Economic Comparison: Singapore vs. US

Questions and Answers

What was the GNP per capita of Singapore in 2000?

$30000

$34260

$20000

$24740 (correct)

Which of the following concepts was NOT introduced by colonial rulers?

Collective farming (correct)

Money taxation

Private property

Personal taxation

Which country has a colonial heritage influenced by the Dutch?

Vietnam

India

Pakistan

Indonesia (correct)

Which aspect is NOT considered a factor in the economic potentialities of a country?

Technological advancement Signup and view all the answers

What was the population of the US in 1998?

282 million Signup and view all the answers

Which of the following countries is characterized as having heavy endowments of natural resources?

Gulf States Signup and view all the answers

What combination influences the heritage of India and Pakistan?

British and local traditions Signup and view all the answers

Which of the following is a critical factor affecting human resource endowments in developing countries?

Cultural outlooks Signup and view all the answers

What percentage of the population in UDCs consists of dependents?

45% Signup and view all the answers

What age group constitutes the majority of dependents in UDCs?

Children under 15 years Signup and view all the answers

Which factor contributes to the low levels of living in UDCs?

Inefficient labor utilization Signup and view all the answers

What is the average rate of open unemployment in UDCs?

10% to 15% Signup and view all the answers

How does underemployment manifest in labor markets of UDCs?

Workers have full-time jobs with low productivity Signup and view all the answers

What percentage of the young labor force in UDCs has higher unemployment rates than the average?

20% Signup and view all the answers

What term describes individuals who have stopped looking for jobs due to disappointment?

Discouraged Workers Signup and view all the answers

What was the unemployment rate in Pakistan during 2006-07?

6.5% Signup and view all the answers

What is the established amount for the International Poverty Line based on the value of the 1985 dollar?

$370 Signup and view all the answers

What percentage of the world's population was living in absolute poverty in 1998?

24 Signup and view all the answers

Which region had the highest number of individuals living in absolute poverty according to the 1998 statistics?

Asia Signup and view all the answers

What was the average life expectancy in least developed countries (LDCs)?

48 Signup and view all the answers

What was the infant mortality rate (IMR) in developed countries?

11 Signup and view all the answers

How many people were reported to be living below the poverty line in India according to the 1998 World Bank report?

509 Signup and view all the answers

In which year was the poverty ratio in Pakistan reported as 30%?

2005 Signup and view all the answers

What significant health issue did the Third World countries face alongside low per capita incomes?

Malnutrition Signup and view all the answers

What is the primary consequence of population growth in UDCs?

Worsening of unemployment and underemployment Signup and view all the answers

What factor significantly contributes to urban migration in UDCs?

Increased educational facilities in cities Signup and view all the answers

Which of the following describes the agricultural workforce in UDCs compared to DCs?

Higher percentage of the labor force engaged in agriculture in UDCs Signup and view all the answers

What is a notable characteristic of the agriculture sector in UDCs?

Predominantly subsistence farming Signup and view all the answers

What is one of the primary reasons for low agricultural productivity in UDCs?

Primitive technologies and poor organization Signup and view all the answers

How does the land tenure system in UDCs impact agricultural productivity?

It leads to high rents paid to often absentee landlords Signup and view all the answers

What social issues are exacerbated by migration to urban areas in UDCs?

Encouragement of terrorism and ethnic tensions Signup and view all the answers

What is the contribution of the agriculture sector to GNP in UDCs compared to DCs?

Higher in UDCs at 20% versus 3% in DCs Signup and view all the answers

What is a significant factor contributing to low agricultural productivity in UDCs?

Small, divided land holdings Signup and view all the answers

What does the Vicious Circle of Poverty (VCP) in UDCs primarily result from?

Low income and low savings Signup and view all the answers

Which of the following is a characteristic of the agricultural techniques used in UDCs?

Reliance on primitive techniques Signup and view all the answers

What impact does the limited market have on investment in UDCs?

