...Assess the significance of three factors which might limit economic development in the developing countries. Economic development can be defined generally as involving an improvement in economic welfare, measured using a variety of indices, such as the Human Development Index (HDI). A developing country is described as a nation with a lower standard of living, underdeveloped industrial base, and a low HDI relative to other countries. There are several factors which may have the effect of limiting economic development in such countries. Factors such as these include: primary product dependency, the savings gap and political instability. Primary product dependency occurs where production of primary products accounts for a large proportion of a country’s GDP. This can have a particularly limiting effect on economic development when a country’s primary product is what may be classified as a “soft commodity”, that is to say, agricultural goods mainly such as wheat, rice, palm oil etc. For example, Kenya has a high dependency on tea and horticulture. This may limit economic development for several reasons. Both supply and demand for primary products tend to be elastic thus and demand or supply-side shock would cause a relatively large price change, meaning that primary products are likely to experience extreme price fluctuations. These price fluctuations will cause fluctuations in producers’ income as demand is price inelastic. Therefore, a fall in price would cause a fall in total...
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...declining and growing populations, the ages of these populations, and how they are composed demographically. (1b) Outline What is the state of international security at this time? - power lays with developed countries, with maintainable populations - developing countries are drastically growing “where policing, sanitation and healthcare are often scarce” - relationships between the western “superpowers” and the emerging of Islamic youths from the middle east are rocky at best How is the state of international security going to shift? - the demographic weight of the world’s developed countries is going to drop, which will cause the economic power to shift onto developing countries - the world’s population will become urbanized with the largest urban centers in the world’s poorest countries How can we make this a smooth shift? - the world’s youth are concentrated in poorer, developing countries and developed countries should be prepared to educate and employ them - developed countries should be open to international immigration - reconsider the structure of global institutions such as the G-8, G-20 and NATO - developed countries should encourage families to have more children to keep the population more distributed rather than concentrated in developing countries (2) CONNECTIONS - Environment This article does not discuss environment in any significant detail. - Culture (Religion) This article discusses culture in the context of religion (Muslim...
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...Key Term and Interest Developed Country The term developed country is a very interesting. This is interesting for the sheer purpose that I am from a developed country and it is interesting to see why the United States is considered developed and others are not. It can be interesting to see what the differences are between a developed and developing country. I will try and focus on how health issues are different in these countries and some of the economic ramifications. Explanation of Key Term According to Satterlee (2009), a developed nation is a nation that has great wealth and resources, as well as the knowledge to properly manage its resources to take care of the well-being of its people (p. 87). The per capita of a developed country is typically higher than less developed countries. This notion, along with other economic issues, has been used to classify countries as developed by the World Bank, the International Monetary Fund, and the United Nations. These organizations have also classified whether a country is considering developing. There are several key differences between all three that one will need to delve into much more. Major Article Summary The article I chose to focus on the most was about the oral health care systems in both developing and developed countries. Kandelman and others wrote (2012), while it is known that there are marked differences in structure and scope of health systems between countries across the world, the common purpose is improving...
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...| UN-Conference 1974-76 | Charter of Economic Rights and Duties UN- habitat Conference | | | Submitted to:- Mrs. Anu Kohli | | UNITED NATIONS CONFERENCE 1974-1976Twenty-eighth session Agenda item 51 Resolutions adopted by the General Assembly 3082 (XXVIII). Charter of Economic Rights and Duties of States | | Bearing in mind that the United Nations Conference on Trade and Development, in its resolution 45 (III) of 18 May 1972,/8 decided to establish a Working Group of governmental representatives to draw up a draft Charter of Economic Rights and Duties of States, Recalling its resolution 3037 (XXVII) of 19 December 1972, by which it decided to enlarge the composition of the Working Group on the Charter of Economic Rights and Duties of States, Reaffirming its conviction of the urgent need to establish or improve norms of universal application for the development of international economic relations on a just and equitable basis, 1.Takes note with appreciation of the report of the Working Group on the Charter of Economic Rights and Duties of States and of the comments made thereon as reflected in the report of the Trade and Development Board on its thirteenth session; 2.Decides, in the light of the progress achieved, to extend the mandate of the Working Group as established by resolution 45 (III) of the United Nations Conference on Trade and Development; 3.Further decides that the Working Group shall hold two sessions in 1974, each of three...
