Geography GCSE- The Changing Economic World

Development

Development- the process of a country- economic growth, use of technology and human welfare

How to measure

  • Infant mortality, HDI, GNI, birth/death rate, literacy rate, people per doctor etc
  • Can be dificult as diff aspects develop at diff rates- use multiple measures (HDI)

Development Gap- difference in standards of living between world's richest/poorest countries

Increasing levels of development-

  • natural hazard protection, acess to safe water/education, trade, stable government
  • HIC= high incoem country- high HDI/ life expectancy= good QoL, GNI excess of $12,746
  • NEE= newly emerging economy- increasing HDI, decreasing death rate= improving QoL
  • LIC= low income country- high birth rate, low literacy, low GNI= bad QoL, GNI $1045
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Democratic Transition Model

Shows birth rate, death rate and total population (increase/decrease) to show how population has changed as country has become more developed (devlopment can go back, not accurate)

STAGE 1-

  • high birth death/birth rate as no knowledge of contraception and limited healthcare= low pop

STAGE 2- (LIC)

  • high birth rate as mainly agricultural work so need lots of children, death rates falling as better healthcare= higher life expectancy= increasing population

STAGE 3- (NEE)

  • Birth rate falls as manufacturing= fewer kids and equal rights, and contraception increases
  • Death rate low as better healthcare so incresaing population

STAGE 4/5- (HIC)

  • low death/birth rate as people want better QoL so few kids, better healthcare and equality
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Uneven Development

Physical Causes-

  • location fo country- cut off from trade, natural resources, freq natural hazards, 
  • Climate related diseases- people ill and can't work, decreased crop yields to sell/trade
  • Natural hazards- damage to infrastructure/ crops- reduce QoL and money to rebuild

Economic Causes-

  • Trading skill/opportunity- contribute to economy
  • Primary Products Economy- low demand/prices = low profit, manufactured goods force down price of raw materials
  • Amount of debt- some countrues have surplus but some have deficit

Historic Causes-

  • Colonised countries lower development than independent- Euro countries colonised Africa- took raw materials and sold back manufactured- Africa relied on Europe
  • Civil wars- damage to infrasture, money on arms not healthcare/ education
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Uneven Development/ Migration

Consequences-

  • Wealth much higher in HIC than LIC= higher GNI
  • better healthcare in HIC= lower infant mortality, higher life expec, fewer diseases
  • International migration into HIC, out of LIC= fewer works in LIC and more opportunities in HIC

Immigrant- a person who moves INto a country

Emmigrant- a person who EXITS a country

Migrant- person who moves from one place to another

Economic migrant- moves for better work, services or quality of life

Refugee- person who is forced to move from their country due to war/natural disease

Displaced person- person forced to leave home but stays in country of origin

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Reducing the Development Gap

Investment-

  • HICs/TNCs invest money/ expertise in LICs to increase profits
  • Improve infrastructure, construction, industry, employjment, 
  • Leads to more political involvemnt, better industry, access to finance/tech, less poverty

Industrial Development-

  • Brings employment, higher incomes and more opportunities for investment
  • No longer relying on agriculture- multiplier effect (better education= more workers)

Tourism-

  • increased income and investment from abroad to fund better services= devlopment
  • Vulnerable in times of economic recession

Debt relief- world organisation cancel's debts of country so more money to develop

Microfinance- small loans to people in LICs to start businesses= more work and financially independent

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Reducing the Development Gap 2

Intermediate Technology- sustainable tech that is appropriate to needs, skills, knowledge and wealth of local people (solar powerd LED lights)

  • Imporve locak communities, quality of life and industrail output to reduce gap

Fair Trade- minimum standards for poorer countries to improve QoL of farmers

  • Part of price invested in local community, more income for farmers, product stronger position in market

Aid- country/ organisation donates resources to help another country develop/ improve lives

