Industrialization and Economic Development

LDCs and MDCs MDC= more-developed country. Center of global economy United States Great Britain Australia Canada LDC= less-developed country. Located on the periphery or semi-periphery of the global economy. Former communist countries and Third World countries Romania Bulgaria Nigeria Kenya

Brandt Line

Level of Development GDP= Gross Domestic Product, an approximation of the total value of the final good (finished product) and services produced by a country per year. GNP= the GDP + the value of the income from abroad (ex. U.S. company Intel’s production of silicon chips in Ireland counts towards U.S.A.’s GNP).

Economic Development is tough to calculate Multiple indicators, including: GNP per capita energy consumption percent of workforce engaged in agriculture calorie intake per capita Regions within countries differ in terms of economic development due to scarcity of resources, skill levels, investments, infrastructure Appalachian region of U.S.

Women in Development: Statistics United Nations has not found a single country in the world where women are treated as well as men. Rapid increase in number of women employed in industry in LDCs Women paid less than men for the same work (in all regions) Women are required to work in addition to their family responsibilities Women work longer hours than men in every country except the U.S.A., Canada, and Australia.

Women in Development Increased job opportunities for women has led to better healthcare, education, and childcare for women worldwide. In LDCs, women have access to microcredit loans to start small businesses The absence of the mother at home has put more pressure on children, particularly in LDCs, to pick up childcare responsibilities. Some children enter economic sector instead of going to school. United Nations International Children’s Fund (UNICEF) estimates 1.5 million children ages 5-14 work in fields, factories, and quarries

Gender-Related Dev. Index GDI: compares the level of women’s development with that of both sexes Economic indicator of gender differences: per capital female income as a % of per capita male income Social indicators of gender differences: # of females enrolled in a school compared to # of males % of literature females compared to % of literate males Demographic indicator of gender differences: life expectancy of females compared to males

Gender Empowerment Measure GEM: compares the ability of women and men to participate in economic and political decision making. Measures the ability of women to improve their status through economic and political power Economic indicators of empowerment: per capita female income as a % of per capita male income % of professional and technical jobs held by women Political indicators of empowerment: % of administrative jobs held by women % of members of the national parliament who are women

Rostow’s Stages of Economic Development

Rostow’s Stages of Development Based on Western world countries Assumes all countries have the same starting point in terms of resources, population, climate, etc. Doesn’t take in other considerations to development like colonization and imperialism Today’s LDCs have to compete in a crowded global economy and face numerous barriers unlike the earlier countries to “take off”

Dependency Theory Based on the periphery’s dependence on the core Core exploits resources in the periphery, resulting in the periphery’s dependence on the core as it imports the core’s finished products. Periphery is undeveloped because of the uneven trade, profits, and resource/labor exploitation

Wallerstein’s World-Systems Theory No “Third World” countries Only one world, a complex world-system, in which nation-states compete for capital and labor Global economy has a fluid market with dynamic flow of countries and economies from periphery to semi- periphery to core