Global South
Countries that are less well off economically, typically located south of economically wealthy countries.
Dependency theory
Andre Gunder Frank’s theory that wealthy countries set up exploitative economic relations whereby poorer countries became dependent on the wealthy and the wealthy benefited economically.
GNI
Gross National Income. A measurement of a country’s wealth that takes into account wealth generated for a country both inside and outside of the country’s borders
HDI
Human Development Index. A composite index derived from statistics covering life span and health, education, and standard of living
World-systems theory
Wallerstein’s theory that greater wealth is generated for countries that use core processes, including relatively more advanced technology and higher levels of education in producing goods.
Unequal exchange
Uneven relationship between low labor costs and high-value products.
Modernization
The theory proposed by Rostow and others that countries follow the same path along stages of development.
Third World
Countries that were not aligned with the United States or the USSR during the Cold War.
development
Improvement in economy and well-being of a place relative to another place. Improved wealth or progress in other socioeconomic variables, including education and health.
Dualism
Refers to situations where two areas are in relationship with one another (through trade, for example), and one area is developing at the expense of the other.
GNP
Gross National Product. The total value of goods and services produced by residents of a country, including domestic and foreign production.
GDP
Gross Domestic Product. Total value of all final goods and services produced within the borders of a country.
Lorenz curve
A graph with the X-axis having cumulative share of people from lowest to highest incomes and the Y-axis has cumulative share of income earned.
gini-coeffient
Derived from the Lorenz Curve where 0 is no income inequality and 1 is perfect income inequality
Commodity chain
Linkages between places in the production of a good from raw material to finished product.
Mental maps
Also called cognitive maps. Maps of an area made from memory and experience by individuals and groups.
