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GLOBAL STRATIFICATION THREE WORLDS THEORY

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Page 1: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

G L O B A L S T R A T I F I C A T I O N

THREE WORLDS THEORY

Page 2: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

OUTLINE

• Wealth and Poverty in Global Perspective

• Problems in Studying Global Inequality

• Classification of Economies by Income

• Measuring Global Wealth and Poverty

Page 3: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

OUTLINE

• Global Poverty and Human Development Issues

• Theories of Global Inequality

• Global Inequality in the Future

Page 4: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

GLOBAL STRATIFICATION

• The unequal distribution of wealth, power, and

prestige on a global basis, resulting in people

having vastly different lifestyles and life chances

both within and among the nations of the world.

Page 5: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

HIGH-INCOME COUNTRIES

• Characterized by highly industrialized economies; technologically

advanced industrial, administrative, and service occupations; and

high levels of national and per capita income.

Page 6: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

MIDDLE-INCOME COUNTRIES

• Nations with industrializing economies, particularly in urban areas, and

moderate levels of national and personal income.

Page 7: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

LOW-INCOME COUNTRIES

• Primarily agrarian nations with little industrialization and low levels of

national and personal income.

Page 8: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE

Page 9: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

THE “THREE WORLDS” APPROACH

• First World nations were said to consist of the rich, industrialized nations

that primarily had capitalist economic systems and democratic

political systems.

• Second World nations were said to be countries with at least a

moderate level of economic development and a moderate standard

of living.

• Third World countries have little or no industrialization and the lowest

standards of living, shortest life expectancies, and highest rates of

mortality.

Page 10: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

THEORIES OF GLOBAL INEQUALITY

Development theory; A perspective that links global inequality to

different levels of economic development and suggests that low

income countries can alleviate the worst effects of poverty by the

attempts of industrialized nations.

Page 11: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

THEORIES OF GLOBAL INEQUALITY

Three world approach; is the differences among nations on the bases of

their levels of

of economic development and the standard living of their citizen.

Gross national income and gross domestic

product.

Page 12: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

LEVELS OF DEVELOPMENT APPROACH

• Among the most controversial terminology for describing world

poverty and global stratification.

• Terminology based on levels of development includes concepts such

as developed nations, developing nations, less developed nations,

and underdevelopment.

Page 13: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

WORLD BANK CLASSIFICATION OF ECONOMIES BY INCOME

• The World Bank classifies nations into three economic categories:

• low-income economies (a GNI per capita of $765 or less in 2003)

• middle-income economies (a GNI per capita between $766 and $9,385 in 2003)

• high-income economies (a GNI per capita of more than $9,385 in 2003).

Page 14: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

ECONOMIES IN GLOBAL PERSPECTIVE

Page 15: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

GROSS DOMESTIC PRODUCT (GDP)

• All the goods and services produced within a country’s economy

during a given year.

• The GDP does not include any income earned by individuals or

corporations if the revenue comes from sources outside of the country.

Page 16: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

GLOBAL POVERTY

• Absolute poverty; would be measured by comparing personal or

household income or expenses with the cost of buying a given

quantity of goods and services.

• Relative poverty; exists when people may be able to afford basic

necessities but are still unable to maintain an average standard of

living.

• Subjective poverty would be measured by comparing the actual

income against the income earner’s expectations and perceptions.

Page 17: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

DIMENSIONS OF DEFINING LEVELS OF POVERTY

1. How many people are poor.

2. How far below the poverty line people’s incomes fall.

3. How long they have been poor (is the poverty temporary or long

term?.

Page 18: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

THE WORLD’S ILLITERATE POPULATION, AGE 15 AND OLDER BY REGION

Page 19: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

LIFE EXPECTANCY IN YEARS FOR PERSONS BORN IN 2001

Page 20: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

PER CAPITA GROSS DOMESTIC PRODUCT IN U.S. DOLLARS

Page 21: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

MODERNIZATION THEORY

Low-income, less developed

countries can move to middle-

and high-income economies

by achieving self-sustained

economic growth.

Page 22: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

DEPENDENCY THEORY

Poor nations are trapped in a

cycle of dependency on

richer nations.

Page 23: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

WORLD SYSTEMS THEORY

How a country is incorporated

into the global capitalist

economy is the key feature in

determining how economic

development takes place in

that nation.

Page 24: THREE WORLDS THEORY - Mr Bushbushdewitt.weebly.com/.../8/1/5/9815251/three_worlds_ppt.pdf · 2018. 9. 6. · INCOME GAP: WORLD’S RICHEST AND POOREST PEOPLE. ... •Third World countries

NEW INTERNATIONAL DIVISION OF LABOR THEORY

Commodity production is split

into fragments, each of which

can be moved to whichever

part of the world can provide

the best combination of

capital and labor.