How can the development gap be reduced? Flashcards

1
Q

List me 8 strategies to help LICs develop

A
  1. Aid
  2. Intermediate technology
  3. Trade
  4. Debt Relief
  5. Microfinance Loans
  6. Investment
  7. Industrial Development
  8. Tourism
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2
Q

List me an example of sustainable aid.

A

UK aid to Pakistan

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3
Q

What is UK aid to pakistan

A
  • 66m ppl in pakistan in poverty
  • Spent mainly in education and to reduce poverty.
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4
Q

What is intermediate technology

A

Technology that is suitable to their education and economic level.

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5
Q

List me one example of intermediate technology

A

Irrigation at Ethiopia

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6
Q

Intermediate Tech

Irrigation at Ethiopia

What did it involve

A

Each family has an area of irrigated land with fruit trees.

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7
Q

Lists 2 ways of trade protection

A
  1. Tariffs - taxes on imports
  2. Quotas - limits on the quantity of imported goods.
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8
Q

What is Free Trade

A
  • Trade without import tariffs or quotas
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9
Q

Key features of fair trade

A
  • Guarantees the farmer a fair price.
  • Farmers agree to farm in an environmentally-friendly way
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10
Q

How have LICs debts got so big?

A
  • World’s poorest countries pay more than $1.5 bn a day in interest repayments
  • High oil prices increased price of imports.
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11
Q

Debt Relief

A

2005, G8 countries agreed to cancel debts of LIC.

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12
Q

What is microfinance loans?

A

Small-scale financial support from banks set up to help the poor.

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13
Q

Example of microfinance loans

A

Grameen Bank in Bangladesh

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14
Q

Grameen Bank in Bangladesh

A
  • Lend small sums of money to poorest ppl to start their own business.
  • Lend to over 7 million people
  • Small interest rate, 99% repaid
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15
Q

Advantages of foreign investment for African countries

A

Improve quality of life.

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16
Q

Disadvantages of foreign investment for African countries

A

Profit given back to TNCs, not LICs.

17
Q

Multiplier Effect

A

occurs when industrial development leads to greater employment, higher incomes and opportunities to invest in education and infrastructure etc.

18
Q

Impacts of Tourism on Jamaica

A
  • Economy (+): Tourism contributed to 24% of Jamaica’s GDP in 2014. Economy (-): Annual 1.1m passengers only spend on average $70 per day.
  • Environment (+): Negril Marine Nature Park attracts many tourists. Environment (-): Excessive waste, footpath erosion and harmful emissions.