Measures of Resource Consumption (DP IB Geography)
Revision Note
Written by: Bridgette Barrett
Reviewed by: Jenna Quinn
Poverty Reduction
What is poverty reduction?
Poverty is defined as the lack of access to basic necessities such as food, shelter, and healthcare
Poverty reduction refers to efforts aimed at reducing or eradicating poverty
Poverty is a complex issue that is influenced by factors such as economic, social, and political structures, and inequalities
There are many approaches to poverty reduction, including:
Providing direct assistance (e.g. cash transfers, food aid)
Creating job opportunities
Improving access to education and healthcare
Promoting economic growth and development
Poverty reduction not only reduces or eradicates poverty; it also:
Has positive impacts on other areas, including health, education, and gender equality
Can be on a small or large scale
Including initiatives from governments and international organisations
Involves addressing systemic issues such as social exclusion, discrimination, and inequality
Requires collaboration and partnerships among various stakeholders. These may include:
Governments
Civil society organisations
Private sector
Global progress towards poverty reduction
The United Nations' Sustainable Development Goal (SDG) 1 is to 'End poverty in all forms' by 2030
There has been significant progress towards this goal; over one billion people have moved out of extreme poverty
The percentage of the world population living in extreme poverty has decreased from 46% in 1968 to 8.5% in 2019
The number of people living in extreme poverty has decreased over the same period, from 2 billion to 660 million
Between 2020 and 2021, there was an increase in people living in extreme poverty to 750 million
This was due to the economic impact of the Covid-19 pandemic
Share of population living in extreme poverty
Despite the progress made, the goal of ending poverty by 2030 is unlikely to be achieved
Globally, almost 1 in 10 people still experience extreme poverty
Poverty reduction has:
Occurred due to increased incomes
Led to the development of
The new global middle class (NGMC) - approximately 2.5 billion people
Fragile middle class - approximately 4 billion people
Regional progress towards poverty reduction
There are many suggested reasons for the global decrease in poverty including:
The rapid development of countries in Asia
Globalisation and trade
Increased participation of China, India and Eastern Europe in the global economy
Reduced colonial and neo-colonial influence in some countries
Each region or country has unique characteristics
The changes in the numbers of people living in extreme poverty will vary depending on these characteristics
The greatest reduction in the number of people living in extreme poverty has occurred in China and India
The only area to experience growth in people living in extreme poverty is Sub-Saharan Africa
By 2030, is estimated that climate change may lead to up to 130 million members of the fragile middle class falling back into extreme poverty
Wealth inequality
Despite the decrease in levels of extreme poverty, there has also been an increase in wealth inequality
The wealthiest 1% own almost 45% of the world's financial assets
Since 2020:
The wealth of billionaires has grown three times faster than the rate of inflation
The wealth of the poorest 5 billion people has fallen by 0.2%
This has occurred because those with wealth can invest and gain more income
There has also been an increase in relative poverty in many regions
As the wealthiest become richer the gap between them and those on lower incomes increases
Growth of the New Middle Class
What is the global middle class?
The middle class is a phrase which was used to describe people between working class and upper class
The new global middle class (NGMC) refers to individuals or households attaining a certain level of income and consumption
Typically, their wealth is above poverty levels but below the wealthiest segments of society
The NGMC do not yet have the affluence of the 'middle class' living in high-income countries
The definition of NGMC varies and can include people who:
Spend or earn more than US$12 a day
Earn more than US$10,000
Earn between US$3,650 and US$36,500
It is estimated that approximately 2.5 billion can now be categorised as NGMC
Increased wealth means that people have more disposable income and can buy more goods and services
The growth of the global middle class
The growth of the NGMC has been a significant global trend over the past few decades
Factors driving the growth of the NGMC include:
Economic growth
Urbanisation
Technological advances
The size and characteristics of the NGMC vary across regions and countries, some countries experience more rapid growth than others
India and China have experienced rapid growth of their middle class population
The middle class populations in these two countries account for almost 50% of the NGMC consumption
The impact of the growing middle-class
The growth of the middle class affects
Consumer behaviour
Global trade and investment
Social and political dynamics
The growth of the middle class has also been linked to several challenges, including:
Environmental degradation - increased consumption and waste lead to more pressure on the environment
Resource depletion - increased consumption means more resources are used
Rising inequality - within and between countries
Increasing numbers of the middle class have also led to:
Implications for businesses and industries which operate on a global scale
Opportunities to address poverty and promote sustainable development
Middle-class customers may demand more sustainable and socially responsible products and services
The emergence of new markets and consumer preferences
Debates and discussions regarding the affordability and accessibility of goods and services
Consideration of the role of government in ensuring the well-being of citizens and in promoting equality
Ecological Footprints
Measuring trends in resource consumption
Global resource consumption is increasing due to:
Economic development
Population growth
Estimates of the Earth's carrying capacity vary
Most studies estimate between 8 and 16 billion people
The higher the average consumption of resources, the lower the carrying capacity becomes
If everyone consumed resources at the rate of the average American, the carrying capacity would be much lower than if everyone consumed only what they need
The UN predicts that resource use in 2050 will be 71% higher per person than in 2022
The rate at which renewable and non-renewable resources are being used will affect the future carrying capacity
Renewable resources are those which can be naturally replenished to keep pace with the speed they are used
Non-renewable resources are resources which cannot be replenished at the speed at which they are used
What is an ecological footprint?
