Living Living Standards Standards

Why can’t I have what he’s got? ORIs it possible for everyone to have the same standard of living (in a country and around the world)?

Standard of LivingStandard of Living standard of livingstandard of living refers to refers to

the the quality and quantity of quality and quantity of goods and services available goods and services available to peopleto people, and the way these , and the way these goods and services are goods and services are distributed within a distributed within a population population

generally measures generally measures economic welfareeconomic welfare

Other measures such as Other measures such as access and quality of health access and quality of health care, educational standards care, educational standards and social rights are often and social rights are often used as wellused as well

One aspect of One aspect of Quality of Quality of LifeLife

Quality of LifeQuality of Life

Indicator of how good life is for the citizens of a Indicator of how good life is for the citizens of a given area given area physically, psychologically, and physically, psychologically, and sociallysocially. Includes:. Includes: WealthWealth Personal safetyPersonal safety HealthHealth NutritionNutrition Status of women and childrenStatus of women and children Poverty linePoverty line Freedom of expressionFreedom of expression Economic freedomEconomic freedom Right to a safe and clean environmentRight to a safe and clean environment

Developed NationsDeveloped Nations

industrialized, people industrialized, people well-housed, healthy, well-housed, healthy, and educatedand educated infrastructureinfrastructure – such – such

things as transportation things as transportation and communication links, and communication links, electric-power distribution electric-power distribution systems, schools, and systems, schools, and hospitals – are well hospitals – are well developed – known as developed – known as “First World”“First World”

Examples: Canada, USA, Examples: Canada, USA, most European nationsmost European nations

Developing / UnderdevelopedDeveloping / Underdeveloped

Poor infrastructurePoor infrastructure: : few schools, doctors, few schools, doctors, and hospitals; roads and hospitals; roads were mainly unpaved, were mainly unpaved, few railways, few few railways, few people with people with telephones, only cities telephones, only cities with electrical power with electrical power

known as “Third known as “Third World”World”

UN Human Development Index UN Human Development Index (HDI)(HDI)

Living Standards Measure of countries Living Standards Measure of countries Comparative measure of:Comparative measure of:

1.1. Adult literacy (people who can read) rateAdult literacy (people who can read) rate• percentage of the population 15 years and older who can percentage of the population 15 years and older who can

read and writeread and write

2.2. life expectancy ratelife expectancy rate• Average number of years a person or population can Average number of years a person or population can

expect to liveexpect to live

3.3. per capita GDP (gross domestic product)per capita GDP (gross domestic product)• GDP - total value of all goods and services produced in a GDP - total value of all goods and services produced in a

country in one year. country in one year. • divide this # by the # of people in a country, you get the divide this # by the # of people in a country, you get the

average GDP per personaverage GDP per person, or , or per capitaper capita

http://www.infoplease.com/world/statistics/mostlivable-leastlivable-countries-2007.html

““Most Livable” Countries, 2007Most Livable” Countries, 2007

1.1.Iceland 2.2.Norway 3.3.Australia 4.4.Canada 5.5.Ireland 6.6.Sweden

7.7.Switzerland 8.8.Japan

9.9.Netherlands 10.10.France 11.11.Finland

12.12.United States 13.13.Spain

14.14.Denmark 15.15.Austria

16.16.United Kingdom 17. 17.Belgium 18. 18.Luxembourg

19.19.New Zealand 20.20.Italy

21.21.Germany 22.22.Israel

23.23.Greece 24.24.Singapore

25.Korea, Rep. Of25.Korea, Rep. Of26.26.Slovenia 27.27.Cyprus

28.28.Portugal 29.29.Brunei Darussalam 30. 30.

Barbados

2008: http://origin-hdr.undp.org/en/statistics/

““Least Livable” Countries, 2007Least Livable” Countries, 2007

1.1.Sierra Leone 2.2.Burkina Faso

3.3.Guinea-Bissau 4.4.Niger 5.5.Mali

6.6.Mozambique 7.7.Central African Republic

8.8.Chad 9.9.Ethiopia

10.10.Congo, Dem. Rep. of the 11.11.Burundi

12.12.Côte d'Ivoire 13.13.Zambia 14.14.Malawi 15.15.Benin

16.16.Angola 17.17.Rwanda 18.18.Guinea

19.19.Tanzania 20.20.Nigeria 21.21.Eritrea

22.22.Senegal 23.23.Gambia 24.Uganda 24.Uganda 25.Yemen 25.Yemen 26.Togo 26.Togo

27.Zimbabwe 27.Zimbabwe 28.Timor-Leste 28.Timor-Leste

29.Djibouti 29.Djibouti

30.Kenya30.Kenya

Human Development IndicatorsHuman Development Indicators Other than those used in Other than those used in

the HDI, other human the HDI, other human development indicators development indicators include:include:

Education ratesEducation rates The percentage of the The percentage of the

population who attend or population who attend or attended some sort of attended some sort of formal educationformal education

Fertility RatesFertility Rates The average number of The average number of

children that would be born children that would be born to a woman over her to a woman over her lifetimelifetime

Human Development IndicatorsHuman Development Indicators Infant mortality ratesInfant mortality rates

Reported number of infants Reported number of infants dying under 5 years of age, dying under 5 years of age, per 1,000 live birthsper 1,000 live births

DiseaseDisease Prevalence of disease in an Prevalence of disease in an

area such as area such as HIV/AIDS HIV/AIDS – – PandemicPandemic

Pandemic: an epidemic that Pandemic: an epidemic that occurs over a wide geographic occurs over a wide geographic areaarea

worst in developing countries like worst in developing countries like Africa where lack of education Africa where lack of education and access to medical supplies and access to medical supplies and treatments cause the disease and treatments cause the disease to keep spreading at a rapid rate to keep spreading at a rapid rate

Highly Indebted Poor Countries (HIPC’s)Highly Indebted Poor Countries (HIPC’s)

most countries at the most countries at the bottom of the HDI are bottom of the HDI are in debt to the in debt to the developed nations developed nations

countries that are so in countries that are so in debt to developed debt to developed countries that countries that most of most of its gross national its gross national product is used to pay product is used to pay interest on those debtsinterest on those debts

Newly Industrialized CountriesNewly Industrialized Countries

known as “Second known as “Second World”World”

countries between 2 countries between 2 categories categories

countries in the countries in the transition stage transition stage between developing between developing and developed and developed nations. nations.

Most have rapidly Most have rapidly growing economies.growing economies.

Example: ChinaExample: China

Additional Challenges in Additional Challenges in Developing CountriesDeveloping Countries

Poverty Cycle – TrapPoverty Cycle – Trap Health ChallengesHealth Challenges Lack of education and Lack of education and

employment, especially for employment, especially for womenwomen

Discrimination against Women Discrimination against Women Armed Conflict i.e. Rwanda, Armed Conflict i.e. Rwanda,

Darfur; land minesDarfur; land mines Child LabourChild Labour Access to Clean Drinking Access to Clean Drinking

WaterWater Natural Disasters – i.e. tsunamiNatural Disasters – i.e. tsunami

Causes of PovertyCauses of Poverty

Armed ConflictsArmed Conflicts Disrupt attempts at aid Disrupt attempts at aid

and development and development (farming, infrastructure, (farming, infrastructure, industry)industry)

Natural DisastersNatural Disasters Limited Resources Limited Resources

inhibit the construction inhibit the construction of adequate housing, of adequate housing, infrastructure, and infrastructure, and mechanismsmechanisms

Causes of PovertyCauses of Poverty Lack of Lack of

EducationEducation Cannot find Cannot find

jobs that will jobs that will support a familysupport a family

Lack of Lack of EmploymentEmployment Income Income

inequalities and inequalities and too few jobs for too few jobs for low income low income groupsgroups

Causes of PovertyCauses of Poverty High birthratesHigh birthrates

Enormous Enormous demand on scarce demand on scarce resourcesresources

StarvationStarvation DiseaseDisease

Low Levels of Low Levels of LiteracyLiteracy Cannot find jobs Cannot find jobs

that will support a that will support a familyfamily

Causes of PovertyCauses of Poverty High Debt BurdenHigh Debt Burden

Provide lower standardsProvide lower standards Reduced wagesReduced wages Undercutting their own Undercutting their own

resources in order to resources in order to compete economically in compete economically in the global marketthe global market

Infectious DiseasesInfectious Diseases Death of significant Death of significant

portions of the portions of the populationpopulation

Strain on resourcesStrain on resources Reliance on foreign aidReliance on foreign aid

NEW Cause: Climate ChangeNEW Cause: Climate Change

http://www.youtube.com/watch?http://www.youtube.com/watch?v=CLoprwEFerov=CLoprwEFero

