Development and Human Welfare

a) The different ways of defining development, using economic criteria and broader social and political measures.

b) Different factors contribute to the development and human welfare of a country: economic, social, technological, cultural, as well as food and water security.

c) Development is measured in different ways: GDP per capita, the Human Development Index, measures of inequality and indices of political corruption. (1) and (2)

Development is the progress that countries make which improves the lives of the population and makes the country more independent. It is a process of change and growth. development depends on many factors which are called development strands, these include:

• Economic- employment (security and levels of pay), the standard of living (raising the minimum wage), and productivity (efficiency of capital and labour) - comes from the exploitation of resources such as minerals, energy, climate and soils. it also requires capital, technology, enterprising people and government.

The three main forces involved in economic development are resources, internal boosters and external boosters. (as seen in diagram).

• demographic- life expectancy (rises with better healthcare, hygiene and diet), birth control, mobility (freedom to migrate)

• social- welfare (access to services), equal opportunities, quality of life

• cultural- education (compulsory for all), heritage (respect and conserve), ethnicity (mutual respect)

• political- right to vote, democratic government (with regular and fair elections), freedom of speech

• environmental- pollution (effective controls), conservation (biodiversity and non-renewable resources), minimising ecological footprints

It is important to develop in a lot of different strands of development. The most important strand is economic as it drives forward the other strands and holds the most power.

• The well-being of a person/group of people- society or population, in terms of health and happiness. (very subjective evaluation)

• improving quality of life is one of the outcomes of economic development due to the cycle of wealth:

the cycle of wealth:

economic wealth is split up between disposable income, taxes and new investment. if there is good governance taxes will be spent on goods such as roads, defence, education and healthcare. Disposable incomes increase as economic wealth increases- people can use more services and those working in services in turn improve their quality of life. New investments starts a new cycle of wealth.

• the widening difference between countries with the lowest development indicators and those with the highest (poorest and richest)- difference in levels of development.

• can also show differences within a country

Core- the most economically and politically dominant area in a country or region.

Periphery- the more isolated, less economically developed and less politically influential area in a country or region.

• Development does not happen in a smooth, continuous process.

• Levels of development vary on a local, national and international scale

  • There are differences between areas of the same city, the same country and between countries

  • At an international level the development of a country can be categorised into one of three groups:

    • Developed - a country with very high human development - UK

    • Emerging - a country with high or medium human development -Brazil

    • Developing - a country with low human development - Honduras can be considered a good example of a developing economy. It is one of the poorest countries in Latin America. More than 50% of its population lives below the poverty line

• physical geography

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

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

Those countries with extreme climates develop more slowly

The physical geography also impacts on the natural resources available:

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

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

When countries have to import natural resources this means they are do not have the security of supply as imports could be affected by war or political issues

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

• Demography

the population structure of a country, birth and death rates will affect the available workforce

• Technology

can help increase the supply of food and water and energy security.

the mechanisation of farming- increased yields and improved land surveying- reveal more energy sources.

efficiency increased

• 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

• Govermental inputs

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

Governments impact economic policies which in turn affect development and human welfare

Open economies where foreign investment is encouraged to develop faster

The higher rates of saving and lower spending result in faster development

• All countries move through different stages of development

• five stages of economic development

• excludes human welfare

• no attached timeline to this path- suggests that economic development only begins when certain preconditions are met

• this concept of development is often disliked as it is presented with a bias towards economic development adapted by western countries- place a bias on the importance of wealth, particularly individual wealth

the traditional society- agrarian society- based on farming- primary sector

preconditions for take-off- society begins committing itself to secular education, that it enables a degree of capital mobilization, especially through the establishment of banks and currency, that an entrepreneurial class forms, and that the secular concept of manufacturing develops, with only a few sectors developing at this point. This leads to a take-off in ten to fifty years. At this stage, there is a limited production function, and therefore a limited output. loans can help with this.

