Which statement best describes the economic pattern shown by the data in the table?

Key terms:

Development geography: refers to the standard of living and quality of life of its human inhabitants. In this context, development is a process of change that affects people's lives. It may involve an improvement in the quality of life as perceived by the people undergoing change. However, development is not always a positive process.
Quality of life: the standard of health, comfort, and happiness experienced by an individual or group.
Economic development: is a measure of a country's wealth and how it is generated (for example agriculture is considered less economically advanced then banking).
Human development: measures the access the population has to wealth, jobs, education, nutrition, health, leisure and safety - as well as political and cultural freedom. Material elements, such as wealth and nutrition, are described as the standard of living. Health and leisure are often referred to as quality of life.

Using the term 'DEVELOPMENT'

The word 'development' is not always straightforward to use and is often incorrectly referred to. Here are some common misconceptions:

Referring to a a country as 'being developed' - this is incorrect because it implies a finite goal that is reached by a country. This is not possible as all countries and regions are constantly improving and developing.
It can also be considered insulting talking about a peoples culture, society or beliefs and calling them underdeveloped. This is problematic as they are not measurable or comparable and therefore not judged as superior or inferior.
The Third World is out of date and should not be used. This idea was created to separate the the 1st World - Capitalist, 2nd World - Communist and 3rd World - Non aligned.

Correct usage of the word 'DEVELOPMENT'
To correctly use the term 'development' we usually refer to economic development or Human Development Index (HDI). The main reason for the use of economic development is because it is easily measurable and comparable between countries. We have many different ways of examining economic development such as: GDP, GNI, economic growth, unemployment, average wage etc.

Explore the different development indicators and discuss which are the most useful and why. Note down the 5 most useful Human and Physical indicators

How we measure development from Steven Heath

How we measure development
File Size:	41 kb
File Type:	pptx

Download File

What is the Difference between Quantitative and Qualitative Indicators?Quantitative indicators are commonly believed to be measurements of cold, hard facts and rigid numbers; their validity, truth and objectivity taken as unshakeable facts. They are also seen as “objective and verifiable”. For example, the number of computers in a workplace or the number of telephones in a community; the quantity and frequency of computer and internet - related training workshops. Quantitative indicators deal with outputs, are easier to define and to look for.

On the other hand, qualitative indicators are seen as subjective, unreliable and difficult to verify. They are more difficult to ascertain because they probe the whys of situations and the contexts of people’s decisions, actions and perceptions. However, qualitative indicators are valuable to the evaluation process because projects and initiatives are involved with studying changes in people’s lives and in communities. They seek to measure the impact and evaluate the long-term effects and benefits of a project or an initiative. They focus on people’s own experiences and from a gender analytical/feminist perspective, qualitative indicators are particularly useful and important in understanding women’s experiences and perceptions in relation to empowerment and development. For example, the number of women using telecentres becomes more significant if the information they find and the links they make through the internet contribute to their sense of independence and empowerment.

Composite development index: measures more than one variable. It do not just consider GDP per capita but will also consider for example Education. These are considered to be more accurate that looking at a single factor because they can take into account a variety of socio-economic indicators and therefore no single factor can 'tip the scales'.

Human Development Index (HDI)

A tool developed by the United Nations to measure and rank countries' levels of social and economic development based on four criteria: Life expectancy at birth, mean years of schooling, expected years of schooling and gross national income per capita. The HDI makes it possible to track changes in development levels over time and to compare development levels in different countries.

Natural Resources
The discovery of more natural resources like oil, or mineral deposits may boost economic growth as this shifts or increases the country’s Production Possibility Curve. Other resources include land, water, forests and natural gas.Realistically, it is difficult, if not impossible, to increase the number of natural resources in a country. Countries must take care to balance the supply and demand of scarce natural resources to avoid depleting them. Improved land management may improve the quality of land and contribute to economic growth.For example, Saudi Arabia’s economy has historically been dependent on its oil deposits.Physical Capital or InfrastructureIncreased investment in physical capital such as factories, machinery, and roads will lower the cost of economic activity. Better factories and machinery are more productive than physical labor. This higher productivity can increase output. For example, having a robust highway system can reduce inefficiencies in moving raw materials or goods across the country which can increase its GDP.

Population or Labor

A growing population means there is an increase in the availability of workers or employees, which means a higher workforce. One downside of having a large population is that it could lead to high unemployment.

Human Capital

An increase in investment in human capital can improve the quality of the labor force. This would result in an improvement of skills, abilities, and training. A skilled labor force has a significant effect on growth since skilled workers are more productive. For example, investing in STEM students or subsidizing coding academies would increase the availability of workers for higher-skilled jobs that pay more than investing in blue collar jobs.

Technology

Another influential factor is the improvement of technology. Technology could increase productivity with the same levels of labor, thus accelerating growth and development. This means factories can be more productive at lower costs. Technology is most likely to lead to sustained long-run growth.

Law

An institutional framework which regulates economic activity such as rules and laws.

1. Poor health and low levels of educationPeople who don’t have access to healthcare or education have lower levels of productivity. This means the labor force is not as productive as it could be. Therefore, the economy does not reach the productivity it could otherwise.

2. Lack of necessary infrastructure

Developing nations often suffer from inadequate infrastructures such as roads, schools, and hospitals. This lack of infrastructure makes transportation more expensive and slows the overall efficiency of the country.

3. Flight of Capital

If the country is not delivering the returns expected from investors, then investors will pull out their money. Money often flows out the country to seek higher rates of returns.

4. Political Instability

Similarly, political instability in the government scares investors and hinders investment. For example, Zimbabwe has been plagued with political uncertainty and laws favoring indigenous ownership. This has scared off many investors who prefer smaller but surer returns elsewhere.

5. Institutional Framework

Often local laws don’t adequately protect rights. Lack of an institutional framework can severely impact progress and investment.

6. The World Trade Organization

Many economists claim that the World Trade Organization (WTO) and other trading systems are biased against developing nations. Many developed nations adopt protectionist strategies which don’t help liberalize trade.

Extended Reading

The main determinants affecting economic growth
File Size:	99 kb
File Type:	pdf

Download File

Factors Affecting Economic Growth in Developing Countries
File Size:	371 kb
File Type:	pdf

Download File

Provide basic facts for Mongolia
1. Population size
2. HDI
3. GDP (per capita)
4. Other development indicators
Describe Mongolia's population distribution
What factors determine where people live in Mongolia - be specific?
Where and why are people migrating in Mongolia?
What issues does this cause?

Internal Migration - Mongolia
File Size:	290 kb
File Type:	pdf

Download File

Provide basic facts for Brazil
1. Population size
2. HDI
3. GDP (per capita)
4. Other development indicators
Describe Brazils's population distribution
What factors determine where people live in Brazil - be specific?
Where and why are people migrating in Brazil?
What issues does this cause?
What are people/Government doing to help?

The Favela is the name given to the slums or shantytowns in and around the large cities of Brazil. There are many favelas existing around the cities of Rio de Janeiro and Sao Paolo. A Favela exists when homeless people or squatters occupy vacant plots of land, and build their homes out of things they can get scavenging. Today, millions of Brazilians live in these mazes of shanties. Approximately 6% of the entire Brazilian population lives in Favelas as per the Census of 2010.