Characteristics of Developed Countries

1) Human Development Index

It is a measure introduced by the UN. This particular parameter is used to determine the
extent of human development in a nation. HDI is a measure put between 0 to 1- the higher it
is- the more developed the economy is.

2) Per Capita Income

High per capita income indicates financial security and economic development. It is also
indicative of high economic growth and a high standard of living. The Gross Domestic
Product is sometimes used as a means to calculate the per capita income. In simple words;
GDP is the final cost of the product manufactured in the country.

3) Industrialization
Developed countries have high rates of employment and manufacturing. As opposed to
emerging economies that depend on agriculture, an improved economy depends on the
industry. The larger the industrial setups, the better are the economic development.
Developed economies have modern technology.

4) Political Stability
Political stability is a relatively new measure of a country’s development. The World Bank
initiated this factor. It acts as a useful parameter in determining the development of a nation.
Developed countries are politically stable have low to no corruption, and people have high
respect for the country’s laws.

5) Freedom
A developed country provides various forms of freedom to its citizens. These forms of
freedom are considered as the fundamental rights of the citizens. Hence, a developed nation
respects and abides by these rights. These fundamental rights include the right to worship,
settle anywhere within the country, marry, own land or property, and gain access to
information regarding the governmental policies, etc.

Characteristics of Developing Countries

Low Per Capita Real Income
Low per capita real income is one of the most defining characteristics of developing
economies. They suffer from low per capita real income level, which results in low savings
and low investments.

High Population Growth Rate

Another common characteristic of developing countries is that they either have high
population growth rates or large populations. 

Dependence on Primary Sector

Almost 75% of the population of low-income countries is rural based. As income levels rise,
the structure of demand changes, which leads to a rise in the manufacturing sector and then
the services sector.

The Unemployment Rate 

In developing countries, the unemployment rate is still relatively high because the available
job vacancies are not evenly distributed. In rural areas, unemployment suffers from large
seasonal variations. However, unemployment is a more complex problem requiring policies
beyond traditional fixes.

Imports are higher than exports 

Due to the low management of natural resources and human resources in developing
countries, developing countries more often buy goods from abroad.

Q. Make a list of 20, 20 developing -and developed nations respectively on

the base of measures identified by you.
DEVELOPED COUNTRIES
Country Human
Development
Index
China 0.752 DEVELOPING COUNTRIES
Peru 0.75
Uzbekistan
Country 0.71
Unemployment Rate
Saudi Arabia
Argentina 0.853
13.10
Canada 0.926
Bolivia 3.60
Poland 0.865
Brazil
Spain 13.80
0.891
Chile
Colombia 12.90
0.747
South
ChinaKorea 0.903
5.60
South
CubaAfrica 0.699
1.70
Italy 0.88
Ecuador 4.90
France 0.901
Egypt Kingdom
United 9.60
0.922
Guatemala 2.00
Thailand
India 0.755
6.70
Germany 0.936
Indonesia 4.99
Iran 0.798
Mexico
Turkey 5.20
0.791
Nigeria
Russia 27.10
0.816,
Mexico
Pakistan 0.774
4.10
Japan
Paraguay 0.909
5.70
Peru 15.60
Philippines 10.00
South Africa 23.30
Thailand 1.90
Turkey 13.40
Q) List of developing and developed nations from un.org and show that
whether your list is similar to that one?
DEVELOPED COUNTRIES
Canada United States Austria Belgium Denmark Finland France Germany Greece Ireland
Italy Luxembourg Netherlands Portugal Spain Sweden United Kingdom Bulgaria Croatia
Cyprus Czech Republic Estonia Hungary Latvia Lithuania Malta Poland Romania Slovakia
Slovenia Iceland Norway Switzerland Canada Japan France Germany Italy Australia Japan
New Zealand

DEVELOPING COUNTRIES
Argentina, Bolivia, Brazil, Chile, China, Cuba, Ecuador, Egypt, Guatemala, India, Indonesia,
Mexico, Nigeria, Pakistan, Paraguay, Peru, Philippines, South Africa, Thailand, Turkey
Yes the lists are similar to the one taken from un.org

