Paper 2 - Section B, Changing Economic World Flashcards
What is the Demographic Transition Model
A model which describes how the population, birth and death rates as a country develops
What is economic inequality
The difference in wealth between the richest 10% of a country’s population and the poorest 10%
What does GNI per capita mean
The total amount of money earned by individuals or businesses divided by the population
What is the human development index
A measurement of several indicators including life expectancy, inequality and education
What is immigration
The movement of people from their home country to a new country of residence
What is the infant mortality rate
The ratio of children under 5 years old that die compared to the total number of births
What is quality of life
The standard of living of a person or a community, many factors can affect this like health, comfort and access to services
What is social inequality
The difference in quality of life between the highest income family and the lowest income household
What are examples of economic indicators
- GNI per capita
- Poverty line - the number of people earning less than $1.90 a day
What are examples of social indicators
- life expectancy
- literacy rate
- infant mortality rate
- access to safe water
What are examples of environmental indicators
- pollution levels - the volume of pollution in the air and water shows how wasteful a country is
- area of woodland/greenspace -the more open land a country has, the pleasant it is to live there
What are the limitations to GNI (gross national income)
- data may not be collected accurately which makes data unreliable
- can become out of date quickly if countries experience big changes eg large scale migration
What is the north-south divide globally and what are its limitations
- talks about the differences of development between the global north and economically poorer countries on the south
- problem: it is general and there are many differences in development between north and south
What type of measure is standard of living
Economic measure, do people have enough money to live on
What type of measurement is quality of life
Social measure, do people have a long and healthy life
Describe stage 1 of the demographic transition model
- birth rates are high and fluctuating
- death rates are high and fluctuating
- population is low
- no development
Describe stage 2 of the demographic transition model
- death rates begin to fall due to developments in health care and sanitation
- birth rates are still high due to people still having insecure lives and having large family’s can help them survive
- generates rapid population growth
Describe stage 3 of the demographic transition model
- economic development, improved education and availability of contraceptions means families decide to have fewer children
- when women have jobs, makes sense to have fewer children so family can earn more and have better quality of life
- death rate falls more slowly and population grows, but not fast
Describe stage 4 of the demographic transition model
- low birth rates and death rates
- large population but growth slow
- births and deaths are close in numbers but fluctuate
Describe stage 5 of the demographic transition model
- birth rates fall below death rates
- population starts to decline
Suggest one reason why increasing economic development means families decide to have fewer children
- children often asserts in countries with low economic development
- when people live in NEEs like Nigeria, the cost of raising and educating children rises
- so they decide to have fewer children so they can maintain higher standards of living and quality of life
What are the physical factors leading to uneven development
Countries find it more difficult if they are:
- landlocked and can’t benefit from trade over seas
- suffer from natural hazards and don’t have the money to repair all the damage caused
- people are affected by tropical diseases and this affects their ability to work
What are the economic factors to uneven development
Countries find it more difficult to develop when:
- global trade favours already developed countries
- they produce mainly primary products which don’t make much money
- they are in debt and have to spend money on interest payments rather than development
What are the historical factors to uneven development
Countries find it harder to develop when:
- they were colonised by European countries in the 19th century and early 20th century, this means their economies were developed to produce raw materials for manufacturing in European countries
- they have long history of conflict, eg civil war within a country. Wars = no stability for economic development, refugee crisis and governments spending what money they have on soliders etc
What are the consequences of uneven development
- uneven wealth within countries
- international migration
How does uneven development cause international migration
- pull factors: gives people the incentive to move from a poorer country to richer countries where they can earn more and receive better quality health care and a higher quality
- push factors: tension from uneven development can cause crises and conflict, refugees could be escaping conflicts to find asylum
What is foreign direct investment
When companies in one country invest in companies in other countries eg China is a major investor in Africa
What are the advantages and disadvantages of foreign direct investment
+ reduces the development gap because it boosts a country’s industrial sector with money, new technologies and new markets, employment opportunities, infrastructure can be built which they couldn’t afford before
- the investments are designed to benefit the investing company most of all, exploits a countries resources, TNS accused of slave labour and sweat shops
What is emergency aid
- short-term aid
- for example to help a country recover from a natural disaster
What is development aid
- used to develop long-term projects eg immunising children against preventable diseases
What is bilateral aid
When one government sends aid to another government
What is multi lateral aid
When governments send aid to international organisations like the World Bank which then funds development projects
What are some examples which can help reduce the development gap
- intermediate technology
- fair trade
- debt relief
- micro finance loans
What is industrial development and what are the advantages and disadvantages
- when HICs build factories in LICs
- adv: creates positive multiplayer effect; jobs are created + tax for governments as more of the population has wages and that money can be invested in schools, roads + services etc
-dis: environmental impacts; increases water and air pollution from industrial processes, unpleasant working conditions, long hours + poor health and safety
What is an example of industrial development
Malaysia had rapid growth in wealth since 1970s due to development of natural resources
What are the advantages and disadvantages of using tourism to reduce the development gap
- adv: creates jobs for locals, can generate lots of income, can improve local businesses, skills up people
- dis: environmental degradation - beach and coral destroyed, overcrowding, if a country depends solely on tourism, if something like a pandemic happens, country looses their source of income = vulnerable
What are the advantages and disadvantages of using aid to reduce the development gap
- adv: provides money for new tech, can help after a natural disaster, can provide medical aid (like vaccinations) which allows people to work + earn more money
- dis: some aid is tied, countries can begin to rely heavily on aid, some loans have high interest rates which can put countries in even more debt, money could be going to corrupt governments
What is an example of using aid to reduce the development gap
- Goat aid by Oxfam, family’s are given goats which can be used for food (milk and meat), to farm and to sell
What are the advantages and disadvantages of using intermediate technology to reduce the development gap
- adv: cheap, sustainable, easy to maintain, suited for the skills of the people
- dis: small-scale so will only reduce the development gap slightly locally, won’t make that much of a difference
What is an example of using intermediate technology to reduce the development gap
- sand dams
- bicycles that can produce the power needed to remove the outer shell of a coffee bean
What are the advantages and disadvantages of using fair trade to reduce the development gap
- adv: farmer gets a fair price for their products so they can afford basic necessities, positive multiplyer effect, part of the price is invested into local communities
- dis: people not part of fair trade could become more vulnerable to getting exploited more, fair trade products cost more to consumers so people might just choose not to buy fair trade
What is an example of using fair trade to reduce the development gap
- Ugandan coffee farmers, fair trade premium helps workers pay for their children’s education
What are the advantages and disadvantages of using debt relief to reduce the development gap
- adv: more money can be used for the country to develop further eg education, healthcare + infrastructure
- dis: only 19 heavily indebted poor countries (HIPC) had their debt cancelled in 2006, African countries still owe vast amounts of debt