POLSCI 160 Lecture Notes - Lecture 10: Per Capita Income, Economic Inequality, Resource Curse
17 Oct 2017
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Chapter 10: development causes of the wealth and. Powerful groups within countries may thwart development - they may enrich themselves at the expense of wider society. Domestic institutions can either promote or slow development. Comparing north and south america and how much the institutions mattered in how they developed. Latin american countries and colonies were drawn into world economy on the basis of plantation/labor intensive mining. These activities created highly unequal societies made up of highly wealthy landowners and the miners/farmers on the other hand. Explained how the split in financial inequality played a role into voting policies and limited representation of the more poor classes. Internationally, rich and poor have a common interest in development. Want the poor countries to develop enough to buy their products. Rich countries may support policies that hurt poor countries. Ex: agricultural subsidies; favoring domestic producers and neglecting the poor countries who might specialize in agriculture; hurting the competition in foreign countries.
