1. DEVELOPMENT

2. Development Include: Real GDP per head Standard of living Political freedom Freedom of the speech Level of education Level of health-care….

3. United Nation divides countries as: 1.High human development 2.Medium human development 3.Low human development World Bank divides countries as: 1.High income countries 2.Middle income countries 3.Low income countries

4. Measures of development HUMAN DEVELOPMENT INDEX (HDI) measures: 1. Life expectancy 2. Educational attainment 3. Real GDP per head HDI can be from 0 to 1: 1.0 – 0.50 low development 2.0.50 - 0.79medium development 3.0.80 – 1 high development

5. Characteristics of Developing Economies (Less Developed Countries) Low income per head

6. Low life expectancy and high infant mortality Life expectancy : Japan: 83 yearsZimbabwe: 38 years

7. High rates of population growth Higher birth rate then death rate makes high dependency ratio, meaning: too many children depend on small number of workers

8. Low level of education and health care Developing countryDeveloped country

9. Poor housing and sanitation Developing countriesdeveloped country

10. High number of workers in primary sector Narrow range of export of primary products

11. Glossary Infant mortality: number of deaths per 1.000 live birth babies in a year Birth rate: the number of births in a year Death rate: the number of deaths in a year per 1.000 population

12. VICIOUS CIRCLE OF POVERTY low income Low saving Low investment Low productivity

13. Economic development is important because of: 1.Increase in standard of living 2.Reduction of poverty (improve in physical and mental health, reduction of pollution, benefit for society) 3.Rise in educational level, more freedom, more economic and social choice, participation in politics)…

14. See: Yu Rock Mission @ Live Aid 85 Back to the 80's - USA for Africa U2 BAD Live Aid 1985