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TH3/14/13; F3/2/12

Explain changes in HDI – esp. expected years of education and GNI vs. GDP

Regional Differences in Development

(Ch. 9.2 – pp. 281-288)

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Human Development Index

Figure 9-1

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I. More Developed Regions

– A. North America (HDI 0.95)• high on most scores – lower scores on dropouts &

life expectancy than Europe• former manufacturing giant

– surpassed in last 30 years due to labor costs

• more service oriented jobs (tertiary)• remain world’s greatest exporter of food

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I. More Developed Regions (cont.)

– B. Europe (HDI 0.93)• still distinction b/w Western & Eastern• shifted since Cold War

– greater cooperation b/w regions– Eastern Europe joins NATO & EU

• continuing difference in HDI– West higher HDI– West higher than North America

• few economic barriers (tariffs) today• many countries still look out for national economic

interests first despite EU• recent problems due to debt of PIGS

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I. More Developed Regions (cont.)

– C. Other MDCs with high HDI • Japan (0.96)

– electronics

• Oceania (0.90)– distinction b/w Australia & NZ (higher HDI) and

smaller islands (lower HDI)– Australia (mining)– New Zealand

• Russia (0.73)– oil– Russia is weakest especially after dissolution of

USSR & lower demand for oil in current recession

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More and Less Developed Regions

Figure 9-11

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II. Less Developed Regions

– A. Latin America (0.82)• highest HDI among LDCs• often distinctions w/in regions & countries

– wealthier in cities, esp. along coasts– greater inequity in income distributions (rich & poor)

• much of Latin America tied to North America– currently hurt by global recession

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II. Less Developed Regions (cont.)

• B. Asia• similar HDI among Asian regions except South Asia• significantly higher HDI than Sub-Saharan Africa

– 1. East Asia (HDI 0.77)• China – large manufacturer; rising economic power

– 2. Southwest Asia & North Africa (HDI 0.74)• aka Middle East• dependent on oil for income• regional variations – related to access to oil• Islamic ties – although religious tensions

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II. Less Developed Regions (cont.)

• B. Asia (cont.)

– 3. Southeast Asia (HDI 0.73)• hurt by warfare, c. 1930’s through 1970’s

– WWII, Vietnam War, Cambodian civil war (Khmer Rouge)

• great resources – rubber, tin, rice• cheap labor & budding manufacturing (esp. in 1990’s)

– 4. Central Asia (0.70)• development often related to oil (Iran, Kazahkstan)• HDI lower in other “Stans”

– esp. Afghanistan (non-stop wars since 1978)

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II. Less Developed Regions (cont.)

• C. South Asia (0.61)– 2nd highest population– but 2nd lowest per capita income– helped by Green Revolution

• strengthened agriculture

– great variances w/in region• India – rising manufacturing giant (4th highest GDP)

– many technology services

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II. Less Developed Regions (cont.)

• D. Sub-Saharan Africa (0.51)• low levels of development• many natural resources• but history of exploitation

– hurt by slavery & imperialism– recently by disease & warfare

• currently little prospect for development• basic resource problem: too many people, not enough

arable land• some regional differences (esp. South Africa)