The End of Poverty - Jefferey Sachs - The Spread of Economic Prosperity Flashcards
What portion of the world population lives in extreme poverty today?
About 1.3 billion
When did the period of modern economic growth begin?
Around 1800 A.D. till the present day
True / False. All countries were in extreme poverty (Relative to today’s standards) 250 years ago?
True.
When did the rapid growth of the world population begin (Starting around 270 million and growing to today’s standards?)?
Around 1450 - 1700 A.D.
As the world population has rapidly grown, has food production kept pace?
Yes. The economic adaptation approach has been fairly well followed. Although, there are still many who do not have access to the food that is produced.
Which parts of the world have grown the fastest on an economic scale?
The U.S., Canada, Western Europe, and Japan.
Can the economic inequality of today be based mainly on colonialism?
No. The rich have not gotten rich because the poor have gotten poor. Gross world product has not been constant. Every region of the world has experienced economic growth over the last two hundred years.
Is the transfer of income from one region to another to blame for global economic inequality?
No. Transfer of income is not to blame, but differing regional rates of increase as world income increases is to blame.
What has been the major driving force behind world economic growth?
Technology (According to the economist, John Keynes).
The industrial revolution led to new energy sources and agricultural gains.
What are some of the revolutionary gains that fossil fuels produced in the world?
Steam engines
Chemical fertilizers
These were the primary products that allowed for the growth of virtually every manufacturing sectors and technological advancement we have today.
Why was Britain the first world region to gain power from the industrial revolution (And subsequently build a worldwide empire)?
(6 Main Reasons)
- British society was (Relatively) more open than most of the world as far as social mobility and individual initiative were concerned. Serfdom and caste systems were still present in much of the rest of Europe and the world.
- Parliament was a political institution that protected freedom of speech and private property rights.
- Britain’s relatively free and forward thinking society paved the way in scientific advancements that would lead to the industrial revolution.
- Britain, as an island country, had access to all of Europe and the American colonies for trading and natural resources (The sea being a cost-effective form of transportation for trade routes).
- Britain, as an island, was isolated from outside threats.
- Britain had coal.
What were some of the positive effects of the industrial revolution?
A shift from agrarian to industrial activities, urbanization, social mobility, new family roles, demographic transition, and specialization in labor.
What changes did the industrial revolution bring for women?
Urbanization and demographic transition.
The total fertility rates dropped (The average number of children per woman).
Less time had to be spent farming, cooking, washing clothing, and fetching water.
The average age of marriage increased, leading to greater sexual and financial freedom.
What factors are inter-dependent in order for division of labor to occur in a society?
(Specialization, market forces, and productivity)
There must be a market for the individual labors that are being divided.
The extent of the market is determined by the degree of specialization.
Productivity requires there to be specialized parties that can trade their goods on the market.
What were some of the negative effects of the industrial revolution?
War, explanations for inequality that relied solely on racial, religious, genetic, cultural, and institutional factors rather than timing and geography.
These explanations would justify exploitation, colonialism, and slavery.
