Development Gap in Today's World
Development Gap in the world
Development gap is the gulf between rich and poor nations when measured using economic yardsticks, such as GDP/GNP per capita. The development gap in the world is stunningly wide and has been worsening over the years. * The bottom 20% of the world’s GDP constitutes to only 1% of the world’s total GDP, whereas the top 20% constitutes 86%. (End of 1990s)
The development gap in the world can be illustrated using the North-South divide. The North–South divide is broadly considered a socio-economic and political divide. The North consists of North America, Western Europe, Australia, and Japan, which are considered rich economies. The South is made up of Africa, Latin America and Asia, which are considered to be poorer economies. * 95% of the North has enough food and shelter. 95% of the North has enough food and shelter * In more economic terms, the North—with one quarter of the world population—controls four fifths of the world income. Inversely, the South—with three quarters of the world populations—has access to one fifth of the world income.
However, the North-South divide does have its limitations in illustrating the development gap as well. Economic wealth in the south is extremely diverse, ranging from global cities like Singapore to poor landlocked countries like the Maldives. But it is still largely true that the south consist mainly of emerging economies and NIES. The north on the other hand has its variation in economic wealth as well. 1/7 of the people living in the US, one of the richest nations in the world located in the north, are living in poverty ( under $2 USD a day ).
Another method to illustrated the gap would be to divide the world into
Five-fold division based on wealth:
1. Rich industrializing countries e.g. UK, USA, Japan, Australia, etc.
2. Oil Exporting countries e.g. UAE.
3. New Industrializing countries e.g. India, China.
4. Former centrally planned economies (previous communist systems)
Development gap is the gulf between rich and poor nations when measured using economic yardsticks, such as GDP/GNP per capita. The development gap in the world is stunningly wide and has been worsening over the years. * The bottom 20% of the world’s GDP constitutes to only 1% of the world’s total GDP, whereas the top 20% constitutes 86%. (End of 1990s)
The development gap in the world can be illustrated using the North-South divide. The North–South divide is broadly considered a socio-economic and political divide. The North consists of North America, Western Europe, Australia, and Japan, which are considered rich economies. The South is made up of Africa, Latin America and Asia, which are considered to be poorer economies. * 95% of the North has enough food and shelter. 95% of the North has enough food and shelter * In more economic terms, the North—with one quarter of the world population—controls four fifths of the world income. Inversely, the South—with three quarters of the world populations—has access to one fifth of the world income.
However, the North-South divide does have its limitations in illustrating the development gap as well. Economic wealth in the south is extremely diverse, ranging from global cities like Singapore to poor landlocked countries like the Maldives. But it is still largely true that the south consist mainly of emerging economies and NIES. The north on the other hand has its variation in economic wealth as well. 1/7 of the people living in the US, one of the richest nations in the world located in the north, are living in poverty ( under $2 USD a day ).
Another method to illustrated the gap would be to divide the world into
Five-fold division based on wealth:
1. Rich industrializing countries e.g. UK, USA, Japan, Australia, etc.
2. Oil Exporting countries e.g. UAE.
3. New Industrializing countries e.g. India, China.
4. Former centrally planned economies (previous communist systems)