Global Economics - Economic Development Flashcards
Define Development
An improvement in people’s general standards of living, including the reduction of poverty, increased access to goods and services that satisfy basic needs (food, shelter, health care, education and sanitation), increasing employment opportunities and reducing serious inequalities in the distribution of income.
Define sustainable development
Sustainable development is defined as development that meets the needs of the present without compromising the ability of future generations to meet their own needs.
Describe the relationship between sustainability and poverty
Poverty can result in unsustainable behaviour towards environmental resources, such as deforestation, land degradation and pollution of ecosystems. Often, where there is poverty, public resource and waste management systems are non-existent or do not work well.
DEVELOPING AND LESS ECONOMICALLY DEVELOPED COUNTRIES ARE THE WORST IN WASTE MANAGEMENT
Define distributive justice
The fair allocation of resources, responsibilities and products in society is called distributive justice.
What are the factors that link economic growth and economic development
1) Growth and development can be mutually reinforcing
[ Improving quality of life often means that individuals and governments need to spend money on services and policies that promote community cohesion, mental and physical health, education, and sustainability]
2) Growth does not always lead to development
[High levels of economic inequality and skewed income distribution can prevent the benefits of economic growth from being experienced by the majority.]
3)Development without growth?
[Some advocate for degrowth, which is the deliberate downscaling of production and consumption and increased focus on other factors we know contribute to well-being, including personal relationships, health, culture, community and the environment.
Many economists have also pointed out that significant gains in well-being can be achieved without growing economies to the size of high-income countries. In fact, the majority of gains in health, education, and subjective well-being occur when countries reach middle incomes.]
4)Development is more than growth
[Development is the result of the interaction of complex social and economic systems that operate in non-linear, emergent ways. ]
What are the income indicators?
GDP per capita
GNI per capita
(BOT AT PPP)
Define absolute poverty
Absolute poverty refers to people earning below internationally defined levels of income, currently USD 1.90 per day.
Define relative poverty
Relative poverty refers to a low level of income that is country-specific and relative to the average earnings in that country.
What are the indicators for health?
-Life expectancy at birth.
(Life expectancy at birth is a measure of the average number of years that a person may expect to live from the time they are born)
-Infant mortality rate
(a measure of the number of children younger than one year that die annually for every 1000 born alive. )
What are the indicators for education?
- Mean years of schooling (the average number of years of education received by people aged 25 and older in their lifetime; it is a component of the HDI.)
- Expected years of schooling
- Adult literacy rate (A measure of the percentage of the population older than 15 years that is literate at a specific moment in time.)
What are the economic inequality index?
-Gini coefficient
What are social inequality indicators?
- Gender ration for mean years of schooling
- Adolescent fertility rates
- Prevalence of undernourishment
- Inequality in life expectancy
- Inequality in education
- Gender inequalities
- Populations vulnerable to poverty
- Child malnutrition
- Infants lacking immunisation
- Child labour
- Old-age pension recipients
- Homeless people due to natural disaster
What are the energy indicators?
- primary energy consumption by source
- share of electricity production form renwables
- energy consumption per capita
What are the environmental indicators?
- carbon dioxide emissions per capita
- greenhouse gas emissions per capita
- ecological footprint (biocapacity and demand)
What are the composite indicators?
- Human Development index (HDI)
- Inequality-adjusted Human Development Index (IHDI)
- Gender Inequality Index (GII)
- Happy Planet Index (HPI)