take off- tertiary sector? traditional to modern society transition

the drive to maturity- After take-off, there follows a long interval of sustained if fluctuating progress, as the now regularly growing economy drives to extend modern technology over the whole front of its economic activity.The drive to maturity refers to the need for the economy to diversify. The sectors of the economy which lead initially begin to level off, while other sectors begin to take off. This diversity leads to greatly reduced rates of poverty and rising standards of living, as a society no longer needs to sacrifice its comfort in order to strengthen certain sectors.

high mass consumption- The age of high mass consumption refers to the period of contemporary comfort afforded to many western nations, where consumers concentrate on durable goods. Society is able to choose between concentrating on military and security issues, on equality and welfare issues, or on developing great luxuries for its upper class. Maturation can then bring-on deindustrialization as manufacturers reorient to cheaper labor markets, and deindustrialization can, in turn, destabilize the tertiary sector. Mature economies may implicitly destabilize and cycle back-and-forth between the final stages of the developmental phases as they rebalance themselves, over time, and re-evolve their economic base.

• Gross Domestic product (GDP) per capita

Gross Domestic Product (GDP) per capita is the total value of goods and services produced within a country in a year divided by the population of the country

• There can be huge differences in GDP depending on the size and population of a country

• Dividing it by the population means that more meaningful comparisons can be made between countries

• GDP per capita is an average this means that the variation in wealth is hidden

  • It is possible that two countries can have the same average GDP per capita but that one has a few very wealthy people and lots of people living in poverty whereas the other has a more equal distribution of the wealth

• There is no way of knowing what the GDP is spent on - for example, GDP increases after an earthquake due to the rebuilding which is needed this does not mean that the country is more developed or that everyone's quality of life has improved

• Human Development Index HDI

• The Human Development Index (HDI) is a combined measure of average achievement in key areas of human development, health, education and standard of living using the following data

  • Life expectancy at birth

  • Mean years of schooling for adults aged 25 years

  • Expected years of schooling for children at school entering the age

  • Gross National Income (GNI) per capita

• Countries can be divided into four groups using HDI

  • Very High Human Development (VHHD)

  • High Human Development (HHD)

  • Medium Human Development (MHD)

  • Low Human Development (LHD)

• HDI is scored from 0 to 1

• The higher the HDI the higher the level of development and quality of life

• Norway has the highest HDI at 0.957

• Niger has the lowest HDI at 0.394

this measurement is better than just using GDP because it takes into account multiple factors

• measures of inequality

• GDP and HDI are not able to identify inequality within countries

• In some countries there is a significant gap between the wealthy and the poorest in the population

• The Gini coefficient index is used to analyse the distribution of wealth and identify the countries where wealth distribution is most unequal

  • Measured on a scale of 0 - 1.0 or as a percentage

  • A low value means that the distribution of wealth is more equal - a measurement of 0 would mean that wealth is distributed completely equally

  • A high value means the distribution of wealth is unequal - a measurement of 1 would indicate maximum inequality

  • The Gini coefficient index is usually between 0.24 and 0.63 or 24%-63%

• The highest inequality is currently in South Africa, Central Africa, Namibia, Zambia and Suriname

• The lowest inequality is in the Czech Republic and Croatia

• indices of political corruption

• Political corruption can have a devastating impact on both development and human welfare

  • It means money is often not invested in infrastructure, development and human welfare but goes to wealthy individuals

  • It leads to a lack of trust between local/national governments and the population

  • Transparency International scores 180 countries around the world out of 100 based on the levels of public sector corruption

  • The higher the score the less corruption has been found

    • Denmark, New Zealand, Finland and Singapore have the lowest levels of public sector corruption scoring 85/100 or more

    • Somalia, Syria and South Sudan have the highest levels of public sector corruption scoring less than 15/100

Indicators of political corruption

- The corruption perception index CPI was devised to help investors work out where their money would be the safest from a scale of 10 (honest) to 0 (corrupt). In corrupt countries, money is used to bribe officials.

