gnp and gdp gnp – “gross national product” total value of all goods and services by a country...
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GNP AND GDP
GNP – “Gross National Product”
Total value of all goods and services by a country over one year. Includes facilities overseas owned by domestic companies.
GDP – “Gross Domestic Product”
Total value of all goods and services within a country’s borders over one year. This is a good indicator of the size of a country’s economy.
Examples (2010 est.)USA – $14.5 trillionMexico – $1.0 trillionJapan – $5.4 trillionChina - $5.8 trillionSudan - $0.07 trillion
PER CAPITA GDP GDP per 1000 people, how “wealthy” the country is. Roughly the amount of $$$ earned per person in a
political unit per year. Examples? U.S. = $47,000 Mexico = $14,000 Japan = $33,000
China = $7,500 Sudan = $2300
GET STUFF
Gathering raw materials – natural resources taken from the earth
Example: Mining, Fishing, Farming
PRIMARY EMPLOYMENT SECTOR
MAKE STUFF Manufacturing / Industry - Adding value to raw
materials by changing their form Example: Iron changed into an automobile
Secondary Employment Sector
DO STUFF Business or professional services Example: teachers, retail salespeople, doctors
Tertiary Employment Sector
THINK STUFF Provide info, research,
management, etc. by highly trained personnel
Engineers, researchers, scientists, software designers
Quaternary Employment Sector
A tool developed by the United Nations to measure and rank countries' levels of social and economic development - HDI is a summary measure of average achievement in key dimensions of human development.
INFRASTRUCTUREthe fundamental structures and systems serving a country, city, or area:: transportation and communication systems, power plants, and schools
LEAST DEVELOPED COUNTRY GDP: Nearly none – collapsed.
Per Capita Income: Very Low (less than $1000/ yr)
Employment Sectors: “Primary” if any at all
Infrastructure: Very little to none Lack of electricity Lack of clean water Lack of roads, Airports, Ports
Quality of Life: In crisis, collapsed infrastructure and economy.
Examples: Afghanistan, Somalia, Haiti
DEVELOPING COUNTRY
GDP: Low
Per Capita Income: Low
Employment Sectors: Mostly “Primary”
Infrastructure: Relatively little Lack of electricity Lack of clean water Lack of roads, Airports, Ports
Quality of Life: Low, little literacy, nutrition, or medical care
Examples: Burma, Jamaica, El Salvador
NEWLY INDUSTRIALIZED COUNTRY (NIC) GDP: Low/Medium but increasing
Per Capita Income: Low/Medium but increasing
Employment Sectors: “Primary” shifting to “Secondary” to varying degrees
Infrastructure: Increasing Things are being built as wealth increases Long process, very expensive
Quality of Life: Still low in most places, but improving in many ways
Examples: IndiaMexico
DEVELOPED COUNTRY GDP: High
Per Capita Income: High
Employment Sectors: Mostly “Tertiary” and “Quaternary”
Infrastructure: Strong High amount of roads, Airports,
Ports Clean water systems Electricity available to all
Quality of Life: High, with good nutrition, medical care, education