So I am almost done with my notes.... upto the subtopic globalisation and economic development. For the dotpoints:
*income and quality of incomes
*reasons for diff. Between nations
*the international business cycle
I dont know what to write... the textbook I am using is 'aus in the global econony'-2015 by dixon and mahony
the title are not the same as in the syllabus so thats why confused.
So anyone who finished their notes, can you please tell me what you wrote?
Thanks in advance,
PM me if its easier
Hey lux19, those dot-points are indeed covered in Dixon.
Income and quality of life indicators
- Quality of life: qualitative and quantitative measures used to judge the standard of living within a country
- Standard of living: the conditions in health, education, and GDP per capita
- Define Economic Development.
- You need to establish the difference between Economic Growth and Economic Development.
- Economic Growth can be associated with higher GDP or higher GNI.
- Economic Development can be associated with higher HDI (a combination of GNI per capita, life expectancy and education - i.e. OTHER QUALITY OF LIFE INDICATORS).
- Comparing HDI and GDP statistics (i.e. HDI rank versus GNI per capita rank) reveals the difference between growth and development... textbook goes into this.
- The textbook provides other indicators such as IHDI or GII.
Reasons for differences between nations
- The textbook calls it ''CAUSES OF INEQUALITY IN THE GLOBAL ECONOMY''.
- There are two FACTORS. Global factors/causes and Domestic factors/causes.
- Global factors/causes - trade systems, financial systems, aid and assistance, technology flows.
- Trade systems - protectionism in agriculture, regional trade blocs, slow progress in WTO agreements, costs of negotiating FTAs.
- Financial systems - FDI flows favour advanced economies, volatility in short term financial flows, IMF structural adjustment favours advanced economies, debt burden of developing countries.
- Global aid - advanced countries delivering less aid than promised, inefficient or misdirected aid, etc.
- Technology - technology is geared towards lifestyles of high-income economies rather than developing economies, fewer resources and R&D for problems faced by poor countries, etc.
- Domestic factors/causes - economic resources and institutional resources.
- Economic resources - natural resources, labour supply/quality, access to capital, entrepreneurial culture.
- Institutional resources - political and economic institutions, government responses to globalisation.
The international business cycle
- Increased synchronicity (synchronised individual business cycles and regional business cycles)
- Greater specialisation
- Economic strength of big economies spreads across the world --> power of the USA and China in driving the cycle
- Deeper recessions and greater volatility (e.g. GFC) are consequences of increased synchronisation.
Above is a scaffold of what your notes may contain.
