1. GLOBAL INEQUALITY
What is the scale of economic inequality and poverty across countries?
What are the key correlates of this inequality?
What are some of the major explanations for ‘underdevelopment’?
What role does globalization play?
In this chapter we turn to some global dimensions of stratification

2. Gross National Income Per Capita
Note: Size based on 2000 population estimates.
Sources: Haub 2006; Weeks 2002:22–23, 2005:32–33

3. High, low and middle income societies
High-income countries (40):
15% of world population
55% of global income
High technology, profitable services (e.g., finance)
Middle-income countries (90):
33% of world population
37% of global income
Limited industrialization, more agricultural
Low-income countries (60):
52% of world population
8% of global income
Primarily agrarian with little industry

4. World poverty
All countries have poverty, but the extent and severity of poverty is worse in low income countries
Over 20% of the people (about 1.3 billion) lack the nutrition they need to work regularly. They are in absolute poverty.
Of these, at least 800 million are at risk of their lives.
Some children die each day from preventable or easily treatable diseases.

5. Who are the Global Poor?
Children
Women
Refugees

6. Causes and correlates of global poverty
Technology
Population growth
Cultural patterns
Social stratification
Gender inequality
Global power relationships

7. The Legacy of Colonialism
Economic and political consequences of colonialism and neocolonialism are apparent
Colonialism: when foreign power maintains political, social, economic, and cultural domination over people for an extended period
Neocolonialism: continued dependence on more industrialized nations for managerial and technical expertise by former colonies

8. The Problem of Development: Theoretical Debates
Modernization theory
Dependency theory
Historical view
Causes of global poverty
Role of rich nations
What needs to be done?
Criticisms

9. A New Actor the Global Stage: Multinational Corporations
Chart not updated to with textbook; Turkey GDI was just below Sweden and Walmart, Exxon/Mobil
Sources: For corporate data, Fortune 2005:119; for GDP data, World Bank 2005a:202–204.

10. Multinational Corporations
Dfn: Large commercial organizations headquartered in one country, who do business throughout the world
Functionalist View
Through international ties, multinational corporations make nations of the world more interdependent
Conflict View
Multinational corporations exploit local workers to maximize profits
Investment initially contributes to host nation’s wealth, but eventually increases economic inequality within developing nations

11. Debates on Globalization
The Globalizers – development through greater participation in the global economy
The Skeptics – globalization is creating more global inequality