Obstacles to Development Trade and Debt (OCR GCSE Geography B (Geography for Enquiring Minds)): Flashcards

Lower Income Developing Countries

Unfair trading patterns and mounting debt burdens

ACs: high-value manufactured goods; LIDCs: natural commodities

Transnational Companies that control most international trade

When LIDCs spend more on imports than they earn from exports

Prices fluctuate dramatically, making economic planning difficult

When a country borrows money and must repay it with interest

Healthcare, education, infrastructure, social welfare

Debt cuts investment, prevents development, keeps countries poor

Less money overall; basic needs unmet; trapped in poverty cycle