Why do levels of economic development vary and how can they lead to inequalities? Flashcards
What factors influence economic development?
- Physical
- Historical
- Political
- Social
- Economic
Examples of how physical factors influence economic development…
- Natural resources (energy, minerals, soil, climate)
- Location/accessibility
Examples of how historical factors influence economic development…
- Time and legacy of past economic, social and political events
Examples of how political factors influence economic development…
- The quality of governance and political stability
Examples of how social factors influence economic development…
- education
- workforce skills
- population growth
- gender inequality
- disease
Examples of how economic factors influence economic development…
- foreign inward investment
- infrastructure
- international trade
How does climate affect economic development?
- Has a direct effect on some economic activities such as farming and tourism. Many MEDCs have climatic conditions that contribute to development and support productive agriculture (e.g. France, Italy) and mass tourism (e.g. Spain, Greece)
- However a harsh physical environment need not be a handicap to develop (e.g. Finland and Canada, despite their cold conditions, rigged relief and high latitude are two of the richest countries in the world)
How does access to oceans affect economic development?
- Access to the oceans for trade and new technologies – most MEDCs have direct access to the oceans (exceptions such as Switzerland and Austria in western Europe) – however in western Europe, even landlocked countries are generally no more than a few hundred kilometres from the coast, and those that are often have good access to inland waterways
o Landlocked countries have to rely on the cooperation of neighbouring states with coastlines for international trade. – this can be a problem in parts of the world that are politically unstable or in the centre of a continental landmass thousands of kilometres from the coast
o Africa has 15 landlocked countries. – In some, geographical isolation has contributed to low levels of economic development. Seven of Africa’s landlocked countries are amongst the 15 poorest in the world. – The two landlocked countries in South America – Paraguay and Bolivia – are also the continents poorest
How does the timescale of economic development influence a country’s economic status?
o Most countries in Western Europe have a long history of economic development stretching back two centuries or more – These countries have had time to become full settled, exploit their natural resources, and build up infrastructure, and human capital. Contrast this with economic development in much of Africa, Asia and Latin America that only started in the twentieth century
How does human capital affect economic development?
- Includes the education and skills of the workforce
- The world’s most advanced economies rely on human capital as their principal resource
- Low levels of literacy and skill are a consequence as well as a cause of a lack of development
o Pre industrialised economies in Africa and Asia based on labour-intensive agriculture create little demand for a highly educated workforce
o With limited productivity and little engagement in international trade, GDP per capita levels are inevitable low in these economies
How does gender inequality affect economic development?
- In many poor countries women are denied equal access to education, employment and personal development
- The effect is to neutralise a large part of the potential workforce, reduce productivity and hold back economic development
- Gender inequality is most pronounced in sub-Saharan Africa, south and west Asia and Arab states
o Sub-Saharan Africa’s poorest countries – Niger, Chad and the Central African Republic – have the highest gender inequality - The most extreme inequality is found in two Islamic States: Afghanistan and Yemen
How does population growth affect economic development?
- Many of the poorest countries have rapidly expanding populations
- Several countries in Sub-Saharan Africa have population growth rates that outstrip economic growth.
o The result is high rates of dependency, poverty and little evidence of economic progress in per capita terms
Tropical Diseases - Poor health and the prevalence of disease check economic development, why?
- Poor health, disease are symptoms of poverty and inadequate health care
- The most serious tropical diseases are malaria, tuberculosis, dengue etc.
- Disease has its greatest impact in the humid tropics of Africa, Asia and Latin America where one in six of the population is affected
Where is malaria found and how many people does it affect around the world?
o Found in over 90 countries, it affects between 300 and 500 million people
According to WHO, how many people die from malaria each year?
1 million - mostly pregnant women and young children