Ecological footprint is defined as the measurement of the amount of land and water a population requires to:
Produce the resources it consumes
Absorb the waste generated
It measures the relationship between population size and resource consumption
Calculating the ecological footprint
The ecological footprint is calculated in acres or hectares
Biocapacity is the total productivity of an areas agricultural land, built up land, forests and fishing areas
It assesses how much productive land is needed to maintain the population at the current rate of resource consumption
The calculation considers:
Bioproductive land, which refers to grazing land, gardens, forests, farmland for food and materials, etc
Bioproductive sea, referring mostly to fishing grounds
Built environment, needed for road and settlement construction, etc
Energy resources, such as land, are needed to produce renewable energy
Biodiverse land for non-human species
Non-productive land, e.g deserts
Other factors, such as species extinction, toxic pollution of air, water and other non-renewable energy resources, are not taken into account
Individual footprint
An individual’s ecological footprint is a measure of their impact on the environment
It is calculated by measuring the amount of resources the individual consumes, including:
Food
Water
Energy
Materials
It also includes the amount of waste individuals produce
Individual footprints are:
Higher in wealthier countries, where people consume more material goods and energy
Lower in low-income countries where people consume fewer material goods and energy
National footprint
A national footprint is a measure of a country's ecological impact
It is calculated by measuring the amount of resources a country consumes, such as:
Fossil fuels
Forests
Fisheries
It also includes the amount of waste it generates
The national ecological footprint varies significantly between countries, with wealthier countries typically having larger footprints due to their higher levels of consumption and industrial activity
Qatar has the highest ecological footprint at around 12.6 hectares per capita
Haiti and Malawi have footprints of less than 1 hectare per capita
An ecological creditor is a country with an ecological footprint lower than their carrying capacity
An ecological debtor is a country with an ecological footprint greater than their carrying capacity
Global footprint
A global footprint is a measure of humanity's impact on the environment
It is calculated by adding up the ecological footprints of all countries and expressing the total in global hectares
The global footprint is used to estimate the overall sustainability of human activities on the planet
The global ecological footprint has more than trebled since 1961. This is due to:
Population growth
Increasing consumption
Increased production levels
The Global Footprint Network estimates that humanity first went into ecological overshoot in the 1970s and has been doing so ever since
This means that our ecological footprint is larger than the earth's capacity to regenerate its resources
Earth Overshoot Day is calculated as the day each year when humans have used the resources the Earth has the annual capacity to regenerate
In 2022, it was estimated that the world's population used 1.7 Earth's worth of resources
The consequences of this are major global environmental problems, which include:
Biodiversity loss
Climate change
Resource depletion
Challenges associated with calculating ecological footprints
Ecological footprints involve analysing various interconnected systems and processes
It can be a challenge to accurately measure and account for these
Environmental footprints don't give the full environmental impacts of a product
They do not account for the impacts of switching to a more environmentally friendly option
Ecological footprint calculations are based on simple principles, which means they can be difficult to apply to complex situations
Different methods of calculating ecological footprints produce different results
They are dependent on assumptions and data used
Predicting future consumption patterns, technological advancements, and their associated impacts can be challenging
This makes long-term footprint calculations less reliable
Examiner Tips and Tricks
In the final exam you may be asked to describe trends shown in graphs. It is important to ensure that you:
Identify the main trends
Is there an increase or decrease?
Is the rate of change slow or rapid?
Use figures from the graph to support your answer
What are the highest and lowest figures?
What is the range?
Identify any anomalies
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