Chapter 9: Development

1. Chapter 9: Development The Cultural Landscape: An Introduction to Human Geography

2. Developmentpg 274 • The process of improving the material conditions of people through the diffusion of knowledge and technology • More developed countries (MDCs) • AKA developed countries • Lesser developed countries (LDCs) • AKA emerging or developing countries

3. Why Does Development Vary Between Countries? • Economic indicators of development (pg 275) • The Human Development Index (HDI) (pg 275) • Four factors used to assess a country’s level of development: • Economic = (1) gross domestic product (GDP) per capita • Social = (2) literacy and (3) amount of education • Demographic = (4) life expectancy • Which country has the highest HDI? • Which country has the lowest HDI?

4. Why Does Development Vary Between Countries? • Economic indicators of development (pg 275) • Gross Domestic Product Per Capita • GDP – • What was it in 2009 in the United States? • Per capita GDP- • What was per capita GDP in 2009 in the United States? • What does per capita GDP not show? • What would be a ‘better’ tool to use that GDP or per capita GDP?

5. Human Development Index Figure 9-1

6. Why Does Development Vary Among Countries? • Economic indicators of development • Types of jobs (pg 275-276) • Primary sector (including?) • Secondary sector (including?) • Tertiary sector (including?) • Productivity • Measured by the value added per capita (pg 276) • MDCs are more productive than LDCs – why? • Consumer goods (pg 277)

7. Why Does Development Vary Among Countries? • Consumer goods (pg 277) • why are the products that are essential in MCSs not so essential in LCSs? • Why can a gap emerge between the ‘haves’ and ‘have-nots’ in LDCs?

8. Motor Vehicles Per 1,000 Persons Figure 9-4

9. Why Does Development Vary Among Countries? • Social indicators of development • (pg 277-278) • Education and literacy • The literacy rate • Health and welfare (pg 279) • Diet (adequate calories) • What influences the health of a population? • Access to health care

10. Why Does Development Vary Among Countries? • Welfare - ? • How much of health care costs are paid by government programs in Europe? • What about in the U.S.? • Which countries typically provide the highest level of public-assistance payments?

11. Students Per Teacher, Primary School Figure 9-6

12. Why Does Development Vary Among Countries? • Demographic indicators of development (pg 279-281) • Life expectancy • Babies born today in MDCs have a life expectancy in the 70s; babies born in LDCs, in the 60s • Other demographic indicators: • Infant mortality • Natural increase • Crude birth rate

13. Where are MDCs and LDCs Distributed? • More developed regions (pg 282-283) • North America and Europe • Other MDCs with high HDI = Russia, Japan, Australia, and New Zealand • Less developed regions • Latin America = highest HDI among LDCs • Southwest Asia, Southeast Asia, Central Asia = similar HDI • South Asia and sub-Saharan Africa = low levels of development

14. More and Less Developed Regions Figure 9-10

15. Where Does Level of Development Vary by Gender? • Gender-Related Development Index (GDI) • Compares the level of women’s development with that of both sexes • Four measures (similar to HDI): • Per capita female incomes as a percentage of male per capita incomes • Number of females enrolled in school compared to the number of males • Percent of literate females to literate males • Life expectancy of females to males

16. Gender-Related Development Index (GDI) Figure 9-17

17. Demographic Indicator of Gender Difference: Life Expectancy Figure 9-21

18. Where Does Level of Development Vary by Gender? • Gender Empowerment Measure (GEM) • Compares the decision-making capabilities of men and women in politics and economics • Uses economic and political indicators: • Per capita female incomes as a percentage of male per capita incomes • Percentage of technical and professional jobs held by women • Percentage of administrative jobs held by women • Percentage of women holding national office

19. Gender Empowerment Measure (GEM) Figure 9-22

20. Economic Indicator of Empowerment: Professionals Figure 9-23

21. Progress Toward Development Figure 9-26

22. Why Do LDCs Face Obstacles to Development? • Development through self-sufficiency • Characteristics: • Pace of development = modest • Distribution of development = even • Barriers are established to protect local business • Three most common barriers = (1) tariffs, (2) quotas, and (3) restricting the number of importers • Two major problems with this approach: • Inefficient businesses are protected • A large bureaucracy is developed