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...poorest countries has been negative. Discuss. Currently, globalization is rapidly developing and making a contribution to social progress. It is mainly manifested in politics, economics and culture. Many western industrialized nations get tremendous benefits from globalization. This is mainly displayed in the aspect of market expansion. Because of globalization, more markets for capital investment and outlets for goods are available. However, some poor countries suffer because of globalization. As a result, the economic gap between developed nations and developing nations is expanding remarkably. Nevertheless, several developing countries have seized the opportunity and created a miracle in their economy. Therefore, every country needs to recognise that it can help them and also be aware of the challenges. This essay discusses that while developed countries and some developing countries have benefited economically from globalization, most developing countries have experienced negative impacts. Hence, it is important to firstly identify what globalization is and state what benefits developed countries and some developing countries have had and the negative impacts some developing nations have experienced. After that, the essay discusses reasons for these two different results. It is argued that globalization has brought economic, financial, technological and social benefits to western industrialized nations and some developing countries. However, the majority of developing countries...
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...The Internet has penetrated many aspects of business and culture in developed countries, but there is limited availability in many poor countries. Do you think that this technology is going to widen the economic development gap between rich and poor countries? Is there a way that developing countries can use such technologies as a tool for economic development? Justify and illustrate your arguments by referring to appropriate case study examples. Table of Content 1 Introduction 2 2. Present Uses of the Internet 3 3 The Use of Internet in Developed Countries 4 4 The Use of Internet in Developing Countries 6 5 Internet reduces the Economic gap between Developing and Developed Countries 7 5.1 Case Study Analysis – Case of Nigeria 7 6 Internet as a tool for Economic Development in Developing Countries 8 6.1 Internet and e-commerce produce greater Economic benefits to the firms 9 7 Conclusion 10 8 References 10 1 Introduction Globalisation of business, trade and economy has transformed the world into a single society of similar perceptions, where the information is accessible by any person from any corner of the world. Use of new communication technologies like internet has incremented the pace of globalisation processes in various dimensions (Anakwe, et al., 2007). The internet has rationalized the business processes facilitating the notion of the e-economy. Companies have recognised the requirement...
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... pp. 49-65. The Internet in developing countries: a medium of economic, cultural and political domination Abdulkafi Albirini University of Illinois at Urbana-Champaign, USA ABSTRACT The last decade has witnessed an unprecedented diffusion of network technologies into developing countries. The technological discourse attending this diffusion has presented the new media as a utopian, egalitarian and empowering tool with the potential of ushering in a new era of development, democracy, and positive cultural change. This paper examines the economic, cultural, and political effects of the Internet within the historical context of developing countries. The paper traces the politically-inspired evolution of the Internet, its transfer into developing countries, and the economic, cultural, and political consequences of this transfer. Existing data indicate that the implementation of the Internet in most developing countries has served as a drain to the local resources, thus exacerbating their economic dependency on foreign nations. On a cultural level, the Internet’s predominantly Western design, content, and language have facilitated the proliferation of alien cultural patterns at the expense of the social experiences of the local cultures. Lastly, the Internet’s build-in tracking capabilities and its current manipulation for political purposes on international and national levels serves to empower the existing ruling elites in developing countries and perpetuates the disempowerment...
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...1.0 History of international trade International trade has been and is today an economic force that has spurred commerce, promoted technology and growth, spread cultural patterns, stimulate exploration and colonization, and frequent fanned the flames of war. The history of international trade has gone hand in hand with the development of civilizations. From very ancient times, international trade brought about the exchange of products and raw materials between one land or nation and another. Although such trade was often conducted in barter form and was of small volume by today’s standard, this interchange of products was important in economic and historic development. International trade in its early beginnings was necessary, not just because it provided one society with products such as cowries from west Africa to other areas, international trade also formed the as is for cultural interchange, thus trading not only on product, but also on lifestyles, customs and technology. 1.1 International trade – Defined In the simplest form, international trade means exchange of goods and services across international boarders. In other to know what is happening in the course of international trade, governments keep track of the transactions among nations. The records of such transactions are made in the balance of payment accounts. International trade and balance of payment are therefore two important aspects in the relationship between nations. 2.0 Importance...
