APHUG Ch7

Industrialization causes an economy to become…

service-based

Industrialization:

process by which an agriculturally based society becomes a society based on manufacturing goods.

When and where did industrialization commence?

1800’s England

Is Sub-Saharan Africa industrialized?

No

China

heavily industrialized

Industrial Revolution:

Period in the 18th and 19th centuries when industrialization spread rapidly through Europe and NA

Why did the Industrial Revolution begin in England?

There was an abudance of coal and iron, a large shipping fleet, and booming population

The second agricultural revolution

Caused many farmers to move to urban centers to work factory jobs due to increased efficiency on farms, thus lowering the needs, increased population, increased food availability

Spinning Jenny

Allowed one person to produce several rolls of thread

Flying Shuttle

Allowed for the more rapid weaving of threads

Transportation-based inventions

Steam Engine, Ships, Railroads

When did modern technology spread to America?

The mid-1800’s

Why did England hoard modern technology rather than allow it to diffuse?

Gave it economic/political advantage, trade superiority

What type of diffusion is the spread of trade?

Hierarchical

Cottage Industries

A product manufactured by one person in one place, traditionally one's home

Factory

a product is manufactured by multiple people in multiple states in large location

Agricultural Society:

family is an economic unit, centered around home and land

everyone must work

How was time measured in Agricultural Society?

In relation to the seasons

What did industrialization do in relation to home/work life?

It separated the two

colonialism and imperialism led to an international…

division of labor, globalization,

What is the human development index?

A United Nations metric measuring the level of development of every country

What three factors is HDI based off of?

Standard of living, Life expectancy, Access to knowledge

What is the lowest/highest HDI score?

0, 1

What seven countries have the top HDI’s?

Norway, Ireland/Switzerland, Hong Kong/Iceland, Germany,

Sweden

Where is America on the HDI?

17th

What 3 factors does the US use to measure HDI?

GNI, GDP, GNP

What is GNI?

All income earned by individuals and businesses of  country, even if earned in another country

What is GDP?

Gross domestic product- The value of all goods and services produced in a year, even if by non-citizens of the country

What is GNP?

Gross national product- Value of all goods and services produced by a company's residents and businesses regardless of where they were made

How is GNI measured?

Per capita

What is PPP?

Cost of living adjustment made to the GNI

What is the main indicator of health in a country?

Life expectancy?

What is the global average life expectancy?

70

What is the life expectancy of the average developed country?

80

What is the average life expectancy of those in developing countries?

68

How does one measure a country’s availability of knowledge?

Average years of schooling, expected years of schooling, quality of schooling, literacy rate

Brth rate

Births/1000

Fertility rate

The average number of children a woman will have in her lifetime

Replacement Level

The fertility rate needed to sustain a population/2.1-2.3

Infant Mortality Rates

Deaths before age 1/1000 births

Urbanization

Percentage od population residing in cities

GII

Gender Inequality Index

What is a flaw pertaining to the use of HDI as a measure of development?

Not all parts of a country are equally developed/not entirely accurate

What is informal economy?

Non-regulated, independent services, frequently seen in lesser developed countries

The inclusion of what factors would result in a decrease of HDI?

Pollution and consumption of resources

Is the GII considered in the creation of the HDI

No

Does higher GII correlate with higher HDI?

Yes

Exception to the idea that GII correlates with HDI:

Brazil

GII ranges from

0-1, 1 being the highest

Factors in the improvement of GII

Women empowerment, labor force, reproductive health,

Women empowerment

Ability of women to achieve improvements in status

What are some methods of measuring women empowerment in a country?

The number of women involved in legislature, female education

How is women’s inclusion in the labor force measured?

Percentage of women employed in full-time jobs outside the home

Where would one see women in the labor force most frequently?

More developed countries

How is women’s reproductive health measured?

Adolescent fertility rate, MMR (Maternal Mortality Rate)

Which countries have seen the greatest improvements in GII as of late?

Southwest Asia, North Africa

Where does America stand on the HDI and GII?

17th, 46th

Compared to other countries in the top 20 of the HDI, America…

has twice the MMR, fewer women involved in legislature, and a higher teen birth rate

Countries with more primary sector jobs typically see…

more traditional roles in women, high levels of unpaid labor, less equal social roles

Countries with more secondary sector jobs typically see…

still more traditional roles in women, women working for cheaper wages at factory jobs, women working “appropriate jobs” like sewing or something of the sort

Countries in the tertiary sector typically see…

women having more social/economic oppurtunities, more education for women, lower birth rates

Quaternary and Quinary job sectors tend to be dominated by…

men

What are micro-loans?

small loans designed to help start or expand a small business

Who primarily uses microloans?

