Development&gdp intro

We live in houses like this……..

Whilst many people live in houses like this…….

We have no problem finding fresh water to drink and water the grass with!

Whilst other people can hardly find enough water to drink…

We have more food than we can eat……..

But did you know that……….

In 2001, 1.1 billion people lived on less $1 (CHF0.84) a day and 2.7 billion lived on less than $2 (CHF1.68) a day.

How much do you think you live on?Could you live on $1,$2, $10?

The Rich Developed North and the Poor Less Developed South

Is it simply a question of who has the most money? Why is the north rich?

How wealthy is your country? The average income of a person in the world is

$12,000

In Qatar, the average income is

$104,300

In the Democratic Republic of Congo, the average income is

$400

How do we work out how wealthy a country is?

GDP - Gross Domestic ProductThe total amount of money a country makes from

all of the goods and services it produces.

Goods = Things we buy and sell

Services = jobs people are paid to do

GDP = Good + Services

But there is a problem

China’s population = 1,343,239,923 people(Over 1.3 billion people)

Switzerland’s population = 7,925,517(Less than 8 million people)

Which country is going to produce the most goods

and services?

GDPChina’s GDP = $11,440,000,000,000

(that’s $11.44 trillion dollars)

Switzerland’s GDP = $344,200,000,000(only $344.2 billion)

That is a huge difference!

But that doesn’t mean that China is the wealthiest country

GDP/Capita = Gross Domestic Product

population

The money hasto go a long way

GDP/Capita

Is a much better way of showing how wealthy a country is.

All the money a country makes÷

The number of people in the country.