Study Questions

Concept Review [1 point each]

1 The Human Development Index (HDI) recognizes which of the factors listed below as a function of level of development?

a. literacy rate
b. gross domestic product per capita
c. life expectancy
d. education
e. all of the above
f. none of the above


2 While the South Pacific has a high human development index, the region is much less central to the global economy because

a. it has fewer inhabitants and a peripheral location.
b. it has a warm climate.
c. lamb, a major commodity, is not in demand in the rest of the world.
d. none of the above.


3 Four economic indicators distinguish more developed from less developed countries. Identify one of them.

a. level of automation
b. amount of raw materials
c. gross domestic product per capita
d. all of the above
e. none of the above


4 According to this map, which Asian country listed below has the highest literacy rate?

a. Thailand
b. China
c. Indonesia
d. Mongolia


5 This graph illustrates the percentage of all countries that rank below the United States or India according to the particular measure, and tells the following story.


a. About 40 percent of the world's countries are more literate than the United States.
b. The United States has the highest per capita consumption of electricity use in the world.
c. Approximately 25 percent of the world's countries have a higher crude birthrate than does the United States.
d. All of the above.
e. None of the above.


6 Logging and fishing are two occupations belonging to which economic sector?

a. Primary
b. Secondary
c. Quaternary
d. Tertiary


7 The average worker in the United States adds what amount to the GDP?

a. $1,000
b. $10,000
c. $40,000
d. $70,000


8 What does MDC stand for? [1]


9 Give a clear explanation for the term value added. [2]


10 Where are the MDCs and LDCs distributed? [3]



11 Of the various factors that are included in the HDI, identify one that is almost always the result of higher development and one that is, initially at least, never the result. Explain briefly the cause-and-effect links. [4]





12 Explain one example of a virtuous cycle in development. [4]



13 Give an example of a demographic factor that affects a social factor. Explain how this happens. [4]
14 Compare and LDC and an MDC in terms of the types of jobs that are common now and were common in the past. [6]













15 Choose an LDC and make specific suggestion for improving development. Explain why your suggestions are useful. [6]


10. Where are the MCDs and LDCs distributed?

Generally speaking, the MCDs tend to be in the North, while LDCs are in the south. The major exception to this is Australia and New Zealand which are in the south.


11. Amount of raw materials is almost never the result of development. Because the amount of raw materials is a natural situation, it is not the result of development. Countries cannot generally produce raw materials. The exception would be where a developed nation has used up its natural resources. In contrast, education and health care are almost always the result of development. These are large expenses and require a certain level of development before they improve.
12. A virtuous cycle is when one good thing leads to another and they keep building on each other. One example is in Japan: They invested money in education and they got highly educated people. As a result, they were able to move into high technology production. This creates wealth and the wealth, in turn, can be invested in even better education.
13. (short answer) Average age of the population can affect healthcare levels.(full answer) In Canada, the average age of the population is beginning to affect the healthcare system. As people get older, they retire and stop adding to the economy. This means there’s less money to support healthcare. However, these same people become heavy users of healthcare, putting extra costs into the system. As a result, the level of healthcare will probably decrease.
14. In the past, jobs in MDCs were concentrated in the primary sector, but these started to shift to the secondary sector at the beginning of the last century. Now these regions concentrate their jobs overwhelmingly in the tertiary sector. In contrast, LDC jobs have historically been concentrated in the primary sector and there has been little change, although in the last few years there has been a slight shift to tertiary jobs.
15. I think that China should take advantage of their huge supply of human capital just like Japan did after WWII. Similarly, using their cheap labour, they should create cheap products and export them. Once this has become popular, China should reinvest its new wealth in creating higher value products. Finally, as we know that MDCs are moving into tertiary jobs, China should invest in education that will help its population make that kind of move.