Unit 5 Economic Development Flashcards
Purchasing power parity
an exchange rate based on the ratio of the price of a basket of a products in different countries
Human development index (HDI)
a measure of living standards which takes into account income, education and life expectancy
Absolute poverty
a condition where people’s income is too low to enable them to meet their basic needs
Relative poverty
a condition where people are poor in comparison to others in the country. Their income is too low to enable them to enjoy the average standard of living in their country
Vicious circle of poverty
a situation where people become trapped in poverty
Emigration
the act of leaving the country to live in another country
Birth rate
the number of births in a year per 1000 population in a year
Death rate
the number of deaths in a year per 1000 population in a year
Infant mortality rate
the number of deaths per 1000 live births in a year
Population pyramid
a diagram showing the age and gender structure of a country’s population
Optimum population
the size of population which maximizes the country’s output per head
Economic development
an improvement in economic welfare
