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  #1  
Old Sunday, February 14, 2010
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Default question about Geo part 2.

aoa respected n dear members i hope u all are doing fine.i need ur help to understand the following stated issue.its related to geography paper 2 but can help in current affairs also.so pls share ur valueable opinion.

"Political, Economic and Social relationship between ‘less developed countries’ (LDCs) and ‘More Developed Countries’ (MDCs)".

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Noor
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Old Monday, February 15, 2010
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plzz upload notes regardin' this topic..me too having prob.with this
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Old Monday, February 15, 2010
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As per my view it shd go like this
Political scenario: u shd discuss how MDCs are manipulating world politics through different means eg direct power use or through various intl orgz controlled by MDCs. U shd be discussing both positives nd negatives with specific instances. How diff countries help poor country establish a democratic political setup(+ive), forced regime changes(-ive), Im short of time here. U shd find much more like this

Economically again u have 2 give positive points such as cooperation by MDCs to poor countries nd also the exploitation of LDCs resources. eg China massive investment in Africa nd whole 3rd world

Socially u can discuss things like how most people of MDCs are discriminatory towards poor LDCs ppl nd u can discuss various policies over this nd also discuss some positives like good intl NGOs working in LDCs nd building a ppl 2 ppl contact on good will


Im short of time but u ppl may check this Question it in Jahingir Exam cram top 20 Q book

sorry fr being late. Im much busy in ma bro wedding prep so dun check in regularly dese days
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Old Monday, March 01, 2010
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Default here is your ans

buddy pray for me i wanna get good marks
Relations between Rich and Poor Countries

Outline for the answer:

• Relations between rich and poor countries are characterized by inequality, exploitation, hypocrisy and injustice.
• There are huge gaps in terms of living standards, life expectancy, healthcare, literacy and infrastructure between developed and developing countries. This gap is often referred to as the North-South Divide.
• Poor countries are often plagued by uncontrolled population growth, political instability, large-scale poverty, huge rich-poor gap, rampant corruption, weak state institutions and have poor healthcare and education systems. In addition, they often have disputes with their neighbors which create instability in their regions.
• The present state of relations between the rich and poor countries has its roots in the colonial past.
• Most of the poor countries are former colonies and served as sources of cheap raw material and labour for the industries of the colonizing countries which produced finished goods, which were later marketed in the colonies. The profits made were repatriated to the home country. This resulted in systematic exploitation of the colonies, retarding their economic development and producing mass poverty.
• Even though former colonies have won independence, the nature of the global political economy makes it possible for the rich countries to control and exploit their resources without having to occupy them physically. This phenomenon is referred to as Neocolonialism. The Core-periphery model and the dependency theories also explain the continued exploitation of the poor countries by the rich countries.
• The global politics is also dominated by the rich countries. Their dominance in the UN is institutionalized in the composition of the Security Council.
• The economic and commercial predominance of the rich countries is also reflected in the structure and policies of international institutions like the World Bank, IMF and the WTO.
• Multinational Corporations which are the instruments of globalization belong to the rich countries and often serve as tools of exploitation of the poor countries – using up their natural resources, polluting their environment and are powerful enough to disregard taxation and labour laws.
• Whereas rich countries force poor countries force poor countries to open up their economies to exports from rich countries by praising the virtues of free competition and free trade, they are not willing to offer similar concessions to the exports of poor countries. The western countries refusal to do away with agricultural subsidies is an example. Poor countries have comparative advantage in agricultural products, but the hypocritical policies of the rich countries do not allow them a level playing-field.
• Poor countries have also experience deteriorating terms of trade, which means that they have failed to reap the benefits of increased international trade. The unequal exchange inherent in international trade has also caused the exploitation of the poor countries.
• Poor countries are often forced/blackmailed into following policies which are detrimental to their national interests. Corrupt ruling classes serve as an instrument of the powerful countries in ensuing the continued subjugation of the poor countries.

Important concepts

Colonialism

Colonialism is the building and maintaining of colonies in one territory by people from another territory. Colonialism normally refers to a period of history from the 15th to the 20th century when people from Europe established colonies on other continents.
It is an “instrument of wholesale destruction, dependency and systematic exploitation producing distorted economies, socio-psychological disorientation, massive poverty and neocolonial dependency.”

