Industrial and Economic Development

Unit 2 Learning Targets

Lesson #2.1 - The Industrial Revolution (Amsco pgs. 447-451)

  • Definition of the Industrial Revolution: A period of major industrialization that began in Great Britain in the late 1700s and spread to other parts of the world. It marked a shift from agrarian economies to industrialized ones, characterized by the growth of factories and mass production.

  • SPEED Impacts of the Industrial Revolution:

    • Social Changes:

    • Transformation in the structure of families and communities.

    • Urbanization as people moved to cities for factory jobs.

    • Changes in labor roles, especially for women and children.

    • Political Effects:

    • Rise of labor movements and unions advocating for workers’ rights.

    • Increased political power for the working class.

    • Economic Factors:

    • Increased demand for raw materials from the primary sector of the economy due to manufacturing needs.

    • Shift towards a market economy, influencing consumption patterns.

    • Environmental Impact:

    • Significant environmental degradation due to industrial waste and pollution.

    • Exploitation of natural resources at an unprecedented rate.

    • Demographic Changes:

    • Population increase due to improved food production and health but also migration patterns shifting to urban centers.

Lesson #2.2 - Economic Indicators of Development (Amsco pgs. 462-467)

  • Economic Development Levels:

    • Different levels are characterized by terms such as:

    • Low Income Country (LIC)

    • Middle Income Country (MIC)

    • High Income Country (HIC)

    • Less Developed Country (LDC)

    • Newly Industrialized Country (NIC)

    • More Developed Country (MDC)

  • Economic Indicators of Development:

    • Gross Domestic Product (GDP): The total monetary value of all goods and services produced in a country within a specific time period.

    • Gross National Product (GNP): The total value of all finished goods and services produced by a country’s residents, regardless of location.

    • Gross National Income (GNI): The total income received by a country’s residents and businesses, including any income earned abroad.

  • Correlations Between Economic Indicators and Development:

    • A positive correlation exists between GDP and overall standard of living.

    • Negative correlations can appear when GDP growth occurs without a proportional increase in welfare.

  • Spatial Patterns of Economic Development:

    • High, middle, and low economic development is often spatially distributed across regions and countries, influenced by factors like industrialization and foreign investments.

  • Limitations of Economic Indicators:

    • GDP does not account for income inequality or environmental damage.

    • GNI may not reflect the real economic welfare if income distribution is skewed.

Lesson #2.3 - Economic Sectors (Amsco pgs. 452-454)

  • Description of Economic Sectors:

    • Primary Sector: Industries involved in the extraction of natural resources (e.g., agriculture, mining).

    • Secondary Sector: Industries that process raw materials into goods.

    • Tertiary Sector: Service industries (e.g., retail, entertainment).

    • Quaternary Sector: Knowledge-based services (e.g., education, IT).

    • Quinary Sector: High-level decision making (e.g., non-profit organizations, universities).

  • Correlation between Economic Structure and Development:

    • A country's economic structure changes as it develops, moving from primary to higher-order sectors.

  • Changes Over Time:

    • Development typically leads toward a more significant tertiary and quaternary sector presence.

  • Underlying SPEED Factors:

    • Social, political, economic, environmental, and demographic factors drive changes in economic structure and development.

Lesson #2.4 - Social Measures of Development (Amsco pgs. 467-470)

  • Social Indicators of Development Related to Health:

    • Total Fertility Rate (TFR): The average number of children a woman is expected to have during her lifetime.

    • Infant Mortality Rate (IMR): The number of infant deaths per 1,000 live births in a given year.

    • Maternal Mortality Rate: The number of deaths due to complications of pregnancy and childbirth per 100,000 live births.

    • Adolescent Fertility Rate: The number of births per 1,000 women aged 15-19.

    • Life Expectancy: The average number of years a person is expected to live based on statistical trends.

  • Indicators Related to Education:

    • Literacy Rate: The percentage of people who can read and write.

    • Mean Years of Schooling: The average number of years of education received by people in the population.

  • Composite Social Indicators:

    • Gender Inequality Index (GII): A measure of gender disparities in reproductive health, empowerment, and labor market participation.

