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physical
landlocked countries are not able to trade easily with other countries without ports
These countries therefore cannot charge other countries for their goods and services, reducing economic growth
Natural hazards cause significant damage which costs money to repair
Businesses can be destroyed, reducing economic growth
Facilities such as hospitals and schools can be destroyed
Water can be contaminated
economic
international organisations like the world Trade Organisation criticised for not doing enough to establish fair terms of global trade for food and raw materials
Countries could be charged more for raw materials so earn less money from these goods
Corrupt leaders of LICs have profited from selling resources to TNCs
Food prices fluctuate wildly
strategies of reducing the development gap
investment
Debt relief
Aid
Micro finance loans
investment
importing and producing goods inside the borders of many different countries
Cash injected into other countries is known as FDI
Helps the development process to take place in differet ways
Local people employed to build factories and offices
Other people will work in these places
Multiplier effect
Micro finance loans
HICs loan LICs and NEEs small sums of money
Subsistence farmers find it hard to escape poverty
Longer life expectancy
Higher disposeable income