Paper 2 - The Changing Economic World

Question 1

GNI

Answer 1

Gross National Income (Money earned by residents of a country including money earned abroad).

Question 2

HDI

Answer 2

Human Development Index. Calculated using life expectancy, education, and per capita income.

Question 3

Infant mortality

Answer 3

How many children per 1000 die before they are 1.

Question 4

Literacy rate

Answer 4

The % of adults that read and write acceptably.

Question 5

Factors causing uneven development

Answer 5

Physical environment - soil erosion, desertification, climate, overgrazing. Natural hazards reduce development rate
Health - Disease, LIC’s
Trade - LIC’s make poorer quality products and sell for less, HIC’s do the opposite
History - many LIC’s haven’t had time to fully develop, previous war and conflict

Question 6

Jamaica Case Study

Answer 6

Tourism counts for 24% of Jamaica’s GDP.
Provides 200,000 jobs
Contributes $2 billion each year to the economy

1.1 million cruise ship passengers that visit only spend around $70 per day.
It’s seasonal, most tourists come in summer, rest of year has little none tourists meaning less income for Jamaicans
Tourism generates waste
Investments are focused on tourist areas rather than poorer areas

Question 7

Nigeria - Shell Oil

Answer 7

Oil is very important to the Nigerian economy. It accounts for 14% of GDP and 95% of export earnings. Oil has helped Nigeria transition from a LIC to a NEE, but Nigeria is now extremely dependent on oil.
Manufacturing now accounts for about 10% of Nigeria’s GDP.

Question 8

Nigeria shell oil social, economic and environmental issues

Answer 8

Social - Local workers are often poorly paid and remain in poverty.
Working conditions are very poor and sometimes dangerous.
Economic - Most of the money generated from Shell goes abroad.
Nigeria has become dependent on TNC taxes. This makes TNCs powerful.
Environmental - Oil spills have caused water pollution and soil degradation, reducingcrucial fishing stocks and agricultural yields.