Changes in Development (Edexcel A Level Geography)
Revision Note
Written by: Louise Stone
Reviewed by: Bridgette Barrett
Economic Measures vs Social Measures
Measuring Development
Development can be measured in different ways using single and composite (combined) indicators
A composite indicator uses more than one indicator to assess development, for example the Human Development Index uses three different measures
An example of a single indicator that can be used is income which can be measured in different ways
Gross Domestic Product (GDP) - the total (financial) value of goods and services produced in a country. It can be divided by the total population of the country to work out a per capita (average per person) figure to use to compare to other countries
Gross National Income (GNI) - the total amount of money earned by the people and businesses within a country. A per capita figure can also be calculated for GNI
Purchasing Power Parity (PPP) measures the price of certain goods in different countries which can help compare the purchasing power of different currencies
Economic and Social Measures of Development
| Measure | Description | How it is calculated |
---|---|---|---|
Economic | Income per Capita | The mean average income of a group of people | The total source of income for a country and divided by the population to provide an average |
Economic Sector Balance | The economy is split into four economic sectors and their importance changes as a country develops | Estimation of the contribution of each economic sector to the total national income | |
Social | Human Development Index (HDI) | A composite indicator, created by the UN, that ranks countries according to economic and social criteria | The three measures (life expectancy, income and education) are scored between 0 (worst) and 1 (best). An average score is then taken to rank all the countries in the world |
Gender Inequality Index (GII) | A composite indicator, created by the UNDP, measuring gender inequalities linked to three aspects: reproductive health, empowerment and labour force participation rate | Countries are scored between 0 and 1. The higher the value, the greater the inequality | |
Environmental Quality | Measured using the global Environmental Performance Index (EPI) which looks at the amount of pollution outdoors as well as the quality of air inside homes | Countries are ranked in order according to their performance across 11 areas related to environmental quality |
Worked Example
State an example of a composite index measuring development
[1 mark]
Possible Answers:
Human Development Index (HDI) [1]
Gender Inequality Index (GII) [1]
Happy Planet Index [1]
Human Poverty Index [1]
Incorrect answers:
GDP
KOF Index
Gini Coefficent
Index of Multiple Deprivation (IMD)
Examiner Tips and Tricks
Read the question carefully, it asks for a composite index not a single index. Remember a composite index is an index that combines two or more elements to provide a more accurate picture of a country’s development
Widening Income Inequality
Widening Income Inequality
As globalisation has increased so has the development gap
The global economy has grown much faster than the population has grown
This economic growth has been accompanied by a changing spatial pattern of global wealth
All continents have seen a rise in average incomes since 1950,
This rise has been very slow in the poorest countries of Africa
The average income gap between the world’s richest and poorest has widened as a result of the rapid growth in European and North American countries
Absolute poverty has fallen globally as a result of the introduction of the Millennium Development Goals in 2000
Poverty does still exist in many countries
Many low-income countries have progressed to middle-income since the 1970s creating a world of developed, emerging and developing economies
Gini Coefficient
The Gini Coefficient is a measure of inequality in the distribution of household income
Countries are scored between 0 and 100, the higher the value, the greater the income inequality
A score of 0 suggests that everyone has the same income in a country
A score of 100 suggests a single person receives all of a country’s income
Winners & Losers Globalisation
Globalisation has created winners and losers in developing, emerging and developed economies
Examples of Winners and Losers of Globalisation
Winners | Losers |
---|---|
There are currently 2,668 billionaires globally, most made their wealth through ownership of TNCs Developed countries have been good at maintaining their wealth, even with competition from emerging economies such as China Factory and call centre workers in Asia have a better, more reliable income | There are still rural areas in Asia and Sub-Saharan Africa which remain isolated, with few global connections Many workers in industrial cities within developed countries have lost jobs as manufacturing relocated Workers in sweatshops are exploited - forced to work in poor conditions for low pay |
Worked Example
Study Figure 1a
Identify the country that has experienced the fastest rate of growth in GNI (PPP) per capita between 2004 and 2014.
[1 mark]
Answer:
South Korea [1]
Examiner Tips and Tricks
Be careful when identifying the country with the fastest growth just by eye, you could end up identifying the wrong country (China). To ensure you have identified the correct country, use the graph data to calculate the change or use a ruler to check the gradient of the line
Trends in Economic Development & Environmental Management
Trends in Economic Development
All regions have seen a rise in GDP per capita since 1820, however the rise in Africa, Asia and Latin America has been significantly less than Western Europe and the USA
Environmental Issues & Management
The majority of global environmental issues can be linked to globalisation for example:
Converting 40% of the world’s terrain into productive agricultural land has resulted in the loss of habitats and biodiversity
Intensive agriculture and cattle ranching can cause a range of environmental impacts from depleting groundwater sources to the removal of mangrove forest (increasing flood risk)
These environmental issues have been felt more by developing and emerging countries
There is now a greater awareness of these risks to the environment that can be associated with globalisation and attempts are being made to reduce these risks through environmental management
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