The changing economic world

• Development is measured with indicators such as GNI per head, birth rate, death rate, infant mortality rate, life expectancy and literacy. Each has limits. An average hides differences inside a country, and one measure ignores the rest.
• The Demographic Transition Model shows how birth and death rates change over time. Causes of uneven development are physical (for example being landlocked), economic (for example debt) and historical (for example colonialism).
• Strategies to reduce the development gap include investment, industrial development, tourism, aid, debt relief, fair trade and microfinance. Tourism helps through the multiplier effect.
• You study one LIC or NEE as a case study, including a transnational corporation (TNC), trade, aid and quality of life.
• In the UK, de-industrialisation and globalisation have changed the economy. You also need the north-south divide, rural change, and the UK's place in the wider world.

Infant mortality rate

Deaths of children under one year old per 1,000 live births each year.

Development gap

The difference in wealth and quality of life between richer and poorer countries.

Transnational corporation

A company that operates in several countries.

Aid

Help given to a country in the form of money, goods or expertise.

Debt relief

Cancelling or reducing the debt a poor country owes, so it can spend on services.

Multiplier effect

Spending by tourists creates jobs, and those workers spend money, so the economy grows.

• Treating all strategies as aid. Microfinance, tourism and TNC investment are not aid.
• Saying debt relief is another loan. It cancels or reduces debt that already exists.
• Answering a limitation question by saying what the measure shows. You need to say what is wrong or missing, such as an average hiding inequality.

6 questions, 10 marks. Answer, then press Check. The marking guide explains how the marks are worked out. Nothing is saved.