Economics and Social Measures of Development

Questions and Answers

What does the Gender Gap measure in society?

Differences in privileges between males and females (correct)

Education levels of children

Economic contributions of women

Healthcare access for elderly citizens

Which measure combines economic and social indicators to assess development?

Gini Coefficient

GNI

HDI (correct)

GDP

What factor contributes to low birth rates and increased participation of women in the labor force?

Cultural traditions

Increased fertility rates

Access to healthcare

High education levels (correct)

What does the Gini coefficient measure?

Income inequality within a population Signup and view all the answers

What is the primary sector focused on?

Extracting raw materials Signup and view all the answers

Which economic measure reflects the total dollar amount of all final goods produced within a country in one year?

GDP Signup and view all the answers

Which sector is responsible for processing raw materials into finished products?

Secondary Sector Signup and view all the answers

What best describes the tertiary sector?

Service-oriented activities Signup and view all the answers

What is the focus of the quaternary sector?

Knowledge and information transfer Signup and view all the answers

Gross National Product (GNP) measures what?

Monetary worth of production within a country and abroad Signup and view all the answers

What is the primary characteristic of Rostow's Stages of economic growth model?

It describes a linear progression through five distinct stages. Signup and view all the answers

Which of the following best defines Wallerstein's world systems theory?

It is a dependency model highlighting interdependencies among countries. Signup and view all the answers

Which stage is NOT part of Rostow's Stages of economic growth model?

Economic stabilization Signup and view all the answers

What do the categories of core, semiperiphery, and periphery describe in Wallerstein's theory?

The economic roles and dependencies of countries in the world system. Signup and view all the answers

The concept of linear progression in development theories is most closely associated with which model?

Rostow's Stages of economic growth model Signup and view all the answers

What does Gross National Income (GNI) measure?

Wages earned by people and corporations Signup and view all the answers

Which best describes Gross Domestic Product (GDP)?

The value of all goods produced within a country Signup and view all the answers

What are remittances?

Funds sent by immigrants to their families in their home country Signup and view all the answers

How is per capita income calculated?

Total GNI divided by the total population Signup and view all the answers

What characterizes the formal sector of the economy?

It is monitored and taxed by the government Signup and view all the answers

What does the Gini Coefficient measure?

Income inequality within a population Signup and view all the answers

What does the Human Development Index (HDI) primarily measure?

The economic and human well-being of a country Signup and view all the answers

Which of the following best describes the Informal Sector?

The economy that governments do not track or tax Signup and view all the answers

What is typically true about life expectancy in more developed countries?

It is generally higher compared to less developed countries Signup and view all the answers

Which of the following best describes non-governmental organizations (NGOs)?

Groups that are not affiliated with the government and focus on public advocacy Signup and view all the answers

What is the main concept of the dependency model?

Countries are part of an interconnected world system. Signup and view all the answers

Which best defines a non-governmental organization (NGO)?

A voluntary group not affiliated with the government. Signup and view all the answers

What does the Literacy Rate represent?

The percentage of the population that can read and write Signup and view all the answers

What is the primary purpose of microloans?

To assist small businesses or individuals in starting or growing their ventures Signup and view all the answers

What is the Gender Inequality Index (GII)?

A measure of several factors indicating gender disparity Signup and view all the answers

Which of the following is considered a commodity?

Coffee Signup and view all the answers

What does Rostow's stages of economic growth model suggest?

Countries progress through five distinct stages of economic growth at different rates Signup and view all the answers

What does commodity dependence refer to?

Dependence on a single export commodity that affects human development. Signup and view all the answers

According to world systems theory, what is the relationship between countries?

Countries are part of an interconnected global system where they depend on each other Signup and view all the answers

What does dependency theory primarily address?

The exploitation of poor countries by rich countries. Signup and view all the answers

Study Notes

Gender Gap: Assesses disparities in privileges between males and females within societies.
Gender Inequality Index (GII): Comprehensive index considering reproductive health, empowerment, and labor market participation to evaluate gender inequality.
Human Development Index (HDI): Composite index incorporating Gross National Income (GNI), life expectancy, and educational attainment (expected and average years of schooling).
Gross National Product (GNP) / Gross National Income (GNI): Measures economic output generated by a nation’s citizens or businesses, irrespective of location.
Gross Domestic Product (GDP) and Purchasing Power Parity (PPP): GDP reflects total value of goods produced domestically in a year; PPP standardizes comparisons of purchasing power among countries.

Women and Economic Development

Impact of Low Birth Rates: Contributes to increased female workforce participation.
Transnational Corporations: Create more employment opportunities for women in developing nations by opening factories and hiring women due to lower wage expectations.

Theories of Development

Rostow's Stages of Economic Growth: Conceptual framework describing a linear progression through five stages: traditional society, preconditions for take-off, take-off, drive to maturity, and high mass consumption.
Wallerstein's World Systems Theory: Dependency model indicating that nations are interconnected and categorized into core, semi-periphery, and periphery based on their economic roles.

Economic Sectors

Primary Sector: Involves extraction of natural resources (e.g., agriculture, fishing).
Secondary Sector: Concerns processing and manufacturing (e.g., factories).
Tertiary Sector: Service-oriented activities supporting primary and secondary sectors (e.g., retail, transportation).
Quaternary Sector: Focuses on knowledge-based activities like research and education (e.g., banking, higher education).
Quinary Sector: Represents high-level decision-making roles, including government officials and executives (e.g., CEOs, Congress).

Key Economic Terms

Gross National Income (GNI): Total income earned by individuals and corporations in a nation, including overseas earnings.
Gross Domestic Product (GDP): Total monetary value of all goods and services produced within a country.
Remittances: Money sent by immigrants back to their home country, supporting family and local economies.
Per Capita Income: Average income per person, calculated by dividing GNI by the population.
Purchasing Power Parity (PPP): Adjusts income measures to reflect the cost of living and inflation differences across countries.

Additional Concepts

Gini Coefficient: Ranges from 0 to 1, measuring income inequality; higher values indicate greater disparity.
Life Expectancy: Average number of years a person is expected to live; linked with developmental status.
Literacy Rate: Percentage of a population that can read and write at a certain education level, typically 8th grade or higher.
Informal Sector: Economic activities that are not monitored or taxed by governments, often significant in less developed countries.
Microloans: Small loans aimed at facilitating economic growth for individuals or small businesses.
Glass Ceiling: Metaphor for invisible barriers preventing women and minorities from advancing into top positions in business and government.
Commodity Dependence: Economic reliance on export commodities; fluctuations in commodity prices can adversely affect development.

Dependencies and NGOs

Dependency Model: Wallerstein’s concept that countries rely on each other within a global system, leading to varying levels of economic development.
Non-Governmental Organizations (NGOs): Independent organizations focused on humanitarian and social issues, often working outside government frameworks.

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Description

This quiz explores the social and economic measures of development, including the gender gap and Gross National Income (GNI). Understand how these metrics impact societal progress and economic growth. Test your knowledge on the essential concepts and their implications for development.