The Changing Economic World Flashcards
What is development?
Development is the progress in economic growth, ues of technology and improving welfare that a country has made.
What is meant by the development gap?
The difference in economic and social factors, such as GNI per capita, access to education and health, and the access to services, between HICs and LICs, resulting in a
large difference in quality of life.
What does “quality of life” refer to?
When a country develops it gets better for the people living there - quality of life refers to their wealth, health and safety.
What is GNI per head?
The GNI (Gross National Income) is divided by the population of a country. It’s a measure of wealth. Given in US$. Also known as GNI per capita.
Give one limitation of using economic measures of development.
- **GNI per head ** can be misleading when used on its own because its an average - variations within the country don’t show up.
eg. Qatar GNI per head is as high as some HICs but it has a small number of extremely wealthy people and a lot of relatively poor.
GNI also misses out informal employment - which account for a large proportion of national income. -
Social indicators can also be misleading when used on their own. As a country develops some aspects develop before others. So it might seem like a country is more developed than it actually is.
e.g. Cuba has a low birth rate - suggests more developed but a relatively high death rate which suggests less developed.
What might the people per doctor measure indicate about a country’s level of development?
The average number of people for each doctor.
A measure of health.
As a country develops it gets lower.
Identify two physical causes of uneven development.
A Poor Climate
Really hot/cold/dry climate where not much will grow. So not much food produced so malnutrition.
Fewer crops to sell so less money.
Less sold and bought, government get less from** taxes**. Less to spend on developing the country eg. on healthcare and education.
Poor Farming Land
Land steep or has poor soil - difficult to grow crops or graze animals to produce food. Same effects as poor climate.
Few Raw Materials
Countries without raw materials have fewer products to export. So make less money to spend on development projects. Some countries have a lot of raw materials but can’t afford infrastructure needed to exploit them - eg. roads and ports.
Lots of Natural Disasters
Need to spend money on rebuilding after disasters.
Natural disasters reduce quality of life, reduce amount of money the government has to spend on development projects.
Outline the relation between colonisation and uneven development.
colonisation - ruled by another country
Countries that were colonised are often at a lower development level when they gain independence than they would be if they hadn’t been colonised.
Historically, colonisers removed raw materials and sold back manufactured goods - profits went to colonisers - increasing inequality.
Colonisation can also prevent the colonised countries from developing their own industries.
What is the Demographic Transition Model?
The Demographic Transition Model (DTM) shows how birth rates and death reates affect population growth.
How has uneven development influenced international migration?
- Many people from LICs and NEEs move to HICs to escape conflict or to improve quality of life.
- Migrant workers contribute to the HIC’s economies instead of the LICs they leave - further increases the development gap.
- Over 130 00 people move from Mexico (NEE) to USA (HIC) legally each year (and thousands more illegally) in search of better paid jobs and higher quality of life.
Explain how microfinance loans can help to reduce the development gap.
Microfinance is when small loans are given to people in LICs who may not be able to get loans from banks. This enables them to start their own businesses and become financially independent.
Can cause problems - encouraging people to get into debt. Not clear that it can reduce poverty large scale.
For Fairtrade, give one way that it can help to reduce the development gap, and identify one problem.
Fair trade is all about farmers in LICs getting a fair price for the goods they produce so they can provide for their families.
Buyers pay extra on top so that farmers receive a premium to help develop the local area.eg. In 2016, Fairtrade tea farmers in Malawi used some of their premium to expand their local hospital, build a new school and install a pipeline for clean water.
Problem - in some cases only a tiny proportion of the extra money reachers the producers while the rest boosts retailers’ profits.
Where is your example of tourism in an LIC or NEE reducing the development gap located?
Nigeria NEE
It is located slightly north of Central Africa. It is on the coast of the Gulf of Guinea. Benin, Niger, Chad and Cameroon border Nigeria.
Give two ways that tourism has helped to reduce the development gap in your example.
Nigeria
Nigeria
Jobs working at oil rigs (Shell inc.) Jobs working at the harbour/docks by the coast. This brings in money so that families can pay for their children to be educated and to buy food and water to survive.
For your case study of an LIC or NEE, describe how its employment structure is changing.
JAMAICA
Jamaica NEE
Tourism is the main source of income in Jamaica
* Tour guides
* Hotel staff
* Street permormers
* Wildlife.