Illiteracy and limited

education; particularly of

girls and women

Poor Nutrition /

Lack of food security

Environmental degradation

Unhealthy human

behaviour

Low Status of women / gender inequity

Inadequate access to

health services

Social unrest and armed

conflict

Inadequate access to safe

water and sanitation

Squatter settlements

and poor housing

Rapid population growth and rural-urban migration

Poverty and

inequity

MAJOR DETERMINANTS OF HEALTH

In Developing Countries

The root of most health issues: The root of most health issues: WATERWATER

http://www.youtube.com/watch?v=uYsZOI8gftU&feature=related

Baby born to malnourishe

d / impoverishe

d motherMarry

young; few job

opportunities; limited

social influence

Family in debt due

to low wages

(can lead to break-up

of family& abuse) Baby’s

development is slowed

Poor nutrition

and medical care

Physical and mental

development are slowed

Poor performanc

ein school

Low Literacy

Level(little / no education)

Reduced likelihood of

economic success (low

job skills)

Limited diet, poor general

health

Children go to work

instead of school

OR

Child becomes an uneducated, unskilled worker unable to earn a

living wage

When adult – need to send children to

work to help support family

Also – Natural Disaster and/or Armed Conflict

= Loss of Resources= Enhanced Vulnerability to

Poverty

Poverty Cycle in Developing Countries

The Vulnerable Ones: Women and ChildrenThe Vulnerable Ones: Women and Children the burden of poverty creates the burden of poverty creates

particular hardships for women particular hardships for women and children because many and children because many developing societies have developing societies have male-dominated societies male-dominated societies where where females and children females and children have lower status than menhave lower status than men

often have often have no legal rights, or no legal rights, or the legal system may allow the legal system may allow them to be treated as propertythem to be treated as property

women may even be killed to women may even be killed to satisfy a family’s honorsatisfy a family’s honor

in some tribal societies, women in some tribal societies, women and children may have to eat and children may have to eat whatever is left after the men whatever is left after the men have finished their meals – can have finished their meals – can lead to lead to malnutritionmalnutrition

Women – Developing WorldWomen – Developing World woman in a developing country woman in a developing country

may have to work over 12 may have to work over 12 hours a day to ensure the hours a day to ensure the survival of her family survival of her family

often left to support family often left to support family when men migrate (move) in when men migrate (move) in search of worksearch of work

education – often a luxury education – often a luxury restricted to malesrestricted to males

only 1/3 of girls in rural India go only 1/3 of girls in rural India go to school – compared w/ ½ to school – compared w/ ½ boys boys

feeling: education wasted on feeling: education wasted on girlsgirls

many families keep girls @ many families keep girls @ home to look after the younger home to look after the younger children and help w/ chores children and help w/ chores until they are married and move until they are married and move into their husband’s villageinto their husband’s village

Women – Developing WorldWomen – Developing World cultural tradition dictates cultural tradition dictates

that when a woman is that when a woman is married she is reborn into married she is reborn into her husband’s family, so her husband’s family, so there is an incentive to there is an incentive to marry youngmarry young

demographers agree that demographers agree that economic development economic development and the fertility rate of and the fertility rate of countries are connectedcountries are connected

decline in # of children a decline in # of children a woman has frees her to woman has frees her to improve her life & the improve her life & the lives of her childrenlives of her children

Women – Developing WorldWomen – Developing World better educated women have better educated women have

fewer children – tend to marry fewer children – tend to marry later and have fewer children, later and have fewer children, usually because they are better usually because they are better educated about contraception educated about contraception and better able to resist family and better able to resist family pressure to have more childrenpressure to have more children

children of educated women children of educated women also more likely to survive also more likely to survive

know more about the know more about the importance of immunization, importance of immunization, clean water, and good nutritionclean water, and good nutrition

study in Peru – showed infant study in Peru – showed infant mortality rate dropped for every mortality rate dropped for every year of schooling the mother year of schooling the mother hadhad

key to improving status of key to improving status of women: educationwomen: education

http://www.youtube.com/watch?v=_sTMNOVpCB4

Women – Women – Example: Women in Niger, AfricaExample: Women in Niger, Africa Niger – lies almost entirely in Sahara Desert Niger – lies almost entirely in Sahara Desert

