1.4 Strategies for National development1. Economic strategies2. Demographic strategies3. Social strategies
1. Economic development strategies – Agricultural development – Industrial development – Case study: • Industrial development in S. Korea • KALAHI project in Philippines 20012. Demographic development strategies – Population growth – Case study: • Population policy in China3. Social development strategies – Healthcare services and education – Case study: • Healthcare services & education in Singapore • Parivartan Slum Networking Programme (mid 1990s) in Gujarat, India, • Hill Tribe Education Project (1998) in Thailand
In the following, we will learn:1. What are the policies that can bring about development?2. How does each policy work?3. What are some real-life examples?4. How successful are the policies?
1. Economic Development Strategies to bring about Development
1. ECONOMIC DEVELOPMENT STRATEGIES• Measured by increase in GDP/ GNP per capita.• To increase GNP, countries need to develop both agricultural and industrial sector -> improve both quality and quantity of goods. 1.Agricultural development 2.Industrial development
1.1 AGRICULTURAL DEVELOPMENT • Low agricultural technology low productivity • Falling food prices look for high paying jobs in urban areas result in labour shortages in the farms Low productivity → low yield → economic development will be affected
1.1 AGRICULTURAL DEVELOPMENT What can be done ? • Develop the agricultural sector in rural areas so that farmers will stay • Government help farmers to increase productivity
1.1 AGRICULTURAL DEVELOPMENT GREEN REVOLUTION (1960s) • Modern farming technology and scientific research to develop high-yielding seedlings • Genetically engineered high yielding crop varieties (HYVs) e.g. rice & corn • Better irrigation method and use of chemical fertilisers • Used in India, Indonesia and Philippines
GREEN REVOLUTIONSUCCESS• Increase in crop production increase agricultural productivity In the end, only rich farmers benefit and did not bring about large scaleLIMITATIONS economic development• More expensive – Set up irrigation system – Large amount of pesticides needed as seedlings are more vulnerable to pests and disease• Need more water & chemical fertilisers to grow well
1.2 INDUSTRIAL DEVELOPMENT• Goal of many LDCS to change from an agricultural economy to industrial economy• Problems faced: Lack of skilled workers, financial resources and strong competition from other DCs• LDCs sell off their raw materials to DCs to be processed, at low prices• DCs sell back to the LDCs the final products, at higher prices What model/ theory Core-Periphery does it remind you Model of?
1.2 Industrial Development• What can be done? – Efficient air, land & sea transport network E.g. port of Singapore, Changi International Airport – Reliable power & water supplies – Good telecommunications systems – Sound financial & banking institutions – E.g. Jurong Town Corporation (JTC) set up in 1968 to manage industrial estates
Case Study 1: IndustrialDevelopment in South Korea
INDUSTRIAL DEVELOPMENT IN SOUTH KOREA• GNP grew from US$100 in 1963 to US$22,045 in 2005 Key to succeed in Industrial Development is• Relies largely on exports to improve economic growth. E.g. cars, ships, electronics etc have Skills & Technology transfer. Once you the skills & technology, you don’t have to sellReasons for SUCCESS: DCs for processing. You your raw materials to1. Good geographical location tofinishedraw can process & sell your own attain products materials2. Receiving financial & technical aids from Japan and USA3. Skilled & cheap labour – Reduce dependency from foreigners through skill development
Case Study 2: KALAHI project in Philippines 2001
Job Creation & Financial Assistance• UNDP 2000 noted that: – 4.3 million poor families – 75% of poor are indigenous people/ poor rural farmers – Wide rich-poor gap• KALAHI project 2001 – Aim to improve SOL of poor
KALANI PROJECT 2001• Develop informal sector, i.e. sale of hand- made products• Pro-poor policies implemented: – Microfinance (i.e. small loans) for entrepreneurs – Interest-free loans for ultra-poor – Private organisations provide financial aid – Training & advice • Skills training • Leadership and self-employment training
Success LimitationsBenefited ~ 3 million Wide income gap stillpeople persists600 000 agricultural jobs Current market is toocreated small. Need to diversify products & skills of poorProvided jobs to about 1.7 to reach bigger markets.million unemployed. Insufficient volunteers to offer microfinance & train poor people.
2. DemographicDevelopment Strategies to bring about Development
2. DEMOGRAPHICDEVELOPMENT STRATEGIESFocus on overcoming problems of rapidpopulation growth Population Control Policies
2. POPULATION GROWTH• Rapid population increase – strains government & country’s natural resources• Limited resources left to improve quality of life, income & living conditions Hence, LDCs need to control their rate of population growth
HOW TO DECREASE POPULATION GROWTH?• Family planning educate couples of having fewer children, contraception• Improve healthcare In LDCs, couple tend to have more children so that some may survive to adulthood Reduced infant mortality rate lower birthrates• Educate the women More career-minded marry later less children
World Population CHINA INDIASource: http://en.wikipedia.org/wiki/World_population
Case Study 3: One-child Policy in China
POPULATION POLICY IN CHINA• One-child policy in 1979• Incentives: – free education, – better employment and – more priority in purchasing house• Raised marriageable age for men to 22 and women to 20. – Ask permission from authority when they want to get married or have children *Policy have been relaxed to allow 2 children per family
Success LimitationsFertility rate reduced Difficult to implement infrom 6 in 1970s to 1.8 in rural areas.2006. Traditional mindsets preferring sons to daughters. Couples continue to bear children until they get a son. Rise in social problems due to issues like infanticide.