  • Grants, loans, emergency supplies, food, technology, skills
  • Short term (after disaster), long term (sustainable to improve resilience)
  • Tied (given with certain conditions), voluntary (donated by gerneral HIC public, distributed by NGOs (non governmental organisations)
  • Bilateral (one country to another), multilateral (rich govs give money to international organisations, which redistributes as aid to poorer counyries)
  • Can lack knowlegde to maintain, corrupt govs use for self promotion
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Nigeria Case Study- Nigeria

Location- West Africa, extending from Gulf of Guinea (South) to Sahel (North), NE of Atlantic ocean, borders Benin, Niger, Chad, and Cameroon

Global Importance- 

  • NEE= rapid economic development, 2014 21st largest economy, 2050 in top 20
  • World's highest av GDP growth 2010-15
  • Centre of Lagos economic hub( finance, telecommunications, media)
  • 12th largest oil producer- 2.7% of worl'd oil
  • 5th largest contrubuter ton UN peacekeeping

Importance in Africa-

  • One of fastest growing economies- 2014 highest GDP & 3rd largest manufacturing sector
  • Largest population- more than 182mil
  • 70% pop emplyed in agriculture- highest farm output with over 19mil cattle
  • Huge potential according to Barrack Obama
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Nigeria Case Study- Aspects of Nigeria

Political-

  • Euros exploited resources, but independent 1960 and stable gov since 1999
  • China investment in construction, S Af in business/banking, USA corporations operating 
  • Civil War 1967-70= lack of political stability= widespread corruption

Social-

  • Multiethnic/multifaith- socially diverse, strength but source of conflict- civil war 1967-70
  • Economic inequality between N&S- religious/ethnic tension- rise of Islamic Fundamentalist group Boko Haram= reduction in abroad investment and increased unemplyment

Cultural-

  • Rich?varied, music, writers (Nnedi Okor), won  Af cup on nations 3 times, cinema Nollywood 2nd largest industry

Environmental-

  • North- Sahel/Sahara, savanna for cattle grazing, decreasing rainfall due to bands, SOUTH- high temps/rain, forest, oil palm, cocoa, Jos Plateau- centre, upland, densely populated farmland, wet and cool
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Nigeria Case Study- Industrial Structure

Source of Income- primary/agricultural products (cocoa, timber, palm oil, cotton), but since oil discovery in Niger Delta 1950s- oil 14% GDP, 98% exports

Changing Economy-

  • 1999 70% agriculture, 20%services, 10% industry, 2012 balanced
  • Agriculture fallen as more farm macinery and better pay in other sectors
  • Industry increased as indutsrialisation and economic growth
  • Service increased as growth of finance communications and retail

How does it affect economic development?

  • Regular work= secure income and larger home market (cars, clothes, elctrical appliances)
  • Manufacturing industries stimulate growth with close links
  • More people emplyed= revenue from taxes increases
  • Attracts foreign investment= economic growth
  • Oil processing= growth of chemical industries
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Nigeria Case Study- TNCs

Transnational Corporation- large company operating in several countries, hq in one country, production plants in others

  • Why- cheap labour, tax incentives, laxer environmental laws, access to wider market
  • 40 in Nigeria, mainly HQ in USA,UK,Euro

Advantages- 

  • employment/development of new skills- valuable export earnings/ reliable incomes
  • investment in infrastructure and education to imrpove QoL
  • local companies benefit from increased orders, valuable export revenues

Disadvantages-

  • Local workers poorly paid, poor working conditions
  • managemnent jobs for foreign employess, profit generated goes abroad
  • Grants/ subsidies used to attract TNCs could have been used elsewhere
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Nigeria Case Study- Unilever/ Shell Oil

Unilever- 1923, food, drink and home items, dterrgents, personal care items

  • Employs 1500, sustainable sources, high emplyment standards
  • social responsibility programme- promoted improovemnts in healthcare, education and water supply, 2014 voted 2nd best place to work in Nigeria

Shell Oil in Niger Delta- since oil discovery 1958

  • Direct emplyment for 65000, 250000 jobs in related industries
  • 91% of Shell contracts to Nigerian companies, supporting growth of energy sector
  • Oil spills- water pollution, soil degradation- reduced agricultural production/ fishing yields
  • Frequent oil flares- toxis fumes/ air pollution, 
  • Oil theft/ sabotage- decreased production levels, costing gov/TNC millions every year
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Nigeria Case Study- International Aid

Aid- When a country/NGO donates resources to another country to help it develop/ improve QoL

  • Emergency aid after natural disaster, war/ conflict, developmental- long term goal to develop

Why does Nigeria need it?

