Punto De Trabajo Economia

Economics Workpoint (5 Questions):

1. In terms of vulnerability and dependence in international relations, in what factors mentioned are developing countries dependent from developed countries andwhat strategy is needed to respond to this dependency?

Developed countries often have a higher economical and political power than the developing countries so they usually dominate the latter,they are dependent because of many factors, such as trading, access to some technologies, economical and health aid and finally investment. Small developing countries do not have the opportunity toisolate themselves from these developed countries because of their involvement in the world markets. Developing countries are therefore in an international manner vulnerable and often are harmed andaffected by the decisions of developed countries in markets or unions as most developing countries have no decision making resisting upon them and have no control over these decisions.

It is said thatit is better for developing countries to act as blocs such as trade unions so they can gain benefits from collective bargaining, in a bloc a group of countries join together in agreement to increasetrade between themselves and to gain economic benefits from each other. In this case collective bargaining helps to establish wages, work times in companies and businesses between the countries.

2.a) Define and explain dependency ratios. b) What differences/similarities can be found when comparing the dependency ratios of LDC's and MDC'?

Dependency ratios are the percentage of this who arenon-productive, usually those who are under 15 and over 64 expressed as a percentage of those of working age. It is the percentage of the population who cannot work but can depend on the working forceof the certain country.

Developing countries have very high dependency ratios as the number of people under 15 is very high due to high birth rates and also to a very low life expectancy whereas...