A political-economic phenomenon whereby various European nations explored, conquered, settled, and exploited large areas of the world. The purposes of colonialism included economic exploitation of the colony's natural resources, creation of new markets for the colonizer, and extension of the colonizer's way of life beyond its national borders. In the years 1500 – 1900, Europe colonized all of North and South America and Australia, most of Africa, and much of Asia by sending settlers to populate the land or by taking control of governments. The colonial era ended gradually after World War II
Neocolonialism
The term neocolonialism has been used to refer to a variety of things since the decolonization efforts after World War II. It refers to a type of colonialism but rather colonialism by other means. Specifically, the accusation that the relationship between stronger and weaker countries is similar to exploitation colonialism, without the stronger country having to build or maintain colonies. Such accusations typically focus on economic relationships and interference in the politics of weaker countries by stronger countries.
With the elimination of colonialism per se in the twentieth century, there emerged a new form, called neocolonialism, which may be defined as the establishment of a form of sovereignty or control without physical possession or actual colonial rule.

A policy whereby a major power uses economic and political means to perpetuate or extend its influence over underdeveloped nations or areas: "Strong elements of neocolonialism persist in the economic relations of the rich and poor countries"

The control of the economic and political systems of one state by a more powerful state, usually the control of a developing country by a developed one. Neo-colonialism is marked by the export of capital from the poor countries on the periphery to the controlling rich countries at the core, adverse terms of trade for the periphery or satellite nations, a reliance by the poor counties on imported manufactures from the rich countries, and a pervading process of Westernization. The means of control are usually economic, including trade agreements, investment, and the operations of transnational corporations, who are often seen as the primary instruments of neo-colonialism.

Dependency Theories

A group of hypotheses which assert that low levels of development in less developed countries spring from their dependence on the advanced economies. It has been argued that the less developed world is doomed to remain economically disadvantaged because the surplus it produces is commandeered by the advanced economies, for example, through transnational corporations. These theories also emphasize the advantages to the West of its economic strength, and the financial and technical power of the West to maintain its advantages.
The premises of dependency theory are that:
1. Poor nations provide natural resources, cheap labor, a destination for obsolete technology, and markets to the wealthy nations, without which the latter could not have the standard of living they enjoy.
2. Wealthy nations actively perpetuate a state of dependence by various means. This influence may be multifaceted, involving economics, media control, politics, banking and finance, education, culture, sport, and all aspects of human resource development (including recruitment and training of workers).
3. Wealthy nations actively counter attempts by dependent nations to resist their influences by means of economic sanctions and/or the use of military force.
Core-Periphery Model

The economic and political relationship existing between one more highly developed country or region (the ‘centre’) and the less developed countries or regions in contact with it (the ‘periphery’).

The countries of the world can be divided into two major world regions - the 'core' and the 'periphery.' The core includes major world powers and the countries that contain much of the wealth of the planet. The periphery are those countries that are not reaping the benefits of global wealth and globalization.
The Theory of Core and Periphery
The basic principle of the 'Core-Periphery' theory is that as general prosperity grows worldwide, the majority of that growth is enjoyed by a 'core' region of wealthy countries despite being severely outnumbered in population by those in a 'periphery' that are ignored.
There are many reasons why this global structure has formed, but generally there are many barriers, physical and political, that prevent the poorer citizens of the world from participating in global relations. The disparity of wealth between core and periphery countries is staggering, with 15% of the global population enjoying 75% of the world's annual income.
The Core
The 'core' consists of Europe (excluding Russia, Ukraine, and Belarus) , the United States, Canada, Australia, New Zealand, Japan, South Korea, and Israel. Within this region is where most of the positive characteristics of globalization typically occur: transnational links, modern development (i.e. higher wages, access to healthcare, adequate food/water/shelter), scientific innovation, and increasing economic prosperity. These countries also tend to be highly industrialized and have a rapidly-growing service (tertiary) sector.
The Periphery
The 'periphery' consists of the countries in the rest of the world: Africa, South America, Asia (excluding Japan and South Korea), and Russia and many of its neighbors. Although some parts of this area exhibit positive development (especially Pacific Rim locations in China), it is generally characterized by extreme poverty and a low standard of living. Health care is non-existent in many places, there is less access to potable water than in the industrialized core, and poor infrastructure engenders slum conditions.
Population is skyrocketing in the periphery because of a number of contributing factors including a limited ability to move and the use of children as means to support a family, among others.
Many people living in rural areas perceive opportunities in cities and take action to migrate there, even though there are not enough jobs or housing to support them. Over one billion people now live in slum conditions, and the majority of population growth around the world is occurring in the periphery.
The rural-to-urban migration and high birth rates of the periphery are creating both megacities, urban areas with over 8 million people, and hypercities, urban areas with over 20 million people. These cities, such as Mexico City or Manila, have little infrastructure and feature rampant crime, massive unemployment, and a huge informal sector.
Core-Periphery Roots in Colonialism
One idea for how this world structure came about is called the dependency theory. The basic idea behind this is that capitalist countries have exploited the periphery through colonialism and imperialism in the past few centuries. Essentially, raw materials were extracted from the periphery through slave labor, sold to core countries where they would be consumed or manufactured, and then sold back to the periphery. Advocates of this theory believe that the damage done by centuries of exploitation have left these countries so far behind that it is impossible for them to compete in the global market.
Industrialized nations also played a key role in establishing political regimes during post-war reconstruction. English and the Romance languages remain the state languages for many non-European countries long after their foreign colonists have packed up and gone home. This makes it difficult for anyone brought up speaking a local language to assert him or herself in a Eurocentric world. Also, public policy formed by Western ideas may not provide the best solutions for non-Western countries and their problems.
Core nations
• The most economically diversified, wealthy, and powerful (economically and militarily)
• Highly industrialized
• Tend to specialize in information, finance and service industries
• Produce manufactured goods rather than raw materials for export
• More often in the forefront of new technologies and new industries. Examples today include high-technology electronic and biotechnology industries. Another example would be assembly-line auto production in the early twentieth century.
• Have more complex and stronger state institutions that help manage economic affairs internally and externally
• Have a sufficient tax base so these state institutions can provide infrastructure for a strong economy
• Have more means of influence over noncore nations
• Relatively independent of outside control
Periphery nations
• Least economically diversified
• Tend to depend on one type of economic activity, such as extracting and exporting raw materials to core nations
• Are often targets for investments from multinational (or transnational) corporations from core nations that come into the country to exploit cheap unskilled labor for export back to core nations
• Tend to have a high percentage of their people that are poor and uneducated.
• Inequality tends to be very high because of a small upper class that owns most of the land and has profitable ties to multinational corporations
• Have relatively weak institutions with little tax base to support infrastructure development
• Tend to be extensively influenced by core nations and their multinational corporations. Many times they are forced to follow economic policies that favor core nations and harm the long-term economic prospects of periphery nations.
Unequal Exchange
Unequal exchange is a concept which is used to denote forms of exploitation hidden in international trade and can be used as an explanation of the falling terms of trade for underdeveloped countries.

