Frameworks for development

1. Frameworks for development Factors that affect development

2. Factors that affect development • Resources • Cultural and social factors • Political factors • Environmental degradation

3. 1. Resources • This refers to anything that people can use to improve their living conditions.

4. Three things in common with resources: • usefulness • limitations to their accessibility • change in form or depletion when used Resources can be categorised as ubiquitous (found everywhere) and localised. • Land, water, air and people are found everywhere (ubiquitous) • Minerals and fossil fuels are found in certain areas only (localised).

5. Renewable and Non-renewable Renewable resources - A resource that can be used over and over again without being used up e.g. wind power, paper, glass, metal, plastic etc. Non-renewable resources – A resource that takes a very long time to form and cannot be replaced as fast as it is used up, e.g. coal, natural gas, petroleum etc.

6. 1.1 Access to resources • For the economy to develop and flourish we need resources. • Natural resources such as fertile soil, fresh water and a favourable climate are not equally distributed over Earth's surface. • Location and climate of a country is important. • Developed countries need more resources than developing countries.

7. 1.2. Natural resources limitations • A country needs infrastructure, capital and skilled people to process resources so they cannot export more raw materials and import finished products. • Large populations put pressure on natural resources. • As resources become scarcer, there is greater competition for control of reserves.

8. 1.3 Access to energy resources • Energy is the power supply or source. • To develop a modern economy we need energy resources. For example, we cannot run a factory without electricity. • Oil is the most widely used energy source in the modern economy.

9. Most LEDCs use biomass for energy, this energy resource slows down development. • MEDCs use fossil fuels for energy production this results in MEDCs contributing to the world’s rising levels. • Higher energy costs will increase production costs and make the country unattractive for investors.

10. 2. Cultural and social factors 2.1 Education and training • Access to education and training will determine whether a country is referred to as traditional or modern. • Levels of education influences innovation, the appropriate use of existing technology as well as creation of new technology. • High illiteracy rates hamper educational progress in a country

11. 2.2 Population growth • One of the biggest problems hindering job creation and socio-economic development in LEDCs is the high population growth rate. • In majority of the LEDCs over 50% of the population is under 20 years of age. • High population growth rate is usually linked to very rapid rural-urban migration. • High population growth rate might be attractive to developers as it creates a larger market for produce.

12. 3. Political factors 3.1. Balance of trade • Balance of trade refers to the balance between the economic value of exports and imports. • Surplus refers to when the value of money from exports is greater than money paid out for imports. • Deficitis when the value of money from exports islessthan money paid out for imports.

13. International trade is not always fair towards poorer countries. • Reasons for trade imbalances: • Random spread for resources, including capital and human skills • Exploitation practiced during colonialism. • Lack of infrastructure and education in poorer countries. • The number of trading partners and the items traded has a direct impact on development

14. 3.2. History • The history of a country impacts on its development levels. • Factors such as colonisation, migration and wars affect levels of development. • The colonial powers extracted precious raw materials from their colonies, took these back to their mother country, developed their industries, and exported the final products back to the colony. • This process took away the ability of the colony to develop its own economy.

15. 4. Environmental degradation • The population relies on natural resources for their basic needs. • Poor countries suffer from lack of access to clean affordable energy services. • Air pollution, erosion and other forms of damage the environment can have devastating impact on the economy.