Development Ch 9.1

What is Development? The process of improving the material conditions of ppl thru the diffusion of knowledge and technology Improvements in living conditions: social, environmental, or economic

1st world Developed World, MDCs, Global North, global core 2nd world, 3rd world Developing world, LDCs, Global South, global periphery

Measuring Development Human Development Index (HDI) Invented by U.N. Development Programme (UNDP) “People are the real wealth of nations. Development is thus about expanding the choices people have to lead the lives that they value. And it is thus about much more than economic growth, which is only a means - if a very important one – of enlarging people’s choices.” - Mahbub ul Haq Co-Founder, UNDP

Human Development Index HDI: Select one economic factor, two social factors, and one demographic factor The highest HDI possible is 1.0, or 100% Norway usually ranks the highest at 0.938

Economic Indicators The HDI mainly uses GNI per capita as the economic factor Other economic factors are considered: Types of jobs Productivity Raw Materials Consumer Goods

GDP vs GNP: Basic Measurements GDP= the value of the total output of G&S produced INSIDE a country, normally during a year GNP= the value of the total output of G&S produced IN and OUT of a country

GDP Per Capita Individuals in MDCs typically earn more income than in LDCs Pure per capita income is difficult to calculate in LDCs Geographers use GDP per capita instead GDP divided by total population

Types of Jobs 3 sectors: primary, secondary, tertiary In an MDC, jobs have decreased in primary and secondary sectors, and increased in tertiary

Productivity Workers in an MDC are more productive than workers in an LDC Productivity: the value of a particular product compared to the labor used to make it Measured by the value added per capita Gross value of product – (cost of raw materials & nrg) Machinery helps increase productivity

Raw Materials Development requires access to raw materials and nrg sources LDCs that have petroleum are able to advance more quickly than those that do not Not all developed countries have raw materials (ex: Japan) Developed thru world trade and technology

Consumer Goods Wealth can be divided b/w necessities and luxuries The type of G&S purchased by consumers is another indicator of economic development The Magic Washing Machine

Social Indicators MDCs use $ to provide schools, hospitals, and public services Social factors include: Education and literacy Health and welfare

Education and Literacy lev. of dev. = quality & quantity of educ. Quality measured in the student/teacher ratio and literacy rate Literacy Rate: the % of a country’s ppl that can read and write # of published texts can also be indicator of LR Quantity measured in yrs of schooling

Health and Welfare MDCs= healthier ppl Ratios of Drs: ppl; Caloric intake Most developed states have socialized healthcare US is only major developed country where health care is mostly privatized MDCs also offer welfare assistance to help those unable to work Denmark, Norway, and Sweden provide the most welfare assistance But getting harder with economic slump or stagnation

Demographic Indicators The HDI sees life expectancy as the main demographic indicator Demographic indicators can include: LE IMR NIR CBR

Life Expectancy MDCs expected to live longer Life expectancy: the average number of years a newborn can expect to live at current mortality levels MDCs have large number of elderly people, and LDCs have large number of children Be careful…MDCs can have higher DR!

Infant Mortality Rate Infant Mortality Rate: The annual number of deaths of infants <1 year of age, compared to the number of live births LDC= 90:10 MDC= 99:1 Major reasons for high IMR in LDCs?

Natural Increase Rate NIR: the percentage by which a population grows in a year. LDCs: >2% MDCs: <1%

Crude Birth Rate CBR: the total number of live births in a year for every 1,000 people alive in the society LDCs have higher NIRs, because they have higher CBRs

Development According to Hans Stats that Reshape Your Worldview 200 Years in 4 Minutes