Inequalities in Development (Cambridge (CIE) IGCSE Geography)

Inequalities in Development

Stages of development

• All countries move through the different stages of development

• The UN identifies four main stages of development

The development gap

• The development gap is the difference in levels of development between the least developed and most developed countries in the world

• There are many factors which lead to the differences in development

• Physical geography

  • Landlocked countries find trade more difficult and so often develop more slowly

  • Small countries develop more slowly due to having fewer human and natural resources

  • Those countries with extreme climates develop more slowly 

  • The physical geography also impacts on the natural resources available

• The physical environment provides natural resources

• Some countries are able to meet all their needs from the natural resources they have

• Many countries have to import some natural resources that are not available within their borders

• Water, food and energy security are particularly important to support a country's development

• Demography

  • The population structure of a country

  • The birth and death rates, as well as immigration, affect the available workforce

  • Those countries where birth rates have fallen the most show the highest rates of growth 

• Technology

  • Can help to increase water, food and energy security

  • Mechanisation of farming increases yields and improved land surveying may reveal more energy sources

  • Technology can also mean that existing resources are used more efficiently

• Social 

  • Levels of education affect the skills people have. The more educated a population is, the more a country will develop

  • Healthcare affects how well people are which affects their ability to work

  • Lack of equality can mean that the overall productivity of a country is affected

• Government policies

  • The stability and effectiveness of government can have a significant impact on development and human welfare

  • Development and human welfare are greatest where there is a democratically elected government

  • Corrupt governments do not invest in the country's development or in improving the quality of life for the population

  • A government's economic policy affect development and human welfare through:

    • Open economy: where foreign investment is encouraged, which generates faster development

    • Higher rates of saving and lower spending compared to GDP results in further development

Differences within countries

• As well as differences between countries, there are also differences in development within countries:

  • This can be seen in all countries, whether they are developed, emerging or developing

  • Often development is focused on particular regions

• Inequalities within countries are due to several factors

• Cumulative causation theory is one explanation for regional differences:

  • Growth in the core region attracts skilled labour and capital

  • Areas in the periphery suffer as skilled labour leaves and investment is focused on the core

  • The gap between the core and the periphery increases

  • Eventually the growth of the core region may stimulate growth in the periphery due to the demand for raw materials

• There are three stages of regional inequality:

  • Pre-industrial stage: regional differences are at their lowest

  • Period of rapid economic growth: increasing regional differences

  • Regional economic convergence: where wealth from the core spreads to other parts of the country 

Causes of regional inequalities

• Residence: urban areas generally attract greater levels of investment, leading to increased business and incomes. There may also be inequality within the urban area

• Ethnicity: discrimination can result in ethnic groups having income levels significantly below the dominant groups within a country. This reduces the opportunities open to these groups

• Employment: the split between formal and informal employment impacts incomes. Formal jobs usually have higher incomes and greater benefits, such as holidays and sick pay

• Education: those with higher levels of education usually gain higher-paying employment 

• Land ownership: inequalities in land ownership are strongly linked to inequalities in income