Saturday, December 6, 2014

How are least developed countries chosen?

Another name for a developing country is a “less developed country,” abbreviated as “LDC” (Rubenstein 198).  As mentioned in the previous post, a LDC is a country “that is at a relatively early stage in the process of economic development" (Rubenstein 339).  But how is “economic development” determined?  Who determines the LDCs?  


LDCs are chosen by the United Nations (Rubenstein 198).  First, the UN’s Committee for Development considers three criteria to help determine LDCs.  These three criteria are (1) the Human Assets Index, (2) the Gross national income per capita, and (3) the Economic Vulnerability Index (“Identifying”).

Human Assets Index - This is "a measure of the level of human capital. It consists of four indicators, two on health and nutrition and two on education" ("LDC Criteria").

Gross national income per capita - This "provides information on the income status of a country. GNI is equal to the gross domestic product (GDP) less primary incomes payable to non- resident units plus primary incomes receivable from non-resident units" ("The criteria for identifying least developed countries").

Economic Vulnerability Index - This "measures the structural vulnerability of countries to exogenous*  economic and environmental shocks. The EVI contains eight indicators" ("LCD Criteria").
The Committee for Development then makes recommendations as to which countries should be added to or removed from the LDC list.  To be added to the LDC list, a country must pass standards in all three of the categories listed above.  The country also must not have a population that exceeds 75 million people.  To be taken off of the LDC list, a country must only meet one of the categories above or have "a relatively high income" ("Identifying").

After the Committee for Development makes recommendations, the recommendations are approved by the UN Economic and Social Council.  After the Economic and Social Council approves the recommendations, they are passed on to the United Nations General Assembly.  The Assembly makes a final decision on whether the countries will be chosen for or graduate from the LDC list ("Identifying"). 

* Exogenous: "originating from outside; derived externally" ("exogenous").

[LDC Map]

Note: The above image was added to this post on 12/7/14.

--------------

Works Cited

"Definitions: Basic Indicators." UNICEF. UNICEF. Web. 6 Dec. 2014. <http://www.unicef.org/infobycountry/stats_popup1.html>.

"exogenous." Dictionary.com. Dictionary.com. Web. 6 Dec. 2014. <http://dictionary.reference.com/browse/exogenous?s=t>.

"Identifying Least Developed Countries (LDCs)." United Nations. United Nations, Oct. 2014. Web. 6 Dec. 2014. <http://www.un.org/en/development/desa/policy/cdp/ldc/ldc_criteria_id.shtml>.

"LDC Criteria." United Nations. United Nations, 1 Oct. 2014. Web. 6 Dec. 2014. <http://www.un.org/en/development/desa/policy/cdp/ldc/ldc_criteria.shtml>.

[LDC Map]. Digital image. MakingItMagazine.net. UNIDO, 11 Nov. 2010. Web. 7 Dec. 2014. <http://www.makingitmagazine.net/?p=2322>.

Rubenstein, James M. Contemporary Human Geography. 2nd ed. Glenview: Pearson, 2013. Print.

No comments:

Post a Comment