Unit 2: North-South A 20 th Century Challenge

Post-War Global Divisions ► First World  Developed Market economies ► Canada, United States, Western Europe, etc. ► Second World  Centrally planned economies ► USSR & Eastern Europe ► Third World  Economically disadvantaged countries with underdeveloped/planned economies. ► Countries generally found in Latin America, Africa, Southern Asia, etc.

Growing Developmental Disparity ► After WW2 the First world had a technological and production explosion. Advancements and improvements changed the way life was being lived in terms of comfort and quality of life. ► In the third world social standards declined, political and economic turmoil rose and the numbers of poor increased substantially. ► It was essentially the same planet but different worlds. The wealth of the world is largely hoarded in the North at the expense of the South.

The Gap: Understanding the Issue ► 80% of people (internationally) live in the Third World (or the South) ► Access to Food, education, drinking water, health care, technology, etc. are all limited. ► The South is not a single mass; rather there are levels of development and poverty with this group both in terms of individuals and countries. ► In many of these countries there are a wealthy few (5%) that hold % of the national wealth. ► Inequity between men and women is substantial; women have not made the gains in standing that they have in the North. ► In the North there are/were issues as well stemming more from success than deprivation. Issues such as fast-paced lifestyles, industrial pollution, physical and emotional issues & crime all became concerning. ► In Latin America alone by the mid-80s 20 million homeless children and 40 thousand children dying each day due to hunger related causes.

The Gap: Measuring ► Gross National Product (GNP) per Capita (per person) allows us to broadly generalize about a state and gives us some sense of conditions there for the average person. ► PQLI (Physical Quality of Life Index) gives us a better sense of what life is like for the majority of individuals in the country. This includes health and education issues.

The South: Population, Politics & Problems ► Population Growth: Populations boomed in the Third World (contrary to the decline seen in more developed countries) causing a great deal of social and economic stresses.  Health care, education, sanitation and housing were all problematic as was the increased demand on arable land and food production.  Family planning is/was difficult for a variety of reasons  Also, larger families were needed for a chance at economic success. ► In many Southern states dictators were prevalent or in their absence, political chaos & internal warring.  The Superpowers got involved in states where they had vested interests (i.e. Vietnam, Ethiopia, Sudan, Egypt) and installed puppet governments.  Guerrilla conflicts caused further instability and became a foundation for global terrorism.

Colonialism’s Legacy ► When the nations of Europe (beginning in 1500) began to colonize and rule over foreign lands (Americas, Asia and Africa) they set the stage for a major global issue  The colonies were designed to function for the benefit of the mother country, not themselves.  Raw materials and cheap labour were the real focus of the colonial effort.  All of the refinement technology and capital investment came from the hands of the mother country without any desire to benefit the colony.  European colonial economic efforts often supplanted the traditional crops and economics of the region. Barter systems were replaced with European currency systems and subsistence farming was replaced with corporate farming and plantations.  When money became the driving force for success it put the South at a disadvantage; raw materials were worth less than the refined goods made from them.  Also, the artificial limiting of the goods produced by a country removed their ability to function (economically) independently from the mother country, lessening their ability to interact on the open market.

Neocolonialism ► As the world opened up after WWII the post-colonial states still saw little change. ► Manufactured goods were produced elsewhere and had to be purchased for a higher price. ► The means of production was still foreign owned; corporations were the new colonial powers. ► Profit not progress became a common theme; these countries stagnated under the demands of corporations and their demands for land and cheap labour. ► Multinational corporations were seen as the only way to success for these Southern Nations; their investment dollars were the only change they had to compete on the open market.

Debt & Power ► Many developing countries sought to better their position by borrowing money from wealthy nations at low-interest rates. During the late 70s recession interest rates soared forcing these nations into deeper and unmanageable debt. ► Governments in many of these nations held onto power through force and threat. Corruption was rampant and frequently these states were puppets of the superpowers.  This situation caused entrenchment of these self- promoting governments and prevent gains from being made in terms of quality of life and economic success for all.

Problem Solving: ► After WW2 it became quite apparent to all that there was a gap between the haves and the have nots. ► Nations agreed that much had to be done to support the poor; changes needed to be made. ► This was a blend of humanitarian concern, a desire for stability and commercial profitability. ► The Third world also served as an influence battleground as the superpowers fought for control. ► Aid was a key facet of this approach, frequently it was designed to help the country giving aid as well as the country receiving it. Frequently, this also meant that donor countries parlayed their help into military gains (i.e. setting up bases) ► Financial aid assumed that all countries developed in the same manner that that the result would be a stronger global economic market.  The problem lay in that neither capitalism nor communism worked for all situations; the large number of people combined with poor economic standing hindered development. Only the rich got richer. ► Some Western projects hurt the areas they were designed for in terms of environmental damage and displacement of peoples—effectively harming those they were designed to help.

Problem Solving II ► NGO’s (Non-Governmental Organizations)—Unicef, Oxfam, etc.—were designed to have more ground- floor intervention. ► They attempted to work directly with the populace of underdeveloped nations; particularly their most marginalized citizens. ► Often these groups would run into cultural differences or provide aid as they saw fit, without input from the parties involved. ► By the end of the 1990s little progress had been made, the Western theories of development and support had reaped little in terms of benefit.

► Case study 2-1 Water (109) and 2-2 Multinationals (131) ► Complete the following:  Create a 2-3 page synopsis of the information found in the text about the events. Explain the CS in terms of: ► The nature of the issue/concern ► Significance to the relations between First, Second and Third world ► Its relevance to global interdependence ► A coherent discussion of the articles and sources offered by the text ► A small amount of (documented) outside research that is more current When you have completed this (due March 19) you and another person who chose the same topic will present your findings to two other people who chose the other topic in a small seminar setting. Case Study Assignment II