Economic Development and Inequality

• MEDC


  More Economically Developed Country
• LEDC


  Less Economically Developed Country
• Employment as an indicator of economic development

  In a developed country most people work in the tertiary sector, in a developing country most people work in primary or secondary sector
• GDP


  Monetary measure of value of all goods and services produced in a year, given in USD, can be shown per capita
• Education as an indicator of economic development

  Average amount of time spent in education in a country, measured in years
• Literacy rates as an indicator of economic development

  % of adults who can read and write
• Average life expectancy as an indicator of economic development

  Average no. of years a person can expect to live, affected by healthcare and medication, more healthy people = more working people
• Cause of unequal economic development- unfair trade


  Developing countries do not receive a fair price in return for international trade
• Cause of unequal economic development- globalisation


  Globalisation changes the economies of developing countries
• Globalisation- brain drain

  Economic migrants move to countries with good economies and developing countries left with smaller workforce
• Globalisation- over-reliance

  Countries depend on each other and a recession in a developed country may cause one in a developing country
• Globalisation- dominance of MNC

  MNCs compete with local companies, use resources and leave without warning
• E.g. of quickly developing country

  Angola and Vanuata
• E.g. of slowly developing country

  South Sudan and Senegal