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...A developing country, also called a less-developed country, is a nation with a low living standard, undeveloped industrial base, and low Human Development Index relative to other countries. Definition Kofi Annan, former Secretary General of the United Nations, defined a developed country as follows. "A developed country is one that allows all its citizens to enjoy a free and healthy life in a safe environment." But according to the United Nations Statistics Division, And it notes that The UN also notes The World Bank classifies countries into four income groups. These are set each year on July 1. Economies were divided according to 2011 GNI per capita using the following ranges of income: Measure and concept of development The development of a country is measured with statistical indexes such as income per capita, life expectancy, the rate of literacy, et cetera. The UN has developed the Human Development Index, a compound indicator of the above statistics, to gauge the level of human development for countries where data is available. Developing countries are, in general, countries that have not achieved a significant degree of industrialization relative to their populations, and have, in most cases, a medium to low standard of living. There is a strong correlation between low income and high population growth. The terms utilized when discussing developing countries refer to the intent and to the constructs of those who utilize these terms. Other terms sometimes...
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...The emergence of developed countries as major players in global business has made it more difficult for developing countries to succeed Contents The emergence of developed countries as major players in global business has made it more difficult for developing countries to succeed 1 1. Introduction 1 2. Global business of Developed Countries vs. Developing Countries 1 3. Role of International Organizations 2 4. Role of NAFTA 2 5. FDI and Global Business 3 6. Conclusion 4 References 4 1. Introduction Developing economies consist of a very diverse sort of group that includes some of large economies enjoying high economic growth rates like that of China, INDIA AND Brazil and many small economies having low rates of economic growth. The countries having high GDP growth among group of developing nations have remained able to sustain the negative impacts of financial crises very well as these were not that much affected by consequences of financial crises. There are few small or middle income economies that are quite rigid in a way that these nations depend on specific factors for development (Kose, 2013). Keeping in view the GDP growth rates of group of countries in a globe it cannot be said that developing countries do not have room for business growth but that fact is these do not have competitive advantage that can match those of developed nations and that is the reason I agree with the statement that “The emergence of developed countries as major players in global...
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...Does the process of Globalisation help or hinder wealth creation in developing countries? Globalisation – the procedure of creating an integrated global economy, polity, and society – is an inevitable subject of much of today’s academic literature. It’s a term used in all fields, ranging from economics, sociology, and politics. Scholars address questions of what globalisation is, how it is occurring and who benefits and who loses out (Mold, A. 2007: 67). Some argue that it has helped the world, and more specifically, developing countries. On the other hand, others argue it has held back economic growth and wealth creation in developing countries. This essay will compare between these two arguments; and of course, resulting in my answer in the conclusion. But first, the causes will be described briefly, and consequences of globalisation will be examined in greater detail. After looking at the general impact it has made, it will specify on developing countries. To show evidence, case studies will be used, such as in Argentina, China, India, Morocco and sub-Saharan Africa as a whole; perceptibly linking to the explosion of globalisation that has shrunk the world. It was not until the 1960s that the term – globalisation - started to be widely used by economists and other social scientists. The phrase has since then attained general use in the mainstream press by the later half of the 1980s. Since its initiation, the concept of globalisation has stimulated frequent competing...
