Global Development Revision What do we mean by ‘development’? Development is the word we use when exploring standards of living and quality of life across the world. By exploring this, we can compare countries to one another. What factors contribute to development? Factors affecting development Economic factors (money) Personal wealth, Gross National Income (GNI) per capita, the cost of living, employment rates and job security For example, the GNI per capita in the UK is $41,258, whereas in India it is $7680. Social factors Access to health, education and housing. 775 million people globally are illiterate (can’t read or write) 400 million people do not have access to essential healthcare 1.6 billion people live in inadequate shelter. Food and Water Security 795 million people in the world do not have enough food to lead a health life. 785 million people lack basic drinking water. Technology Electricity, internet access, better industrial machinery. It is estimate 5 billion people have basic access to technology. Many use intermediate technology which does not require electricity. Cultural factors Democracy, work-life balance, religion and freedom. 1/3 rd of the world’s population (2.6 billion) live under governments that do not provide them with freedoms (e.g. right to vote) 1. Suggest two differences in global development One difference is ____________________________________________________________________________________ __________________________________________________________________________________________________ __________________________________________________________________________________________________ __________________________________________________________________________________________________ __________________________________________________________________________________________________ __________________________________________________________________________________________________ __________________________________________________________________________________________________
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Factors affecting development Democracy, Electricity ...€¦ · Factors affecting development Landlocked countries Transporting goods across the ocean through shipping containers
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Global Development Revision
What do we mean by ‘development’?
Development is the word we use when exploring standards of living and quality of life across the world. By
exploring this, we can compare countries to one another.
What factors contribute to development?
Factors affecting
development
Economic factors (money)
Personal wealth, Gross
National Income (GNI) per
capita, the cost of living,
employment rates and job
security
For example, the GNI per
capita in the UK is $41,258,
whereas in India it is $7680.
Social factors
Access to health, education and housing.
775 million people globally are
illiterate (can’t read or write)
400 million people do not have access
to essential healthcare
1.6 billion people live in inadequate
shelter.
Food and Water Security
795 million people
in the world do not
have enough food
to lead a health life.
785 million people
lack basic drinking
water.
Technology
Electricity, internet access, better
industrial machinery.
It is estimate 5 billion people
have basic access to technology.
Many use intermediate
technology which does not
require electricity.
Cultural factors
Democracy, work-life balance,
religion and freedom.
1/3rd of the world’s
population (2.6
billion) live under
governments that do
not provide them with
freedoms (e.g. right to
vote)
1. Suggest two differences in global development
One difference is ____________________________________________________________________________________
As development covers lots of issues that affect quality of life and standards of living across the world, we have
come up with ways of quantifying development (putting it in numbers) . This helps us to compare countries more
accurately and also examine development within a country more accurately.
Single measures of development are measurements that only measure on thing.
Composite measures of development are measures that include more than one thing.
Per capita is often added to the end of a measurement, this means per person.
Below are a number of measurements you are required to know for your GCSE exam:
Economic measures of development (measures that look at money)
Gross Domestic Product (GDP) is the total value of goods and services produced within a country per year.
GDP per capita divides the GDP of a country by the amount of people in its population.
Gross National Income (GNI) measures the total amount of money earned by a nations people and
businesses. GNI per capita measures the total average income of a country per person.
GINI coefficient measures income inequality out of 100. A high number indicates a really unequal
distribution of income and a low value indicates greater equality.
Human measures of development:
Human Development Index (HDI) is a composite measure of development as it includes three things; life
expectancy, years of education and GNI per capita. It ranges from 0 to 1 (1 being the most developed).
Political measures of development:
Corruption Perception index (CPI) grades countries from ‘highly corrupt’ to ‘very clean’.
Other measures of development:
Name Explanation Strengths/limitations
Birth rate Number of live babies born per thousand women. A low birth rate is an indication of good healthcare and equality amongst men and women.
Infant mortality rate Number of babies who die under the age of 1. High infant mortality usually means poor access to health care services.
Literacy rate The % of adults who can read and write. Developed countries tend to have well educated populations as they have the money to invest in schools.
Access to safe water The % of people who can get clean water. Poor access to drinking suggests low levels of development.
Life expectancy The average age a person will live to Low life expectancy suggests low levels of development.
