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Chapter 9-Development
 A country’s level of development is
categorized according to 3 factors:
 Economic
 Social
 Demographic
 Human Development Index (HDI)-created by
United Nations & recognizes a country’s level
of development
HDI (continued)
 To create HDI the UN selects 1 economic
factor, 2 social factors, & 1 demographic
factor that an international team determines a
country’s level of development.
 Economic-gross domestic product
 Social-literacy rate & amount of education
 Demographic-life expectancy
HDI-continued
 Country with highest HDI-Norway
 US is usually in top 10
 Canada & Japan were higher than Norway in 90s
 Other European countries typically in top 10
 Lowest ranked country Sierra Leone
 2 dozen lowest ranking countries from sub-Saharan
Africa
Gross Domestic Product
 GDP-value of the total output of goods &
services produced in a country, normally
during a year
 GDP higher in MDC than LDC
 Per capita GDP measures average wealth
Types of Jobs
 Average per capita is higher in MDCs
because people earn their living by different
means than in LDCs
 Jobs fall into 3 categories: primary,
secondary, tertiary
 Primary sector-workers in this sector directly
extract materials from Earth through
agriculture, mining, fishing, & forestry.
Types of Jobs (continued)
 Secondary sector includes manufacturers that
process, transform, & assemble raw materials into
useful products. Other secondary sector industries
take manufactured goods and make them into
finished consumer goods.
 Tertiary sector-involves taking goods & services to
people in exchange for payment. Includes retailing,
banking, law, and government. Most of U.S. falls in
this category-providing goods and services and
linking producers and consumers.
Quarternary and Quinary Sector
 Quaternary-white collar professionals working
in education, government, jobs in research &
information processing, management
 Quinary-executive decision makers,corporate
management, CEOs, ecotourism,
management planning (example: Saudis
buying property in U.S.)
Productivity
 Productivity-value of a particular product
compared to amount of labor needed to make
it
 Value added-occurs in manufacturing; gross
value of product minus costs of raw materials
and energy
 Raw materials-turning minerals and trees into
useful products
 Consumer goods-things we as consumers
buy
Education and Literacy
 The higher the level of development, the
greater are both the quantity and quality of a
country’s education
 MDCs-students attend average 10 years in
school, LDCs-just a few years
 Literacy rate-% of a country’s people who can
read and write
 Health and welfare-people are healthier in
MDCs-health is determined by diet
Life Expectancy
 Life expectancy
 Infant mortality rate
 Natural increase rate
 Crude birth rate
Key Issue 2
 Create a graphic organizer for more
developed countries-include some important
facts-pp. 302-305
 Create a graphic organizer for less developed
countries-pp. 305-309
Rostow’s Development Modelpage 316
 Rostow in 1950s proposed a 5-stage model
of development
 1. The traditional society
 2. The preconditions for takeoff
 3. The takeoff
 4. The drive to maturity
 5. The age of mass consumption
4 Asian Dragons-page 317
 These countries were among the 1st to adopt
international trade alternatives:
 South Korea, Singapore, Taiwan, & Hong Kong
 Also known as “4 little tigers”-they lacked natural
resources so to compensate for this they promoted
development by concentrating on manufactured
goods (clothing, electronics). In turn they sold these
products to MDCs.
World Trade Organization
 WTO was established to promote
international trade
 Enforce agreements among one another
 Try to negotiate reduction or elimination of
trade restrictions