Please enable JavaScript.

Coggle requires JavaScript to display documents.

Barriers to development, Climate change, Imperialism - Coggle Diagram

- - - - Results
        
        Significant proportion of non-traceable income
        
        Corruption, tax evasion, crime etc.
        
        Lack of savings
        
        Limits economic growth
        
        Lack of investment
        
        Limits economic growth and development
      - Causes
        
        Inequal access to banks
        
        Many banks require IDs, addresses, minimum deposits and stable incomes
        
        Technology
        
        Mobile banking has helped people reach banks even in developing areas
        
        Still not everyone has access
    - - No reliable system for debt management, especially in combination with an inefficient legal system
        
        inability to track payment history etc. may not only be unfair but also limit the banks willingness to give debt
    - - Bank failures
        
        Banks can be closed when they can't meet their obligations to depositors etc.
      - Decrease in capital, employment and growth
  - - - Property rights allow people to own and benefit from owning private property
        
        When people are guaranteed to be allowed to keep their property it is more likely that they will take care of it and improve it
      - Eliminates ’dead capital’
        
        Assets that cannot be easily sold, bought, valued or used as investments because nobody owns them
        
        People may have a lot of assets but since they do not technically own them
        
        The ’dead capital’ cannot be used to improve the ’owner’s’ wll-being
    - - Corruption, oppression, injustice
        
        Allow for dysfunctional systems and practices to be kept in place
        
        e.g poor people won't be able to defend themselves in court and exploitation continues despite improvements in legislation
  - - - Hidden economy not viable for taxation
      - Low base
      - Lack of government funding for healtcare, education, infrastructure, social security, investments etc.
    - - Increased income inequality and poverty cycle
        
        Inequality as a barrier to development
      - Upper classes self-interest, financial and political power
        (political "elites")
        
        Exploitation of the lower classes
        
        No tax reforms
      - Direct taxation
        
        Income tax
        
        Difficulties setting income taxes for informal/irregular work
        
        Property tax
        
        Low property taxes due to the structure of the tax system
        
        No property taxes due to dead capital
        
        Corporate tax
        
        Lack of local large scale industry leading to low tax profit
      - Indirect taxation
        
        Not adjustable to highly varying levels of income - heavier burden on low-income households
    - - Difficulties setting up a tax system
      - Tax evasion
      - No data, statistics and no research
        
        Policymakers inability to assess the impact of economic changes
        
        Avoiding large structural changes which could sometimes be needed
- - - - Lower education levels in society means that people are less capable of reading, writing and communicating
    - - Children become more educated
  - - - With more education the quality of the workforce will increase over time
  - - - More money into the economy
    - - If women are not educated and do not work they stay home with their children, if they do work, babysitters and kindergardens are needed etc
  - - - Higher quality of life for citizens
- - - - The diminished role of official economic insitiutions
  - - - Dead Capital
  - - - The effects of dictatorship on the economic structure
      - Capital flight
      - Political instability
      - Lack of an efficient taxation system
        
        Hindrance on raising funds
    - - lack of access
        
        The hindrances to saving are on the way of economic growth, as they are essential fot it
        
        The hindrances on securing funding
      - Untrustworthy financial institutions
- - - - Invasion
        
        Destroys infrastructure (roads, hospitals, schools, power grids). Leads to human causalities. Disrupts politics.
      - Terrorism
      - Strategic bombardment
      - Blockade
        
        Blocks a country from trading. Restriction of trade can block essential resources or destroy a country's export industries
    - - Lobbying
      - Funding of terrorist organisations
      - Assasinations
      - Sponsorship of coups
        
        Methods of controlling a country's politics. Leads to political instability.
      - Espionage
      - Weaponization of media
        
        Media can be used to undermine a political structure of a country. For example, it can be used to cause uprisings, which cause instability
    - - Debt trapping
        
        Giving loans with the expectation that the loan won't be payed. The debt is used to coerce the indebted government.
      - Dumping
        
        Deliberate dumping of extremely cheap products can destroy domestic industry by driving prices so low that domestic producers can't earn profits.
      - Embargoes
        
        Used to harm producers from the target country
      - Freezing of capital assets
        
        Used to coerce the victim government into making policy decisions beneficial to the country keeping the assets
      - Suspension of aid
        
        Suspending aid for a country in need of it is a tool used to control policies in other countries to benefit the country distributing the aid.
  - - - Reduces the potential for economic growth.
    - - Harms infrastructure (Buildings, roads, power grid), which disrupts the economy.
    - - Lack of harbors
        
        Water transport has the most efficiency (tonne of cargo / liter of fuel), which means that a country without harbors will find it harder to trade due to bigger costs of transportation.
      - Infertile land
        
        Decrease the amount of food that can be grown domestically. Leads to dependency on imports.
      - Lack of fresh water sources
        
        Puts enormous costs on the public and private sector to produce necessary water to sustain the population.
      - Hard terrain
        
        Complicates logistics, construction and land use, which limits the domestic produces, especially small ones, who may not have money to clear an area of land.
    - - Kills people, forcing governments and businesses to enforce lock-downs.