rostow modernisation theory
- very little wealth -farming (fishing, mining)
- developing infrastructure - sewage systems, transport links
- business starting - manufacturing and industry
- more diversity of products, industrialisation
- high incomes, trades expands
what are some criticisms of the Rostow modernisation theory
- lack of detail
- assumes that all countries start with the same resources and other factors such as climate and population
draw the model that Frank created
small circle surrounded by bigger circle.
small = core - big city
big = periphery - poor countryside
goods and services go out
resources go in
how does Frank use his theory to explain how a place develops
he states that the core relies on the periphery for food and coal and the periphery relies on the core for roads, mining supplies, transport. uses colonization as evidence
what are some criticisms of Franks theory
- some countries in the developing world that were never colonized remain poor whereas some are developed
- some poor countries successfully develop
what does TNC stand for
transnational cooperation
what is a transnational cooperation
a firm that owns or controls a business in more than one country through foreign direct investment eg: Apple, Nike
what does FDI stand for
foreign direct investment
what is foreign direct investment
overseas investment in physical capital by transnational cooperation
what is microcredit
tiny loans and financial services to help the poor start business and escape poverty
what is top down development
government/ TNC’s making decisions
- large scale projects
- large expensive budget
- local people have no say
what is bottom up development
local people/ charities making decisions
- targets poorest communities
- low cost
- small scale
- use of intermediate technology