ONE GLOBE -

ONE WORLD???

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The world’s countries are in different phasesof development so the world was divided into different so-called “sub-worlds”:

First World Nations + Industrialised countries with market economy

(e.g. USA, Japan, GB, Austria...)

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BEMs

= Developing countries which have maintained sustained economic growth over the years and show good economic potential are called emerging markets.

The Big Emerging Market economies are e.g. Argentina, Brazil, China, Egypt, India, Indonesia, Mexico, Poland, Russia, South Africa, South Korea or Turkey

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NICs = newly industrialised countries

Countries with more advanced economies than other developing nations, but which have not yet fully demonstrated the signs of a developed country.

e.g. Thailand, Vietnam, Cambodia,…

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LDCs = so-called „developing countries”

The application of the term developing country to any country which is not developed is inappropriate because a number of poor countries have experienced long periods of economic decline. Such countries are classified as either least developed countries or failed states. e.g. Somalia, Sudan, Zimbabwe, Chad, Iraq

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LEDCs International organisations have started to use the term „Less economically developed countries“ (LEDCs) for the poorest nations which can in no sense be regarded as developing. That is, LEDCs are the poorest subset of LDCs. This also moderates the wrong tendency to believe that the standard of living in the entire developing world is the same. e.g.Ethiopia, Eritrea, Niger…

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Development entails

• a modern infrastructure and a • move away from low value added sectors such as agriculture and natural resource extraction.

Developed countries usually have economic systems based on continuous, self-sustaining economic growth in the tertiary and quarternary sectors and high standards of living.

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Measure and concept of development

The development of a country is measured with statistical indexes such as

• income per capita (per person),• GDP, • life expectancy,• the rate of literacy, et cetera.

The UN has developed the HDI, a compound indicator of the above statistics, to express the level of human development for countries where data is available.

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Developing countries are in general countries which have not achieved a significant degree of industrialisation relative to their populations, and which have, in most cases a medium to low standard of living. There is a strong correlation between low income and high population growth.

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The 21st century is stamped by a world-wide linkage of economy, called globalisation.

There is a strong correlation between most countries in sense of tele-communications, industrial production and exchange of goods.

There is no possibility for countries to escape this development.

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What does „globalisation“ mean to me? In what sense am I a so-called „Mc World citizen“?

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HOW TO DEVELOP A COUNTRY....

Development of a country has a logical consequence. Every country has to go through different phases on its way to an industrialised country.

PHASE 1: AGRARIAN COUNTRIES

= no industrialisation at all / time before the start of industry The economy of such countries is dominated by people working in the primary sector (= mining of raw materials), few people working in the secondary sector (=processing and manufacturing) and very few people working in the tertiary sector (= services).

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Agrarian Countries

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II

III

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PHASE 2: EARLY INDUSTRIAL COUNTRIES (NICs)

= start of industrialisation

The economy of these countries shows a still high primary sector but an increasing secondary sector and a slowly increasing tertiary sector

NICs

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II

III

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PHASE 3: HIGH INDUSTRIAL COUNTRIES

= industrialisation completed

The economy changes again:

the primary sector decreases significantly, the secondary sector becomes the dominating sector and also the tertiary sector increases.

INDUSTRIAL COUNTRIES

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III

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PHASE 4: POST INDUSTRIAL COUNTRIES

= very advanced – mainly “new industries” “leisure society”

The economy’s primary sector has become very low in the meantime, the secondary sector decreases significantly and the tertiary sector becomes the dominating one.

In addition a new quartery sector is added (= international services).

POST INDUSTRIAL COUNTRIES

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Developing countries are eager to attract any kind of industry to have at least the possibility of a start.

They sell themselves with slogans like:

• free building plots• no or few taxes• cheap workers (child work???)• no trade unions• no environmental protection (no restrictions)

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The example of newly industrialised countries shows that it is possible to develop:

First Step: LAND REFORMS joining of mini-farms; more (simple) machines people set free to work in industry

Second Step: LOW TECH INDUSTRIES= those that are possible with non-skilled workers, few and simple machinese.g. shoes, textiles, toys....

Third Step: MASS PRODUCTIONthe more people come to work in the cities the more it is possible to produce – the world market is “flooded” with cheap goods

Final Step: HIGH TECH INDUSTRIESmore and more branches introduced to become self-sufficient; better education (skilled workers...)transition to more complicated goods (high tech) standard of living rises....

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DEMOGRAPHIC VIEW

Industrialised countries:

About 200 years ago industrialisation started and with the years prosperity and life expectancy (better medical care, less infant mortality) grew continuously.In addition to better education, women at work, and a higher standard of living this caused a notable decrease of the birth rate so in our days population increases very slowly or stagnates or even decreases!

In general we notice a birth rate of ~ +/- 1% and a death rate of ~ +/- 1%, too.The tendency of shrinking growth is balanced out by migration from less developed countries.

At the moment ~ ¼ of the world’s population lives in industrialised countries

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Developing countries:

Industrial development only started in the past 20 or 30 years.

Most of the countries currently are still in the first or second phase of development that means that the population growth is enormous (“population scissors” open!)

In general we notice a birth rate of ~ +/- 4% and a death rate of ~ +/- 2%.

At the moment ~ ¾ of the world’s population live in developing countries.

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Reasons for many children:

INFANT MORTALITY: Medical care is still not available for many people living in the countryside

WORKFORCE: children are needed to help to support the family

“RETIREMENT INSURANCE”: no state pensions – children have to take care of their parents when they are old

SOCIETY: only male descendants guarantee the survival of the old (in connection to the current infant mortality this means that every family should have at least 4 sons to have their “pension” guaranteed

SOCIAL PRESTIGE: “real men” have many children – men don’t co- operate with family planning

RELIGION: nearly every religion is against contraceptives

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Problems of excessive growth:

• food shortages• bad employment situation• uncontrollable migration to cities• poor housing conditions• poor education• need for development

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Possible solutions:

Different countries have different methods to control their population: sanctions (e.g. China many social problems) rewards (e.g. Indonesia money, less tax, pilgrimage to Mecca for sterilisation) free contraceptives and sex educationmore or less successful!

The best way would be to develop the countries’ economies and to integrate women into industrial work a higher standard of living fewer childrene.g. Kenya - 8,3 children/woman Ethiopia - 5,4 Brazil - non-educated women – 6,5 / educated women (until 14!) – 2,5!!!!!

compare Austria - 1,5