    • Human Development Index (HDI): A composite statistic of life expectancy, education, and per capita income indicators, used to rank countries.

  • Correlations Between Social Indicators and Development:

    • Strong correlations exist between education levels and economic prosperity.

    • Health indicators often reflect the development stage of a country.

  • Global and Regional Patterns:

    • Clear patterns exist in social development levels across different continents, often correlating with economic indicators.

Lesson #2.6 - Rostow’s Model of Development (Amsco pgs. 479-481)

  • Rostow Modernization Model: A theoretical framework for understanding economic development, suggesting societies progress through five stages.

  • Five Stages of Rostow’s Model:

    1. Traditional Society: Characterized by subsistence farming and little technological innovation.

    2. Preconditions for Takeoff: Introduction of more advanced methods of farming and infrastructure development.

    3. Takeoff: Industrial revolution leads to significant economic growth and urbanization.

    4. Drive to Maturity: Economic growth becomes self-sustaining; technological advancements flourish.

    5. High Mass Consumption: The economy shifts to consumer goods and widespread welfare programs.

  • Country Examples by Stage:

    • Countries such as South Korea are often cited in stages 2-5.

  • Correlations with Developmental Indicators:

    • The model assumes increasing GDP and improvement in education as societies progress through stages.

  • Assumptions of the Model:

    • Assumes linear progression and a one-size-fits-all approach to development.

  • Limitations of the Model:

    • Critiques include oversimplification and neglect of external factors like global trade.

Lesson #2.7 - Wallerstein’s World Systems Theory (Amsco pgs. 481-483)

  • Definition of World Systems Theory: A framework for understanding the world economic system's structure, where countries are divided into core, semi-periphery, and periphery.

  • Characteristics of Each Country Type:

    • Core Countries: Economically dominant nations with advanced technologies and high levels of industrialization (e.g., USA, Germany).

    • Semi-Periphery Countries: Nations experiencing moderate industrialization and economic development (e.g., Brazil, India).

    • Periphery Countries: Less developed regions often exploited for resources (e.g., Haiti, many African nations).

  • Interdependence:

    • Describes how different categories of countries depend on each other economically, leading to a globalized economy.

  • Limitations of World Systems Theory:

    • Critics argue it overly emphasizes economic factors while neglecting cultural and political dimensions.

Lesson #2.8 - Density and Distribution (Amsco pgs. 55-63)

  • Factors Affecting Human Settlements:

    • Physical geography (climate, terrain), availability of resources, and economic opportunities influence settlement locations and sizes.

  • Population Distribution Types:

    • Clustered: Populations are grouped in specific areas.

    • Linear: Populations are distributed along a line, often following transportation routes.

    • Dispersed: Populations are spread out over a larger area.

  • Arithmetic Population Density:

    • Population density calculated by dividing the total population by the land area.

    • Formula: D = rac{P}{A}, where D is density, P is population, and A is area.

  • Pros and Cons of Density Levels:

    • Higher density can lead to more efficient use of resources but can also create overcrowding and strain on services.

  • Physiological Density:

    • Measures the number of people per unit of arable land.

    • Formula: PD = rac{P}{A{arable}}, where PD is physiological density and A{arable} is arable land area.

  • Carrying Capacity:

    • The maximum population size that an environment can sustain indefinitely.

  • Increasing/Decreasing Pressure on Land:

    • Factors influencing this include land use practices, urban development, and environmental policies.

Lesson #2.9 - The Demographic Transition Model (DTM) (Amsco pgs. 447-450 and pgs. 76-87)

  • Purpose of the DTM: To illustrate the transition of a country from a pre-industrial to an industrialized economic system.

  • Features of the DTM:

    • Crude Birth Rate (CBR): The number of live births per 1,000 people each year.

    • Crude Death Rate (CDR): The number of deaths per 1,000 people each year.

    • Rate of Natural Increase (RNI): The growth rate of a population (CBR - CDR).

  • Stage Identification:

    • Stage 1: High birth and death rates.

    • Stage 2: High birth rates and declining death rates.

    • Stage 3: Declining birth rates and low death rates.

    • Stage 4: Low birth and death rates.

    • Stage 5: Very low birth rates and potential population decline.