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...Economic Disparity Assignment Topic | Australia | Lesotho | Life expectancy at birth (years) | 81.9 | 45.9 | Internet users per 100 people | 70.8 | 3.6 | GDP per capita ($US) | $40,286 | $1,605 | Inequality-adjusted income index | 0.720 | 0.234 | Death of women per 100,000 live births | 4 | 960 | Protected areas (%) | 10.5 | 0.5 | Homicide Rate (per 100,000) | 1.2 | 36.7 | HDI value | 0.937 | 0.427 | By comparing Australia and Lesotho, it is easy to determine which of the two the developed country is and which is the developing. It is very noticeable that there is a significant difference in the two countries. You can see this in the GDP per capita, the life expectancy at birth, and as well the death of women while pregnant and as well the number of internet users per 100 people. Seeing the huge difference in GDP per capita ($US) indicates how rich the country is. Basically everything depends on the GDP per capita. For instance, health, technology and standard of living. Seeing that Australia has a relatively high GDP per capita, being $40,286, it shows that Australia has a high standard of living and can provide all the basic necessities to the population where as in Lesotho; the GDP per capita is $ 1,605. Lesotho has a weak GDP and therefore indicates that there is not enough money to provide the population with the basics to sustain life. The life expectancy at birth is significantly different between Australia and Lesotho. Being measured in years...
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...development opportunities of developing countries and assist them in their efforts to integrate into the world economy on an equitable basis." The primary objective of UNCTAD is to formulate policies relating to all aspects of development including trade, aid, transport, finance and technology. The conference ordinarily meets once in four years; the permanent secretariat is in Geneva. One of the principal achievements of UNCTAD has been to conceive and implement the Generalised System of Preferences (GSP). It was argued in UNCTAD that to promote exports of manufactured goods from developing countries, it would be necessary to offer special tariff concessions to such exports. Accepting this argument, the developed countries formulated the GSP scheme under which manufacturers' exports and some agricultural goods from the developing countries enter duty-free or at reduced rates in the developed countries. Since imports of such items from other developed countries are subject to the normal rates of duties, imports of the same items from developing countries would enjoy a competitive advantage. The creation of UNCTAD in 1964 was based on concerns of developing countries over the international market, multi-national corporations, and great disparity between developed nations and developing nations. The United Nations Conference on Trade and Development was established to provide a forum where the developing countries could discuss the problems relating to their economic development. The organization...
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...Effects of FDI by MNCs in Developing Countries What are Multinational corporations? What motives do they have for foreign direct investment? This paper explores these questions and seeks to find explanations by exploring key economic theories. The impact of FDI on developing nations is discussed with analysis and evaluation of the positive and negative effects. The findings of this essay are that FDI is neither entirely good nor bad for a country. Instead its effects vary and depend on a number of factors. Whilst firms have different strategies and objectives, the aim is ultimately to gain profits. In some instances this comes at the detriment of the welfare in the host nations, but it can also have benefits for these developing countries. | Introduction Foreign direct investment (FDI) has played an important role in developing countries with these nations receiving an increasing share of world FDI inflows (see Fig.1 below). From 1985 to 1990, the FDI inflow into developing nations was 17.4% of the total global flow. This increased to 31-40% in the four years leading up to the financial crisis (Hill, 2014). FDI acts as a major contributor to capital formation in developing countries and can promote growth and sustainable development. However, there are many challenges that the host country can face when dealing with multinational corporations (MNCs). By looking at key issues and analysing empirical evidence, the positive and negative effects that foreign direct investment...
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...According to the United Nations (UN) a developing country is a country with a relatively low standard of living, underdeveloped industrialized base, and moderate to low Human Development Index (HDI). This index is a comparative measure of poverty, literacy, education, life expectancy and other factors for countries worldwide. The index was developed in 1990 by Pakistani and economist Mahbub ul Haq, and has been used since 1993 by the United Nations development program. In order for a country to become a developed nation, it would involve a modern infrastructure, (both physical and institutional), and a move away from low value added sectors such as agriculture and natural resource extraction. Developed countries usually have economic systems based on continuous self-sustaining economic growth and high standards of living unlike that of a developing country. Policies that make an economy open to trade and investment with the rest of the world are needed to sustain economic growth, especially for developing nations. No country in recent decades has achieved economic success in terms of significant increases in living standards for its people, without being opened to the rest of the world. In contrast, trade opening, (along with opening to foreign direct investment), has been an important element for economic success. Opening up their economies to the global economy has been essential in assisting many developing countries to develop comparative advantages in the manufacture of...
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