- Political mismanagement and corruption can slow or reverse development.

a) Global pattern of the uneven development between and within countries and the factors (social, historic and economic) that have led to these spatial variations.

b) Impact of uneven development on welfare and quality of life within one named country ü: poverty, unemployment, inadequate housing and physical infrastructure. (3)

c) How countries at different levels of development have differences in their demographic data (fertility rates, death rates, natural increase, population structures, maternal and infant mortality rates). (4) and (5)

• historic factors:

• colonialism- hindered many countries in development,

European countries have exploited countries they colonised in the 1700 and 1800s

The European countries colonised the countries and then took the resources of those countries to sell for profit

There was an investment in colonies, but this was focused on products and infrastructure that would help the European country exploit the country and its people

Borders were often decided by the European country with no regard for the boundaries set by the indigenous communities. This led to future tensions and conflicts

• neocolonialism-

Neocolonialism describes how developed countries dominate the least developed and developing countries today

The issue of 'land grabbing' where wealthier countries buy large areas of farmland in the least developed and developing countries is of increasing concern

In 2012 it was estimated that 200 million hectares of land mainly in Africa and Asia had been bought up by wealthier countries to grow food for their populations. This has several impacts:

• It forces indigenous populations off their land

• It reduces the amount of food grown for the local population

• It uses vital water resources

• It increases pollution of water and the environment through the use of fertilisers and pesticides

• social factors-

• Where investment in education and health is lower countries develop at a slower rate

• Education helps to increase the number of people with higher levels of education and skills:

  • Increasing the skilled workforce

  • Secondary and tertiary economic activities are more likely to develop where the workforce has higher levels of education

• Investment in healthcare and clean water reduces the number of people who are sick:

  • People are healthier and so more able to work which boosts the economy

• political factors- Political corruption can affect investment in infrastructure, education and healthcare. Wars and conflict lead to money being spent on weapons rather than investment in development

• economic factors-

Open economies which encourage foreign investment develop more rapidly

Large scale investment by transnational corporations (TNCs) can lead to the multiplier effect or cumulative causation which further boosts the economy

The least developed and developing countries tend to rely on primary produce which means profits are lower as the price paid for the goods is lower

Many of the least developed and developing countries are in debt to the developed countries:

• The countries have to spend money paying off the debt and the interest on the debt

• This reduces investment in 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 focussed on the core

    • The gap between the core and the periphery grows

    • 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

• the people of less-developed countries are not to blame for the failure of their societies to develop. Instead, it is suggested that Western nations deliberately failed to develop these countries.

• richer countries control the global economy and often exploit developing countries

Poorer countries = periphery

- Richer countries = core

- Argues that the relationship between developed and developing countries is one of dependency

- The exploitation of resources dates back to colonial times and TNSs today

- Poorer countries have low levels of development due to the global economy by the richer countries

- Uneven development has been encouraged by unfair trade, bilateral aid, too deep in debt because of large loans that can’t be repaid due to interest

Purchasing Power Parity – compares what the same amount of money can buy in different countries. It takes into consideration the different costs of living.

• allows a government to judge how many people of working age they have relative to how many people are said to be dependent

• a dependent person is someone who cannot fend for themselves or who relies upon others to maintain their wellbeing, including: disabled people, the very young and old

• countries with a high dependency ratio close to one have high dependency- dependency ratios of 0 are better.

%of population under 15 + population over 65 /

%of people of working age [ x100]

high dependency causes: high birth rate, ageing population (e.g. Japan)

• fertility rate- the average number of children that people bear

• death rate- mortality rate, the number of people per thousand who die in a particular area usually during a year

• Birth rate -How many babies are born per 1000 people in a population in a year

• Death rate-How many people die per 1000 people in a population per year

• literacy rate- What percentage of the country is able to read and write as adults

• life expectancy at birth- The average age a person can expect to live to

• infant mortality ratee- How many babies die per 1000 live births a year

• GDP per capita- The total value of goods and services produced within a country per capita

• natural increase- the difference between the number of births and the number of deaths recorded over a period. birth rate is higher than death rate

• maternal mortality rate- the number of maternal deaths during a given time period per 100,000 live births during the same time period.