Q. Prove that Pakistan is a developing country. Firstly by analyzing and

interpreting the numerical figures of different characteristics like per
capita income, poverty, human development index, contribution of various
sectors to GDP, population rate, unemployment rate. Secondly, by
comparing its characteristics with a developed nation.
Pakistan is a developing Country. It is the 26th largest in Purchasing Power Parity.
Pakistan’s GDP Per Capita PPP is $4,900 which is 133rd in the world. The developing HDI
of Pakistan is 0.54 (14th). GDP in Pakistan averaged 78.69 USD Billion from 1960 until
2019, reaching an all time high of 314.57 USD Billion in 2018 and a record low of 3.71 USD
Billion in 1960. The Gross Domestic Product (GDP) in Pakistan was worth 278.22 billion US
dollars in 2019, according to official data from the World Bank and projections from Trading
Economics. The GDP value of Pakistan represents 0.23 percent of the world economy. GDP
in Pakistan is expected to reach 270.00 USD Billion by the end of 2020, according to Trading
Economics global macro models and analysts expectations. In the long-term, the Pakistan
GDP is projected to trend around 282.00 USD Billion in 2021 and 310.00 USD Billion in
2022.Over the past few years, Pakistan has shown a great improvement in the Gross
Domestic Product. Pakistan’s Gross Domestic Product growth in Fiscal Year 2017 is
expected to climb to 5.2 percent — the highest in nine years and the growth rate will continue
to accelerate, reaching 5.5 percent in FY18 and 5.8 percent in FY19.Pakistan’s growth will
continue to benefit from growing consumer and investor confidence in the first half of FY17,
following the successful efforts to restore macroeconomic stability during the last 4 years.

Q. Write a critical conclusion while documenting, in which category,

China, Turkey, Qatar, and Kuwait falls. Prove your answer with solid
arguments.

Turkey
Turkey’s economic and social development performance since 2000 has been impressive,
leading to increased employment and incomes and making Turkey an upper-middle-income
country. For most of the period since 2000, Turkey has maintained a long term focus on
implementing ambitious reforms in many areas, and government programs have targeted
vulnerable groups and disadvantaged regions. Poverty incidence more than halved over
2002–15, and extreme poverty fell even faster. During this time, Turkey urbanized
dramatically, maintained strong macroeconomic and fiscal policy frameworks, opened to
foreign trade and finance, harmonized many laws and regulations with European Union (EU)
standards, and greatly expanded access to public services. It also recovered well from the
global crisis of 2008/09.After three consecutive quarters of year-on-year contraction, real
GDP growth resumed in in the third quarter of 2019 and strengthened in the fourth, bringing
2019 growth to 0.9 percent. The recovery was aided by rapid monetary easing, as the central
bank cut rates from 24 percent in June 2019 to 9.75 percent in March 2020.So turkey is in the
list of developing countries.
Kuwait
Kuwait’s HDI value for 2018 is 0.808 which put the country in the very high human
development. Category positioning it at 57 out of 189 countries and territories. The rank is
shared with Uruguay. Between 1990 and 2018, Kuwait’s HDI value increased from 0.712 to
0.808, an increase of 13.5 percent. Kuwait’s 2018 HDI of 0.808 is below the average of 0.892
for countries in the very high human development group and above the average of 0.703 for
countries in Arab States. From Arab States, countries which are close to Kuwait in 2018 HDI
rank and to some extent in population size are Oman and Qatar, which have HDI ranked 47
and 41 respectively According to International Monetary Fund (IMF), Kuwait is one of the
developing countries because of its lower economic performance. With a Human
Development Index (HDI) of 0.808 Kuwait counts as one of the high developed economies
by UN. So Kuwait is in the list of developing countries.

China
China's economy has indeed made remarkable achievements, it doesn't necessarily mean that
China is already a developed country. Generally speaking, China still lags far behind
developed countries in terms of economic and social development levels. In 2018, per capita
GDP in China was less than $10,000, below the world average. Meanwhile, China's
urbanization rate for its permanent resident population was 59.58 percent in 2018, while the
rate in developed countries is usually around 80 percent. Moreover, there is still a large gap
between urban and rural areas and among different regions in China, with prominent wealth
inequalities.
As of the end of 2018, there were still 16.6 million people living below the national poverty
line in China. No developing country has ever had such a large economic scale and influence
as China, especially at a time when its per capita economic indicators are still low in all
respects. This is mainly because China has a population of nearly 1.4 billion, and this large
population makes the Chinese economy appear so big. China remains the largest developing
country in terms of a wide range of indicators such as per capita levels, industrial structure,
employment, innovation ability and balance of development, among others. In many ways
China is both a developed and a developing country.
Qatar
Qatar is a developing country, according to the United Nations. However, as the country with
the highest gross domestic product (GDP) per capita ($143,788), Qatar proves to be
somewhat of an exception to the rule of what counts as developing. Qatar's HDI is 0.85—
above the minimum for a developed country, but low considering how high the GDP is.