Restricts levels of investment Signup and view all the answers

How do international demonstration effects affect saving behaviors in UDCs?

They urge people to save less and spend on luxuries Signup and view all the answers

What is the average saving ratio as a percentage of GNP in a country like Pakistan?

17 to 18% Signup and view all the answers

Which of the following factors contributes to the shortage of capital in UDCs?

Consequences of the Vicious Circle of Poverty Signup and view all the answers

What is a primary outcome of reduced capital in UDCs?

Lower levels of investment Signup and view all the answers

Study Notes

Economic Overview

Singapore's population was 4 million with a GNP per capita of $24,740 in 2000.
The US had a population of 282 million and a GNP per capita of $34,260 in 1998.

Colonial Influence

Many Asian and African nations were former colonies of England, France, Germany, Spain, and Holland, shaping their economic and social structures.
Colonial rulers introduced concepts of private property, personal taxation, and money taxation, eroding local community autonomy.
Latin America has a unique colonial heritage, with countries facing similar economic, social, and cultural challenges despite varying sizes and resources.
India and Pakistan's colonial past has merged with local traditions, visible in systems of education and administration.
Indonesia reflects Dutch influence, while Vietnam exhibits French societal modes.

Resource Disparities

Economic potential relies on both physical and human resources, which vary widely among Third World countries.
Gulf States are rich in oil, while countries like Bangladesh and Ethiopia suffer from resource deficiencies.
Human resource quality, cultural attitudes, and administration skills significantly affect productivity and development.

Poverty Statistics

In 1998, nearly 1.2 billion people (24% of the global population) lived in absolute poverty.
Asia accounted for 800 million of these impoverished individuals; Sub-Saharan Africa (290 million); Latin America (78 million); North Africa and the Middle East (5.5 million).
In South Asia, poverty figures included 509 million in India, 95 million in Bangladesh, and around 40 million in Pakistan, with poverty ratios approximately 30% in Pakistan during the mid-2000s.

Health Challenges

Low per capita income correlates with malnutrition, diseases, and health issues in Third World countries.
Life expectancy averages 48 years in least developed countries (LDCs) compared to 75 years in developed nations.
Infant Mortality Rates (IMR) are significantly higher in LDCs, averaging 96 deaths per 1,000 live births versus 11 in developed countries.
UN reports highlighted that over 1 billion people live on caloric-deficient diets, with many being children.

Unemployment and Underemployment

UDCs (Underdeveloped Countries) face severe unemployment and underemployment challenges.
Open unemployment rates in UDCs range from 10% to 15%, with youth unemployment significantly higher.
In 2006-07, unemployment in Pakistan was 6.5%, dropping to 5% by 2008-09.
Underemployment reflects inefficiencies, with an estimated 35% of labor forces underutilized across urban and rural settings.

Agricultural Dependence

Approximately 65% of the population in UDCs resides in rural areas, with 58% employed in agriculture.
Agriculture contributes 20% to the GNP in UDCs, contrasting with just 3% in developed countries.
Low agricultural productivity arises from outdated techniques, poor organization, and limited access to modern inputs.
Many farmers in UDCs operate under a subsistence model, facing excessive rents and exploitation by absentee landlords.

Capital Shortfalls

UDCs experience significant capital shortages, hindering economic growth and development.
The Vicious Circle of Poverty (VCP) illustrates how low income leads to low savings, resulting in limited investment opportunities.
In Pakistan, the savings ratio is only 17-18% of GNP compared to 20-25% in developed countries.
Consumption patterns driven by desires to emulate developed standards can detract from savings, leading to increased importation of luxury goods.

Studying That Suits You

Use AI to generate personalized quizzes and flashcards to suit your learning preferences.

Description

This quiz examines the economic indicators of Singapore and the United States, focusing on GNP per capita and population figures from the late 1990s to 2000. It also addresses the historical context of colonialism and its impact on the economic structures of Asian and African nations. Test your knowledge of economic data and historical influences.