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Summary Issues in global economics (UA: Guido Erreygers)

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Universiteit Antwerpen (UA)

Boek
Global Issues

My document is a summary of the in class lessons and the textbook. It is written in English, so it could also be convenient for Erasmus students. Good luck!

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Type Samenvatting

economy
sociology
socio economic problems
erasmus
english
issues in global economics

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Issues in global economics
Inhoudsopgave

1. What is development? ................................................................................................................................. 4
What is development? .................................................................................................................................. 4
Nature of global policy issues ....................................................................................................................... 4
Two “big forces”: demography & the new economy ...................................................................................... 4
Types of global issues ................................................................................................................................... 5
Major players ............................................................................................................................................... 5
New realities and institutions ....................................................................................................................... 5
Instruments of governance ........................................................................................................................... 5
Global turning points .................................................................................................................................... 6

2. Wealth and poverty...................................................................................................................................... 6
The concept of poverty ................................................................................................................................. 6
Evolution of (extreme) poverty...................................................................................................................... 6
The millennium development goals ............................................................................................................... 7
The sustainable development goals .............................................................................................................. 7
Criticism of the MDGs & SDGs....................................................................................................................... 7
The Malthusian trap and the Industrial Revolution ........................................................................................ 8
Poverty traps and ways out .......................................................................................................................... 8

3. Income ......................................................................................................................................................... 8
Facts on global income ................................................................................................................................. 8
Differences between countries ...................................................................................................................... 8
Global income inequality .............................................................................................................................. 9
Income and other dimensions ....................................................................................................................... 9
Geography and development........................................................................................................................ 9
Approaches to development ......................................................................................................................... 9
Globalisation .............................................................................................................................................. 10

4. Population .................................................................................................................................................. 11
Demographic trends ................................................................................................................................... 11
Causes of population growth ...................................................................................................................... 12
Economic theory of the family .................................................................................................................... 13
‘Suboptimal’ population growth ................................................................................................................. 13
Population Policies ..................................................................................................................................... 14
Future look ................................................................................................................................................. 15

,5. Food, hunger and malnutrtition ................................................................................................................. 15
Facts on world food production, hunger and malnutrition ........................................................................... 15
Causes of hunger and famines .................................................................................................................... 16
Agricultural economics, policies and politics ................................................................................................ 17
How food affects development ................................................................................................................... 18
How development affects food ................................................................................................................... 18
The Green Revolution ................................................................................................................................. 19
Food policies and politics ............................................................................................................................ 19
Future outlook............................................................................................................................................ 19

6. Energy ........................................................................................................................................................ 19
Facts about energy supply & consumption .................................................................................................. 19
Energy crisis ............................................................................................................................................... 21
Responses by government to the crisis ........................................................................................................ 22
Energy use & development ......................................................................................................................... 22
External effects and depletion of non-renewables ....................................................................................... 23
The energy transition.................................................................................................................................. 23

7. Climate change ........................................................................................................................................... 24
Facts on carbon dioxide emissions .............................................................................................................. 24
Greenhouse gases and climate change ....................................................................................................... 24
Evidence of climate change......................................................................................................................... 25
Action on climate change ........................................................................................................................... 25
Economics of climate change ...................................................................................................................... 26

8. The Environment ........................................................................................................................................ 26
Some basic facts ......................................................................................................................................... 26
UN conferences and the rise of environmental concerns.............................................................................. 26
Air .............................................................................................................................................................. 27
Water ........................................................................................................................................................ 28
Land (minerals, deforestation) .................................................................................................................... 28
Waste ........................................................................................................................................................ 29
The extinction of species ............................................................................................................................. 30
The extinction of cultures............................................................................................................................ 30
Environmental politics ................................................................................................................................ 30

,
, 1. What is development?
What is development?
= ways in wich economies progress through their societies to improve well-being
 Define well-being: bbp (materialism, past), health, longer alive, well educated,
happiness
o UN: enlarging of human capabilities and choices
o Human development index
o Health (life expectancy)
o Knowledge (education: years of schooling, mean yeard)
o Standard of living (GNI index)
o 20th century: economic growth
o GNP (Gross National Product)
o 2 types of policies
 Government approach: creating jobs, social services
 Market approach: deregulation, private sector for public services
o 21th century: sustainability
o From 1970s: focus negative effects of economic growth
o Sustainable development = satisfy needs present generation and future
generations are able to enjoy the same
o Millennium and sustainable development goals: economic prosperity, social
inclusion and cohesion, environmental sustainability, good governance
Nature of global policy issues
 Requires International cooperation, global collective action (difficultness)
 Interactions between economic, social, demographic, environmental, geopolitical
variables
 Complexity & uncertainty
Two “big forces”: demography & the new economy
1. The demographic explosion (almost 8 bill): unprecedented stresses
o Land and resource use: more food with the same numbers of hectares land,
worrying signs (urbanization, deforestation, reduced biodiversity, etc.)
o Social issues: conflict, poverty, migration
2. Hyper-globalisation
o Technological progress: opportunities for faster
o Deregulation: unregulated international trade and capital markets (easy
mobility of goods, money [not people])
 The ‘new’ world economy
o The end of the Bretton Woods framework (q944-1971)
o The blind belief in the market, deregulation (neo-liberalism of the Reagen-
Thatcher era of the 1980s)
o The end of communism
o Reality check: 2008, 2020?
o Features
o Speed, agility
o Capital & goods flow easily across national boundaries
o Hypercompetitive
o High on knowledge & information intensity

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