Theme 6 Flashcards
(26 cards)
Who found developement gap 1980?
Willy Brandt, 1980
Brandt line show?
- Global north (wealthy) + australia
North south divide
Ways of measuring wealth inequality?
-GDP
-GNI per person
-Poverty line (% earning less than a certain amount per day)
World bank set poverty line at?
-$1.90 a day
Limits of GNI per person
-Average not spread or money inequality
-Malawi ($225) some make millions
-Also living costs e.g food is cheaper in some countries
What is PPP?
-GNI per person factoring living expenses per country
-E.g Malawi GNI $225
-PPP $780 (prices there r cheap)
Rich vs poor stats?
-2016
-Richest 62 wealth=
-Poorest 3.5 billion
wealth unevenly distributed
What is the continuum of economic development?
-High income ($12,736+)
-Upper middle ($4,126+)
-Lower Middle ($1026+)
-Low income (less)
What shows Brandt line not right?
-NIC india
-Higher GDP than Britain
-India 3.6 trillion
-Britain 3.4 trillion
How has development closed?
-MNC (multinational companies)
MNC examples
-Tata (steel) Mumbai (100 countries employed)
- Factories in inda (22% of all jobs)
- Ikea, Samsung + Siemens all have factories in india recently
How has Brandt line not changed?
-Malawi LIC southern Africa
-Landlocked + relies on tea trade
-But imports high value oil
What is globalisation?
-Free flow of goods, people, money and ideas
-E.g Avacodas from Mexico to Uk
interdependance
How have countries benefitted from globalisation?
-1990s offered cheap labour
-Manufactered
-Immigration (send money home)
-Bollywood (Mumbai) over 1,000 films in 2013
China companies rank 2008 vs 2015
Forbes 2000 companies list
-2008 4th
-2015 2nd (232) companies
How MNC help country
-Cheaper labour (lower living costs)
-Products sold cheaper
-Stimulates local economy wth jobs
Why NIC emergind so quickly?
-Bangladesh GDP growth rate 4.8%
-High population (china, india, indonesia and Brazil make up 40% of population)
-MNC’s
Bangladesh clothing industry 2014 stats?
-Employed 5.5 million
-$28 billion GNI
What makes NIC’s?
Foriegn direct investment
MNC’s
MNC’s why?
Bangladash wages 95% lower than EU or USA
What does GNI affect?
can be used to measure.countries wealth
-Life expectancy
-Literary rates
-Infant mortality wates
invest in own country —> HDI
Bangladesh HDI improvement 2000 vs 2014?
-23.2%
Economic impacts:
Bangladesh
-Poverty means worse working conditions + longer hours
-Deliberatly employ women (paid less)
-Bangladesh laws children 14+ can work
-12 hour work day
-Living wage £160 month, but earn £25 a month
Poverty rate down from 1971?
Bangladesh
80% to 30%