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DEVELOPMENT
Why does development vary among countries?
What is Development?
 Implies progress (materialism?)
 Improvements in technology, production, &
socioeconomic welfare
 Modern notion of development related to the
Industrial Revolution & the idea that technology
can improve the standard of living
 Wealth does not depend solely on what is
produced, it depends on how and where it is
produced
 Examples?
Indicators of Development
 Economic

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
Gross domestic product (GDP) per capita
Types of jobs
Raw materials
Consumer goods
 Social
 Education & literacy
 Health & welfare
 Demographic




Life expectancy
Infant mortality rate
Natural increase rate (NIR)
Crude birth rate
Telephones per Population
Fig. 9-4: Mean telephone lines per 1,000 persons, 2002. MDCs have several
dozen phone lines per 1,000 persons, while the poorer developing
countries may have less than 10.
Student-Teacher Ratios
Fig. 9-5: Students per teacher, primary school level. Primary school teachers have much
larger class sizes in LDCs than in MDCs, partly because of the large numbers
of young people in the population (Fig. 2-15).
Persons per Physician
Fig. 9-6: There is a physician for every 500 or fewer people in most MDCs, while
thousands of people share a doctor on average in LDCs.
Calories per Capita
Fig. 9-7: Daily available calories per capita as percent of requirements. In MDCs, the average
person consumes one-third or more over the required average minimum, while in
LDCs, the average person gets only the minimum requirement or less.
 Looking through all the maps that measure
development, we gain a sense that many
countries come out in approximately the
same position no matter which of these
measures is used
Human Development Index
(HDI)
 Created by the UN, recognizes that a
country’s development is a function of all
three of the factors; economic, social, &
demographic
 Calculated since 1990
 Highest possible is 1.0
 Country with the highest? Lowest?
 Norway (0.944)
 Niger(0.348)
Put the following in order from
highest HDI to lowest:
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Afghanistan
Japan
Haiti
Sierra Leone
Chile
Canada
USA
Turkey
Rwanda
Australia
South Africa
China

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Australia
USA
Canada
Japan
Chile
Turkey
China
South Africa
Haiti
Rwanda
Afghanistan
Sierra Leone
Human Development Index
Fig. 9-1: Developed by the United Nations, the HDI combines several measures of
development: life expectancy at birth, adjusted GDP per capita, and
knowledge (schooling and literacy).
Chapter 9 Development
2014 update
GDP/GNP
 Gross Domestic Product/ Gross National Product
 Total value of goods/services produced in a country
during a year, divided by total population
 Per capita GDP +$20,000 in MDC’s, $1000 in LDC’s
 Average hourly wage in MDC’s vs. LDC’s
 Per capita GDP measures average wealth, not
distribution
 Gap widening between MDC’s & LDC’s
Limitations of GDP
 Includes transactions in the formal economy –
govt’s monitor & tax
 Several countries have GDP’s less than
$1000/year, a figure so low that seems
impossible that people could survive on it
 Survival of these countries is the informal
economy – illegal or uncounted economy
(garden plot in the yard, black market, drug
trade)
Limitions Cont’d…
 GDP masks the extremes in the distribution of
wealth within a country
 Middle Eastern oil countries (Kuwait & UAE),
have per capita GDP’s over $15,000 (higher than
several European states)
 UAE made up of 7 emirates, Abu Dhabi, the emirate that
dominates the petroleum industry, generated 58% of
country’s GDP in 2002.
 Dubai, generated 27% of GDP & the Qaywayn emirate
generated 0.6% of the country’s GDP
Annual GDP per Capita
Fig. 9-2: Annual gross domestic product (GDP) per capita averages over $20,000 in most
developed countries but under $5,000 in most less developed countries.
Types of Jobs
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Primary – Agriculture, mining, fishing
Secondary – manufacturing
Tertiary – Services
Quaternary/Quinary ?
Distribution of workers varies widely between MDC’s & LDC’s
Ex. Agriculture (75% vs 5%)
- why?
For each of the jobs below, are they: Primary,
Secondary, or Tertiary economic activities.

Farmer

Butcher

Lumberjack

High School Teacher

Fisherman

Doctor

Rancher

Kawasaki assembly
plant worker

Carpenter

Computer programmer

Miner

Lawyer
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Jeweler
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Stock Market Analyst
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Fireman
P=Primary
S=Secondary
T=Tertiary
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Farmer
P

Butcher
S

Lumberjack
P

High School Teacher
T

Fisherman
P

Doctor
T

Rancher
P

Kawasaki assembly
plant worker
S

Carpenter
S

Computer programmer
T

Miner
P

Lawyer
T

Jeweler
S

Stock Market Analyst
T

Fireman
T
Employment Changes by Sector
Fig. 9-3: Percentage employment in the primary, secondary, and tertiary sectors of
MDCs has changed dramatically, but change has been slower in LDCs.
Raw Materials
 Development = access to raw materials
 Minerals, trees, etc.
 Energy
 Water, coal, oil natural gas, etc.
 Import from colonies once supplies ran low
 Some countries have thrived despite a lack of
raw materials (Japan, Switzerland)
Education/Literacy
 Quantity of education
 Average Years of schooling
 Global: 7 years
 Developing: 6 years
 Developed: 11 years
 Quality of education = student/teacher ratio & literacy rate
 MDCs publish many more books b/c their citizens can read
 Students in LDCs usually learn from books that are
not in their native language
 Literacy rate = % of pop. that can read & write
Health & Welfare
 # of people/doctor or
hospital etc.
 Diet as important
indicator of health
 # of calories/ person
 Public assistance
programs
 ex. Ontario Welfare
System, Toronto Public
Housing
Demographic Indicators
 Life Expectancy
 Gap is greater for females
than males
 Average life expectancies of a
baby
 Global average: 70 years
 Developed country: 80 years
 Developing country: 68 years
 Infant Mortality Rate
 90:10 vs. 99:1
 Natural Increase Rate
 2%+ in LDCs, 1%- in MDCs
 Crude Birth Rate
What variable is this?
What variable is this?
What variable is this?
What variable is this?
What variable is this?
What variable is this?