POVERTY AND THE THIRD WORLD

POVERTY AND THE THIRD WORLD

1. Differences between the developed and the underdeveloped:

   • 80% of the of the population live in developing countries
   • Developed world:
     • - High income per capita
       • - Powerful industry
         • - Advanced technology
           • - High standard of living
   • Developing world
     • - Low per capita income
       • - industrial development
         • - It depends on foreign investment
           • - Based on cheap labor
             • - Strong dependence on foreign technology, trade and credits
               • Low standard of living

2. HDI, Human Development Index:

   • To evaluate the development of a country is not enough to consider only economic variables. A country can have a production and high income, but the benefits are not shared equally among the population.

3. Factors affecting underdevelopment

   • In assessing existing inequalities between countries, must take into account many factors, not just economic indicators. The main factors that determine underdevelopment are:
     • The historical colonization
       • External debt
         • Technological dependence
           • The high population growth
     • A health and poor education
       • Unequal trade
         • War
           • Political corruption and instability

4. The contrasts between developed and developing countries are:

   • Abundance and scarcity of natural resources
     • Production capacity
       • Consumerism / subsistence
         • Population growth in the Third World
   • Deficiencies in literacy
     • Difficult access to drinking water
       • Health problems and epidemic diseases
         • The problem of food

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