23. Why Do LDCs Face Obstacles to Development? • Development through international trade • Rostow’s model of development • Examples of international trade approach • The “four Asian dragons” • Petroleum-rich Arabian Peninsula states • Three major problems: • Uneven resource distribution • Increased dependence on MDCs • Market decline

24. Why Do LDCs Face Obstacles to Development? • International trade approach triumphs • The path most commonly selected by the end of the twentieth century • Countries convert because evidence indicates that international trade is the more effective path toward development • Example: India • World Trade Organization • Foreign direct investment

25. Triumph of International Trade Approach Figure 9-28 Figure 9-27

26. Foreign Direct Investment Figure 9-30

27. Why Do LDCs Face Obstacles to Development? • Financing development • LDCs require money to fund development • Two sources of funds: • Loans • The World Bank and the IMF • Structural adjustment programs • Foreign direct investment from transnational corporations

28. Debt as a Percentage of Income Figure 9-31

29. Why Do LDCs Face Obstacles to Development? • Fair trade approach • Products are made and traded in a way that protects workers and small businesses in LDCs • Two sets of standards • Fair trade producer standards • Fair trade worker standards • Producers and workers usually earn more • Consumers usually pay higher prices

30. Core and Periphery Model Figure 9-32

31. De BlijHow Do You Define and Measure Development? • pg 303 • what have economist uses as a more accurate way of measuring a country’s wealth? • Gross National Income (GNI) – calculated the monetary worth of what is produced within a country plus income received from investments outside the country • the best way to understand GNI is to divide it by the population of the country • Per capita GNI – the GNI divided by the number of people in the country • (note the GNI (per capita)) of selected countries)

32. De BlijHow Do You Define and Measure Development? • ex. – Middle Eastern oil countries (such as UAE) have GNI’s of over • pg. 304 • 15,000, but it’s not equally distributed • one of the emirates – Abu Dhabi – generates 58% of the GDP and so on • another limitation of GNI is is measures only production (outputs) • it does not take into account the costs of production which take a toll on the environment through resource depletion and pollution • and it may even treat such externalities as a plus • ex.- the sale of cigarettes augments GNI and if the cigarettes cause sickness and hospitalization GNI is boosted further; conversely the use of energy saving bulbs can reduce GNI

33. De Blij= Issues with Measuring Economic Development • All measurements count the: • Formal Economy – the legal economy that governments tax and monitor. • All measurements do not count the: • Informal Economy – the illegal or uncounted economy that governments do not tax or keep track of.

34. De Blij - Dependency Theory – pg 306 The political and economic relationships between countries and regions of the world control and limit the economic development possibilities of poorer areas. • -- Economic structures make poorer countries dependent on wealthier countries. • - Little hope for economic prosperity in poorer countries.

35. Dollarization – Abandoning the local currency of a country and adopting the dollar as the local currency. El Salvador went through dollarization in 2001

36. De Blij - • -Barriers and Cost of Economic Development: • (pg 309-318) • Low levels of Social Welfare • Foreign Debt • Political Instability • Wide spread diseases

37. Why Do Countries Experience Uneven Development Within the State? • within the Periphery of the Periphery • how do you create development away from the islands of development? • usually it’s non governmental organizations who try to improve the plight of the people • nongovernment organizations NGOs are not run by state or local governments • they operate as nonprofit organizations

38. Why Do Countries Experience Uneven Development Within the State? • an organization is like a church or charities such as Heifer International • their goals are outlined by their founders • 20, 000 NGOs operate in Bangladesh • pg. 325 • one particular NGO that has been successful is the • microcredit program • what do they do? • they give loans to poor people, particularly women, to encourage development of small businesses • and they work – have 98% repayment rate • microcredit alters the gender balance in the region • it gives more fiscal power to women

39. The End. Up next: Agriculture