The Changing Economic World Flashcards
What is development?
Development is the progress in economic growth, use of technology, and improving welfare that a country has made.
How does development affect the quality of life?
When a country develops, the quality of life improves for the people living there, including wealth, health, and safety.
What is the global development gap?
The difference in development between more and less developed countries.
List three measures of development.
- Gross National Income (GNI)
- Literacy rate
- Life expectancy
What does Gross National Income (GNI) measure?
The total value of goods and services produced by a country in a year, including income from overseas.
What is GNI per head?
The GNI divided by the population of a country, often referred to as GNI per capita.
What does a high birth rate indicate?
A high birth rate indicates a higher number of live births per thousand of the population per year.
What does a low death rate indicate?
A low death rate indicates a lower number of deaths per thousand of the population per year.
What does the infant mortality rate measure?
The number of babies who die before they are 1 year old, per thousand babies born.
What does the measure ‘people per doctor’ indicate?
The average number of people for each doctor.
What does literacy rate measure?
The percentage of adults who can read and write.
What does access to safe water measure?
The percentage of people who can get clean drinking water.
What does life expectancy measure?
The average age a person can expect to live to.
As a country develops, what happens to GNI?
GNI typically gets higher.
As a country develops, what happens to the birth rate?
The birth rate typically gets lower.
True or False: GNI per head is always an accurate measure of development.
False
Why can GNI per head be misleading?
It is an average, and variations within the country don’t show up.
Provide an example of a country with a high GNI per head but significant income disparity.
Qatar
What is a limitation of social indicators in measuring development?
Some aspects develop before others, which can mislead the assessment of development.
What does Cuba’s low birth rate suggest about its development?
It suggests that Cuba is more developed.
What does Cuba’s relatively high death rate suggest about its development?
It suggests that Cuba is less developed.
What are the three classifications of countries based on wealth?
HIC, LIC, NEE
What does HIC stand for?
Higher Income Countries
Give an example of a Higher Income Country (HIC).
UK, USA, Canada, France