  • Mathematical Application:

    • To calculate CBR and CDR:

    • CBR = (Births/Population) * 1000

    • CDR = (Deaths/Population) * 1000

  • Correlations with Other Models:

    • The DTM correlates with economic models of development reflecting changing economic structures during transitions.

Lesson #2.10 - Population Structure and Dependency Ratio (Amsco pgs. 64-70, Pg. 82, Pgs. 88-89, Pgs. 99-101)

  • Epidemiological Transition Model: Illustrates shifts in population health from infectious diseases to chronic illnesses as development progresses.

  • Age Structure Characteristics:

    • Different stages of the demographic transition will display varying age structures, significantly influencing social services and economic needs.

  • Dependency Ratio:

    • The ratio of dependents (aged 0-14 and over 65) to the working-age population (aged 15-64).

    • Can indicate economic pressure on the productive age group.

  • Impacts of Dependency Ratios:

    • High youth dependency ratios can strain educational systems.

    • High elderly dependency ratios can increase healthcare needs and pensions.

  • SPEED Impacts:

    • Aging populations: increased demand for healthcare services, shifts in labor markets.

    • Youthful populations: potential for economic growth but require substantial educational investment.

Lesson #2.11 - Population Policies (Amsco pgs. 93-95)

  • Issues with Population Growth:

    • Fast-growing populations can lead to resource depletion, while slow-growing populations can face labor shortages.

  • Solutions:

    • Adjusting birth rates, incentives for larger families, or policies to stimulate immigration can balance population dynamics.

  • Pro and Anti Natalist Strategies:

    • Pro-natalist policies: Encourage higher birth rates through incentives.

    • Anti-natalist policies: Discourage higher birth rates through restrictions and education (e.g., One Child Policy in China).

Lesson #2.13 - Intro to Migration (Amsco pgs. 108-111, 115-119)

  • Migration Categories:

    • International Migration: Movement across international borders.

    • Internal Migration: Movement within a country, subdivided into interregional (between regions) and intraregional (within a region).

    • Circulatory Migration: Temporary, repeat migration often for seasonal work.

  • Causes of Migration:

    • Push Factors: Negative conditions prompting migration (e.g., war, economic downturn).

    • Pull Factors: Positive conditions attracting migrants (e.g., job opportunities, safety).

  • Migration Transition Model: Describes changes in migration patterns as countries develop economically and socially.

  • Intervening Factors:

    • Obstacles: Physical or legal barriers to migration.

    • Opportunities: Attractive aspects in a destination that may inhibit return migration.

  • Types of Migration:

    • Forced Migration: Occurs against the individual's will (e.g., refugees).

    • Voluntary Migration: Based on individual choice (e.g., job relocation).

Lesson #2.14 - Ravenstein’s Laws of Migration (Amsco pg. 112-113)

  • Ravenstein’s Laws of Migration:

    • Who Migrates: Typically young adults in search of work.

    • Where Migration Occurs: People are likely to migrate to urban areas.

    • Why Migration Happens: Economic factors are the primary drivers.

    • How Migration Happens: Migrants often travel short distances or in steps (step migration).

  • Modern Impacts:

    • Validity challenged by today’s longer migration distances and permanent relocations.

  • Guest Worker Programs: Allow temporary migration for work, impacting labor availability profoundly both in host and home countries.

Lesson #2.15-#2.16 - Effects of Migration (Amsco pgs. 120-122)

  • SPEED Effects of Migration on Sending Countries:

    • Loss of skilled labor (brain drain).

    • Remittances boosting local economies.

  • Effects on Receiving Countries:

    • Cultural diversification, economic contributions but potential xenophobia and integration challenges.

  • Vocabulary Related to Migration Effects:

    • Ethnic Enclave: Communities that maintain cultural traditions in a new country.

    • Xenophobia: Fear and discrimination against migrants.

    • Brain Drain/Gain: Loss of skilled individuals to other countries or the influx of skilled migrants boosting local economies.

    • Remittances: Money sent back home by migrants, critical for developing economies.

    • Quota Laws: Legal limits on the number of immigrants allowed.

    • Homestead Act: Historical policies affecting population movement.