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. The more developed, the better the quality of life.
What is GNI?
Gross National Income:
- the total value of goods and services produced by a country in a year, including income from overseas
- often given in US$
- a measure of wealth
- as a country develops, it gets higher
What is GNI per head/capita?
Gross National Income per head/capita:
- the GNI divided by the population of a country
- often given in US$
- a measure of wealth
- as a country develops, it gets higher
What is GDP?
Gross Domestic Product:
- the total value of goods and services a country produces in a year
- often given in US$
- a measure of wealth
- as a country develops, it gets higher
What is birth rate?
birth rate:
- the number of live babies born per thousand of the population per year
- as a country develops, it gets lower
What is death rate?
death rate:
- the number of deaths per thousand of the population per year
- a measure of health
- as a country develops, it gets lower
What is infant mortality rate?
infant mortality rate:
- the number of babies who die under one year old, per thousand babies born, per year
- a measure of health
- as a country develops, it gets lower
What is people per doctor?
people per doctor:
- the average number of people for each doctor
- a measure of health
- as a country develops, it gets lower
What is literacy rate?
literacy rate:
- the percentage of adults who can read and write
- a measure of education
- as a country develops, it gets higher
What is access to safe water?
access to safe water:
- the percentage of people who get clean drinking water
- a measure of health
- as a country develops, it gets higher
What is life expectancy?
life expectancy:
- the average age a person can expect to live to
- a measure of health
- as a country develops, it gets higher
What is HDI?
Human Development Index:
- a number that is calculated using life expectancy, education level and income per head
- between 0 (least) and 1 (most developed)
- a measure of lots of things
- as a country develops, it gets higher
What are the two categories that are based on how economically developed a country is? Give where they are generally found and examples.
- MEDCs - more economically developed countries are generally in the north (USA, European countries, Australia, New Zealand)
- LEDCs - less economically developed countries are generally in the south (India, China, Mexico, Brazil, African countries)
What are the three categories that show how wealthy a country is? Give examples of each.
- HICs - high income countries are the wealthiest in the world, GNI per head is high and most have high quality of life (UK, USA, Canada, France)
- LICs - low income countries are the poorest in the world, GNI per head is low and most have low quality of life (Afghanistan, Somalia, Uganda, Nepal)
- NEEs - newly emerging economies are rapidly getting richer as their economy is majorly moving from primary to secondary industry, quality of life and GNI per head is improving (China, Brazil, Russia, India)
What is the issue with using GNI per head as a measure of wealth? Give a real life example.
using GNI per head as a measure of wealth:
- can be misleading as it is an average, so variations don’t show up
- it can hide variations between regions in the country
- eg. Russia may look like a HIC with its GNI per head, but really it’s just a small amount of people that are very wealthy
What is the DTM and what does it show?
The Demographic Transition Model shows how changing birth and death rates affect population growth.
Describe stage one of the DTM. Give an example of a country in this stage.
DTM - stage one (least developed, very low income)
- high and fluctuating birth rate (no contraception)
- high and fluctuating death rate (poor healthcare, famine)
- low population, almost no growth rate
- eg. some tribes in Brazil
Describe stage two of the DTM. Give an example of a country in this stage.
DTM - stage two (not very developed, most LICs)
- high and fluctuating birth rate (economy based on agriculture, so children work on farms, so high rate)
- rapidly falling death rate (improved healthcare and diet)
- rapidly increasing population, so very high growth rate
- eg. Gambia (HDI = 0.4)
Describe stage three of the DTM. Give an example of a country in this stage.
DTM - stage three (more developed, most NEEs)
- rapidly falling birth rate (women have a more equal role, better education, contraception, less agriculture so children don’t need to work)
- slowly falling death rate (further improving healthcare)
- increasing population, so high growth rate
- eg. India (HDI = 0.6)
Describe stage four of the DTM. Give an example of a country in this stage.
DTM - stage four (most developed, HICs)
- low and fluctuating birth rate (people want possessions, high quality of life and may have dependent elderly relatives, so less money available for having children)
- low and fluctuating death rate
- high and steady population, almost no growth rate
- eg. UK (HDI = 0.9)
Describe stage five of the DTM. Give an example of a country in this stage.
DTM - stage five (beyond development, HICs)
- slowly falling birth rate (too many people, so advocate against having children)
- low and steady death rate
- slowly falling population size, so negative rate of growth
- eg. Japan (HDI = 0.9)
Describe four physical factors that can affect how developed a country is.
physical factors that affect development:
1) a poor climate
- really hot, cold or dry
- reduces amount of food produced, fewer crops to sell
- less money from taxes to develop country (as less sold / bought)
2) poor farming land
- steep or poor/no soil, less food
3) few raw materials
- like coal, oil, metal ores
- make less money
- some do have raw materials, but don’t have the money to develop the links with other countries
4) lots of natural hazards
- spend a lot of money on rebuilding
- reduce quality of life
Describe two historical factors for uneven development.
historical factors for uneven development:
1) colonisation
- countries that were colonised usually are at a lower development level when they gain independence
- eg. European countries colonised much of Africa, which meant that some parts were dependent on Europe, which led to famine and malnutrition
2) conflict
- war, especially civil wars, slow or reduce development
- money is spent on fighting rater than development
- people killed, damage to infrastructure
Describe three economic factors for uneven development.
economic factors for uneven development:
1) poor trade links
- they won’t make as much money, so less development
2) lots of debt
- most money the country gets is used to pay it back
3) an economy based on primary products
- there isn’t much profit from selling primary products
- their prices fluctuate