| Term | Definition |
|---|
| Agricultural labor force | The number of people who work in agriculture. This is important because a large value indicates that the country is likely an LDC dependent on agriculture, while a small value indicates that there are fewer people working in agriculture, meaning that the agriculture is more efficient. |
| Calorie consumption | As a percentage of daily requirement is an important index of development. People in MDCs generally consume more than 130% of their daily requirements, but most people in LDCs barely get enough to sustain themselves. The problem is worst in Africa, where most people do not eat enough. |
| Core-periphery model | Describes the pattern of distribution of the MDCs and LDCs. When the earth is viewed from the North Pole, the MDCs are clustered near the center of the map while the LDCs are near the edges. |
| Cultural Convergence | The change in culture that occurs as diffusion of ideas and technology increases. An example is the culture of LDCs becoming more like that of their former colonial power (an MDC). |
| Dependency theory | States that LDCs tend to have a higher dependency ratio, the ratio of the number of people under 15 or over 64 to the number in the labor force. |
| Development | The improvement in material conditions of a place as a result of diffusion of technology and knowledge. This is important because it is a main goal for most of the planet’s regions and development will help solve many problems. |
| Energy consumption | An indicator of development. MDCs tend to consume much more energy per capita than do LDCs. This will be important in the future because as LDCs begin to industrialize, there will be a great strain on the world’s energy supply |
| Foreign direct investment | Is investment in the economies of LDCs by transnational corporations based in MDCs. However, all countries are not recipients of this investment. Brazil, China and Mexico were the LDCs that received most of the investment. |
| Gender | Is an important developmental factor. A great difference in development between the genders is found primarily in LDCs, especially in the Middle East. Differences exist primarily in income and in literacy rate. |
| Gross domestic product | The total value of goods and services produced in a year in a given country. The value varies greatly between MDCs and LDCs and is one of the best indicators of development. Fast growth of GDP is a major goal of all countries. |
| Gross national product | Similar to GDP except that includes income that people earn abroad. |
| Human Development Index | Is an aggregate index of development, which takes into account economic, social and demographic factors, using GDP, literacy and education, and life expectancy. |
| Neocolonialism | Refers to the economic control that MDCs are sometimes believed to have over LDCs. Through organizations such as the IMF, the MDCs are able to dictate precisely what LDCs economic policies are, or are able to use their economic subsidies to put LDCs industries out of business. |
| Purchasing power parity | An indicator of income related to GDP. Unlike GDP however, PPP takes into account price differences between countries. Usually goods in LDCs are priced lower, so this makes the difference between LDCs and MDCs less. |
| W.W. Rostow | developed the “Stages of Growth” model of economic development |
| World Systems Theory | Refers to perspective that seeks to explain the dynamics of the “capitalist world economy” as a “total social system” |
| “Stages of Growth” Model | Linear theory of development that developed countries go through a common pattern of structural change (1-Traditional Society, 2-Transitional Stage, 3-Take Off, 4-Drive to Maturity, 5-High Mass Consumption) |
Combine with other sets
Share on Facebook
Share on MySpace