#176 out of 177 on 2004 HDI #176 out of 177 on 2004 HDI life expectancy: under 49 yrslife expectancy: under 49 yrs literacy – 14%literacy – 14% 65% of pop’n survive on less than $180/yr65% of pop’n survive on less than $180/yr uranium - #1 export – recent drop in price has uranium - #1 export – recent drop in price has

redcued country’s earningsredcued country’s earnings donor aid has been withheld until the military donor aid has been withheld until the military

government returns the government to civilian government returns the government to civilian rulerule

women – large role in economy – making women – large role in economy – making pottery, selling firewood, cloth, etc.pottery, selling firewood, cloth, etc.

yet in traditional Muslim society –bound to yet in traditional Muslim society –bound to obey the wishes of male relatives – husbands, obey the wishes of male relatives – husbands, fathers, brothers, etc.fathers, brothers, etc.

polygamy (practice of having more than one polygamy (practice of having more than one wife) – widespreadwife) – widespread

average marrying age – 15average marrying age – 15 average # of children – 7.4average # of children – 7.4

Children in CrisisChildren in Crisis Children – often 1st victims Children – often 1st victims

of underdevelopmentof underdevelopment famine, disease, war, etc – famine, disease, war, etc –

prey on society’s most prey on society’s most vulnerable dependentsvulnerable dependents

even if survive critical 1st 5 even if survive critical 1st 5 years – children in some years – children in some developing nations have developing nations have few educational few educational opportunities and are all too opportunities and are all too often exploited as child often exploited as child labour – some trapped in labour – some trapped in sex tradesex trade

high birth rates in many high birth rates in many developing areas – ensures developing areas – ensures this will continuethis will continue

UNICEF - PNRUNICEF - PNR UNICEF - since 1990 has published an annual UNICEF - since 1990 has published an annual Progress Progress

of Nations Report (PNR)of Nations Report (PNR) on the welfare of children that on the welfare of children that measures the risk of children in countries worldwide on a measures the risk of children in countries worldwide on a scale of zero to 100scale of zero to 100

Based on 5 factors:Based on 5 factors:

1. mortality rates of children 1. mortality rates of children under age 5under age 5

2.% of children moderately / 2.% of children moderately / severely underweightseverely underweight

3.#s of children who do not 3.#s of children who do not attend primary schoolattend primary school

4.risks from armed conflict4.risks from armed conflict5.risks from the disease 5.risks from the disease

HIV/AIDSHIV/AIDS

UNICEF - PNR - ResultsUNICEF - PNR - Results

Canada, the US, Australia, Japan, & other Canada, the US, Australia, Japan, & other highly developed nations had risk scores highly developed nations had risk scores of 5 or below (of no consequence)of 5 or below (of no consequence)

Africa’s average score: 61Africa’s average score: 61 world average: 30world average: 30

Canada’s Responses to Canada’s Responses to Development IssuesDevelopment Issues Canada – Canada – Foreign Aid PolicyForeign Aid Policy

Gives aid ($, goods & services) to poor (developing) Gives aid ($, goods & services) to poor (developing) foreign countriesforeign countries

Official Development Assistance (ODA)Official Development Assistance (ODA) Program gives financial aid to countries of Africa, Asia, Program gives financial aid to countries of Africa, Asia,

and some in Central / Eastern Europeand some in Central / Eastern Europe CIDA – Canadian International Development CIDA – Canadian International Development

AgencyAgency CIDA was established in 1968 to administer the bulk of CIDA was established in 1968 to administer the bulk of

Canada’s official development assistance (ODA) Canada’s official development assistance (ODA) program program

CIDA’s aim is to reduce poverty, promote human rights, CIDA’s aim is to reduce poverty, promote human rights, and support sustainable developmentand support sustainable development

Bilateral AidBilateral Aid

Aid given directly Aid given directly from government from government to governmentto government Usually in the Usually in the

form of grants as form of grants as opposed to loans opposed to loans andand

goods and goods and servicesservices

Tied AidTied Aid

Form of bilateral aidForm of bilateral aid Loans / grants Loans / grants

provided to a provided to a developing country developing country with the requirement with the requirement that the recipient use that the recipient use the funds to buy the funds to buy goods or services in goods or services in the donor countrythe donor country

The majority of aid is The majority of aid is tied aidtied aid

Multilateral AidMultilateral Aid funding multilateral funding multilateral

institutions / institutions / international international organizations such organizations such as:as: UN – i.e. UNICEF, UN – i.e. UNICEF,

WHOWHO World BankWorld Bank

Often in form of Often in form of cashcash

Often large-scale Often large-scale initiatives like initiatives like building damsbuilding dams

Project AidProject Aid

Money, goods, or Money, goods, or services that a services that a donor-nation donor-nation provides to a provides to a developing country developing country for a specific for a specific projectproject

NGOs (Non-Governmental NGOs (Non-Governmental Organizations) Organizations)

NGOs are NGOs are nnon-on-ggovernmental overnmental oorganizations are non-profit rganizations are non-profit organizations that often conduct humanitarian and organizations that often conduct humanitarian and development work around the world. NGOs are essential development work around the world. NGOs are essential to poverty relief efforts. to poverty relief efforts.

