Economic development and quality of life
World development
Classification of countries
- Development is the progress of a country as it becomes more economically and
technologically advanced, and the typical quality of life
- At an international level the development of a country can be categorised into one of three
groups:
o Low Income countries (LICs): Most people have a poor quality of life with
inadequate services and few opportunities
o Newly Emerging Economies (NEEs): Countries experiencing rapid economic growth
and development based on industrial development. Incomes are rising and most
people enjoy a reasonable standard of living
o High Income Countries (HICs): Countries that have modern industries and people
enjoy a good standard of living with relatively high levels of income
- Global patterns of NEEs or LICs:
o South America is mostly NEEs
o Asia has more NEEs than LICs
o Africa has more LICs than NEEs
o Eastern European countries are mainly NEEs
- Brandt line (drawn in 1980s) shows divide between rich north and poor south, but it is
increasingly irrelevant:
o China is now the world’s largest economy
o Some of the highest income countries are south of the line, e.g. Qatar, Kuwait,
Singapore
o GNI of some EU countries, e.g. Greece, is lower than Asian ones, e.g. South Korea
o Many millionaires found on every continent, including Africa
Different measures of development
Individual indicators are misleading when used alone, as some features develop before
others which can indicate that a country is more developed than it really is
By using multiple indicators as a measure of development, a clearer picture of that country's
development is produced
Indicator Limitations
The measure only takes into account one factor – income
Gross National Income (GNI)
It is an average calculation so a few wealthy people can distort the figures
Gross national income (GNI) is an alternative to
gross domestic product (GDP) as a measure of
Data about income is sensitive so people may not always be honest about
wealth. It calculates income instead of output.
their earnings
It is, therefore, the measure of the total
income received by a country from its residents
People working in the informal sector and 'stay at home' parents are not
and businesses regardless of whether they are
taken into account
located in the country or overseas
Human Development Index (HDI) The index only considers four indicators of development and the statistics
This uses life expectancy, literacy rate, provided by some countries may be unreliable and is subjective
education level and GNI to calculate a country's
,score between 0 (least developed) and 1 (most It is a general measure based on average calculations: It does not take
developed) into account disparities (differences) that might exist within a country
This can be hard to measure in LICs due to lack of monitoring
Literacy rate
The percentage of adults who can read and
Conflict zones and squatter settlements are difficult areas to measure
write
literacy rates
Data is not always reliable, especially in LICs
Life Expectancy
The average number of years a person can
It can be misleading in countries with a very high rate of infant mortality
expect to live to
as people who survive infancy may live longer than expected
People per Doctor
This measures the average number of people More people are seeking medical help and advice via mobile phone/web
that could be seen by a doctor at any one time chat – this is not included in the data
Some countries may have low birth rates but are quite poor, e.g. Cuba
Birth Rate
The number of live births per 1,000 of the total
Birth control policies can distort this as a measure of overall development
population in one year
(e.g. China)
Infant Mortality Rate Not all the deaths of children are reported, especially in LICs and remote
The number of children that do not survive to regions of NEEs, meaning the true rates may be even higher
their first birthday per 1,000 babies born
By comparison, death rate is a less reliable measure of development than
Death Rate birth rate
The number of deaths per 1,000 of the
country's population in a year Birth rates can be high in some LICs due to poverty but also high in HICs
where many people die of old age
Demographic transition model
Stage 1
The total population is low
High birth rates due to lack of contraception/family
planning
High death rates due to poor healthcare, poor diet
and famine
High infant mortality which leads people to have more
children so that some children survive to adulthood
Example: Traditional rainforest tribes in Brazil
Stage 2
The total population starts to rise rapidly
Birth rates remain high as people continue to have large families
Death rates decrease as a result of improved diets, better healthcare, lower infant mortality
and increased access to clean water
Example: Afghanistan
Stage 3
, The total population continues to increase but the rate of growth begins to slow
Birth rate begins to fall rapidly due to increased birth control, family planning, increased cost
of raising children and low infant mortality rate
Death rate still decreasing but at a slower rate as improvements in medicine, hygiene, diet
and water quality continue
Example: Nigeria (an NEE)
Stage 4
The total population is high and is increasing slowly
Birth rate is low and fluctuating due to accessible birth control and the choice of having
fewer children as well as delaying the age women start to have children
Death rate is low and fluctuating
Example: USA
Stage 5
The total population starts to slowly decline as the death rate exceeds the birth rate
Birth rate is low and slowly decreasing
Death rate is low and fluctuating
Example: South Korea, which is experiencing natural decrease
Factors influencing development
Physical:
Landlocked countries are cut-off from seaborne trade routes which are important to
economic growth
o Africa has some of the most landlocked countries on earth. E.g. Chad
Small countries develop more slowly due to having fewer human and natural resources
Climate related diseases and pests such as Malaria, affect the ability of the population to
stay healthy enough to work
o Locust swarms can decimate crops
Extreme weather events such as droughts, floods and tropical storms can slow development
and can incur costly repairs to infrastructure e.g. Bangladesh
Limited access to clean water can slow development by making people sick and unable to
work. e.g. Angola
The physical geography also impacts the natural resources available
The natural resources are those things provided by the physical environment
Economic:
Poverty
o A lack of money in a country slows development because it prevents improvements
to living standards, education, sanitation and infrastructure
o Without these, development in agriculture and industry will be slow and the
economy cannot get going
Trade
o Wealthy regions, such as Asia, Europe and North America dominate trade because
they export secondary (processed) goods which earn more income
o As these countries accumulate wealth, they become more powerful
World development
Classification of countries
- Development is the progress of a country as it becomes more economically and
technologically advanced, and the typical quality of life
- At an international level the development of a country can be categorised into one of three
groups:
o Low Income countries (LICs): Most people have a poor quality of life with
inadequate services and few opportunities
o Newly Emerging Economies (NEEs): Countries experiencing rapid economic growth
and development based on industrial development. Incomes are rising and most
people enjoy a reasonable standard of living
o High Income Countries (HICs): Countries that have modern industries and people
enjoy a good standard of living with relatively high levels of income
- Global patterns of NEEs or LICs:
o South America is mostly NEEs
o Asia has more NEEs than LICs
o Africa has more LICs than NEEs
o Eastern European countries are mainly NEEs
- Brandt line (drawn in 1980s) shows divide between rich north and poor south, but it is
increasingly irrelevant:
o China is now the world’s largest economy
o Some of the highest income countries are south of the line, e.g. Qatar, Kuwait,
Singapore
o GNI of some EU countries, e.g. Greece, is lower than Asian ones, e.g. South Korea
o Many millionaires found on every continent, including Africa
Different measures of development
Individual indicators are misleading when used alone, as some features develop before
others which can indicate that a country is more developed than it really is
By using multiple indicators as a measure of development, a clearer picture of that country's
development is produced
Indicator Limitations
The measure only takes into account one factor – income
Gross National Income (GNI)
It is an average calculation so a few wealthy people can distort the figures
Gross national income (GNI) is an alternative to
gross domestic product (GDP) as a measure of
Data about income is sensitive so people may not always be honest about
wealth. It calculates income instead of output.