  • limited access to services (safe water, reliable electrcity), 60% live on less than $1 a day
  • High birth/ infant mortality rate, low life expec, stripped of resoucres when colonised by British

Advatntages-

  • Educate/ protect agaisnt spread of AIDS, support packages for oprphans/ vulnerabke kids
  • NGO Nests- education on malaria prevention, mosquito nets to houses, 
  • 2014 World Bank approved US $500bil long term business loans- less dependence on oil

Disadvantages-

  • Gov corruption= loss of aid, gov divert money for other uses (build up Nigeria's navy)
  • Donors political influence over what happens to aid- promote commercial self interest
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Nigeria Case Study- Environmental Impacts of Econo

Industrial Growth-

  • chemical waste threatens groundwater quality, 10,000 illegal small scale industries
  • 70-80% forests destroyed through logging/urban expansion/roads/industry
  • irrigation schemes worsen desertification, chimneys= posionous gases= heart problems
  • Kano,Lagos,Kaduna- harmful polutants in water channels- damages ecosystems downstream

Urban Growth-

  • waste disposal issue, traffic congestion- harm emissions, greenbelt/ recreation to building site

Commercial Farming/ Deforestation-

  • settlement/road building- destroyed habitats and harmful emissions- land degredation
  • extinct species- 500 types of plant, cheetahs and giraffes
  • Chemicals= water pollution, soil erosion and silting of river channels
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Nigeria Case Study- Environmental Impact 2 and QoL

Mining and Oil Extraction-

  • tin mining- soil erosion, local water supply polluted, oil spill Niger Delta- impact on ecosystem
  • Mining of raw materials- pollution, damaged ecosystems, oil spills- fires- CO2 and acid rain
  • 2008/2009 oil spills Bodo Niger Delta- leaks in pipeline- 11mil gallons crude oil spilt over 20km creeks and swamps

Quality of Life in Nigeria as Economy Improves-

  • Reliable, better paid jobs in manufacturing/industry=higher disposable income
  • Better access to safe water/ sanitation, better quality healthcare, reliable electricity
  • Infrastructure improvements, access to better diet= higher productivity in work/school

Quality of Life in Nigeria has Improved due to Economic Development-

  • Mortality rate per 1000 213 1990- 117 2013, school enrolment 25% 1990- 44% 2013
  • Population with access to safe water 46% 1990- 64% 2013
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Nigeria Case Study- Quality of Life 2

QoL in Nigeria has not Improved due to Economic Development-

  • 60% still poor with no access to safe water, sanitation, reliable electricity
  • Corruption issue, rich-poor gap widened, oil wealth hasn;t desertified economy
  • Oil price decreased, techn development= oil elsewhere- overdependence on oil-problem

Nigeria's HDI Values-

  • 2005 0.465, 2013 almost 0.505= QoL has imrpoved
  • Expected to continue increasing- 2000 Nigeria one of least developed nations, 2011 one of highest HDI imrpovements in last decade

Will people's quality of life continue to improve?

  • political- need stable gov and inward investment
  • Social- still distrust betwen tribal groups, religious divide, kidnapping of Boko Haram spread fear for potential investors and Nigerians
  • Environmental- oil spills Niger Delta devasated lives of locals, pests restrict livestock farming, parts of North under desertification threat
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UK- Changing Economy

  • Before 1800 mainly primary sector, 1900 secondary as industrial rev and people moved to towns to make steels/ships in manufactruing sector
  • 2006 people working in tertiary, 2015 quaternary (developments in media/technology)

