DEVELOPMENT. Development Include: Real GDP per head Standard of living Political freedom Freedom of...
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Transcript of DEVELOPMENT. Development Include: Real GDP per head Standard of living Political freedom Freedom of...
![Page 1: DEVELOPMENT. Development Include: Real GDP per head Standard of living Political freedom Freedom of the speech Level of education Level of health-care….](https://reader036.fdocuments.in/reader036/viewer/2022082613/5697c02e1a28abf838cda391/html5/thumbnails/1.jpg)
DEVELOPMENT
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Development
• Include:
Real GDP per head
Standard of living
Political freedom
Freedom of the speech
Level of education
Level of health-care….
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• United Nation divides countries as:
1. High human development
2. Medium human development
3. Low human development
• World Bank divides countries as:
1. High income countries
2. Middle income countries
3. Low income countries
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Measures of development
• HUMAN DEVELOPMENT INDEX (HDI)measures:1. Life expectancy2. Educational attainment3. Real GDP per head
HDI can be from 0 to 1:1. 0 – 0.50 low development2. 0.50 - 0.79 medium development3. 0.80 – 1 high development
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Characteristics of Developing Economies (Less Developed
Countries)• Low income per head
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Low life expectancy and high infant mortality
• Life expectancy :
Japan: 83 years Zimbabwe: 38 years
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High rates of population growth
• Higher birth rate then death rate makes high dependency ratio, meaning:
too many children depend on small number of workers
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Low level of education and health care
• Developing country Developed country
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Poor housing and sanitation
• Developing countries developed country
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High number of workers in primary sector
Narrow range of export of primary products
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Glossary
• Infant mortality: number of deaths per 1.000 live birth babies in a year
• Birth rate: the number of births in a year
• Death rate: the number of deaths in a year per 1.000 population
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VICIOUS CIRCLE OF POVERTY
low income
Low saving
Low investment
Low productivity
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Economic development is important because of:
1. Increase in standard of living2. Reduction of poverty (improve in physical
and mental health, reduction of pollution, benefit for society)
3. Rise in educational level, more freedom, more economic and social choice, participation in politics)…
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See:
• Yu Rock Mission @ Live Aid 85
• Back to the 80's - USA for Africa
• U2 BAD Live Aid 1985