• infant mortality rate- the number of infant deaths for every 1,000 live births.

• population structures- the composition of a population- how it is divided up

Shows the relationships between birth rates, death rates and total population change over the years

- Describes what happened to BR and DR in the HICs since 1800 and based on the UK

- Has 5 stages linked to the country’s level of development

- not all countries go through all 5 stages eg LICs or NEEs

- Most countries can be allocated to a stage of the model to indicate their level of development

Death rates drop. Then birth rates drop. Rapid growth during transition.

stage one- Low Growth: A pre-industrial agrarian society with a High BR, High DR, and a Zero NI

stage two- High Growth, High BR, Rapidly declining DR, High NI

stage three- Moderate Growth, Rapidly Declining BR, Moderately Declining DR, Moderate NI

stage four- Low BR, Low DR, Low NI, stable population

stage five- Low BR, Increasing DR, Negative NI, decreasing population

Brazil

• 5th largest country in the world

• 214 million live there

• capital city: brasilia

• income distribution is not equal- favelas (informal settlements)

• 2000- high birth rate and death rate- high dependent population

• the core is the southeast

• periphery is the north

China

• China has a wide variation in GDP per capita by province

  • Beijing and Shanghai have GDP per capita of over US$23,000

  • Four provinces all along the east coast have GDP per capita over US$13,000

  • The province of Gansu has the lowest GDP of US$4936

• The provinces along the east coast can be regarded as the economic core of China

• Most secondary and tertiary economic activity is located there

• The economic periphery is to the west and far north-east of China:

• The development gap can be seen in a range of areas affecting human welfare and the country:

  • 17 million people are still living on about US$2.30 a day

  • Over 90% of people living in poverty live in rural areas

  • The standard of housing is often poor

  • Increasing numbers of people are being moved to apartment blocks to free up land for factories

  • Over 25% of rural households have access to piped water

  • Literacy rates in rural areas are 65% whereas in urban areas they are 84%

  • Regional inequality has led to significant rural - urban migration in China

  • In some areas the rate of unemployment in rural areas is over 30%:

    • Leads to increased poverty

  • Difficult to attract businesses to these regions

  • The periphery is more dependent on primary economic activities

  • Only 15% of rural sewage is collected and treated properly

    • This leads to water contamination and disease

    • Use of biomass for cooking and heating increases indoor air pollution

    • Lead, zinc and other mining waste increase water pollution

    • Small industries such as those that process electronic waste don't dispose of the waste safely

    • More than 40% of China's land is degraded from over-cultivation, overgrazing and erosion

    • 19% of farmland is contaminated by heavy metals and chemical pollutants

a) The range of international strategies (international aid and intergovernmental agreements) that attempt to reduce uneven development.

b) Different views held by individuals, organisations and governments on tackling the development gap

c) Advantages and disadvantages of top-down and bottom-up development projects used to promote development in a named developed and a named emerging or developing country.

• Intergovernmental organisations

• (UN):

  • World Health Organisation (WHO)

  • Food and Agriculture Organisation (FAO)

  • United Nations Conference on Trade and Development (UNCTAD)

  • United Nations Educational, Scientific and Cultural Organization  (UNESCO)

  • The World Bank

  • International Monetary Fund (IMF)

• The World Trade Organisation (WTO) is not part of the UN but has strong links with it

• Governments of countries around the world donate money to IGOs

  • This money is then allocated to countries around the world for projects to assist the development

  • The IMF, World Bank and WTO promote free trade and globalisation

  • The UN developed the Sustainable Development Goals which have been agreed upon by 193 countries:

    • Include 17 goals including zero hunger, clean water and quality education

  • Debt relief is also used by IGOs to assist development:

    • Allows countries to focus on developing and investing in areas such as infrastructure and education

    • There is no guarantee that the country will spend it effectively

• trade is the key to economic development

• Trade allows countries to sell the resources they have so they can then invest in things which will improve their development .

