What is development
Progress is being made in technology production and socio economic welfare
What’s GDP stand for
Gross domestic product
Total value of goods/services produced within a country
GDP
What does GNP stand for
Gross national product
Total value of goods and services produced in a country PLUS the goods and services produced by citizens / corporation of the country abroad
GNP
What does GNI stand for
Gross national income
Both GDP and GNP PLUS income from citizens investments abroad
GNI
What’s wrong with GDP, GNP, GNI?
- per capita
- implies even distribution of wealth
- doesn’t include informal economy
What’s the informal economy
Cooking, laundry, services w value that the govt doesn’t monitor or regulate
3 factors of the Human development index
- GNI
- Education (avg years of expected schooling over expected years of schooling
- Infant mortality/ life expectancy
UN disaggregated HDI by:
Gender Race Age Region Income/wealth
Rostow’s model of modernization aka ____________
Ladder of development
What are the 5 parts of rostows model
Traditional- substinence farming
Preconditions for take off- progressive leadership(open to change, flexible not corrupt)
Take off- industrialization occurs
Drive to maturity- specialization which leads to international trade
High mass consumption- hmc and core processing
Wallersteins world systems theory
- World economy has one capitalist market and global division of labor
- All states must participate in the global market
- Market divided in 3 tiers- core periphery and semi periphery
Barriers to development
- Political instability
- Diseases
- Foreign debt
- Low levels of economic welfare
Industrial costs of development
Urbanization
Export processing costs
Agricultural costs of development
Desertification
S saharan africa
Deforestation
Social cosrs- LDCs
Tourism costs of development
LDC Jobs
Cultural appropriation
Tax dollars go to infrastructure for resorts
Islands of development
Either corporate created or government created
Examples of corporate created islands of development
Walmart
Microsoft
Mayo clinic
Government created islands of development
Creating a new capital city(brazilia)
Southern states- lower taxes, lower wages, fewer regulations
4 factors that influence industrial location
- Site - terrain climate resources
- Situation- accessibility
- Variable costs- energy labor transportation
- Friction of distance- distance decay model
Alfred Weber’s least cost theory of industrial location
- Transportation
- Labor costs
- Agglomeration
5 major means of transportation
Ships(cheapest) Planes(most expensive) Trains Trucks(most used) Pipelines
