Download Measuring Development

Measuring
Development
GDP
• Gross Domestic Product
• Value of total output of goods and
services within a country in a year- p.276
• PER CAPITA
• MDCs - $30,000
• LDCs - $3,000
Y = C+I+E+G
Y = GDP
C = Consumer Spending
I = Investment made by industry
E = Excess of Exports over Imports
G = Government Spending
GNP
• Gross National Product
• Total value of officially recorded goods
and services produced by citizens and
corporations.
• Broader than GDP (inside & outside
territory)
GNP Formula
Consumption + Government Expenditures
+ Investments + Exports + Foreign
Production by US Companies – Domestic
Production by Foreign Companies = Gross
National Product
GNI
• Gross National Income
• Monetary worth of a country’s production
PLUS income received from investments.
• More accurate in terms of global economy.
• Japan - $31,410
• USA - $41, 950
• Luxembourg - $65,340
• India - $3,460
Literacy Rate
• % of people who can read and write (p. 292)
• Exceeds 98% in MDCs
• Lower than 60% in LDCs
Life Expectancy
• Average # of years a newborn can expect
to live.
• 60s in LDCs
• 70s in MDCs
HDI
• Human Development Index
• A country’s development is comprised of
economic, social, and demographic factors!
1.
2.
3.
4.
GDP
Literacy Rate
Amt. of Education
Life Expectancy
The Brandt Line (382,302)
The Brandt Line
The Brandt Line