1.3 Inequality in rich and poor countries

• Aardrijkskunde
• Middelbare school
• havo, vwo
• Leerjaar 2

Inequality in rich and poor countries

1.3 part 1

What are 2 cons if we talk about GNP/Capita

1. For 1 dollar you can buy more in one country than in another. That is why purchasing power parity was coined → converted number of goods or services in a country for 1 dollar.

2. Informal sector does not count for the economy, in poor countries it is larger than the formal sector.

3. The GNP is an average, deviations from it can be very large. There may be social inequality, the biggest differences are in the semi-periphery group.

4. The GNP does not show regional differences, there may be regional inequality.

What is a slum

1. Rich city
2. Neighborhood with houses made of poor materials
3. Beautiful residential area with businesses
4. Poor countries

Slums fit best with these cities......

1. Cities in poor countries
2. Cities in rich countries

What are the 5 basic needs?

1. food, shelter, insurance, vacation and swimming
2. transport, education, food, clothing and shelter
3. shelter, food, clothing, health care and education
4. clothing, relaxation, shelter, vacation and winter coat

In the Netherlands, prosperity and well-being are...

1. High
2. Low

Well-being is the development of a country....

1. based on what is earned
2. based on living conditions

How can you measure well-being?

1. GNP
2. GNP/Capita
3. Basic needs
4. Physician density

What is prosperity?

1. When a country is doing well economically
2. When everyone is happy
3. When there is no war
4. When everyone earns the same amount

What is prosperity?

1. How much someone can buy
2. The wealth of a country measured in terms of money
3. How much you like your life
4. How much you can move

The literacy rate in the Netherlands is...

1. High
2. Low

What does not belong to the informal sector?

1. Self-created job
2. No taxes
3. Pension accrual
4. Low income

Rich in Nigeria because of the oil

Poor in Nigeria because of the oil

cbsinuwbuurt.nl

cbsinuwbuurt.nl

Social inequality

India has more millionaires than the United States.

3/4th of the people living in India have to make do with 2 euros a day.

Social inequality

Inequality in living conditions

(prosperity, health, living conditions), within a group of people.

Basic needs

People have  5 basic needs:

1. Food and drink

2. Clothing

3. A house

4. Healthcare

5. Education

Vicious circle of poverty

Homework

Ex 1, 2 en 3

Inequality in rich and poor countries

1.3 part 2

Regional Inequality

• Differences in prosperity and well-being between areas.
• Both in a country and in a city.
  
  
• Hope: Poor people move to richer areas.
• Also in rich countries > London salary 40% higher than surrounding area.

Regionale inequality NL

Regionale inequality Brazil

Free range economy (informal): All work that is not official work. People don't pay taxes and there are no rules or laws for this work.

Homework