Governments such as Canada support NGOS through Governments such as Canada support NGOS through donations, but do not control what NGOs do donations, but do not control what NGOs do

Most active in ecological, health, and general welfare Most active in ecological, health, and general welfare programsprograms

Examples:Examples: Red CrossRed Cross OxfamOxfam Save the ChildrenSave the Children GreenpeaceGreenpeace Amnesty InternationalAmnesty International Habitat for HumanityHabitat for Humanity Doctors Without BordersDoctors Without Borders

Debt ReductionDebt Reduction

Canada Canada supports the supports the idea of idea of forgiving all or forgiving all or part of the debt part of the debt developing developing countries owe countries owe to international to international banksbanks

Debt Reduction cont’Debt Reduction cont’

Debt has been chocking Debt has been chocking the world’s weakest the world’s weakest economies and blocking economies and blocking economic progress for economic progress for billions of the world’s billions of the world’s poorest peoplepoorest people

Governments borrowed Governments borrowed money in the past for money in the past for development projects development projects from World Bank / IMF, from World Bank / IMF, etc.etc.

Corrupt leaders often Corrupt leaders often stole the proceedsstole the proceeds

Debt Reduction cont’Debt Reduction cont’

To pay off interest To pay off interest and principal of the and principal of the loanloan Governments have Governments have

been forced by been forced by creditors to slash creditors to slash their social spending their social spending and shrink their and shrink their public sectorpublic sector

But debt still grows, But debt still grows, placing the poorest placing the poorest countries in a kind of countries in a kind of debt bondagedebt bondage

Many countries of the UN Many countries of the UN have been encouraging the have been encouraging the elimination of these debts or at elimination of these debts or at least a reduction in the least a reduction in the amount owed by developing amount owed by developing nationsnations

Debt Reduction – con’tDebt Reduction – con’t Debt ReliefDebt Relief

Easing the obligations of a debtor Easing the obligations of a debtor nation to repay loansnation to repay loans

Debt SwapDebt Swap A new nation or organization A new nation or organization

takes over a nation’s debt in takes over a nation’s debt in exchange for some favour by the exchange for some favour by the debtor nationdebtor nation

Debt ForgivenessDebt Forgiveness Cancelling obligations to repay Cancelling obligations to repay

debtsdebts Debt MoratoriumDebt Moratorium

Postponement of payments on Postponement of payments on loansloans

Canadian International Canadian International Development Agency (CIDA)Development Agency (CIDA)

CIDACIDA Supports foreign aid Supports foreign aid

projects in over 100 of the projects in over 100 of the poorest countries poorest countries

Manages Official Manages Official Development Assistance Development Assistance (ODA)(ODA)

Promotes sustainability in Promotes sustainability in developing countriesdeveloping countries

CIDACIDA Focuses on 6 basic principles:Focuses on 6 basic principles:1.1. basic human needs basic human needs2.2. gender equality gender equality3.3. infrastructure infrastructure4.4. human rights human rights5. environment5. environment6. democracy / good governance6. democracy / good governance Explores 4 social Explores 4 social

development sectors:development sectors:1. basic education1. basic education2. HIV/AIDS2. HIV/AIDS3. health and nutrition3. health and nutrition4. child protection4. child protection

Does Foreign Aid Work? Issues to consider:

Is Aid reaching those who need it? What do people need most in developing countries? Who is benefiting most from Foreign Aid? What are some different ways we could spend the

same amount of money on Foreign Aid and get different results?

Afghanistan – Security Issuehttp://www.youtube.com/watch?v=zhtQlBVF8tU

Phantom Aidhttp://www.youtube.com/watch?v=gqjoAFcnCvU

Malnutrition Solution http://www.youtube.com/watch?v=UnwX2U6sqK4&feature=fvw Myth:  Foreign Aid

http://www.youtube.com/watch?v=KZHyspuEEKg&feature=related