• The money generated by trade also means they can import things they don't have which can also enhance development such as tractors or communication technology

• Trade is not always fair:

  • Developing countries are often paid less for their exports than developed countries

  • Developing countries often are disadvantaged by trade barriers

  • Trade agreements often favour developed and emerging countries

free vs fair trade

• fair trade aims to help producers in developing markets to make better developing conditions and promote sustainability by the payment of a high price to exporters. farmers get a higher and fairer share of profits- cash crops

• free trade- hics continue to protect their own industry by tariffs and subsidies. lics are advised to have free trade but it is difficult. Haiti has a free economy- cheap American rice is sold there- usa subsidies their farmers, Haitian rice is now too expensive

intermediate or appropriate technology combines sophisticated ideas with cheap and readily available materials that are affordable in LICS e.g. small local biogas generators or water pipes/ torches that are solar-powered as opposed to a high-tech laptop that someone wouldn’t be able to use or have a need for.

There are many different types of international aid

International Aid can be given as advice, technology, food and money

There are many different types of aid

It is important that aid is appropriate meaning that it fits the needs of the developing country. For example, aid in the form of tractors may not be appropriate if the community cannot afford the diesel or doesn't have the skills needed to maintain them

Disadvantages of International Aid

• It does not always reach the people who need it due to corruption and mismanagement

• It is not always appropriate - large scale projects such as dams can end up creating more poverty for some people

• Countries may become dependent on aid and development may be stalled as a result

• Aid is often tied to aid which means that countries have to spend their money in specific ways rather than on the development which is needed

• Aid can be used by the donor country to apply political or economic pressure

• It can result in food and water costing more

• emergency aid- This is always used to deal with emergencies and involves many countries from all over the world giving money to countries which have been affected by natural disasters. e.g. a cyclone or earthquake

• voluntary aid- These are mainly charities e.g. Oxfam who collect donations to give to developing countries.

  Most NGO’s are based in MEDC’s. They target their aid towards small-scale local projects which bring genuine benefit to the people.

• tied aid- Tied aid is when the country giving the aid expects something in return for the aid - the host country may have to trade more with the donor country for example. Untied aid is where the receiving country does not have to give anything in return.

• multilateral aid- This is where governments hand over the responsibility of aid to international aid agencies, such as UNICEF, WORLD BANK and WHO.

  These agencies try and pay more attention to what the country actually needs enabling them to become more developed.- more likely to be allocated based on actual humanitarian needs.

  may involve bureaucratic barriers and mean the aid takes longer to get to the country.

• bilateral aid- aid is given from one government to another. The country receiving the aid may have to purchase goods from the country giving the aid.

  The problem is that some governments giving the aid often sell very expensive products e.g. tractors, which will not necessarily help the country progress. The tractors require expensive fuel and spare parts and cause unemployment as fewer workers are needed on the land.

• official aid- government aid designed to promote the economic development and welfare of developing countries.

Debt Relief

• when some or all of a country’s debt is cancelled, or interest rates on their loans are lowered. HIPC- highly indebted poor country states means you qualify for debt assistance.

• reduces the development gap- money can be spent on national projects

• hics establish better relationships with these countries so there is more international aid

• does often involve strict conditions that can harm development

Conservation Swaps

• financial transactions in which the developing country’s debt is relieved in return for an environmental conservation project/measures to protect global habitats

• usa relieved Peru’s 25 million dollar debt in return for rainforest conservation

• reduces development gap

• everyone benefits from conservation!

• but areas may not stay conserved in the long term due to corruption in the receiving country.- money may be spent on unnecessary things.

