global development

• Developed Country


  A country is developed if they have economic growth and raised living standards
• MEDC


  More economically developed countries
• NIC


  Newly industrialised countries
• LEDC


  Less economically developed countries
• FCC


  Former communist countries
• GDP


  Accurate measurement of a nations development
• GDP =?


  Gross Domestic Product
• Least Developed Countries


  Sub-Saharan Africa
• Hierachal


  In order of rank
• Ethnocentric


  Viewing your society/culture as superior
• Homogenised


  All as one
• Microcredit


  lending money in tiny amounts at very low rates of interest to establish income
• Dependency Theory


  Says the poor are poor due to deliberate and systematic underdevelopment that wealthy countries cause
• Andre Frank


  dependency theory
• Two phases of exploitation

  colonialism

  mercantile capitalism
• Mercantile Capitalism


  capitalism that is based on mutual dependence between state and commercial interests
• Neo-Colonialism


  Controlling the economy indirectly
• Colonialism


  Taking control of a countries economy directly
• A direct criticism of modernisation theory

  Dependency Theory
• World Systems approach


  Wallerstein
• World Systems Approach Argues

  There are levels of both exploitation and dependence in a new world system
• 3 Tier System


  Core

  Semi Periphery

  Periphery
• Core Countries


  USA

  EU

  JAPAN
• Semi Periphery Countries


  CHINA

  RUSSIA

  BRAZIL
• Periphery Countries


  SUB SAHARAN AFRICA
• Modernisation Theory


  Rostow
• Stages Of Economic Growth


  Any country no matter how poor can become developed
• 5 Modernisation Stages


  Traditional Society

  Preconditions for takeoff

  Takeoff

  The drive to maturity

  Age of mass consumption
• Stage 1: Traditional Society


  Stage based on agriculture. the culture is resistant to change, roles are largely ascribed instead of earned and there's no technology
• Stage 2: Pre-Conditions For Takeoff


  Technology innovations occur transforming agriculture and industry. They produce surplus that can be sold for profit.
• Why international markets are developed

  So cultural change can occur
• Stage 3: Takeoff


  When entrepreneurs arise and reinvest profit driving industrialisation
• Stage 4: The Drive To Maturity


  New institutions and infrastructure emerge to meet the needs of workers and capitalists (schools/hospitals)
• Stage 5: Age Of Mass Consumption


  Wealth trickles down to workers creating a demand for consumer goods. This ensures economic growth is maintained
• Parsons (Modernisation Theory)


  Says the values of the developing countries acts as barriers to development

  "they could succeed by importing western values"
• Neoliberalism


  A political/economic theory that favours minimal government intervention and free trade
• Neoliberals argue


  capitalism doesn't cause underdevelopment, it's the only way to develop
• Governments restrict development


  can restrict the freedom of individuals that drive forward development
• Criticise the role of western aid money (neolib)


  The route to economic growth is free trade and free market economics
• Free Market


  prices are determined by unrestricted competition between privately owned businesses