IB Economics/Development Economics

• 5.1 Sources of Economic Growth and/or Development
• 5.2 Consequences of Growth
• 5.3 Barriers to Economic Growth
• 5.4 Growth and Development Strategies
• 5.5 Evaluation of Growth and Development Strategies

Key Terms

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Absolute poverty

Aid v trade (as a development strategy)

Aid weariness

Appropriate technology

Bilateral aid

Brain drain

Capital flight

Characteristics of LEDCs

Commodity pricing agreements

Commodity concentration of exports

Convertible currency

Development

De-development

Development project examples (know why these lead to 'development'): maternity clinics/spacing children, agriculture extension projects, schools, HIV/AIDS awareness/prevention projects, clean water projects/well drilling, increased access to technology, literacy programmes, health education, microcredit schemes, immunization and vocational training

Dual sector growth model (Lewis)

Empowerment

Export-led growth (outward-oriented strategies)

Fair trade (organizations)

Foreign direct investment (FDI)

G-20

G-8

Girl's education

Globalisation

Grant aid

Gross National Happiness (Bhutan), as an alternative indicator to GDP/GNP

Growth strategies

Growth is not development

Harrod-Domar growth model

Heavily Indebted Poor Countries (HIPCs)

Human capital

Human Development Index (HDI)

Human Suffering Index (HSI)

Industrialisation

LEDCs

Import substitution (ISI, inward-oriented strategies/protectionism)

Indebtedness

Informal markets

Infrastructure

Institutional factors (contributing to development)

International Monetary Fund (IMF)

MEDCs

Microcredit/microfinance

Millennium Development Goals (MDGs)

Multilateral aid

Multinational corporation/company (MNC)

Newly Industrialized Countries (NICs)

Non-convertible currency

Non-governmental organizations (NGOs), e.g., Transparency International, Human Rights Watch, Medecins Sans Frontieres, Oxfam, Heifer International

Organisation for Economic Cooperation and Development (OECD)

Official aid

Poverty cycle

Quality of life

Relative poverty

Soft loans

South-South trade

Standard of living

Structural adjustment policies (SAP)

Sustainable development/sustainability

Tied aid

Transfer pricing

Transnational company/corporation (TNC)

UN Development Programme (UNDP)

Unofficial aid

World Bank