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CH 10 Reading Guide

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Key Issue 1: Why Does Development Vary Among Countries?
Pages 350-358
1. Quick Reference: As you read define the following terms:
Development
A process of improvement in the condition of people in the
conditions of people through diffusion of knowledge and
technology.
Developing Country
A country is a relatively early stage in the process of
development.
Human Development
Index (HDI)
An indicator constructed by the U.N to measure the level of
development for a country through a combination of income,
education, and life expectancy.
Gross National Income
(GNI)
The value of the output of goods and services produced in a
country in a year, including money that leaves and enters the
country.
Purchasing Power Parity
(PPP)
The amount of money needed in one country to purchase the
same goods and services in another country
Gross Domestic Product
(GDP)
The value of the total output of goods and services produced in a
country in a year, nit accounting for money that leaves and
enters the country.
Primary sector
The portion of the economy is concerned with the direct
extraction of materials from Earth, generally through agriculture.
Secondary sector
The portion of the economy is concerned with manufacturing
useful products through processing, transforming, and
assembling raw materials.
Tertiary sector
The portion of the economy concerned with transportation,
communications, and utilities, sometimes extended to the
provision of all goods and services to people in exchange for
payment.
Productivity
The value of a particular product compared to the amount of
labor needed to make it.
Value-added
pupil/teacher ratio
The number of enrolled students is divided by the number of
teachers.
Literacy rate
The percentage of a country’s people who can read and write
2. Taking into account that progress varies widely between countries, the UN divides
developed and developing countries into 3 categories: high, medium, and low developing. Use
figure 12-2 to give an example of each category for MDCs and LDCs.
Developed countries are those with very high HDI scores. The other three are for developing
countries. (High, Medium, Low, No data)
3. The highest rating for HDI is: 1.0 or 100%
4. Three factors that help determine HDI:
a. A decent standard of living
b. A long and healthy life
c. Access to knowledge
5. Use figure 10-2
Four categories within HDI:
Regions within each
Very High Developed
Africa, Eastern Europe, Nothern Amercia,
Oceania
High Developing
Africa, Central America, Asia
Medium Developing
Africa, Eastern Europe
Low Developing
Africa, Oceania
6. Which two development regions have the lowest HDI?
South Asia and Sub-Saharan have the lowest HDI.
7. Why are Japan and South Korea classified separately from the East Asia region?
Japan and South Korea are classified separately from the East Asia region because their
level of development is much higher than their neighboring countries.
8. How is Russia classified?
Russia is classified because it has an HDI score that places it on the boundary between
very high and high developed.
9. What is the difference between GNI and GDP?
GNI is the value of the output of goods and services produced in a year, while GDP
10. Why is GNI not a perfect measure of a country’s wealth?
11. What are the three categories for jobs?
a.
b.
c.
12. Use figure 10-5/ Within MDCs, what is the trend (increasing or decreasing) for each of
the sectors?
a. Primary:
b. Secondary:
c. Tertiary:
13. Why are workers in developed countries more productive?
14. Explain the two measures of the knowledge component for HDI:
a. Years of schooling for today’s adults:
b. Expected years of schooling for today’s youth:
15. Describe the pattern of pupil-teacher ratio for MDCs and LDCs (use figure 10-9 to help).
How does this pattern affect developing countries?
16. Why are people healthier in developed countries?
17. Describe the availability differences for transportation and communication consumer
goods on MDCs and that compares to LDCs.
18. Is this pattern changing? If so how? What consumer good?
Key Issue 2: Where are Inequalities in Development Found?
Pages 359-367
1.
2. Quick Reference: As you read define the following terms:
Inequality-adjusted human
development index (IHDI)
Gender-related
development index (GDI)
Gender inequality index
(GII)
Female labor force
participation rate
Maternal mortality rate
Adolescent fertility rate
3. Why would we care about Inequality within a country or a region? What is the Gini Coefficient?
(you will need to look it up http://www.bbc.com/news/blogs-magazine-monitor-31847943 ) How does it
differ from the Inequality-Adjusted HDI?
4. How has inequality recently changed in developed countries?
5. Why is measuring gender inequality important?
6. Where is the GII higher? What is the largest contributor to this inequality in those regions?
7. Why does the U.S. have a lower GII?
8. Study Figure 10-20. Explain the pattern you see, relating it to Core, Semi-periphery, and
Periphery.
9. Discuss Gender Empowerment related to Political, Educational, and Employment opportunities.
10. Explain the two GII indicators of reproductive health
11. What are core and periphery regions?
12. Explain Wallerstein’s World Systems theory.
Key Issue 3: Why Do Countries Face Challenges to Development?
Pages 368-375
1. Quick Reference: As you read define the following terms:
Foreign direct investment
(FDI)
Structural adjustment
program
Microfinance
2. Explain the two paths a country can take towards development and give an example for
each.
a. Self-Sufficiency:
i. Example:
b. International trade:
i. example:
3. Explain the Rostow Model:
4. What is the World Trade Organization? Explain its importance and what it does.
5. Explain the distribution of FDI.
6. List the two major lenders to developing countries. What was the theory behind the
creation of these two agencies and giving money to developing countries?
7. Explain the two strategies for combating economic downturns:
a. Stimulus strategy:
b. Austerity Strategy:
8. Why do countries have adopt austerity programs?
9. What do critics say about the structural adjustment programs?
10. Explain microfinance:
Key Issue 4: Why Are Countries Making Progress in Development?
Pages 376-379
1. Quick Reference: As you read define the following terms:
Fair trade
Cooperative store
Sustainable development goals
Millennium development goals
2. How is sustainability promoted through fair trade?
3. Explain each standard of fair trade:
a. Fair trade for procedures:
b. Fair trade for workers:
c. fair trade for consumers:
4. What are the indicators of progress?
a. HDI:
b. GNI per capita:
c. Education:
d. Life expectancy:
5. Summarize the sustainable development goals:
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