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Why do Countries Experience Uneven
Transcript of Why do Countries Experience Uneven
Development Within the State?
By Stephanie and Michelle
How Government Policies Affect Development:
Overall governments have a major impact by:
Getting involved in world markets
Affecting whether core processes produce wealth
Creating Laws to affect production
Entering international organizations that affect trade
Focusing foreign investment in certain places
Supporting large-scale projects
How Government Corporations Create Islands of Development
Islands of Development Continued
Corporations can also build up certain cities as focal points for developing
Achieved by concentrating corporate activities to one area
Often build up own cities near the resource being extracted or manufacturing centers
Ex: Multinational oil companies like Shell create subsidiaries in the periphery and semi periphery and set up cities (including housing, roads, and stores) near oil reserves
Creating Growth in the Periphery of the Periphery
Greatest challenges to development include creating development opportunities outside islands of development.
Nongovernmental Organizations (NGOs) are independent organizations that operate to try to improve the plight of people living in the most rural and impoverished regions of developing countries
Ex: Creating microcredit programs in South Asia and South America
Purpose: Give loans to poor people, particularly women, to encourage the development of small businesses
Give more fiscal power to women, balancing out gender differences
More income allows families to be fed and alleviates malnourishment
Why are there areas of uneven development within a state?
Governments pick and choose areas to pour money into leading some areas to have little economic means
Islands of development are a result of the above and with corporation focus on only certain cities, the surrounding areas are forgotten about
The factors that play into the world and state economy are not evenly distributed leading to areas that do not really benefit the economy and thus lack development
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Poverty is not confined to the periphery
Core countries have regions and people that are poorer than others
Ex: Regions hit by natural disasters, Indian reservations in U.S.
Peoples' economic lives may not improve when the countries economy experience a positive gain.
A country's core area (Ex: industrialized cities) may exhibit the "rush" of progress while areas within and around the core remain economically stagnant.
Governments can influence core processes, affecting whether and how they produce wealth.
Ex: Agriculture commodity
Gov't may discourage overproduction , subsidize prices, or create international trade regimes that all affect where and how agricultural products are produced
The government can have a major impact at each point in the commodity chain regarding where wealth will be generated
Quota Laws and other policies
Regional trade organizations
International Political Regimes
Ex: World Trade Organization, International Labor Organization
Islands of Development are places within a region or country where foreign investment, jobs, and infrastructure are concentrated.
In both the periphery and the core governments can create wealth by focusing well-paid government jobs in one place: The Capital City
Center of Nation
Home to gov't buildings and jobs, universities, museums, heritage center, convention centers, and headquarters of large corporations
Many peripheral countries showcase capital cities that are the lavish, largest, and most economically influential cities in the state
Shell Oil Company has created and Island of Development in Port Gentile Gabon, in Central Africa. This is also known as "oil city"
This woman can feed her cattle and support her business using the money from the microcredit program