Study the table.
2. In which country would you expect quality and life and standard of living to be low. Explain your answer.
Transporting goods across the ocean through shipping containers has changed the world’s economy.
It is a cheap and easy way to sell goods. However, countries with no coastline cannot directly
access a port which may damage their economy. There are 45 landlocked countries and the
majority of them are poor. Coastal countries can increase their income through trade, which can
in turn be invested back into the country.
Natural disasters
Examples of natural disasters are earthquakes, volcanoes and hurricanes. They cause
Lots of damage to a country. Money that could be invested in social and economic development
is used to recover from natural disasters. Poor living conditions created by an earthquake allow
disease to thrive, pollute water resources, destroy housing and food supplies. As a result, more
people die from natural disasters in poor countries compared to rich which further increase
inequality.
Colonialism
In the 19th and 20th century, European countries practiced colonialism. This means they would take
over another country and exploit it for money. The country being taken over would be called a
colony. Africa had lots of natural resources such as oil, gas, timber, diamond and gold. The European
countries took lots of these natural resources to fuel their own economic development. Eventually,
90% of Africa was ruled by 7 European countries. Africa’s own development was stunted
(ignored/rejected) as a result as they could not use their natural resources to invest in their own
development.
Social investment
A government that prioritises spending money on education, healthcare and infrastructure such as houses,
transport, roads will provide a better quality of life for the people living in that country. If a population
has a good education, they can get better jobs, earn a decent standard of living and provide for their
families. If there is a strong healthcare system, then they can get help when they are ill. A corrupt
government will not do this and will often use the countries money to make themselves richer which
causes great inequality between standards of living between countries.
Closed economies
A country that has an open economy wants to trade their goods with the rest of the
world as this will increase their income. When a country has a closed economy, they do
not want to trade as much with the rest of the world. As a result, their economic
development is slower than those countries with open economies. This discourages
something called Foreign Direct Investment (FDI). This is when a business decides to
invest money or set up a business in another country. They might not do this in a closed
economy as they will not earn a lot of profit. As a result, the country loses more money.
Strategies to reduce uneven development
Aid:
World Trade No country is self-sufficient in the full range of raw materials (food, minerals and energy) and manufactured goods that are needed by its inhabitants. To try to achieve this, countries must trade with one another. Trade is the flow of commodities from producers to consumers, and it is important in the development of a country.
Raw materials, goods and services brought by a country are called imports, and those sold by a country are exports. The difference between a country’s imports and exports is known as its trade balance. One way for a country to improve its standard of living and to grow more wealthy is to sell more goods than it buys. Those countries that do will have a trade surplus, allowing them to become richer, while others will have a trade deficit, making them poorer and likely to fall into debt. For example, India’s trade in services accounts for 30% of its exports and only 10% of its imports which is a trade surplus.
The Indian economy has grown strongly over the past 10 years. It has been opened up to foreign trade and as a result, foreign direct investment (FDI) has increased too. It did this by reducing its barriers to trade such as improving infrastructure and reducing its tariffs (a tax on imports or exports) which would make a country less likely to trade with them.
Fair Trade
There is a wide imbalance of trade between the LICs and the HICs. This is mainly because: ● LICs export mainly primary goods such as foodstuffs and raw materials- primary goods are usually sold
to the HICs at low and often fluctuating prices
● The HICs process primary good, which they either possess themselves or obtain from LICs, into secondary (or manufactured) goods – secondary good are sold at high and usually steady prices
Fair trade aims to connect disadvantaged workers with the consumers of their product, essentially cutting out the middlemen who would take a large profit of the product. Fairtrade then certifies that standards have been met by the farmers, workers and companies that are a part of the supply chain and license the product with the fair trade mark.
Debt Relief
LICs borrow money from HICs to pay for large infrastructure projects. As a result, they have to repay the millions borrowed over a number of years. Making these repayments means they have less money to invest into the economy, healthcare and education. It is a never-ending cycle. The Heavily Indebted Poor Countries (HIPC) Initiative was established in 1996 by the International Monetary Fund (IMF) and the World Bank to reduce or cancel debts. This allows the country to use the money to invest in key social services and the economy.
4. Describe two ways in which the scale of global inequality can be reduced