The document discusses the concepts of poverty and economic development from a global perspective. It provides perspectives on poverty from those living in poverty. It also discusses definitions of economic development and key aspects like per capita income, social systems, capabilities approach, and the objectives of development.
The document discusses the concepts of poverty and economic development from a global perspective. It provides perspectives on poverty from those living in poverty. It also discusses definitions of economic development and key aspects like per capita income, social systems, capabilities approach, and the objectives of development.
The document discusses the concepts of poverty and economic development from a global perspective. It provides perspectives on poverty from those living in poverty. It also discusses definitions of economic development and key aspects like per capita income, social systems, capabilities approach, and the objectives of development.
The document discusses the concepts of poverty and economic development from a global perspective. It provides perspectives on poverty from those living in poverty. It also discusses definitions of economic development and key aspects like per capita income, social systems, capabilities approach, and the objectives of development.
When one is poor, she has no say in public, she feels inferior. She has no food, so there is famine in her house; no clothing, and no progress in her family. —A poor woman from Uganda
For a poor person everything is terrible—illness, humiliation, shame.
We are cripples; we are afraid of everything; we depend on everyone. No one needs us. We are like garbage that everyone wants to get rid of. —A blind woman from Tiraspol, Moldova
Life in the area is so precarious that the youth and every able person have to migrate to the towns or join the army at the war front in order to escape the hazards of hunger escalating over here. —Participant in a discussion group in rural Ethiopia
1-2 • When food was in abundance, relatives used to share it. These days of hunger, however not even relatives would help you by giving you some food. —Young man in Nichimishi, Zambia • We have to line up for hours before it is our turn to draw water. —Mbwadzulu Village (Mangochi), Malawi • [Poverty is] . . . low salaries and lack of jobs. And it’s also not having medicine, food, and clothes. --Discussion group, Brazil • Don’t ask me what poverty is because you have met it outside my house. Look at the house and count the number of holes. Look at the utensils and the clothes I am wearing. Look at everything and write what you see. What you see is poverty. —Poor man in Kenya • A universal theme reflected in these seven quotes is that poverty is more than lack of income – it is inherently multidimensional, as is economic development. • Absolute poverty :a situation of being unable to meet the minimum levels of income, food, clothing, healthcare, shelter, and other essentials. • Subsistence economy: an economy in which production is mainly for personal consumption and the standard of living yields little more than basic necessities of life-food,shelter,an clothing.
1-6 1.2 Economics and Development Studies • Economies as Social Systems: The Need to Go Beyond Simple Economics • Social system: the organizational and institutional structure of a society , including its values , attitudes , power structure, and traditions. • Social Systems – Interdependent relationships between economic and non-economic factors. • Success or failure of development policy – Importance of taking account of institutional and structural variables along with more traditional economic variables.
1-7 • Traditional Economic Measures – Gross National Income (GNI) The total domestic and foreign output claimed by residents of country. It comprises GDP plus factor incomes accruing to residents from abroad, less the income earned in the domestic economy accruing to persons abroad. – Income per capita Total GNI of country divided by total population. – Utility of that income? • The New Economic View of Development – Leads to improvement in wellbeing, more broadly understood Development economics must have a scope wider than traditional economics because transformation of social institutions is necessary for development. Development economics is the study of the a. alleviation of absolute poverty. b. transformation of institutions. c. allocation of resources in developing countries.
– Functioning's as an achievement – Capabilities as freedoms enjoyed in terms of functioning's – Development and happiness – Well being in terms of being well and having freedoms of choice – “Beings and Doings”:
1-9 Some Key “Capabilities” • Some Important “Beings” and “Doings” in Capability to Function: – Being able to live long – Being well-nourished – Being healthy – Being literate – Being well-clothed – Being mobile – Being able to take part in the life of the community – Being happy – as a state of being - may be valued as a functioning
1-10 • Three Core Values of Development – Sustenance: The Ability to Meet Basic Needs The basic goods and services, such as food , clothing , and shelter , that are necessary to sustain an average humane being at the bare minimum level of living.
– Self-Esteem: To Be a Person The feeling of worthiness that a society enjoys when its social , political , and economic systems and institutions promote humane values such as respect , dignity , integrity , and self determination.
– Freedom from Servitude: To Be Able to
Choose A situation in which a society has at its disposable a variety of alternatives from which to satisfy its wants and individuals enjoy real choices according to their preferences.
1-11 • The Three Objectives of Development – Increase availability of life-sustaining goods such as food , shelter , health , and protection. – Raise levels of living including in addition to higher incomes , the provision of more jobs, better education , and greater attention to cultural and humane values , all of which will serve not only to enhance material well-being but also to generate greater individual and national self-esteem. – Expand range of economic and social choices available to individuals and nations by freeing them from servitude and dependence not only in relation to other people and nations-states but also to the forces of ignorance and humane misery.
– Eight goals adopted by the United Nations in 2000 • Eradicate extreme poverty and hunger • Achieve universal primary education • Promote gender equality and empower women • Reduce child mortality • Improve maternal health • Combat HIV/AIDS, malaria, and other diseases • Ensure environmental sustainability • Develop a global partnership for development