Terms of trade

Relationship between the prices at which a country sells its exports and the prices paid for its imports.
The relationship between the prices of imports and exports. The trend in this century has been for cheap primary products and expensive manufactured goods, and—with the exception of oil—most raw material prices fell very sharply from the mid-1980s. This has happened because large companies from the rich, industrialized nations can dominate and structure internal markets in a way that is denied to small, unorganized Third World commodity producers. This change has acted adversely on developing countries; for example, African terms of trade deteriorated by over 30% between 1980 and 1989. It has led to policies of industrialization, aimed at import substitution, in the Third World, and to attempts to reduce production in order to increase prices.
Multinational Corporations

A multinational corporation (MNC) or transnational corporation (TNC), also called multinational enterprise (MNE), is a corporation or enterprise that manages production or delivers services in more than one country. It can also be referred as an international corporation. ILO defined MNC as a corporation which has his managerial head quarters in one country known as the home country and operates in several other countries known as host countries.
North South Divide

The North-South Divide (or Rich-Poor Divide) is a socio-economic and political division that exists between the wealthy developed countries, known collectively as "the North", and the poorer developing countries (least developed countries), or "the South."[1] Although most nations comprising the "North" are in fact located in the Northern Hemisphere (with the notable exceptions of Australia and New Zealand), the divide is not wholly defined by geography. The North is home to four out of five permanent members of the United Nations Security Council and all members of the G8. "The North" mostly covers the West and the First World, with much of the Second World. The expression "North-South divide" is still in common use, but the terms "North" and "South" are already somewhat outdated. As nations become economically developed, they may become part of the "North", regardless of geographical location, while any other nations which do not qualify for "developed" status are in effect deemed to be part of the "South."
Defining development
Being categorized as part of the “North” implies development as opposed to belonging to the “South” which implies a lack thereof. The north becomes synonymous with economic development and industrialization while the South represents the previously colonized countries which are in need of help in the form of international aid agendas [6] In order to understand how this divide occurs, a definition of “development” itself is needed.
Economic Development is a measure of progress in a specific economy. It refers to advancements in technology, a transition from an economy based largely on agriculture to one based on industry and an improvement in living standards
Other factors that are included in the conceptualization of what a developed country is include life expectancy and the levels of education, poverty and employment in that country.

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Old Tuesday, March 02, 2010
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@magnum
aoa thank u so much.its really useful.but pls confirm th figure of CORE CONTRIES W/ WORLD'S 15% POPULATION WHILE 75% INCOME.im doubtfut abt the former.we pray for ur sucess
regards
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