Globalisation EQ3

Question 1

The environmental kuznets curve

Answer 1

Suggests that industrialisation occurs, environmental degradation increases and then begins to decrease again in the post-industrial phase.

It’s a hypothesised relationship between environmental quality and economic development.

Question 2

Lorenz curve

Answer 2

A graph on which the cumulative percentage of total national income (or some other variable) is plotted against the cumulative percentage of the corresponding population (ranked in increasing size of share).

The extent to which the curve sags below a straight diagonal line, indicates the degree of inequality of distribution.

Question 3

Gini Coefficient

Answer 3

A measurement of the income distribution of a country’s residents. The number, which ranges between 0 & 1 and is based on the residents net income, helps define the gap between rich and poor, with 0 representing perfect equality and 1 representing perfect inequality.

It’s defined as a ratio of the areas on the Lorenz curve diagram. If the area between the line of perfect equality and the Lorenz curve is A & the area under the Lorenz curve is B, then the Gini Index G = A/(A+B).
Since A+B=0.5 the Gini index G = 2A or 1-2B

Question 4

Unequal society example

Answer 4

South Africa

It’s Gini coefficient ranges from roughly 0.660 to 0.696

Question 5

What’s quality of life

Answer 5

The degree of well-being and satisfaction felt by a person or a group of people in a particular area.

Components of it are physical, social, economic & psychological.

Question 6

IMF

Answer 6

“International Monetary Fund”

Established to oversea the global financial system, key aim is to renegotiate the terms of debt for nations in financial difficulties. It offers financial and technical assistance to its members, can lend money.

Question 6

World Bank

Answer 6

International bank for reconstruction and development.

It mainly deals with internal investment projects, usually in developing countries, with the stated aim of reducing poverty.

Question 8

What’s development

Answer 8

It’s the economic and social progress which leads to an improvement in the standard of living and quality of life for an increasing proportion of the population.

It can be economic, demographic, social, cultural, political and environmental

Question 9

Economic development indicators

Answer 9

GDP, GNI, employment by sector, energy consumption, income per capita.

Question 10

GDP

Answer 10

“Gross Domestic Product”

Its a monetary measure of the market value of all final goods and services produced in a period (quarterly or yearly).

Question 11

GNI

Answer 11

“Gross national income”

It’s the total domestic and foreign output claimed by residents of s country, consisting of gross domestic product (gdp) plus factor incomes earned by foreign residents, minus income earned in the domestic economy by non-residents.

Comparing the GNI and GDP shows whether a nations resources are put to capital creation or declining toward abroad.

Question 12

Income per capita

Answer 12

Per capita income is often used to measure an areas average income. This is used to compare the wealth of one population will h those of others. It’s also often used to measure a country’s standard of living.

Question 13

Social development indicators

Answer 13

HDI & GII

Question 14

HDI

Answer 14

“Human Development Index”

It’s a composite index and is an attempt by the United Nations to quantify living conditions and quality of life around the world.

Each nation has been investigated since 1975 and given a 3 digit number expressed as a decimal. High human development is 0.800 and over, medium is 0.500-0.799 & low is 0.4999 and lower.

Question 15

GII

Answer 15

“Gender Inequality Index”

Barrier to human development
It’s an inequality index that measure gender inequalities in three important aspects of human development. It’s built on the same framework as HDI, to better expose differences in the distribution of achievements between men and women. It measures the human development costs of gender inequality, thus the higher the GII value, the more disparities between men and women and the more loss to human development.

Question 16

What’s the development gap

Answer 16

The difference in levels of development and quality of life between countries or regions. Globally there’s a clear gap between HICs and LICs.

At the bottom of the development gap are many of the African nation states.

Question 17

Symptoms and causes of a development gap

Answer 17

Various development and quality of life indicators reveal the differences between development levels.

The broad causes of inequality on a global scale are both historic and current, and internal and external.

Question 18

North South Divide

Answer 18

One of the most common ways of characterising the global development gap.

The Brandt Line is a visual depiction of the north-south divide between their economies. It encircles the world at a latitude of 30degrees N, passing between north and Central America, North Africa and India,Mobutu lowered towards the south to include Australia and New Zealand above the line.

