Economic Characteristics (page 519)
Developing nations generally share five characteristics.
1. Low GDP Developing nations may have many natural and human resources, but they lack the
equipment, financing, and knowledge necessary
to put those resources to use.
2. An Agricultural Economy Agriculture is central to the economies of developing nations. Most
of
the population exists through subsistence agriculture. Each family grows just enough food
to take care of its own needs. Consequently, no crops are available for export or to feed an
industrial
workforce.
3. Poor Health Conditions Developing nations suffer from a shortage of modern doctors, hospi-
tals, and medicines. Many people die from malnutrition or illness due to lack of food. Low life
expectancy for adults and high infant mortality rates are common. Infant mortality rates
measure the number of infants that die during their first year of life.
4. Low Literacy Rate Relatively few people in developing nations can read or write.
Governments lack resources to build and maintain schools. Children miss school to help their
families farm. A poorly educated workforce is difficult to train for needed technical and engi-
neering jobs.
5. Rapid Population Growth Overpopulation is the source of serious problems, such as a short-
age of food and housing. Populations in developing nations sometimes grow as much as four
times the rate of developed nations.
2. Which of these five characteristics do you think is the most threatening to a developing
nation's standard of living? Why?