Download Measuring Development

Measuring
Development
GDP
• Gross Domestic Product
• Value of total output of goods and
services within a country in a year- p.276
• PER CAPITA
• MDCs - $30,000
• LDCs - $3,000
Y = C+I+E+G
Y = GDP
C = Consumer Spending
I = Investment made by industry
E = Excess of Exports over Imports
G = Government Spending
GNP
• Gross National Product
• Total value of officially recorded goods
and services produced by citizens and
corporations.
• Broader than GDP (inside & outside
territory)
GNP Formula
Consumption + Government Expenditures
+ Investments + Exports + Foreign
Production by US Companies – Domestic
Production by Foreign Companies = Gross
National Product
GNI
• Gross National Income
• Monetary worth of a country’s production
PLUS income received from investments.
• More accurate in terms of global economy.
• Japan - $31,410
• USA - $41, 950
• Luxembourg - $65,340
• India - $3,460
Literacy Rate
• % of people who can read and write
• Exceeds 98% in MDCs
• Lower than 60% in LDCs
Life Expectancy
• Average # of years a newborn can expect
to live.
• 60s in LDCs
• 70s in MDCs
HDI
• Human Development Index
• A country’s development is comprised of
economic, social, and demographic factors!
1.
2.
3.
4.
GDP
Literacy Rate
Amt. of Education
Life Expectancy
The Brandt Line
The Brandt Line
The Brandt Line