Measures of Development
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Transcript of Measures of Development
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Measures of Development
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Human Development Index
recognizes a country’s development level as a function of economics (GDP per capita), social (literacy rate & level of education),
and demographic factors (life expectancy)
Highest possible rank is 1.0
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Economic Indicator
GDP per capita: the value of the total output of goods and services produced in a country in a normal year divided by total population
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GDP per Capita European countries have the highest per
capita GDP because of high GDP and low population. Luxembourg – $79,000 Norway - $53,300
Africa the lowest per capita GDP due to low GDP and high population Zimbabwe - $300 DRC - $350
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GDP
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GDP Which countries have high GDP? Which countries have low GDP? (don’t
just pick the easy ones you know) What is Luxembourg’s category of
GDP? Which other countries are in the same category?
Explain how the Western European country of Luxembourg has this level of GDP.
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GDP Throughout this presentation – pay
attention to Brazil, Russia, China, India, and South Africa.
Let me explain when I say Rule of Thumb – what is generally happening in
the area Weird exception – in an area everything is
generally one way except this one country is noticeably different
For example – on the next slide the rule of thumb is Sub-Saharan Africa has a low GDP per capita, the weird exception is South Africa & Botswana
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GDP per Capita
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GDP per Capita
Check Luxembourg – Is your explanation still valid?
Check B, R, I, C, and SA Which regions have high GDP per
capita? Any weird exceptions? Which regions have low GDP per
capita? Any weird exceptions? Can you see the core, semi-periphery,
and periphery pattern?
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What is the correlation of landlocked states and low GDP per capita? Weird exceptions?
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Monarchies: Constitutional Monarchy Traditional Monarchy Absolute Monarchy
Republics: Democracy Restricted Democratic Practice Authoritarian Regime
Totalitarian Regime
Non-Sovereign: Protectorate Colonial Dependency Empire
Source: Matthew White, 2003. http://users.erols.com/mwhite28/othergov.htm Adapted from FreedomHouse.org
What is the correlation of gov’t type and low GDP per capita?
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Another map of government type
http://chartsbin.com/view/6kx
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Correlation means when something happens then the other things happens to –
The left side of the x-axis means the government is very corrupt
Does HDI correlate government corruption? What is the relationship between
government corruption and economic development?
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Social Indicators
Literacy rate – the percentage of a country’s people who can read and write.
Literacy rates exceed 98% in MDCs
Amount of education – measured by taking the average number of years a student attends school in a country.
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Literacy Rate
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Literacy Rate Check B, R, I, C, and SA – anything
unusual Which regions are high? Weird
exceptions? Which regions are low? Weird
exceptions? Why do the former Soviet countries,
which is semi-periphery, have a high literacy rate
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Years in School
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Years in School
Check B, R, I, C, and SA – anything unusual?
Which regions are high? Weird exceptions?
Which regions are low? Weird exceptions?
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Compare – any significant differences?
Do you see core, semi-periphery, and periphery?
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Demographic Indicators
Life expectancy This is the average age of death for the
citizenry Because of better healthcare, people in
MDCs tend to live 10-13 years longer than in LDCs.
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Life Expectancy
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Life Expectancy
Do you see core, semi-periphery, and periphery?
Check B, R, I, C Pay particular attention to South
Africa – Why?
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Make a Prediction
Which regions have a high HDI? Low HDI?
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Human Development Index
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HDI
Do you see core, semi-periphery, and periphery?
Check B, R, I, C and SA
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Other Indicators
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Health Expenditure as % of GDP
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Physicians /1,000 persons
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Physicians /1,000 persons
Why do the former Soviet countries have so many physicians?
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Pvt Expenditure as % of Total Health Expenditure
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Infant Mortality Rates
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Natural Increase rate Rate at which the population increases Around 1.5% in LDCs and .1% in MDCs This causes social strain due to increased social
cost. Crude Birth rate
Rate at which children are being born into the population
LDCs face a rate around 24 per 1000 while MDCs are around 11 per 1,000
Because LDCs death rate is 8 per 1000 this leads to an enormous increase in population
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NIR
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Other Economic Indicators
Sectors of the Economy Productivity Raw Materials Consumer goods
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Sectors of the Economy
Primary –lowest sector of sophistication. Involves extracting materials directly from the earth; mining, agriculture, fishing, and forestry
Higher % of population = greater chance of poverty
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Sectors of the Economy
Secondary sector – manufacturing that transforms raw materials into useful products.
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Sectors of the Economy Tertiary – occupations based on
providing services; tourism, restaurants, retail, etc.
Most MDCs have the majority of their economy in this sector.
Quantenary – service based occupations that are intellectual in nature; education, library services, government, etc.
Quinary – service based occupations that involve cutting edge technology
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Make a Prediction
Regions that are primarily Primary Secondary Tertiary
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Primary Products
The percentage of people working in agriculture exceeds 75% in many LDC’s of Africa and Asia. In Anglo-America and Western Europe the figure is <5%
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Africa is almost exclusively focused on Primary production.
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Industrial Sector
The way to read this map – shown larger on the next slide
The country with the highest secondary sector output, Merica, is set to 100%.
The other countries production is given as a percentage of what the USA is producing.
So USA is producing $2.5 trillion, then Japan is producing 50% or $1.25 trillion.
Ditto for the Service slide
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Industrial Sector
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Productivity Value of a product in comparison to the
labor needed to make it. It is measured by assessing the value
added per worker Value added is the gross value of the
product minus the costs of raw materials and energy
US has a value added of $80,000 in comparison to countries such as India at $500
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Productivity
MDCs - produce more because of access to technology, tools, and equipment.
Money earned is reinvested into new technology increasing overall output.
LDCs - rely on animal and human power resulting in less production
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Raw Materials Necessary for production Ex. United States and Russia - rapid
industrial development due to an enormous amount of available resources.
Ex. United Kingdom have had to establish colonies to replace depleted resources
Ex. Botswana, Namibia, South Africa – DeBeers Diamonds (founded by Cecil Rhodes)
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Diamond Mines
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Raw Materials
Other countries have lots of resources but foreign private industries are responsible for mining (Diamonds in South Africa).
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Consumer Goods
Communication, Internet use, and motor vehicles help citizens communicate and transport resources and information
This helps to connect the resources and manufacturers which increases overall production
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Consumer Goods
LDCs are not likely to have this equipment available.
creates a dichotomy between the urban dwellers who have this technology and the rural population that lacks it.
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Motor vehicles per capita
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Differences in Communications Connectivity Around the World
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Does Place Matter?
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