Geography- The development gap
Terms in this set (42)
GDP (gross national product)
The value, in dollars of the goods and services that a country produces in a year. Allow you to compare LEDC's with MEDC's (the state of the country). But only gives an average.
GNI (gross national income)
Like GDP, but also includes money earned over seas. It sis a more accurate figure than GDP, but it is based purely on economic factors.
HDI (human development index)
Uses 4 indicators: life expectancy, education, literacy rate and GNI per capita. It is a good way of measuring development, as it takes into account social impacts as well so is useful for direct comparisons.
PPP (purchasing power parity)
GDP is adjusted because a dollar buys more in some countries than others.
Rich industrialised countries
Global inequalities. These are the most developed nations (eg. Uk, Norway and the USA).
Former communist countries
Global inequalities. These countries aren't really poor, but they aren't rich either(in the middle). They are developing quickly but not as quickly as newly industrialised countries this is because communism has limited their development(eg.Czech Republic, Bulgaria and Poland).
Oil exporting countries
Global inequalities. These countries are quite rich (have a high GNI), however the wealth usually belongs to only a few people and the rest are quite poor (eg. Saudi Arabia and Qatar).
Newly industrialised countries
Global inequalities.These countries are rapidly getting richer as their economy is moving from being based on primary industry (eg. agriculture), to secondary industry (manufacturing). For example: China, Brazil, Mexico and India.
Heavily indebted poor countries
Global inequalities. These countries are the poorest, least developed countries in the world (eg Ethiopia, Chad and Angola).
A poor climate
An environmental factor that effects how developed a country is. If it is too hot or cold the country wont be able to grow crops, so this reduces the food produced which can lead malnourishment, and a low quality of life. Also as there is, therefore, less crops to sell, less money is spent on good and services so the government gets less money through taxes (as less is sold and bought) and so less money is spent on healthcare etc.. for the developing country. (eg.Chad and Ethiopia).
Poor farming land
An environmental factor that effects how developed a country is. If the land of the country is too steep or has poor soil, they wont produce a lot of food. This as the same effect as a poor climate.( eg Chad and Ethiopia).
Limited water supplies
An environmental factor that effects how developed a country is. If a country hasn't got a lot of water available, they wont be able to produce crops/food. This has the same effects as a poor climate (eg. Egypt).
Lots of natural hazards
An environmental factor that effects how developed a country is. If a country has many earthquakes, tsunamis, volcanic eruptions, floods, droughts and tropical storms, it affects peoples lives. Countries that are prone to natural disasters have to spend lots of money rebuilding when these disasters occur, therefor the government has less money to spend on developing the country (eg. Bangladesh).
Few raw materials
An environmental factor that effects how developed a country is. Countries without any coal, oil metal ores, for example, have fewer products to sell. therefore they have less money to spend on development. Some countries, however, may have these materials but aren't very developed and don't have the money to develop the infrastructure to exploit them (roads and ports).
Poor trade links
An economic factor that effects how developed a country is. World trade patterns can really influence a countries economy and affect their level of development. So if the country only trades with a few countries it wont make much money, that can be invested in the countries development.
Lots of debt
An economic factor that effects how developed a country is. Vey poor countries borrow money from other countries and international organisations (eg. to cope with the aftermath of a natural disaster). This money has to be paid back with interest. So the money this poor country makes isn't used to develop the country but to pay back its debt.
An economy based on primary products
An economic factor that effects how developed a country is. Countries that tend only to trade primary products/ raw materials, tend to be less developed. This is because you don't make much profit by selling these sort of goods, this prices also fluctuate, so sometimes the worth falls under the cos of production. Countries who produce and sell manufactured goods are usually more developed because the profits are put into development.
A social factor that effect how developed a country is. A country will be more developed if there is clean drinking water available, because if the water is dirty than people will tend to be more ill (reducing the quality of life). Therefore less people can work and put money into the economy, instead they cost money to treat. So there is less money put into the development of the country.
The place of women in society
A social factor that effect how developed a country is. If women have a equal place with men in society, and are equally likely to be educated and be able to work, more money will be put into the economy (more people are working), and therefore more money goes into development.
A social factor that effect how developed a country is. the more children go tot school the more developed a country will be, because they will have a better education so will get a better job. This increases their quality of life and increases the money that goes into the economy leading to more development.
The three main political factors that slow development
1) The government is unstable and does not invest in things like healthcare, education and improving the economy.
2) The government is corrupt, so some people in the country get very rich and others stay very poor.
3) If there is war in the country, money is lost and spent on equipment, and rebuilding, fewer people work (because they are fighting) and the quality of life is reduced.
Taxes or customs duties paid on imports. They are used to make imports on goods more expensive and less attractive to buyers than home produced goods.
Precise limits on the quantity of goods that can be imported. They're usually restricted to primary goods. They work against poorer countries.
when countries don't discourage, or restrict the movement of goods with tariffs and quotas.
Counties that have grouped together to increase the amount they trade between them, and the value of their trade.
World trade organisation
Deals with the rules of global trade. It i=aims to make trade easier and get rid o anything hindering it. It negotiates new trade agreements and settles trade disputes.
A way of making trade fairer for producers in poorer countries, and to join together to produce good for the FT market.
Emergency/ short term aid
Aid that follows after natural disasters or famine.
Aid that has conditions attached.
Aid that is funded by the public.
Aid from multiple donors, and goes through an organisation.
Aid from one country to another.
Long term aid
Aid that provides support over a long period of time to make changes last.
Aid that gives edible commodities to needy populations.
Development that meets the needs of the people today without harming the ability of future generations to meet their own needs.
Development projects that are imposed in people from 'above'.
Development projects that start and work from the 'grass root' level.
Long term problems of aid
LEDC's become dependant on donors, Sometimes the aid is not a gift but more of a loan and so payment is asked in return. Also, aid may not reach those who need it due to corrupt politicians.
Countries can borrow money from other countries, international banks and financed institutions. If the project is a success the debt will be repaid, but often they don't have the money to repay the debt, meaning the country gets into more debt.
Debt doesn't need to repaid by the receiving country, so they have more money to spend on development, (healthcare etc...), however they are now less likely to be loaned money in the future. This improves relationships between countries. However the donor country may be in debt themselves and need that repayment which they will no longer get.
Also called debt for nature. Debt is relieved if the receiving country agrees to conserve large areas of cloud and rainforest, for example, and so protect endangered habitats (eg. Guatemala had $15 million of it's debt to the USA written off to do just this). This means more of that countries money can be invested into the social infrastructure etc...
Technology is appropriate for the region (bring in tech), it created small businesses which benefit the people and the economy. Also training, education, loans can be given. It employs many people and supports them and their families.