Chapter 10 Economic & Industry Development
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| Development | the process of improving the material conditions of people through diffusion of knowledge and technology.
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| What regions are developed? | Anglo-America, Eastern Europe, Western Europe, Japan, and South Pacific.
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| What are the differences between LDCs and MDCs in terms of development? | MDCs are highly productive and most jobs tend to be in the teriary sector. Additionally, MDCs have higher HDI scores compared to LDCs. While LDCs tend to have the majority of the population in the first two job sectors.
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| Where are the LDCs and MDCs located? | MDCs are located above the north-south split or brandt line.
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| What is GDP? | Gross Domestic Product is the value of the total output of goods and services produced in a country, normally during a year.
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| What does GDP NOT measure? | GDP does not measure the level of a country's development.
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| What are the job types? | Primary, Secondary, and Teritiary.
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| What are examples of Primary Job types? | Agriculture, Mining, Fishing, and Forestry.
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| Define Secondary Job types. | It includes manufacturing that process, transform, and assemble raw materials into useful products.
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| Define Teritiary job types and provide examples. | It involves the provision of goods and services to people in exchange for payment. Ex.) Retailing, banking, law, education, and government.
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| What are the trends in MDCs? | MDCs have a low percentage in primary and secondary job types. It has a high percentage in the teritiary job type.
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| What are the trends in LDCs? | LDCs tend to have a high percentage of the population in the primary and secondary job types. However, the countries have a low percentage in the teritiary job type.
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| Subsistence Economy | Goods and services created for the use of the kinship group.
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| Why are workers more productive in MDCs? | Workers are more productive in MDCs because they have access to technology that will actually perform the work for them.
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| What is HDI? | Human Development Index
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| What does HDI measure? | It measure the development of countries: social and demographic indicators.
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| List the Social Indicators | Education, Literacy Rates, Health and Welfare.
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| List the Demographic Indicators | Life Expectancy, Infant Mortality Rate, Natural Increase Rate, and Crude Birth Rate.
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| What is Roslow's Theory? | It lists the stages for a country's development.
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| List the stages of Roslow's Theory. | Traditional, Preconditions to Takeoff, Takeoff, Drive to Maturity, and High Mass Consumption.
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| Which countries are called the "Asian Tigers"? | Taiwan, Singapore, South Korea, and Hong Kong.
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| Define Cultural Convergence. | The increasing similarity in technologies and ways of life among societies at the same level of development.
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| Define Landlessness. | Occurs when the rural population is expanding beyond the ability of the land to support new farmers.
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| Define Technology Transfer | The acquisition of technology available in developed regions by their less developed regions, under their ownership and control.
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| Define Technology Gap | A contrast in the range and productivity of artifacts introduced at the core and those employed at the periphery.
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| Resources affect what patterns of development? | Cultivable land, energy sources, and minerals.
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| Define New International Division of Labor | Transnational companies have been very aggressive in using low-cost labor in LDCs.
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| What are the goals of the New International Division of Labor? | Seek elimination of trade barriers (tariffs)No minimum standards in placeLoss of U.S. jobs - "a great sucking sound" after NAFTA?Does anyone speak English?
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| What are the problems with the international trade? | Uneven resource distributionMarket StagnationIncreased dependence on MDCs
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| Define Foreign Direct Investment | Investment made by a foreign company in the economy of another country.
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| Define transnational corporation. | Invests and operates in countries other than the one in which its headquarters are located.
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| Define Financing Development. | Loans and structural adjustment programs, which includes economic goals, strategies for achieving the objectives, and external financing requirements.
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| Who created the World Systems Theory? | Immanuel Wallerstein
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| What social indicators demonstrate gender inequality? | Literacy Rates
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| Describe the Liberal model | All countries are capable of development.Economic disparities are a result of short term inefficiencies in local or regional market forces.
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| Describe the Structuralist Model | Regional Disparities are a strucutural feature of the global economy. Things have come to be organized or structured in a certain way and cannot be changed easily.
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| Define the Dependency Theory. | Political and economical relationships between countries and regions control and limit the economic development of less affluent regions
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| Why do LDCs face obstacles to development? | Self-sufficiency International Trade Financing development.
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| Describe the Core Periphery Model | Core Periphery Semi-Periphery
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| Define GNI | Gross National Income is the total value of goods and services produced in a year, plus net income earned abroad by a country's nationals
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| What are the effects of unequal distribution of resources? | Causes countries to specialize in the goods and services they produce.Interdependence of Nations.Uneven economic development. Energy Produces and Consumers. Imperialism, and conflicts over control of resources.
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| What are Commercial Economies? | Producers or their agents freely market their goods and services, following the law of supply and demand.
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| What are Planned Economies? | Associated with communist socieites, when governments controlled the economies.
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