Global Development Issues
2020-2021
Lecture 1 – Understanding Development
World population shifting to the ‘East’ and Africa.
How did the World Population Change?
The industrial revolution changed the world. Due to this, more and more people started surviving
and having children. Nevertheless, world population will not continue to grow. Women are having
less children and the number of children in the world has stopped increasing. Therefore, UN experts
predict that the fast growth will slow down by the second half of this century.
Why will the world population continue to grow fast?
The future fast growth is not due to the same reasons as the fast growth historically. In the future,
people will indeed survive longer, but life expectancy is only going to increase a little bit. And the
number of children in the world is expected to remain stable. The main reason for the future fast
growth is the highly predictable fill-up of adults, as larger young generations grow older as explained
in another slideshow.
Are we getting more prosperous?
The world has become richer in the last century. However, the distribution of wealth has not been
the same. A small group of people and countries have profited more than the others. There is a big
gap.
1
,Is the world developing?
The last 200 years changed the world. During the industrialisation, West Europe and North America
started to grow the economy. However, health did not get much better. When reached the 20 th
century, most of the countries hadn’t improved much. Only certain parts of the world were getting
wealthier and healthier. Between the first and second world war, the differences increased. It was
after second world war that most change took place. The Arab countries got richer and China got
healthier, China also began economic growth. Today, all countries of the world have an estimated
40+ years of life expectancy, nevertheless, all do not have more than 3000$ per capita. The world
has become healthier and richer. The difference is still enormous.
Looking back in history
Enlightenment and industrialisation played a key part in the expansion of development. Many
countries have been colonies and European colonialism had a huge impact in some countries.
Terminologies:
North-South Divide (Third World)
First World: US, Canada, Europe, Australia
Second World: Old USSR
Third World: Central America, South America, Africa, Asia
BRICS: Brazil, Russia, India, China, South Africa – Upcoming economies in the 21st century. However,
some of these countries are facing economic set-backs.
N-11: Bangladesh, Egypt, Indonesia, Iran, South Korea, Mexico, Nigeria, Pakistan, the Philippines,
Turkey and Vietnam.
EAGLES: China, India, Indonesia, Brazil, Russia, Korea, Turkey, Mexico and Taiwan - which are
estimated to contribute to global economic growth more than the average contribution made by
western countries (notably the U.S. and the European Union).
2
,What is underdevelopment?
There are three categories of underdevelopment:
Economic Underdevelopment
Low Gross Product (GDP) per capita (GDP is not accurate if not looking at the income
distribution)
Highly unequal income distribution (small group of very rich people vs a big group of very
poor people)
Poor infrastructure
Limited use of modern technology
Social Underdevelopment
High infant mortality
Low literacy rates
Low school enrollment
Malnutrition
Political Underdevelopment
Low capacity to collect taxes
Weak governmental institutions
Low levels of democracy
Ways to measure development:
Gross National Income (GNI)
o A key instrument in ‘measuring’ the economic strength of a country.
o Used by the World Bank and many other organisations (high/middle/low income
countries).
o GNI needs to be corrected by Purchase Power Parity (PPP).
Human Development
o The United Nation’s Human Development Index aims to measure Human
Development.
o Aims to measure more than ‘only’ economic strength of countries and is more
people centered.
o Per capita GNI (corrected by PPP), life expectancy, years of schooling.
Conclusions:
• The world is facing some serious challenges and many developing countries are heavily
affected
• Development can be defined in different ways. It is also to some extent ‘value laden’.
3
, • IGOs and NGOs are attempting to measure development using a variety of methods and
indicators
• Developing nations are highly diverse and local circumstances are key – keeping stereotypes
and generalisations aside
• Reducing poverty is key to addressing over population in the future
Seminar 1
What is poverty?
Absolute Poverty – Living than less than 1.25$ a day. It struggle to gets by
Relative Poverty - Means poverty defined in comparison to other people's standing in the economy.
Thus a person can be poor in the relative sense, even if she is not poor in the absolute sense, that is,
can meet her basic needs.
Lecture 2 - Development Theory and Political Economy
Key theories on development:
Modernisation Theory (Optimistic theory)
o Linear and rational path to development based on Western cultural values such as
positivism and science
o Capitalism and the free-market are the creative forces responsible for development
(competition is extremely important)
o ‘Liberal economic’ basic outlook Trickle-down theory (It is not a problem that
only a small group has wealth because they will invest it and everyone will profit in
the end)
Modernisation -> example Rostow’s stage theory (Stages go through to develop)
4
2020-2021
Lecture 1 – Understanding Development
World population shifting to the ‘East’ and Africa.
