development

sustainable development

development involving the use of resources in the present so that the current generation may meet their needs, without compromising the ability of future generations to meet their needs

the relationship between sustainability and poverty (HL)

pollution of affluence arises due to increase in output produced and consumed, such as pollution from increased industrial production and use of common pool resources.

pollution of poverty arises due to economic activities pursed by those in poverty in an effort to survive. for example, the lack of resources to maintain soil fertility after agriculture.

Economic Development

the process where increases in real per capita output and incomes are accompanied by improvements in living standards and reduction in poverty

economic growth

increases in real output and incomes over time

indicators

a measurable variable that indicates the state or level of something

single indicators:

• GDP/GNI per capita, PPPs

• Health Indicators (life expectancy, infant mortality, maternal mortality)

• education indicators

• economic inequality indicators

• social inequality indicators

• energy, environmental indicators

GDP/GNI per capita, PPPs

• GNI is income received per capita, GDP is level of output per capita.

• PPPs are required to make comparisons of GDP/GNI per capita across countries.

Health Indicators (life expectancy, infant mortality, maternal mortality)

• indicates quality of public health services, environmental degradation, nutrition, income inequalities

education indicators

• level of educational attainment

economic inequality indicators

• lorenz curve, gini coefficient, poverty lines, MPI etc

social inequality indicators

• child labour, inequalities in education/life expectancy etc

energy, environmental indicators

• access to electricity, renewable energy consumption

• CO2 emissions, waste water, species threatened etc

composite indicators;

• human development index

• inequality-adjusted human development index

• gender inequality index

• happy planet index

composite indicators: a summary measure of more than one indicator, often used to measure economic development.

human development index

• combines income per capita, levels of health and educational attainment.

inequality-adjusted human development index

• basically HDI but adjusted for inequalities in each dimension.

gender inequality index

- inequalities between the gender in reproductive health, empowerment and labour market participation

happy planet index

• sustainable well-being based on four dimensions: life expectancy, wellbeing, inequality and ecological footprint

relationship between economic growth and economic development

economic growth can occur without economic development.

poverty cycle (poverty trap) (diagram + def)

infrastructure

primary sector

informal economy

capital flight

property rights

land rights

governance

import substitution

export promotion

diversification

social enterprise

multinational corporation (MNC)

foreign aid

humanitarian aid/development aid/official development assistance

non-governmental organisations (NGO)

multilateral development assistance

World Bank

International Monetary Fund (IMF)

Microfinance

Mobile Banking