P2. section B Flashcards
what is the definition of quality of life?
the standard of health, money and happiness experienced by an individual or group of people
- e.g work, financial material and emotional wellbeing?
what is the definition of standard of living?
the level of wealth, comfort, material good and necessities available to a certain socio-economic class or certain area
what is GNI per capita?
what are 2 limitations of using GNI per capita to measure development?
- doesn’t take into account illegal, black market activity
- doesn’t look at social indicators (e.g life expectancy and literacy rate)
what is the definition of development?
the process of a country in terms of economic growth, the use of technology and quality of life
what are 2 limitations of using birth rate as a measure of development?
- can be influenced by government policies (e.g 1 child rule in china)
- LIC’s birthrates are not always registered so are given as estimates
what are the 5 factors affecting the development gaps?
- tropical diseases
- natural disasters
- landlocked
- trade
- colonialism
what are 3 physical factors that are affecting the development gap?
- tropical diseases (malaria)
- natural disasters
- landlocked
what is an economic factor that is affecting the development gap?
trade
what is a social factor that is affecting the development gap?
colonialism
How does tropical diseases affect the development gap?
increase in tropical diseases –> affects ability of population staying healthy to work –> less people getting paid –> less tax
How does natural disasters affect the the development gap?
increase in natural disasters–> money spent on repairing damages –> slows development –> less money in economy to invest in services such as health care
how does a country being landlocked affect the development gap.
landlocked means no ports near ocean –> so have to pay other countries or use more expensive ways of transport in order to trade –> lose profit –> less money to develop country
how does trade affect the development gap?
LICs–> sell primary products = less value –> they lower their prices in order to compete with other LICs–> means they are not making much profit
HIC are buying for less and selling for more.
How does colonialism affect the development gap?
IN past developed countries stripped LICs of their resources –> meant that LICs were left with barren land –> no resources to trade –> not making money –> can’t develop
what are 6 methods for reducing the development gap?
- aid
- fair trade
- microfinance
- intermediate technologies
- debt relief
- economic investment and industrial development
what is aid?
when a country or NGO donates resources to another country to help it develop
what is an example of aid?
Oxfam’s goat aid given to Malawi
what is a negative of aid?
is not successful if it is not long- term or sustainable
how do aid reduce the development gap?
education/teaching of skills —> literacy rate increases —> ppl get higher skilled and paid jobs —> more tax to gov
what is microfinance?
when small loans are given to people in LICs who may not be able to get the from traditional banks
what is an example of microfinance?
$200 given to women in Bangladesh to buy phones and rent them out
what is a negative of microfinance?
businesses could fail meaning they can’t pay back the loans
what is debt relief?
when a some or all a country’s debts are cancelled, reduced or interest rates are lowerd
what is an example of debt relief?
Zambia’s $4 billion debt cancelled in 2005 so the country had enough money to start a free health care scheme in 2006