How did the World Population Change?
The industrial revolution changed the world. Due to this, more and more people started surviving
and having children. Nevertheless, world population will not continue to grow. Women are having
less children and the number of children in the world has stopped increasing. Therefore, UN experts
predict that the fast growth will slow down by the second half of this century.
Why will the world population continue to grow fast?
The future fast growth is not due to the same reasons as the fast growth historically. In the future,
people will indeed survive longer, but life expectancy is only going to increase a little bit. And the
number of children in the world is expected to remain stable. The main reason for the future fast
growth is the highly predictable fill-up of adults, as larger young generations grow older as explained
in another slideshow.
Are we getting more prosperous?
The world has become richer in the last century. However, the distribution of wealth has not been
the same. A small group of people and countries have profited more than the others. There is a big
gap.
1
,Is the world developing?
The last 200 years changed the world. During the industrialisation, West Europe and North America
started to grow the economy. However, health did not get much better. When reached the 20 th
century, most of the countries hadn’t improved much. Only certain parts of the world were getting
wealthier and healthier. Between the first and second world war, the differences increased. It was
after second world war that most change took place. The Arab countries got richer and China got
healthier, China also began economic growth. Today, all countries of the world have an estimated
40+ years of life expectancy, nevertheless, all do not have more than 3000$ per capita. The world
has become healthier and richer. The difference is still enormous.
Looking back in history
Enlightenment and industrialisation played a key part in the expansion of development. Many
countries have been colonies and European colonialism had a huge impact in some countries.
Terminologies:
North-South Divide (Third World)
First World: US, Canada, Europe, Australia
Second World: Old USSR
Third World: Central America, South America, Africa, Asia
BRICS: Brazil, Russia, India, China, South Africa – Upcoming economies in the 21st century. However,
some of these countries are facing economic set-backs.
N-11: Bangladesh, Egypt, Indonesia, Iran, South Korea, Mexico, Nigeria, Pakistan, the Philippines,
Turkey and Vietnam.
EAGLES: China, India, Indonesia, Brazil, Russia, Korea, Turkey, Mexico and Taiwan - which are
estimated to contribute to global economic growth more than the average contribution made by
western countries (notably the U.S. and the European Union).
2
,What is underdevelopment?
There are three categories of underdevelopment:
Economic Underdevelopment
Low Gross Product (GDP) per capita (GDP is not accurate if not looking at the income
distribution)
Highly unequal income distribution (small group of very rich people vs a big group of very
poor people)
Poor infrastructure
Limited use of modern technology
Social Underdevelopment
High infant mortality
Low literacy rates
Low school enrollment
Malnutrition
Political Underdevelopment
Low capacity to collect taxes
Weak governmental institutions
Low levels of democracy
Ways to measure development:
Gross National Income (GNI)
o A key instrument in ‘measuring’ the economic strength of a country.
o Used by the World Bank and many other organisations (high/middle/low income
countries).
o GNI needs to be corrected by Purchase Power Parity (PPP).
Human Development
o The United Nation’s Human Development Index aims to measure Human
Development.
o Aims to measure more than ‘only’ economic strength of countries and is more
people centered.
o Per capita GNI (corrected by PPP), life expectancy, years of schooling.
Conclusions:
• The world is facing some serious challenges and many developing countries are heavily
affected
• Development can be defined in different ways. It is also to some extent ‘value laden’.
3
, • IGOs and NGOs are attempting to measure development using a variety of methods and
indicators
• Developing nations are highly diverse and local circumstances are key – keeping stereotypes
and generalisations aside
• Reducing poverty is key to addressing over population in the future
Seminar 1
What is poverty?
Absolute Poverty – Living than less than 1.25$ a day. It struggle to gets by
Relative Poverty - Means poverty defined in comparison to other people's standing in the economy.
Thus a person can be poor in the relative sense, even if she is not poor in the absolute sense, that is,
can meet her basic needs.
Lecture 2 - Development Theory and Political Economy
Key theories on development:
Modernisation Theory (Optimistic theory)
o Linear and rational path to development based on Western cultural values such as
positivism and science
o Capitalism and the free-market are the creative forces responsible for development
(competition is extremely important)
o ‘Liberal economic’ basic outlook Trickle-down theory (It is not a problem that
only a small group has wealth because they will invest it and everyone will profit in
the end)
Modernisation -> example Rostow’s stage theory (Stages go through to develop)
4
