Chapter 9-Development

A country’s level of development is categorized according to 3 factors:

Economic Social Demographic Human Development Index (HDI)-created by

United Nations & recognizes a country’s level of development

HDI (continued)

To create HDI the UN selects 1 economic factor, 2 social factors, & 1 demographic factor that an international team determines a country’s level of development.

Economic-gross domestic product Social-literacy rate & amount of education Demographic-life expectancy

HDI-continued

Country with highest HDI-Norway US is usually in top 10 Canada & Japan were higher than Norway in 90s Other European countries typically in top 10 Lowest ranked country Sierra Leone 2 dozen lowest ranking countries from sub-Saharan

Africa

Gross Domestic Product

GDP-value of the total output of goods & services produced in a country, normally during a year

GDP higher in MDC than LDC Per capita GDP measures average wealth

Types of Jobs

Average per capita is higher in MDCs because people earn their living by different means than in LDCs

Jobs fall into 3 categories: primary, secondary, tertiary

Primary sector-workers in this sector directly extract materials from Earth through agriculture, mining, fishing, & forestry.

Types of Jobs (continued)

Secondary sector includes manufacturers that process, transform, & assemble raw materials into useful products. Other secondary sector industries take manufactured goods and make them into finished consumer goods.

Tertiary sector-involves taking goods & services to people in exchange for payment. Includes retailing, banking, law, and government. Most of U.S. falls in this category-providing goods and services and linking producers and consumers.

Quarternary and Quinary Sector

Quaternary-white collar professionals working in education, government, jobs in research & information processing, management

Quinary-executive decision makers,corporate management, CEOs, ecotourism, management planning (example: Saudis buying property in U.S.)

Productivity

Productivity-value of a particular product compared to amount of labor needed to make it

Value added-occurs in manufacturing; gross value of product minus costs of raw materials and energy

Raw materials-turning minerals and trees into useful products

Consumer goods-things we as consumers buy

Education and Literacy

The higher the level of development, the greater are both the quantity and quality of a country’s education

MDCs-students attend average 10 years in school, LDCs-just a few years

Literacy rate-% of a country’s people who can read and write

Health and welfare-people are healthier in MDCs-health is determined by diet

Life Expectancy

Life expectancy Infant mortality rate Natural increase rate Crude birth rate

Key Issue 2

Create a graphic organizer for more developed countries-include some important facts-pp. 302-305

Create a graphic organizer for less developed countries-pp. 305-309

Rostow’s Development Model-page 316 Rostow in 1950s proposed a 5-stage model

of development 1. The traditional society 2. The preconditions for takeoff 3. The takeoff 4. The drive to maturity 5. The age of mass consumption

4 Asian Dragons-page 317

These countries were among the 1st to adopt international trade alternatives:

South Korea, Singapore, Taiwan, & Hong Kong Also known as “4 little tigers”-they lacked natural

resources so to compensate for this they promoted development by concentrating on manufactured goods (clothing, electronics). In turn they sold these products to MDCs.

World Trade Organization

WTO was established to promote international trade

Enforce agreements among one another Try to negotiate reduction or elimination of

trade restrictions