Section B - Changing economic world

• Measuring development

  social indicators

  • birth rates
  • literacy rates
  • life expectancy
• Measuring development

  economic indicators

  • GNI (gross national income)
  • GDP (gross domestic product)
• Measuring development

  HDI - human development index

  • a measure that includes life expectancy, education and income
• Causes of uneven development

  historical = colonialism/slavery

  economic = TNC's/uneven trade

  physical = landlocked/natural disasters
• Consequences of uneven development

  1. disparities in wealth
  2. disparities in health
  3. international migration
• Reducing the development gap

  1. foreign direct investment
  2. industrial development
  3. intermediate technology
  4. fair trade
  5. micro finance loan
  6. debt relief
  7. aid
  8. tourism
• Reducing the development gap by tourism - Tunisia

  location - north African country bordering the Mediterrean sea and Sahara desert
• Reducing the development gap by tourism - Tunisia

  how - the economic boost provided by tourism has meant that governments can invest more money into education + healthcare
• Reducing the development gap by tourism - Tunisia

  1 fact - over 370,000 jobs created in the tourism sector
• Reducing the development gap by tourism - Tunisia

  benefits - literacy rates have increased from 66% to 79% since 1995
• LIC/NEE experiencing rapid economic development - Nigeria

  location - in west Africa, sharing a border with Benin, Niger, Cahd and Cameroon
• LIC/NEE experiencing rapid economic development - Nigeria

  Global importance

  • Nigeria have the second largest film industry in the world "Nollywood"
• LIC/NEE experiencing rapid economic development - Nigeria

  Regional importance

  • the fastest growing economy in Africa
• Changing industrial structure - Nigeria

  • a decline in the primary sector (agriculture) and an increase in the secondary sector (manufacturing) and tertiary sector (services)
• Lekki trade free zone - Lagos, Nigeria

  Where

  • out of the city lagos
• Lekki trade free zone - Lagos, Nigeria

  what

  • a major industrial urban area which attracts manufacturing industries
• Lekki trade free zone - Lagos, Nigeria

  benefits

  • over 100,000 jobs will be created
  • jobs and taxes are provided by these industries, are helping the country to develop
• TNC's in Nigeria - Shell oil

  location - the Niger Delta Region, an important wetland and coastal ecosystem
• TNC's in Nigeria - Shell oil

  1 fact - Shell's Nigeria operations are concentrated in the Niger Delta. They have 6000 km of pipelines, 87 flow stations, 8 gas plants and more than 1000 producing wells
• TNC's in Nigeria - Shell

  ADVANTAGES

  • shell employs more than 4,500 people, directly of whom 95% are Nigerians
  • shell paid £20 billion in corporation tax 2013
• TNC's in Nigeria - Shell

  DISADVANTAGES

  • oil leaks - 40 million litres of oil is spilled in the Niger delta
  • gas is burned off from the oil - greenhouse gasses are burned
• Nigeria's changes in political and trading relationships

  political

  • Nigeria's relations with china are on the rise, with the country reaping the benefits of increased investment
• Nigeria's changes in political and trading relationships

  trading

  • Nigeria is a member of multiple trade associations, such as the organisation of the petroleum exporting countries (OPEC)
• Nigeria and international aid

  bilateral aid

  • Nigeria received £263 million from the UK, including spending £35 million on a maternal and newborn child health programme
• Nigeria and international aid

  multilateral/long term aid

  in 2014, the world bank approved $5 million to fund development projects and provide long term loans to businesses so there is less over reliance on oil
• Nigeria and international aid

  short term aid

  • non-government organisation 'nets for life' provides education on malaria prevention and gives nets to many households
• Nigeria

  Environmental impacts of Economic development

  • 70-80% of Nigeria's forests have been destroyed through logging, agriculture, urban expansions, roads and industrial development
  • many oil spills in the Niger delta have had disastrous impacts on fresh water and marine ecosystems
• Nigeria

  Social impacts of Economic development (quality of life)

  • Nigeria's GNI has grown - this has triggered a positive multiplier effect, this is due to Nigeria's government earning more tax income
  • improved healthcare and sanitation means people can spend more time in education and therefore develop better skills
• UK economy - causes of change

  government policy

  • 1980's - state owned businesses (owned by the government) were privatised, such as British gas. This made lots of money for the government
  • 2008 - global financial crisis means that the UK economy goes into recession (economic growth falls)
  • 2010 - government make spending cuts to save money
• UK economy - causes of change

  deindustrialisation

  • 1970's onwards - Manufacturing industries decline as machines takes the place of people or industry moves to NEE's. The tertiary and Quaternary industries increase
• UK economy - causes of change

  globalisation

  • 1990's onwards - the world becomes more connected. Companies move around the world to take advantage of cheaper costs
• Post industrial economy - UK

  development of IT

  • software developer. These jobs have attractee investment from around the world eg Microsoft
• Post industrial economy - UK

  service industry and finance

  • bankers. The Uk is now a world leading financial centre employing 2 million people
• Post industrial economy - UK

  research

  • scientists. The UK education system produces highly qualified people. Univeristies lead the way in global research. Research contributes £3 billion to the UK economy
• Sustainable Modern industrial development - Nissan

  what

  • Nissan car factory - over 1300 cars produced everyday - UK's largest car factory
• Sustainable Modern industrial development - Nissan

  where

  • Sunderland in the UK
• Sustainable Modern industrial development - Nissan

  environmental sustainability

  • 7% of the electricity used in the factory comes from 10 onsite wind turbines
  • less waste than in the past due to increased speed and accuracy of the machines
• Sustainable Modern industrial development - Nissan

  socio-economic sustainability

  • the plant employs over 7000 people in the area that was hit had by industrialisation in the 1980's
  • the plant supports approximately 30,000 jobs in associated industries across the UK
• Rural decline - Outer Hebrides

  where - the Outer Hebrides is a group of islands off the Northwest coast of Scotland. The population has declined by 50% since 1901
• Rural decline - Outer Hebrides

  social impacts

  • school closures/ageing population requires more social care