The Changing Economic World: Development Flashcards
What is development?
Making progress to improve people’s lives
Describe the methods of classifying countries
- LIC, e.g. Kenya
- HIC, e.g. UK
- NEE, e.g, Nigeria (BRICS, MINT)
Describe the methods of classifying countries and use development indicators
- GNI per capita
- HDI
- Birth rates
- Death rates
- Infant mortality
- People per doctor
- Literacy rate
- Access to safe water
- Life expectancy
Evaluate the use of different development indicators
GNI per capita is limited as it determines how developed a country is based only on their income
Whereas, HDI is a good indicator as it measures a country’s development based on economic and social factors: GNI, life expectancy and education
How does the Demographic Transition Model explain the link between changing population structure and level of development?
The DTM shows the population changes as the country develops. Population increases as birth and death rates decrease due to better healthcare.
Describe the five stages of the DTM
1) high fluctuating
2) early expanding (youthful)
3) late expanding
4) low fluctuating
5) decline (ageing)
How is a country’s level of development linked to the different stages of the DTM?
- Stage 1 and 2 represent LICs
- Stage 3 = NEEs
- Stage 4 and 5 = HICs
What is the development gap?
The widening difference in levels of development between the world’s richest and poorest countries
How does rapid population growth slow down the economy?
- harder for government to plan and deliver services in time (e.g. schools)
- puts strain on healthcare, so fewer people are getting treated and people can’t work
- the economy struggles to grow at the same pace as the population, limiting job availability
Explain the PHYSICAL causes of uneven development
- Poor climate (fewer crops=government gets less from taxes)
- Poor farming land (bad soil=won’t produce a lot of food)
- Few raw materials (fewer products to sell=less money)
- Lots of natural hazards (could cause death, injury, destruction +lots of money spent rebuilding)
Explain the ECONOMIC causes of uneven development
- Poor trade links (poor trade links=not much money made)
- Lots of debt (any money a country made would have to be used to pay back debt to another country)
- An economy based on primary products (price can fall below cost of production)
Explain the HISTORIC causes of uneven development
- Colonisation (often @ lower level of development when they gain independence then they would be if they hadn’t been colonised)
- Conflict (money spent on war instead of development)
Explain the impacts of uneven development on people
- Levels of development are linked with wealth and health
- LICs are unable to invest in good-quality healthcare, which means that diseases can spread quickly and people will be unable to work and the death rates go up
- This means less money is made, so there is not enough money to invest on developing healthcare
List the different methods of managing uneven development:
1) Investment (in LICs to increase profit)
2) Industrial development and tourism (to give the locals jobs and income)
3) Aid (resources from another country to help)
4) Intermediate technology (involving local communities in projects that improve their quality of life)
5) Fair trade (ensures LIC producers get fair deals)
6) Debt relief (a country can borrow money in order to invest in development projects)
7) Microfinance loans (small-scale financial support set up by banks to help the poor)
Dependency theory
A country that had been receiving lots of aid for a long period of time could become dependant on aid and be unable to develop without it