their earnings
It is, therefore, the measure of the total
income received by a country from its residents
People working in the informal sector and 'stay at home' parents are not
and businesses regardless of whether they are
taken into account
located in the country or overseas
Human Development Index (HDI) The index only considers four indicators of development and the statistics
This uses life expectancy, literacy rate, provided by some countries may be unreliable and is subjective
education level and GNI to calculate a country's
,score between 0 (least developed) and 1 (most It is a general measure based on average calculations: It does not take
developed) into account disparities (differences) that might exist within a country
This can be hard to measure in LICs due to lack of monitoring
Literacy rate
The percentage of adults who can read and
Conflict zones and squatter settlements are difficult areas to measure
write
literacy rates
Data is not always reliable, especially in LICs
Life Expectancy
The average number of years a person can
It can be misleading in countries with a very high rate of infant mortality
expect to live to
as people who survive infancy may live longer than expected
People per Doctor
This measures the average number of people More people are seeking medical help and advice via mobile phone/web
that could be seen by a doctor at any one time chat – this is not included in the data
Some countries may have low birth rates but are quite poor, e.g. Cuba
Birth Rate
The number of live births per 1,000 of the total
Birth control policies can distort this as a measure of overall development
population in one year
(e.g. China)
Infant Mortality Rate Not all the deaths of children are reported, especially in LICs and remote
The number of children that do not survive to regions of NEEs, meaning the true rates may be even higher
their first birthday per 1,000 babies born
By comparison, death rate is a less reliable measure of development than
Death Rate birth rate
The number of deaths per 1,000 of the
country's population in a year Birth rates can be high in some LICs due to poverty but also high in HICs
where many people die of old age
Demographic transition model
Stage 1
The total population is low
High birth rates due to lack of contraception/family
planning
High death rates due to poor healthcare, poor diet
and famine
High infant mortality which leads people to have more
children so that some children survive to adulthood
Example: Traditional rainforest tribes in Brazil
Stage 2
The total population starts to rise rapidly
Birth rates remain high as people continue to have large families
Death rates decrease as a result of improved diets, better healthcare, lower infant mortality
and increased access to clean water
Example: Afghanistan
Stage 3
, The total population continues to increase but the rate of growth begins to slow
Birth rate begins to fall rapidly due to increased birth control, family planning, increased cost
of raising children and low infant mortality rate
Death rate still decreasing but at a slower rate as improvements in medicine, hygiene, diet
and water quality continue
Example: Nigeria (an NEE)
Stage 4
The total population is high and is increasing slowly
Birth rate is low and fluctuating due to accessible birth control and the choice of having
fewer children as well as delaying the age women start to have children
Death rate is low and fluctuating
Example: USA
Stage 5
The total population starts to slowly decline as the death rate exceeds the birth rate
Birth rate is low and slowly decreasing
Death rate is low and fluctuating
Example: South Korea, which is experiencing natural decrease
Factors influencing development
Physical:
Landlocked countries are cut-off from seaborne trade routes which are important to
economic growth
o Africa has some of the most landlocked countries on earth. E.g. Chad
Small countries develop more slowly due to having fewer human and natural resources
Climate related diseases and pests such as Malaria, affect the ability of the population to
stay healthy enough to work
o Locust swarms can decimate crops
Extreme weather events such as droughts, floods and tropical storms can slow development
and can incur costly repairs to infrastructure e.g. Bangladesh
Limited access to clean water can slow development by making people sick and unable to
work. e.g. Angola
The physical geography also impacts the natural resources available
The natural resources are those things provided by the physical environment
Economic:
Poverty
o A lack of money in a country slows development because it prevents improvements
to living standards, education, sanitation and infrastructure
o Without these, development in agriculture and industry will be slow and the
economy cannot get going
Trade
o Wealthy regions, such as Asia, Europe and North America dominate trade because
they export secondary (processed) goods which earn more income
o As these countries accumulate wealth, they become more powerful
