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MEASURING DEVELOPMENT ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The north south divide
TRADITIONAL MEASURES OF ECONOMIC DEVELOPMENT ,[object Object],[object Object],[object Object],[object Object]
1. GNP per capita  / GDP per capita ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object]
 
PROBLEMS WITH USING MONEY UNITS TO ASSESS DEVELOPMENT 1. Real value of a currency can change over short periods, so US dollar is used, conversion creates distortions due to inflation 2. Does not reflect the actual purchasing power of a currency within a country (costs vary country to country) 3. Much output does not enter international trade 4. Socialist countries may have different definitions of national income 5. High local costs due to cold winters or the size of a country eg. Russia lead to problems due to money spent on clothes, heating and transport 6. GNP gives no indication of how money/wealth is distributed within a country. A rising GNP may show a country is wealthier while the poorest citizens remain extremely poor
2. PURCHASING POWER PARITY PER CAPITA ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
 
3. ENERGY CONSUMPTION ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
 
4. WORKFORCE ENGAGED IN AGRICULTURE ,[object Object],[object Object],[object Object],[object Object],[object Object]
DEMOGRAPHIC MEASURES 1. Crude birth rate 2. Crude death rate 3. Natural increase (growth rate) 4. Infant mortality rate 5. Fertility rate 6. Life expectancy 7. % under 15 years (structure of the population) ,[object Object],[object Object],[object Object]
 
 
Natural increase birth rate - death rate expressed as a %
 
LIFE EXPECTANCY
QUALITY OF LIFE INDICES multivariate/composite measures 1. Physical quality of life index  PQLI 2. Human development index  HDI 3. International human suffering index  IHSI
(1)  Physical Quality of Life Index (PQLI) · Composite indicator devised by the Overseas Development Council in 1977. · Indexed from 0 to 100. (O is the worst, 100 is the best) · Based on:   *Life expectancy *Infant Mortality Rate   *Adult Literacy Rate · Index greater than 77 suggests that the minimum requirements for development are satisfied. · Limited, due to the small number of variables.  Oil rich nations have large GNP per cap. But lower PQLI Other countries eg. China and Sri Lanka have low GNP per cap. But ‘highish’ PQLI AVERAGE OF 3 RATES TAKEN
ANGOLA 20 INDIA 42 BRAZIL  72 CHINA 75 SINGAPORE 86 PQLI Recent PQLI data for developing nations The most developed countries will have a PQLI very close to 100 Is Singapore now developed?
(2)  Human Development Index (HDI) · Devised in 1990, when the UN Development Programme realised that income growth/ economic measures were not  good indicators of development. · HDI consists of; *Real income per capita (PPP) ECONOMIC *Educational attainment, given by adult literacy    rate combined with the mean number of years    of schooling. SOCIAL *Life expectancy at birth. DEMOGRAPHIC
Problems and limitations with the HDI ,[object Object],[object Object],[object Object],[object Object],[object Object]
HDI
3)  International Human Suffering Index (IHSI) · Developed in 1987 by the Population Crisis Committee of Washington DC · Gives an indexed score, from 0 to 100. Unlike the PQLI, the lower the score, the better. · Score is based upon; *GNP per capita.  *Rate of inflation  *Growth of labour force *Urban population growth rate. *Infant Mortality Rate.  *Daily calorie supply as a % of requirements *Access to clean drinking water. *Energy consumption per capita *Adult literacy rate *Personal freedom   The 10 indicators genuinely reflect overall quality of life But scoring is a little subjective in some cases
minimal moderate high   extreme
The Problems With Indicators of Social Development. · They do not accurately reflect the inequalities within the given  set. They do not reflect income distribution.  · There is still a lack of agreement on a universal system of measuring social development. Some indicators change daily, e.g. freedom of speech, right to vote, political freedom, etc. · The other problem is associated with the collection of data, for some of the following reasons; *Very few census surveys take place in LEDCs. *Registration is inadequate and unrepresentative.  *Only the better educated, wealthier people can    understand the registration procedures. *Refusal to fill in forms for political or personal    reasons.
· Reasons for an unreliable census ; * Too costly for some LEDC’s. * Incomplete mapping. * Lack of trained staff. * Hard to record nomadic peoples. * Transport difficulties. * Male staff unable to interview women in the Middle East and Indian subcontinent, due to cultural differences. * Language (regional dialects) difficulties. * Low literacy levels. * They can be adapted to portray something entirely  different for political reasons.

