3.1 - Development gap - Bigger or smaller? Flashcards
How easy is it to measure QoL?
- not easy
- using standardised measure of economic activity eases this
e. g. GDP per capita measures the total value of goods and services produced in a country over one year per person
What is a single indicator?
One has one factor to measure something - e.g. life expectancy
What is a composite indicator?
Has many factors to measure something - e.g HDI
What are indicators of development?
- economic activity
- social factors
- environmental factors
- HDI - life expectancy, knowledge and standard of living
What is an example of HDI involving Chile and Malaysia?
Chile has a lower GNP than Malaysia, but life expectancy and expected years of schooling are lower than in Malaysia than in Chile so it has a higher HDI rating than Malaysia
What is the gender inequality index (GII)?
Measures gender disparity and was created by the UN development programme
What is the Lorenz Curve and what can it be used for?
Can be used graphically to represent the distribution of income
What is the Gini coefficient?
A number between 0 and 1 that measures the degree of inequality in the distribution of income or wealth. The coefficient would be 0 for a society in which each member received exactly the same amount. A coefficient of 1 would mean that one member got everything and the rest got nothing. The Gini index is defied as a ratio of the areas on the Lorenz curve diagram. If the area between the Line of Equality and the Lorenz curve is A and the area under the Lorenz curve is B.
Gini index = A / (A+B)
The higher the coefficient, the more unequal the distribution will be
What do Europeans tend to be and what do they believe?
Egalitarian, believing in a fair society
What is the emphasis on in the USA and China and what is needed to make it work?
Equal of opportunity, need to move up the social ladder
Who are Francois Bourguignon and Christian Morrisson and what have they calculated?
2 French economists - Gini Coefficient
What is the exception to the inequality that they have referred to and why is this?
Brazil and Latin America as it was so far behind to begin with
What was the difference between S. Korea’s GDP in 1962 and 2014?
31925
What does South Korea’s economy rely on?
Trade - Mobile phones, TV’s, electronics, ships, cars
Why does their economy tend to recover well?
Strong global links developed
