Development&gdp intro

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We live in houses like this……..

Transcript of Development&gdp intro

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We live in houses like this……..

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Whilst many people live in houses like this…….

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We have no problem finding fresh water to drink and water the grass with!

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Whilst other people can hardly find enough water to drink…

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We have more food than we can eat……..

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But did you know that……….

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In 2001, 1.1 billion people lived on less $1 (CHF0.84) a day and 2.7 billion lived on less than $2 (CHF1.68) a day.

How much do you think you live on?Could you live on $1,$2, $10?

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The Rich Developed North and the Poor Less Developed South

Is it simply a question of who has the most money? Why is the north rich?

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How wealthy is your country? The average income of a person in the world is

$12,000

In Qatar, the average income is

$104,300

In the Democratic Republic of Congo, the average income is

$400

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How do we work out how wealthy a country is?

GDP - Gross Domestic ProductThe total amount of money a country makes from

all of the goods and services it produces.

Goods = Things we buy and sell

Services = jobs people are paid to do

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GDP = Good + Services

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But there is a problem

China’s population = 1,343,239,923 people(Over 1.3 billion people)

Switzerland’s population = 7,925,517(Less than 8 million people)

Which country is going to produce the most goods

and services?

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GDPChina’s GDP = $11,440,000,000,000

(that’s $11.44 trillion dollars)

Switzerland’s GDP = $344,200,000,000(only $344.2 billion)

That is a huge difference!

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But that doesn’t mean that China is the wealthiest country

GDP/Capita = Gross Domestic Product

population

The money hasto go a long way

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GDP/Capita

Is a much better way of showing how wealthy a country is.

All the money a country makes÷

The number of people in the country.