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Lesson2 I Development

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  • 7. PROBLEMS WITH USING MONEY UNITS TO ASSESS DEVELOPMENT 1. Real value of a currency can change over short periods, so US dollar is used, conversion creates distortions due to inflation 2. Does not reflect the actual purchasing power of a currency within a country (costs vary country to country) 3. Much output does not enter international trade 4. Socialist countries may have different definitions of national income 5. High local costs due to cold winters or the size of a country eg. Russia lead to problems due to money spent on clothes, heating and transport 6. GNP gives no indication of how money/wealth is distributed within a country. A rising GNP may show a country is wealthier while the poorest citizens remain extremely poor
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  • 16. Natural increase birth rate - death rate expressed as a %
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  • 19. QUALITY OF LIFE INDICES multivariate/composite measures 1. Physical quality of life index PQLI 2. Human development index HDI 3. International human suffering index IHSI
  • 20. (1) Physical Quality of Life Index (PQLI) · Composite indicator devised by the Overseas Development Council in 1977. · Indexed from 0 to 100. (O is the worst, 100 is the best) · Based on: *Life expectancy *Infant Mortality Rate *Adult Literacy Rate · Index greater than 77 suggests that the minimum requirements for development are satisfied. · Limited, due to the small number of variables. Oil rich nations have large GNP per cap. But lower PQLI Other countries eg. China and Sri Lanka have low GNP per cap. But ‘highish’ PQLI AVERAGE OF 3 RATES TAKEN
  • 21. ANGOLA 20 INDIA 42 BRAZIL 72 CHINA 75 SINGAPORE 86 PQLI Recent PQLI data for developing nations The most developed countries will have a PQLI very close to 100 Is Singapore now developed?
  • 22. (2) Human Development Index (HDI) · Devised in 1990, when the UN Development Programme realised that income growth/ economic measures were not good indicators of development. · HDI consists of; *Real income per capita (PPP) ECONOMIC *Educational attainment, given by adult literacy rate combined with the mean number of years of schooling. SOCIAL *Life expectancy at birth. DEMOGRAPHIC
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  • 24. HDI
  • 25. 3) International Human Suffering Index (IHSI) · Developed in 1987 by the Population Crisis Committee of Washington DC · Gives an indexed score, from 0 to 100. Unlike the PQLI, the lower the score, the better. · Score is based upon; *GNP per capita. *Rate of inflation *Growth of labour force *Urban population growth rate. *Infant Mortality Rate. *Daily calorie supply as a % of requirements *Access to clean drinking water. *Energy consumption per capita *Adult literacy rate *Personal freedom The 10 indicators genuinely reflect overall quality of life But scoring is a little subjective in some cases
  • 27. The Problems With Indicators of Social Development. · They do not accurately reflect the inequalities within the given set. They do not reflect income distribution. · There is still a lack of agreement on a universal system of measuring social development. Some indicators change daily, e.g. freedom of speech, right to vote, political freedom, etc. · The other problem is associated with the collection of data, for some of the following reasons; *Very few census surveys take place in LEDCs. *Registration is inadequate and unrepresentative. *Only the better educated, wealthier people can understand the registration procedures. *Refusal to fill in forms for political or personal reasons.
  • 28. · Reasons for an unreliable census ; * Too costly for some LEDC’s. * Incomplete mapping. * Lack of trained staff. * Hard to record nomadic peoples. * Transport difficulties. * Male staff unable to interview women in the Middle East and Indian subcontinent, due to cultural differences. * Language (regional dialects) difficulties. * Low literacy levels. * They can be adapted to portray something entirely different for political reasons.