Why Has it changed- 

  • De-Industrialisation- (decline in manufacturing (secondary) industry, growth in tertiary/quaternaryemployement
  • occured as; machines/tech replaced people in modern industry, other countries produce cheaper goods as cheaper labour, lack of ivestment, high labour costs and outdated machinery= uk products too expensive
  • Globalisation- growth of ideas around the world (spread of cultures/people/goods)
  •  boosted world trade= decline in manufacturing, growth of q as people work on global brands
  • Gov Policy- 
  • 1945-79: state run industries (national rail), money on declining uk industries, ageing equipment/too many employees= unprofitable, 1970s strike, social unrest, factory closures
  • 1979-2010: state run industries sold to private investors (privatisation)= competitive environment, older industries cloed, new private indutstries= change/ innovation, derelict indutsries transformed to new financial centres with offices and modern retail outlets
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UK- Post Industrial Economy

Post Industrial Economy= man industry declines, replaced with growth in service/ quat

  • UK 1970s-2015- 78% employment in tertiary 2015 but only 55% in 1990

Information Tech- computers= info quickly stored/accessed, global communication, rapid tech devlopment, access internet with phones/tablets

Developments in IT-

  • internet access= home work, business directly involved with manufacturing hardware/ designing software, 1.3 more people work in IT
  • UK a leading digital economy= attracts abroad businesses and investment

Service Sector= 79% of economy, banking/finance/fund management, over 2mil emplyed

Research- (biotech,NHS,engineering), BBC,NHS, contribute £3bil to the UK

British Anterctic Survey-

  • Employs 500 skilled people in Cambridge/Arctic/Antarctic, linked to Cambridge Uni- sci research, use of ships, aircraft,research station- resaerch in polar regions helps understand human impact on natural ecosystems, currently investigating arctic sea ice, space weather research
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UK- Parks

Science Park- group of scientific/technical knowledge based businesses on single site, over 100 in UK, support financial/marketing services, 750000 work in UK's

Uni Of Southhampton Science Park-

  • Opened 1986, Fibrecore, Photonstar
  • Benefits: links with uni research facilities, source of graduate employees, attractive location, transport links, work areas- coffee shops, broadband

Business Park- area of land occupied by cluster of businesses

  • located on edge of land as cheap, more land, access as less traffic, business work together

Cobalt Business Park- UK's largest

  • facilities: rectraetion, retail outlets, fitness ecntres, cycleways, green spaces
  • 20 mins from international airport, link to A1 road
  • qualify for gov assistance as businesses suffered from economic decline 
  • 2015 international energy company moved to park
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UK- Industry Impact on Environment

  • Manufacturing plants neg visual impact, transport= air pollution and en damage as roads built
  • Industrial processes= air/water pollution= soil degredation, waste products in landfill- weak soil

Improved?-

  • Tech reduces harmful emissions from power stations/ heavy industry
  • Desulphurisation- remives harmful gases (supfur/nitrogen oxide)
  • Stricter environmental targets, fines for industrial pollution incidents

Quarrying In UK-

  • destroy habitats, pollute water courses, scar landscape, 
  • now strict environmental controls, sustainable devlopement aims, recycling to reduce waste
  • in operation controls on blasting, road dust removal, landscaping
  • companies expected to improve/ restore quarry following use- habitat creation, housing, agriculture, flood storage, landfill
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UK- Torr Quarry

Features- 

  • 1/8 of limestone quarries on Mendip Hills, 100 emplyed, contributes £15mil to local economy
  • 2.5km site, near Shepton Mallet, rock chippings for roads, produce 5mil tonnes a year
  • 3/4 output transported by rail, most to South East

Envrionmentally Sustainable-

  • restored= wildlife for recreation/water supply, limestone features to look natural
  • 200 acres landscaped to blend in, reg monitoring of noise, airborne emissions, water quality
  • Rail transport minimises impact on local roads/ villages

Impact on Environment-

  • machinery uses fossil fuels= greenhouse gases, producing waste
  • soil ersoion, land degredation, 
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UK- South Cambridgeshire

  • Location- SW of Cambridge, S of Huntingdonshire
  • 150,000 pop increasing due to inward migration- reach 182,000 by 2031

