changing economic world

• mearsurements for development include

  gni per head - gross national income divided by the number of people in a country

  people per doctor - average number of people for each doctor

  infant mortality rate - number of babies that die before one, mearsured per 1000 biths

  access to safe water - amount of people that can easily get safe water
• GNI can be misleading because it does not take into account the distribution of wealth and there can be large disparities between rich and poor
• social indicators can be misleading as some aspects develop before others do, making it look more developed than it actually is
• the human development index presents a more accurate way to class development as it combines economic health and education into one classing system
• the demographic transition model shows how birth rate and death rate effects population growth, when birth rate is higher than death rate it is called natural growth
• there are different stages in the demographic model representing the development of a country (part 1)

  stage 1 - least developed, high birth rate due to infant mortality and no access to contraception, death rate is high due to poor healthcare and famine

  stage 2 - not very developed, birth rate is high so that people can work on farms and agriculture, better healthcare leads to a rise in the life expectancy

  
• there are different stages in the demographic model representing the development of a country (part 2)

  stage 3 - more developed, mainly nee's, birth rates fall because women work better access to contraception and no need for farm workers

  stage 4 and 5 - most developed areas with low birth rate due to careers and elderly, dependent relatives. life expectancy and death rate is low due to healthcare
• physical factors effecting development

  • poor climate - this leads to poor agriculture which can lead to famine, a low quality of life and they dont have crops to trade, reducing gni
  • few raw materials - have fewer product to export so will have a lower gni and wont have money to spend on infrastructure
  • lots of natural disasters - costs a lot to rebuild after disasters, and they can also lower quality of life
• economic factors effecting development

  • poor trade links - won't make a lot of money which leads to less money to spend on development
  • lots of debt - countries may have to borrow money which has to be paid back usually with interest, which means less money can be spent on development
• historical factors effecting development

  • colonies - countries that were colonies are often less developed as they are often mistreated while under the rule of other counties
  • conflict - war can slow or reduce development due to unrest and money being spent on other things instead of development
• consequences of uneven growth

  • wealth - people in hic's have a higher wage and lic's often have large disparities between the wealthy and the poor. it can effect someones quality of life as some people cant afford basic needs
  • health - healthcare is often better in hic's, seen in life expectancy and infant mortality. people in lic's often die from treatable disease due to this
• strategies to reduce the development gap

  • investment - foreign direct investment is when people or companies in one country invest in infrastructure in another. it can lead to better access to finance, industry and skills
• strategies to reduce the development gap

  • fair trade - giving farmers in lic's a fair price for the good that they produce. companies are able to charge a premium for fair trade products, but sometimes the money doesn't reach the farmers giving the companies more profit
• stratagies to reduce the development gap

  • intermediate technology - tools and machines that improve quality of live but are simple and can be fixed using limited resources
• tourism can dramatically increase the economic output of a country, as people spend money on hotels, restaurants, and other services
• in the uk the industry has changed from primary (agriculture) to secondary and tertiary with some quaternary (services, research) sue to an increase in demand for different products
• economic change in the uk - reasons

  • de-industrialization - automation means that jobs have been lost in manufacturing. other countries can produce cheaper which increased competition , causing some factories to close
  • globalization - manufacturing costs are lower in other countries, and many global corporations have employees in the uk
• ways to resolve regional differences in the uk

  • developing more powers - use money on schemes that can benefit local community like public transport
  • creating enterprise zones - businesses in these areas get benefits like reduced taxes and simpler planning rules, this can encourage people to open there, bring jobs and economic development
• in the uk quanterarry indusrty is starting to evolve creating science and business parks, which have goos access from roads and are very green oriented
• in areas of good access there has been a dramatic increase in population as people can work easier, in areas with bad access there has been significant decline

  in population increase there is also an increase in the price of properties and low populated areas have problems due to low job opportunities
• strategies to reduce the north south divide

  1. transport - hs2 was planned to reach the far north, bringing an increase in business
  2. enterprise zones - areas with low development that are give tax reduction to encourage business
  3. local enterprise partnerships - 39 in england and they aim to find investors for promising businesses in underprivileged areas