World Geography 3202 Development Indicators

Gross National Product (GNP) GNP- Refers to the total value of all goods and services produced by a country measured over a year. This includes the value of investment in overseas businesses but does not include the value of foreign owned businesses operating within the borders of that country. Weakness- It is difficult to use this figure to determine standard of living in a country because it does not take into consideration the population of the country. For example, two countries may have the same GNP, but country 2 may have twice the populations. Thus, from this we could assume that the standard of living in country 1 is higher but we would not know this is we did not know the population of the countries. GDP – the value is often very close to the GNP, but it includes the value of all wealth created within the borders of a nation, and nothing else. The value of foreign owned businesses within a country is counted, but the value of investments in foreign countries is not.

Per Capita GNP. Per Capita GNP- When we divide the GNP of a country by the population of that country we get the per capita GNP. This is a much more accurate measure to use when referring to the level of development within a country. Per capita is a Latin term that means per person.

Per Capita GNP And Economic Development. In general places with a higher GNP have higher levels of economic development Developed nations have the highest levels of GNP: United States, Canada, Australia, Europe, Japan. Developed nations have the highest levels of GNP: United States, Canada, Australia, Europe, Japan.

Continued HDI (Human Development Index) is a measure of development of a nation; it factors together life expectancy, education rates and income statistics. This map shows how some of the worlds most biologically diverse areas are in some of the least developed countries

Employment Structures And Levels Of Economic Development. Economists have recognized that "developed" countries have been able to move their economy beyond the primary sector to the secondary sector which in turn grows the tertiary sector. Developed countries have a much larger percentage of their work force employed in the secondary and tertiary sectors. Lesser developed countries have most of their work force employed in the primary economic sector.

Burundi is typical of a lesser developed country it has a high percentage working in primary industry Burundi is typical of a lesser developed country it has a high percentage working in primary industry Ghana and Mexico Are typical of developing Countries they have a Reduced amount of people Working in primary industries And growth in the secondary And tertiary industries Ghana and Mexico Are typical of developing Countries they have a Reduced amount of people Working in primary industries And growth in the secondary And tertiary industries They United States is Typical of developed Countries. The largest percentage is employed in tertiary industry. While primary industry employment is greatly reduced They United States is Typical of developed Countries. The largest percentage is employed in tertiary industry. While primary industry employment is greatly reduced

Continued Rank the Three Countries in order of Development Employment Structure for Country "X" Primary sector 60% Secondary sector 15% Tertiary sector 25% Employment Structure for Country “Y" Primary sector 80% Secondary sector 5% Tertiary sector 10% Employment Structure for Country "X" Primary sector 3% Secondary sector 15% Tertiary sector 82%

Why use more than one indicator? It is quite dangerous to only use one indicator to classify the level of development in a country because that one indicator may be an outlier (ie: misleading, based upon many other indicators). For example: There are many countries where there are a small group of extremely rich people and the rest of the people are very poor. If one were to simply take all of the country’s wealth and divide it by the population the average person’s situation would not reflect the number one would come up with. Many economists choose to look at other factors to measure a country’s standard of living. 1.Health care, life expectancy being an important indicator in this category. 2.Education, in particular the percentage of people who can read and write. 3.Communications, a basic statistic is the number of people per telephone in a country. It is quite dangerous to only use one indicator to classify the level of development in a country because that one indicator may be an outlier (ie: misleading, based upon many other indicators). For example: There are many countries where there are a small group of extremely rich people and the rest of the people are very poor. If one were to simply take all of the country’s wealth and divide it by the population the average person’s situation would not reflect the number one would come up with. Many economists choose to look at other factors to measure a country’s standard of living. 1.Health care, life expectancy being an important indicator in this category. 2.Education, in particular the percentage of people who can read and write. 3.Communications, a basic statistic is the number of people per telephone in a country.

Social And Economic Indicators Of Level Of Economic Development. There seems to be two aspects to development, economic (financial) and social (human). Economic development refers to how well the economy is doing and how much money people have at their disposal. Social development refers to more human indicators of well being such as life expectancy, infant mortality rate, literacy rate, availability of communications. There seems to be two aspects to development, economic (financial) and social (human). Economic development refers to how well the economy is doing and how much money people have at their disposal. Social development refers to more human indicators of well being such as life expectancy, infant mortality rate, literacy rate, availability of communications.

There is some debate over which indicators are a better measure of development. It is very likely that a variety of indicators is the best way to determine the level of development. Generally speaking, people in more developed countries are better off and have an easier life than people in lesser developed nations. To describe how well off people are, economists and sociologists use the term "standard of Living". – Standard of living is a level of material comfort as measured by the goods, services, and luxuries available to an individual, group or nation. Simply put, “standard of living” means “quality of life”. There is some debate over which indicators are a better measure of development. It is very likely that a variety of indicators is the best way to determine the level of development. Generally speaking, people in more developed countries are better off and have an easier life than people in lesser developed nations. To describe how well off people are, economists and sociologists use the term "standard of Living". – Standard of living is a level of material comfort as measured by the goods, services, and luxuries available to an individual, group or nation. Simply put, “standard of living” means “quality of life”. Social And Economic Indicators and Level Of Economic Development.

Continued Social Indicators Population factors (Growth) Life Expectancy Infant mortality Access to drinking water Literacy rates Many More….. Economic Indicators GNP Employment Structure % of population employed

LOW STANDARD OF LIVING short life expectancy discrimination against woman very low wages faltering economies little health care and very low literacy rates. HIGH STANDARD OF LIVING long life expectancy equal rights high average wages strong economies great health care and high literacy rates

Patterns in the distribution of certain socio-economic indicators and the patterns in the distribution of developed or developing countries.

Population Growth Rates Patterns continued…

Life Expectancy Patterns continued…

Patterns Continued…

Patterns continued…

Employment Rates Patterns Continued…

Patterns continued…

Q.When economists calculate the percentage of people working in each economic sector the statistic created is known as the _?_. A.EMPLOYMENT STRUCTURE Q._?_ refers to the total value of the production of goods and services in a nation measured over a year. A.GNP (GROSS NATIONAL PRODUCT). Q._?_ is derived by dividing the GNP by the population of the country. A.Per capita GNP

Q.Consider the countries and their GNP's listed below. Which country would economists say is most developed ? A. $1,400 B. $20,200 C. $7,700 D. $6,100 Q.Consider the countries and their employment structures listed below. Which country would economists say is most developed? – A. 46% primary 23% secondary 31% Tertiary – B. 3.4% primary 22% secondary 74.6% Tertiary – C. 14.9% primary 32.4% secondary 53.2% Tertiary – D. 56% primary 20.8% secondary 23.2% Tertiary

The United Nations Pledge!! The United Nations recognizes the disparity and has set forth eight "millennium goals" to reduce the disparity among nations. By the year 2015 all 189 United Nations Member States have pledged to meet the list of goals. EIGHT "MILLENNIUM GOALS" Eradicate extreme poverty and hunger Achieve universal primary education Promote gender equality and empower women Reduce child mortality Improve maternal health Combat HIV/AIDS, malaria and other diseases Ensure environmental sustainability Develop a global partnership for development

The main reason is not because of ANY 1 factor BUT because the three factors combined!

Read ALL of the statement!!!! Notice the end of the statement says “divided by the country’s population.”