Population-

  • 2013 registrations for National Insurance N. for migrant workers increased by 25% since 2012
  • 65+ people pop increasing- 2031 29% of population

Challenges for growing population-

  • increased migrants from poor Europe= pressure on services and increased costs
  • lack of afordable housing= young people move
  • 80% car ownership= traffic, less use of public transport, highest petrol prices as high demand
  • commuters use services where they work= negative impact on local rural economy
  • development of village edges/ gentrification of abandoned farm buildings= no community- decrease in agricultural emplyment as farmers sell land for construction
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UK- The Outer Hebrides

  • Location- W of Scotland, N of England,
  • 27,400 pop declining as outward migration

Impacts-

  • n. of school kids falling= closures, younger ppl move=fewer working people
  • ^ ageing population & few young ppl to support= future health care issues

Economic Impacts on-

  • Farming= main economy breeding sheep on crofts- 2 days a week work
  • Fishing= foreign ships dominate deep sea fishing, limited fish farming development as                              environmental concerns
  • Tourism= 2007-14 27%^ in visitors- current infrastructure unable to support scale of tourism                 needed for alterate source of income

Reducing out-migration- improve public services and create more job opportunities

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UK- Transport Improvements

Important- movement of people, goods and services, enables Uk's economy to grow- affects emplyment and regional growth

2014 Road Investment Strategy-

  • £15bil strategy to increase capacity/ improve condition of UK roads
  • 100 new road schemes by 2030, 1300 new lane miles to motorways/ trunk roads= less congestion,
  • extra lanes to main motorways to make them small= improve links between London, Birmingham ad North

South West Super Highway-

  • £2bil road widening over 2 yrs- construction jobs, converting route to duel carriageway, links
  • connecting routes to Plymouth onwards, 3km tunnel under Stonehenge
  • A30 safety improvements, dual carriage way between Sparkford and Lichester
  • Dual carriageway between Amesbury and Berwick Down
  • A303 main route to South West- heavily congested at peak times due to alternating stretches of dual/single carriageway
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UK- Rail Improvements

Rail Network Improvements-

  • Electrification of Trans-Pennine Express Railway by 2020- reducing journey times by 15 mins and completing electrified link betwen Liverpool and Newcastle
  • Electrification of midland mainland between London and Sheffield by 2023
  • HS2- £50bil plan for new high speed rail to connect London with Birmingham/Leeds/Sheffield/Manchester/Scotland- 2017-2033

London's Crossrail- new railway across capital linking Reading/Heathrow to Sheffield/Abbey Wood

  • complete 2018, cost £14.8 bil
  • Improve London journey times, decrease congestion, better connections to undreground/ Euro
  • 1.5mil more people within 45mins commuting distance to London's key business districts
  • 200mil passengers use it evry year, 
  • mainline trains carry 1500 passengers
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UK- Port/ Airport Improvements

Port Improvements-

  • most all purpose, largest run by private industries- invest in infrastructure,
  • 32mil travel through ports yearly, employ 120,000 people
  • Grimsby/Felixstowe- new rail terminal, leading tonnage port 2014, largest container port- 2mil
  • Liverpool- Liverpool 2= new container terminal to construct a £300mil deep-water quay on River Mesey- double ports capacity to 1.5mil continers a yr- compete with other ports- began operating 2016- create jobs, boost NW economy, reduce freight traffic on roads
  • Belfast- £50mil investment in facilities to service offshore/renewable energy sector- land for                     wind/wave/tidal energy

Airport Importance-

  • 3.6% UK's GDP, emplys 300k, 2mil traffic pass through yearly, 750k international flights to 400 airports in 114 countries, 420k domestic flights- 35mil seats to 60  UK airports
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UK- Expanding Airports

For-

  • Expanding Heathrow capacity with 3rd runway- (2015 gov report suggestion)= create more jobs in addition to 76000 currently emplyed, increase help for local businesses
  • = decease Heathrow unemplyment rate, more people reliable income
  • Boost economy= money for gov fr public services, payback cost of runway
  • Handle more passengers than 73mil in 2014- increase tourism, improve function as airport hub

