1. What’s the story? Which place is the most developed?

3. Measuring Development Objective – To learn the best way to measure and monitor the level of development in a country in a useful and reliable manner. Outcome – a completed composite model of development and an ability to be able to criticise other techniques.

4. Have a go at these.. Development is? 7 least developed countries on earth 7 most developed countries on earth Why is it hard to define?

5. ‘The rich are getting richer and the poor are getting poorer’ True or False?

6. Gaps are important! https://www.ted.com/talks/richard_wilkinso nhttps://www.ted.com/talks/richard_wilkinso n

7. What is development? "Development is change for the better. Development should involve meeting the needs of people socially, economically and environmentally, and should improve their standard of living." According to the UN - "Development is change for the better. Development should involve meeting the needs of people socially, economically and environmentally, and should improve their standard of living." The 3 essentials of development include: the ability to lead a long and healthy life to acquire knowledge to have a decent standard of living… Development involves political, economic and social freedom, and opportunities for being creative and productive. Now people are including SUSTAINABILITY

8. Most of the world is actually quite undeveloped..

9. What indicators can you use to work out how developed a country is?

10. Traditional measures of development Gross Domestic Product (GDP)Gross Domestic Product (GDP) Gross National Product (GNP)Gross National Product (GNP) Now use GNI GROSS NATIONAL INCOMEGROSS NATIONAL INCOME ‘total value of goods and services produced within a country together with the balance of income and payments from or to other countries’

11. an example of GNP CountryGNP US$ Per capita MEDC’sLuxembourg71,000 USA44,000 LEDC’sBrazil8,800 Philippines5,000 Somalia600 Malawi600 Estimated 2012

12. What are the problems with using GNI as a measure of development?

13. What are the problems of using GNI per capita as a measure of Development? It doesn’t take into account inequalities in income within countries, it only shows a national average. E.g. Saudi Arabia has a high GNI, but most money belongs to a few people Doesn’t include subsistence sector It doesn’t show regional variations (SE and NE Brazil) It does not take into account the local cost of living It fails to pick up on the social and environmental costs of development (e.g. air pollution) A high GNI doesn’t necessarily mean money spent on other indicators e.g. health, education

14. What is the North/South Divide? By using GNI we can see that there is a big divide between the ‘rich’ north and the ‘poor’ southBy using GNI we can see that there is a big divide between the ‘rich’ north and the ‘poor’ south Otherwise known as the Brandt line after Willy Brandy ‘discovered’ in 1966 that most MEDCs are in the northern hemisphere.

16. Brandt line This term is now outdated Poverty line is now USED

17. Poverty line Established by World Bank to determine which people in world are poorEstablished by World Bank to determine which people in world are poor Set at $1 a day per personSet at $1 a day per person Suggest why this indicator can not be used across all countriesSuggest why this indicator can not be used across all countries

18. Hmm.. How can we check the gap? Measurement effectively began in the 1970’s. Willy Brandt published a report on the wealth of nations. He used total money in the countries to draw up a crude map It’s where the terms first, second and third world come from It only includes wealth per person in the countries measured.… a bit flawed! What else do you think should be included in any measurement?

19. Next up – during the early 1980’s the UN used Gross Domestic Product Measuring development levels is a challenge. Traditionally development has measured using economic data such as GDP or GNI per capita. You add up the total wealth in the country generated in a year and divide by the total population. These measures fail to recognise: 1.Income distribution 2.The local value of money 3.The non-money economy e.g. barter and exchange

20. Development is not just about money… It is also important to recognise that development has social and quality of life aspects Measures such as life expectancy, education level, access to sanitation are important What else should be included in any measurement?

21. As a result, in 1986 the Overseas development Council introduced the first composite model for measuring development. Physical Quality of Life Index (PQLI) Life expectancy + Literacy rate + Infant Mortality rate It was deemed good to start with but by the mid 1990’s many HiC’s were scoring the same for all three indicators. Another criticism was that it didn’t include money directly..