3. Social Development Strategies to bring about development
3. SOCIAL DEVELOPMENT STRATEGIES• Impact on the quality of life of people in the country• 2 major aspects are 1.Health care 2.Education
2.1 HEALTHCARE• In LDCs – poor healthcare due to lack of well-trained doctors & nurse• Most doctors are in urban areas• Recall: Good health is determined by… – Clean water & sanitation – Availability of healthcare services – Balanced diet
Case Study 4: Parivartan Slum Networking Programme (mid 1990s) in Gujarat, India. Improving water supplies & sanitation facilities
Parivartan Slum Networking Programme (mid 1990s)• 41% of population in Ahmedabad, state of Gujarat live in slums and squatters.• > 25% of population have not toilet facilities• Widespread extreme poverty
What was done?• Collaboration between government (plan) & local banks (finance $$$)• Basic infrastructure built in slums. I.e. access to clean water, underground sewerage, & individual toilets & solid waste collection• Monthly monitoring meetings to review work progress & discuss future plans• People taught proper usage of new facilities
ResultsImprove supply of clean water, sanitation,food supply healthier workersincrease productivity increase income higher standard of living & quality of life Development
Success LimitationsReduction in spread of Many LDCs lackdiseases caused by bacteria in the financialwaste and contaminated water. resources to build the basicBenefited over 56 000 people infrastructure.in over 40 slums. Has beenexpanded to 59 more slums.Decline in death rate from 6.9to 3.7 per 1000 peopleImproved SOL and broughtdevelopment.
2.2 EDUCATIONBetter education → greater careeropportunity for young people → higherincome level → better standard of living →more development in country
Case Study 5: Hill TribeEducation Project (1998) in Thailand Improving Education Standards
Hill Tribe Education Project (1998)• Hill tribes make up about 1 million people• Most have no formal education & live in extreme poverty
What was done?• Goal of “Education for All”• Formal and informal education programmes• Volunteer teachers came from more developed regions to live & teach hill community• Community learning centre built in each village• Learn sustainable farming methods, Mathematics, etc.
Success LimitationsAgricultural production Difficult to reach massesincreased as geographical location of hill tribe communitiesAble to find employment not easily accessible.in cities Communication barriersGain income Better between hill tribes &living conditions volunteers & government organisations.
Case study 6: Singapore The Little Red DotStrategies:• Economic development Demographic development• Social development
1. Economic Strategies• Industrial Development in Singapore – Economic Development Board (EDB) set up in 1961 – Attract foreign investors, human & financial capital – Set up branches in major cities of Asia, Europe, USA
• EDB set up technological institutions with governments of Jap, Germany, France • Skills Development Fund • R&D facilities & incentives More skilled labor • Overseas ventures e.g. needed>> increase in Singapore-Suzhou Industrial Park vocational institutions in China to provide training • FTAs1960s 1970s & 1980s 1990s• Labor- • capital-intensive • knowledge-intensive industries based industriesindustries • electrical & electronic • IT,• Garment & industries, semi- pharmaceutical &textile, toy conductors & integrated life sciencesmanufacturing chips
Today• Develop secondary & tertiary industries such as tourism, healthcare, education
Improving Improving Healthcareeducation standards services 2. Demographic & 3. Social Development Strategies Population Housing Growth
2. Demographic Development Strategy• Population growth – ‘Stop at Two’ campaign in 1966 – Liberalised abortion in both public & private clinics – Voluntary sterilisation – Incentives to encourage small family size. E.g. priority in school admissions, reimbursement of delivery fees – Disincentives to big families. E.g. increase delivery fees
1960s: Fertility 1975:rate: 2.5% Fertility Rate: 2.1% Foreign Talent Policy “Stop At Two” Policy Three of more if you can afford it 1966 1982 Year
3. Social Development Strategies• Education – 1960s, bilingual education policy introduced – English as compulsory subject and used as medium for instruction for all subjects – Benefits: • Common language for communication between different races • Attracted international trade and commerce – Subsidized education to raised literacy rate – Increase government spending on improving education standards
• Healthcare services – Government-built public hospitals & clinics to provide affordable healthcare – Well-being of workforce affects productivity – Insurance plans and medical savings schemes (Medishield, Medisave) linked to compulsory savings scheme for all working adults, Central Provident Fund (CPF).
• Housing – Late 1960s and early 1970s: Public housing Programme – Aimed to replace slums with affordable housing complete with basic amenities to ensure basic living conditions are met – New towns planned are self-contained and well-linked to rest of the island by roads and expressways
Recall…National Development Strategies:1. Economic development2. Demographic development3. Social development