What is development?
The way in which a country seeks to progress economically and to improve the quality of life for its inhabitants
Some examples of social factors signifying development
Health
Education
Life expectancy
Culture
Freedom of speech
Mobility
Quality of life
Relative poverty
When a person’s income is too low to maintain the average standard of living in a particular society
Absolute Poverty
When a person’s income is too low for basic human needs to be met, potentially resulting in hunger and homelessness
GNI (Gross National Income)
The value of goods and services earned by a country (including overseas earnings)
GDP (Gross Domestic Product)
The value of goods and services earned by a country (excluding foreign earnings)
What are issues with using GDP as a measure of development?
1) Illegal items eg. drugs included in GDP (informal economy). Due to their high value they bring the GDP down
2) Can give misleadingly high averages if large numbers of high earners inflate the mean
3) GDP is in US dollars, so may be unreliable due to exchange rates between currencies
What is PPP (Purchasing Power Parity)?
Relates average earnings to local prices, adjusting the GDP figures to reflect the local cost of living
What is a problem with using PPP to measure development?
Doesn’t factor in the global market exchange rate eg imports and exports
What is the HDI?
Human Development Index- a composite measure ranking countries based on GDP per capita, life expectancy and literacy rate
What does the GII (Gender Inequality Index) measure? (3 aspects)
gender inequalities related to
1) Reproductive health (maternal mortality ratio, adolescent birth rates)
2) Empowerment (female seats in parliament, females+males >25 with secondary education)
3) Labour force participation rate of males and females 15+
How is environmental quality measured?
Environmental performance index (EPI)
Kuznets curve- shows that as economic development increases, environmental degradation also increases
What are problems with using statistics to measure development?
Unreliable (stats provided by individual countries)
May not be valid (relevant/outdated)
May not be easy to understand (composite measures of social + economic factors)
May have long lag times between collection
-May not be available for some areas or groups to compare
What trends does data show about globalisation?
It has created winners and losers
The average income gap between the World’s wealthiest and poorest countries has increased
There is a growing wealth divide within nations
PPP has increased in all regions, however it has increased grater in NICs/HICs over sub-Saharan Africa
What can the Lorenz Curve and Gini Coefficient show?
Lorenz curve graphically represents the distribution of income (further away from line of equality= more inequality)
Gini coefficient is a value (0-100) to represent the inequality in a region A/(A+B)
Development gap or continuum?
The development gap between developed and developing countries is closing, with people living longer and being wealthier as technology and health improves
So it is more of a development continuum
Why are there large development inequalities within countries?
Civil wars eg the Congo
Diseases and epidemics, stunting development eg. HIV/AIDS
Natural disasters
Post accession migration
The flow of economic migrants after a country has joined the EU
Diaspora
The dispersion of spread of a group of people from their original homeland
What has led to increased ethnic diversity in London?
-Open borders when the UK was in the EU
-Freedom to invest in businesses/transfer capital (deregulation)
-FDI
Benefits of globalisation for London
Migrants to the UK can fill in jobs that other people don’t want
Skilled workers from overseas
Lots of cultural diversity
What are social and political tensions resulting from globalisation?
Migrants need housing, jobs and education, and they can come under strain
Rise in extremism as people become against migration
Why has the net migration target not been met?
Few British citizens have left the UK to live overseas
The pound-euro exchange rates have weakened (increased cost of living)
Refugees are allowed to remain in the UK under human rights laws
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