22. Eventually in 1992 the UN came up with the current method of measurement and comparison The Human Development Index (HDI) Life expectancy at birth + Literacy rate + Enrolment rate + GDP per capita PPP - then it is ranked.. They measure every year and publish a ‘Development Report’ http://hdr.undp.org/en/data/trends/ http://hdrstats.undp.org/en/indicators/default.htmlhttp://hdr.undp.org/en/data/trends/http://hdrstats.undp.org/en/indicators/default.html What do the 2010 HDI figures tell us about – who is developed and what is happening to the gap

23. The Human Development Index Since 1990, the UN has urged the use of the HDI as a measure of development. It is a more accurate and reliable measure of development as it includes three indices of well-being.Since 1990, the UN has urged the use of the HDI as a measure of development. It is a more accurate and reliable measure of development as it includes three indices of well-being. –Life Expectancy –Literacy and Schooling –Purchasing Power Parity (PPP) HDI is out of 1, therefore the closer to 1 the more developed the countryHDI is out of 1, therefore the closer to 1 the more developed the country

24. Top countries in 1999 on HDI Iceland, Norway, Canada

25. Bottom countries in 1999 HDI Sierra Leone, CAR, DR Congo Philippines in 2009 was 102 in the world out of 179 (in the medium category)

26. Has the top and bottom changed since then…? Is the gap getting wider according to HDI…? https://data.undp.org/dataset/Table-1-Human-Development-Index- and-its-components/wxub-qc5k

27. HDI Report 2009 (based on 2007 data)

28. Can you think of any problems with HDI?

29. What are the limitations of the HDI? Doesn’t focus on health and Environmental IssuesDoesn’t focus on health and Environmental Issues Does not take into account youth and infant malnutritionDoes not take into account youth and infant malnutrition Masks regional disparitiesMasks regional disparities It shows relative not absolute development, so that if all countries improve at the same rate the poorest countries will not get any credit for progress.It shows relative not absolute development, so that if all countries improve at the same rate the poorest countries will not get any credit for progress.

30. Philippines Case study - HDI

31. However national averages can conceal a great deal of information

33. HDI Map 2010

34. HDI is now perhaps in need of updating It now suffers from the same problem as PQLI (see data table) Mind you, any tool for measurement is flawed due to logistics, time, money, reliability.. Still, we shall have a go. Its time for a new one and we are going to design it…. That’s where you come in!

35. Back to the excel file…

36. Design your own development ‘composite measurement’ tool What shall we add to the excel file supplied? What do you think is important? We will use this excel file to compare countries in 2010 – is yours different to the UN? We will compare the size of the gap since 1990 when you complete your hw.

37. Source…. http://hdr.undp.org/en/statistics/data/ http://hdr.undp.org/en/reports/global/hdr20 00/http://hdr.undp.org/en/reports/global/hdr20 00/ Going back further.. The atlas!

38. Is the gap between the winners and losers closing? Since 1980, the percentage of people living in extreme poverty has fallen from 40% to 20% of world population. But, because of population growth the total number of people is extreme poverty is still very high.

39. The development gap relates to global inequality Around 2.8 billion people live on under $2 per day (‘moderate poverty’) Some 1.1 billion people live on less than $1.25 per day (‘extreme poverty’) Over time a greater proportion of wealth has concentrated in the hands of the richest 20% of people, compared to the poorest 20% of people

40. Who are the current winners and losers globally? According to the UN …

41. What is the development Gap? It is the gap between…. Has it been like this for a long time? The winners and losers are pretty much the same as ten, twenty years ago. http://hdr.undp.org/en/data/trends/ http://www.sacmeq.org/statplanet/StatPlanet.htmlhttp://hdr.undp.org/en/data/trends/http://www.sacmeq.org/statplanet/StatPlanet.html Is the cliché ‘the rich get richer and the poor get poorer’ true? Is the gap at least closing….?

42. Task – Compare the value of a variety of methods of measuring wealth and development disparities. (15) GDP/GNI PPP Poverty line PQLI HDI MDG’s A new composite

43. Shocked? https://www.ted.com/talks/hans_rosling_sh ows_the_best_stats_you_ve_ever_seenhttps://www.ted.com/talks/hans_rosling_sh ows_the_best_stats_you_ve_ever_seen