Against-

  • High cost of Heathrow runway (£18.6bil) limit gov money to spend on other public services
  • New Gatwick Runway costing £9.3bil- increase noise pollution
  • = soudproofing homes or banning night flights= expensive
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UK- North South Divide

  • Gov spending per person= £9176 London, £7623 Yorkshire
  • Life expectancy- 75.7 Liverpool (N), 79.5 Cambridge (S)
  • Unemplyoment blackspots- Liverpool (27%), Glasgow (26%)

Industrial Rev- UK's growth centred around coalfields In Wakes, Scot, N England

  • Heavy indutsries successful in North= wealth
  • 1970s industries declined, unemplyment increased, alternate energy sources reduced imprtace of coalfileds- modern inudtsry located elsewhere
  • London/SE rapid devlopment as growth of service sector= global financial sector, grown fastest in UK- high house prices

Regional Strategies to Address Issue-

  • Foreign Investment- encouraged in North to devlip industries
  • Northern Powerhouse- 2015 gov strategy to balance wealth/ influence of SE/London- devloping Northern economies (Manchester), tourism/ energ dveloped in rural areas
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UK- Improving the N-S Divide

  • Transport Improvements- new high speed rail service (HS2) betwen London and North, elctrification of TransPennine railway, new Liverpool2 deepwater container port. 6lane toil bridge (Mersey Gateway) to imrpve access to new deep water port
  • Enetrprise Zones- 24 created since 2011- encourage new businesses/ jobs in areas with no                                    pre-existing businesses
  • - Gov:provides busi rate discount of up to £275000 over 5yrs, ensures provision of superfast broadband, financial allowances for machinery, simpler planning regulations- speed up

Local Enterprise Partnership- 2011- voluntary partnerships bwteen local authorities and                                                                   businesses, 39 in England

  • Aim- idnetify local business needs,encourage companies to invest- jobs to boost local econom

Lancashire LEP Plan-

  • promote new buisnesses, create 50k jobs by 2023, 
  • £62mil BT investment= extend superfast broadband over 97% of region
  • 2013 Buiness Growth Hub- set up 400, 1100 new jobs by 2016
  • £20mil transport improvements planned in Preston- link to M6
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UK- Links to Wider World

  • International Organisations- UN, NATO, Council of Europe
  • Exports- USA, Germany,Netherland, Imports= Germany, China, USA

Culture- values/beliefs of society/group (any form of creativity)

  • Links- TV, food (chinese), fashion, music, films (Bollywood), festivals

Transport Links-

  • Heathrow- global flights, Channel tunnel- link to UK/ mainland Euro, sea ferries
  • Southhampton major port for cruise lines- tourists to Caribbean/Mediterranean

Sub E-Communication Cables- Uk focus, cables concentrated between USA and Uk, some to HICs in far East, few to Africa/ NAsia- HICs with high development and HDIs

Benefits of close global links-

  • Globalisation= independent= links  important, increased trade to meet consumption pattern, trading goods= income
  • Tourism- vast income, increases global importance, more divertsity for multicultural society
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UK- Links with Commonwealth and EU

EU- 28 members, UK joined 1973- leaving due to 2016 referendum

Benefits/ Drawbacks of EU-

  • Laws on crime/consumer rights/ pollution can be resitrictive for companies
  • Common Agricultural Policy- 2015 Single Payments Scheme- £18mil for dairy farmers in UK
  • Euro Structural& Investment Funds- suport for disadvantaged regions/sectors (fisheries)
  • EU biggest single market in world- free trade between members (goods, capital, labour)
  • High unemployment/low wages in poorer EU countries= mass migration to UK (2013 200k)
  • UK has to support poorer members by paying more money to EU

Commonwealth Secretariat- represents commonwealth countries, provides advice on human rights/ youth empowerment- aims to help gov acheive sustainable/equitable/inclusive developmen

Benefits of Commonwealth Membership-

  • advice on political/social devlopment, human rights, youth
  • Important cultural links between commonwealth countries, Commonwealth Games
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