• Top down development schemes are usually expensive

  • The schemes happen as a result of government or TNCs

  • They often involve borrowing money

  • Local people affected by the scheme often have little say in the process

High Speed 2 (HS2)

• Aims to reduce regional inequality increasing growth, productivity and incomes in the Midlands and the North of England

• First stage will be completed in 2026

  • It will link Birmingham and London

  • Stage 2 included a link to Leeds - this part of the project has now been abandoned

good

• Increase employment and productivity in the Midlands and North

• 22,000 construction jobs are to be created

• The government estimates an increase in the UK GDP of £15bn a year

• Increasing numbers of people will use the trains instead of car or planes reducing emissions

• Better transport connections reduce production costs

• The government estimates 70% of jobs will be created outside London

bad

• The cost has increased from £32.7bn to an estimated £72bn-£98bn

• 250 acres of green belt land will be built on

• It will cross Sites of Special Scientific Interest (SSSI)

• HS2 trains will use 50% more energy than Eurostar trains

• The money could be spent on many other projects to improve the quality of people's lives

• The consultation did not take into account the views of people along the proposed route

Mumbai Monorail

good:

Reduces the amount of traffic on the roads making them safer

Constructed over built-up areas without having to clear any roads/land

Carries passengers quickly (40mph) and easily moves around the landscape

Government created a public-private partnership by 2008 with foreign engineering companies who provided the expertise - because it would be good for prestige

Tickets are cheap (11 rupees per person – 10p)

bad:

Construction began in 2009 with a deadline of 2011 but it only opened in 2014

The cost of the first section was £310 million (9km length)

Number of passengers has been lower than expected – only 15,000/day

Mainly used by tourists due to its location away from the main city

• in reality this project slight flopped

Vision Mumbai

Mckinsey- completion by 2050, solve the worsening quality of life and build up of informal settlements

good:

By 2007, 200,000 people were moved, and 45,000 homes demolished in Dharavi. New flats replaced slums

Piped water and sewerage systems were established for new flats.

By 2015, 72 new trains were introduced on Mumbai’s railways. Platforms were raised to prevent people falling into the ‘gaps’ between trains and platforms

In 2015, new measures were introduced to improve air quality.

bad:

many would just prefer slum improvement

rent is very expensive

split communities

Mumbais recycling industry may have to move

only benefits rich and powerful

projects that are planned and controlled by local communities to help their local periphery area

SPARC- Mumbai community toilets

good:

• responds directly to community needs and involves them

• 800 toilet blocks built

• cheap

• connected to sewerage

bad:

• not enough toilets for the millions living there

• takes time to gain permits

• 25 rupees a month

• should be done by gov. not a charity

Mumbai Hara Foundation

• lots of street children have dropped out of school, the foundation provides social work services to help them gain job skills- gives teen computer and mechanics training so they can get jobs

good:

• provides vocational training

• 25 years 2000 children attended training

• rescues children from domestic violence and harmful work conditions

bad:

• only a small number of children are being helped

Micro-Hydro Schemes in Peru

• Aims to provide electricity to remote rural areas where 50% of people were living on just US$2 a day

• Practical Action has installed 47 micro-hydro schemes across Peru which provide:

  • Metered electricity to 5,000 families

  • Good quality lighting

  • Refrigeration

  • Access to televisions/computers

• 25% of households have started or expanded businesses as a result of having electricity

• 60% of household incomes have increased

Chambamontera, Peru

• Cost of scheme US$51,000 partly paid for by the community, Japan and Practical Action

• 60 families directly benefit and an additional 100 families in neighbouring villages benefit

  • Streetlights mean that people can go outside after dark

  • Improved school facilities

  • Completing homework in an evening is now possible

  • Business development is possible

  • Coffee processing has become mechanised

• Microcredit refers to loans given to people to start a small business

• The loans are generally small US$100-500 to start with but can be increased as a business grows

• Usually they are given to people on very low incomes who would not get a bank loan

• Interest rates are very low or in some cases, the loan is interest free