Question 19

What’s the development continuum

Answer 19

It’s a contemporary way of viewing development. Essentially the development continuum is a sliding scale from most to least developed countries with lots of intermediates such as BRICs and NICs.

It illustrates the complexities that the Brandt Line fails to display. It a,so indicates the importance of changing roles of countries such as Asian Tigers (originally LICs that attracted TNCs and consequential cumulative causation accelerated development.

Question 20

What’s an emerging economy

Answer 20

It’s a nation with social or business activity in the process of rapid growth and industrialisation.

Question 21

What’s are BRICS

Answer 21

It’s a group acronym that refers to the countries of Brazil, Russia, India and China, which are all deemed to be at a similar stage of newly advanced economic development. Since 2010, it includes South Africa.

Question 22

Open borders

Answer 22

These allow EU citizens to have a right to freely move around the EU.

E.g. In 2015 there were roughly 250,000 French living in London.

Question 23

FDI

Answer 23

“Foreign Direct Investment”

A process which has led to cultural mix and thriving migrant diasporas in some locations.

Question 24

Diasporas

Answer 24

The distribution of people away from their homelands, a result from the dispersal of people throughout the world.

E.g. In 2015 the uk attracted over 32,000 jobs from overseas-owned companies investing in software and financial services.

Question 25

Ways for controlling the spread of globalisation

Answer 25

Censorship
Trade protectionism
Limiting immigration

Question 26

Two types of censorship

Answer 26

1. State-controlled (e.g. Chinese News- where print publishing or braodcasting via tv or radio is run by official state media)
2. State-monitored (where overseas contacts or media are monitored and censored, including tv, print media, radio, film, theatre text messaging, video games, literature and Internet)

Question 27

Immigration

Answer 27

Where some people dispute the rights of others to move freely.

It’s controversial and can lead to resentment in some people within host countries.

Question 28

Immigration opponents arguments

Answer 28

• cheap migrant labour undercuts local wages
• local government hasn’t planned sufficiently for the increased demands on welfare, healthcare, housing and education caused by the influx of migrants.

Question 29

Why do transition towns exist

Answer 29

They’re trying to reduce carbon footprints and increase their resilience towards shock.

They promote:

• reducing consumption by repairing or reusing items
• reducing waste, pollution and environmental damage
• meeting local needs through local production, where possible.

Question 30

Transition town CASE STUDY: The Bristol Pound

Answer 30

It aims to encourage people to buy locally rather than in national chain stores or TNCs. However strategies like this can also threaten global economic growth, because they reduce the demand for new items from overseas.

Question 31

Bristol pound: economic costs and benefits

Answer 31

Costs: in national and regional markets consumers can miss out on benefits.

Benefits: money continuously circulates around the local independent businesses and area.

Question 32

Bristol pound: social costs and benefits

Answer 32

Costs: the Bristol Pound is very inclusive locally, but excludes outsiders, it also prevents wider connections being built.

Benefit: using a local currency creates stronger bonds between local consumers and businesses, increasing social capital.

Question 33

Bristol pound: environmental costs and benefits

Answer 33

Costs: global trade allows for commodities to be produced in the most resource-efficient location.

Benefits: local trade reduces dependence on international trade and enhances self-sufficiency, which should decrease emissions through reduced transportation costs.

Question 34

Aim of ethical consumption

Answer 34

To reduce the inequalities of global trade and improve working conditions for disadvantaged groups.

Question 35

Disadvantages of ethical consumption

Answer 35

• buying organic destroys more forests, less use of fertilisers and pesticides means that more land is needed to produce the same amount.
• buying local food minimises ‘food miles’ but most consumers use cars to go shopping and therefore end up using more energy than home delivers from supermarkets.
• growing cash crops, even under fair trade conditions, can mean that some farmers end up not growing enough food to eat themselves.

Question 36

Ecological footprint CASE STUDY: Keep Britain Tidy

Answer 36

In 1954 the national federation of women’s institutes formed this organisation to address the rising problem of litter.

By 1969 the iconic tidy an logo began appearing on bins and packaging to encourage people to not drop litter.