Women to get independence through the purchase of inventory for market booths or education

What is it that loans require that microloans do not?

security and collateral

Who created the five stages of state development?

W.W. Rostow

When were Rostow’s Stages of Development created?

In the 1960’s, during the communist scare

What assumptions does Rostow make about countries?

the most "modern" society is a liberal democracy with a capitalist economic system, wealth=power

Describe Rostow’s first stage of development

Traditional society, primary economic sector, subsistence farming, undeveloped industry, presence of trade,

How does one move from Stage 1 to Stage 2?

Foreign investment in natural resources

What is the name of stage 2?

Preconditions for takeoff

What is included in Preconditions for Takeoff?

Outside demand for natural resources, entrepeneurs develop money-making industries, new infrastructure, nationalism

What is Stage 3?

Takeoff; industrialization, urbanization, growth of secondary economic sector, commercial agriculture, new modern political and social institutions, development of schools

What is stage 4?

Drive to Maturity: Expanded development of manufacturing, Shift to tertiary sector of economy, transportation infrastructure, development of social institutions

What is stage 5

High Mass Consumption: Disposable income, service-based jobs, mainly tertiary sector, urbanized, exploitation of LDC’s

When was Rostow’s first stage seen in America?

Colonial United States- Society is focused on establishing ownership of land and settling the country through agricultural, military, and religious means

When was Rostow’s second stage seen in America?

United States 1800s- Society begins to establish transportation networks and infrastructure for the future

When was Rostow’s third stage seen in America?

United States during the Industrial Revolution- Industry expands rapidly as diffusion from Europe reaches the US

When was Rostow fourth stage seen in America?

United States 1900s- Momentum generated by the Industrial Revolution drives other sectors of the economy to expand and results in specialization

When was Rostow fifth stage seen in America?

Present Day US - Economy is primarily concerned with the production of consumer goods

What are some criticisms of Rostow’s Stages of Development?

Eurocentric (mainly European colonies that follow the pattern), concerns about foreign investment, infrastructure leads to debt, Stage 5 not always desirable, loss of culture, Bottoms Up might be better

Who developed the World Systems Theory

Immanuel Wallerstein

When was Wallerstein’s Theory developed?

The 1970s

What are periphery countries?

Lesser developed countries, exploited by core oftentimes, dependent on core for investment, PES

What are semi-periphery countries?

Intermediate states, exploit and are exploited, secondary economic sector, expanding manufacturing, take on industries the core no longer finds profitable

What are core countries?

Exploiters, highly developed, more power leads to inequality, abuse producers and consumers through the use of cheap labor, internal wealth accumulation, taxation used to fund development by private institutions

What are examples of periphery countries?

Bolivia, Chad, Haiti, Kenya, Nepal, Nigeria, Philippines, Sierra Leone

What are examples of semi-periphery countries?

South Korea, Taiwan, Mexico, Brazil, India, Nigeria, South Africa

What are some examples of core countries?

United States, Canada, most of Western Europe, Japan, Australia and New Zealand

Can Wallerstein’s Model be applied to smaller scales?

Yes;

Core: NYC to DC; West Coast, Dallas

Semi-periphery: Great Lakes, Southeast

Periphery: Great Plains

What is the dependency theory?

Criticism of core/periphery

Argues that periphery countries struggle to develop because the core strives to keep them poor out of dependency, Periphery produces raw materials because of their dependence on pay, while the core makes more valuable, finished goods

What is the commodity dependence theory

The theory that commodity dependence is a negative thing that leads to underdevelopment, leads to volatile prices and primarily effects developing countries

How and why do countries trade?

Create wealth and improve standards of living in one's own country

What is a zero-sum game?

If someone wins, someone loses

What is mercantilism?

When a homeland (Such as England) colonized areas to get new resources, and gets them shipped back in order to manufacture them

What is mercantilism based off of?

having an absolute advantage in certain industries: Better than everyone else

Protectionist Policies

restrict imports to protect domestic industries

Neoliberalism…

General belief that less government regulation of business is the best way to increase prosperity for all

Free trade…

minimizes restrictions on trade

Complementarity…

One country's export needs match another country's import needs

Import need: US loves bananas, but we can't grow them year-round