Macroeconomics 111 - Chapter 18

Macroeconomics 111 - Chapter 18 - CHAPTER 18 Development...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
CHAPTER 18 – Development Economics Poverty -Difficult to define or measure -Considered in the absolute sense : -In the US, the poverty level for a family of four in 2003 was an annual income of $18,244 or less -The World Bank uses per capita GNP of $755 or less as its criterion for a low-income- country -Poverty is also a relative concept , making it difficult to compare across countries -The income of many households in the US who are considered poor is substantially higher than the incomes of poor families in other countries Developing and Developed Economics -About ¾ if the worlds people live in the developing economies, called less-developed countries (LCD) or Third World Countries -LCD’s are characterized by low per capita GDP (GNP or GMP), implying a relatively low standard of living - First World Countries – are the highly industrialized nations of Western Europe and North America - Second World Countries – are eastern European countries and the countries of the former Soviet Union Other Measures - Although economists disagree on a definition of “basic human needs”, the general idea is to set minimal levels of: -Caloric intake -Health Care -Clothing -Shelter -Physical quality-of-life index -One approach uses life expectancy, infant mortality, and literacy standards Obstacles to Growth - Political Obstacles
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern