Development Studies-Notes & Revision Questions Module 1-4

DEVELOPMENT STUDIES-NOTES & REVISION QUESTIONS
MODULE 1-4
Notes and Revision Questions

Masunga senior School
[Pick the date]
Examination Rules
-Do not repeat any term/phrase/word that are asked to define in your definition, for example, you cannot say
„Life expectancy is the average number of years a person is expected to live.‟
Life expectancy is the average number of years a person is likely to live.
„Rural-urban migration is of people from rural to urban areas.‟
-List, give, mention, state only when you are asked to do so, i.e. do not list, give, mention or state when you are
asked to describe, discuss, explain, etc. However, link your points(s) to the stem.
-When asked to describe, discuss, explain etc. write in continuous prose giving full details.
-Do not set yourself an item or substitute words in the question with your own, i.e. answer a question the way it
has been asked, for example, when a question asks you to describe characteristics of Developing countries do
exactly that, write in details the features of Developing countries.
Do not instead substitute Developing countries with „Third World countries‟ or „Countries of the South‟ etc.
because by so doing you are setting yourself a question i.e. you are not answering the question the way it has
been asked.
-When asked to compare and contrast, always start with the former and move to the latter, for example, when a
question asks you to compare „labour intensive mode of production‟ to „capital intensive‟ always start every
point you will raise with „labour intensive‟ (the former) and compare it to/ with „capital intensive‟ (the latter).
-Do not draw a table when you are asked to compare or contrast. The table limits you to give full details of
what you are asked to compare or contrast, for example,
Labour intensive Capital intensive
-cheap -expensive
-simple technology -advanced/ complex technology
-When asked to compare/contrast, do not write independent paragraphs of the concepts you are asked to
compare/contrast, compare/contrast one factor to another.(a complete sentence)
-Do not leave points undeveloped/hanging. Always write to the full and drive your points home.
Always link your points to what the question asks, for example, If a question asks „What are the causes of
urbanisation‟ do not just write ‘rural-urban migration’ or ‘natural increase’ and leave it there, you must go
further and show how these factors cause or lead to urbanisation.
-In addition to the point above, do not use words like ‘it’, ‘they’, etc. to stand for the concept or phrase you are
asked to talk about, for example, if a question asks „What are the causes of urbanisation‟ do not use ‘it’ to
stand for „urbanisation‟ for instance „It is caused by‟ will immediately raise the question “what?‟.
-Your point must always have a stem and a locus, for example, if a question asks you to „Discuss the negative
effects of rural-urban migration on rural areas‟, the locus is the „rural area‟ and the stem is „negative effects of
rural-urban migration‟.
This is to say that in all the points you raise, the stem and the locus of the question must come out clearly in
your answer.
-Avoid negative answering at all costs, for example,

1.‟GNP per capita is not a good measure of development because it does not include all production‟ instead
write „GNP per capita ignores the informal sector of the economy; economists only count goods and services
sold legally and/ or marketed openly and recorded by the government.
2. „Labour intensive mode of production is not an expensive method of production‟ instead write „Labour
intensive mode of production is a cheap method of production‟.
Development Studies Notes MODULE 1 -4 Page 2

THE COMMON TASK WORDS FROM DEVELOPMENT
STUDIES QUESTIONS
1. Describe
2. Explain
3. Give
4. State
5. Suggest
6. Name
7. Difference
8. List

Module 1: Measuring & Investigating Development
TOPIC GENERAL OBJECTIVES SPECIFIC OBJECTIVES
Learners should be able to: Learners should be able to:
Development Explain the concept and practice - Explain the concept of development;
of development within the context
of their social, economic and - Explain the following divisions: First,
political environment. Second and Third world, Newly
Industrialised Countries, North, South, Least
Developed Countries and Developed
Countries;
- Give reasons for the differences in the

development levels in different countries;
- Identify and discuss different development

indicators including Gross Domestic Product
(GDP), Gross National Product (GNP),
health, life expectancy, education and energy
consumption.
- Show why political aspects of development

are difficult to measure;
- Describe the characteristics of the developed

and developing countries;
- Analyse and evaluate theories of

development: modernisation, dependency,
sustainable development and alternative
strategies;
What is development?
- Development is a process of change that makes people happier, freer, better fed, richer and take part in
decision making
- Development is a process of change and growth in societies which improves people‟s quality of life.
- Development is when the economy grows, standards of living rise, quality of life improves, wealth is
shared more fairly and more people take part in decision making
THE ASPECTS OF DEVELOPMENT
Societies develop when various systems interact to cause change. These systems are called aspects of life.
- Economic aspect of development is when a country produces more or enough for everyone and gets
richer or wealthier. This is characterised by more industries, better improved technology and higher
income.
- Social aspect of development is when people‟s basic needs are fully met. For example people will have
better and more shelter, access to clean water.
- Political aspect of development is when people have more freedom and justice in a country. This means
that all the basic human rights are guaranteed by law.

THE REASONS WHY IS IT DIFFICULT TO MEASURE POLITICAL ASPECTS OF
DEVELOPMENT
- Political aspects of development are difficult to quantify because are intangible or immeasurable, for
example, they can neither be seen nor touched.
- Most countries prohibit independent human rights groups to monitor human rights violations.
- In developing countries most people are illiterate and unaware of their rights.
- Political aspects of development are affected by cultural or religious beliefs, for example, women being
marginalised or there are gender inequalities.
- The issue of sovereignty makes it difficult to measure political aspect of development because countries
belief that they are independent therefore nobody can tell them how to treat their citizens.
- Political aspects of development are affected by different political systems, for example, dictatorship
prohibits human rights because they are no voting, no freedom of speech.
DIVISION OF THE WORLD
The world can be divided into three groups based on the levels of development, namely;
1. Developed/ Industrialised countries/ Countries of the North
2. Newly Industrialised Countries (NIC‟s)
3. Less Developed Countries/ Countries of the South/ Developing Countries
A MAP WHICH SHOWS THE DIVISION OF THE WORLD INTO COUNTRIES OF THE NORTH
AND COUNTRIES OF THE SOUTH
Fig.1

THE GEOGRAPHICAL LOCATIONS OF THE COUNTRIES OF THE SOUTH ARE AS FOLLOWS:
-The geographical location of countries of the South is that there are found in Central America, for example,
Mexico.
-The countries of the South are found in South America or Latin America, for example, Brazil and Argentina.
-The countries of the South are mostly located in Africa, for example, Botswana, Nigeria, Ethopia, Kenya,
Egypt, Algeria, Tunisia, Namibia, Zimbabwe, Zambia, Angola, Mozambique, Somalia, South Africa and
Cameroon.
-The countries of the South are found in South Asia, for example, India.
-The countries of the South are located in Far East, for example, Malaysia.
-The countries of the South are found in East Asia, for example, China.
-The countries of the South are located in the Middle East, for example, Saudi Arabia.
DEVELOPED COUNTRIES
They can be divided into two categories based on the ideology that they followed:
 First World Countries/ Capitalist Countries
 Second World Countries/ Communist Countries
These two categories are also known as Countries of the North or Industrialised Countries or High income
countries.
Today the second category is almost non-existent because the countries have either ceased to be communist or
they have embedded capitalism in their mode of production, besides Capitalism has now become a world
system.
Example are mostly found in Western Europe, United Kingdom, France, Germany, Spain etc
North America: USA and Canada
Japan, Australia, New Zealand.
THE CHARACTERISTICS OF DEVELOPED COUNTRIES
Economic Characteristics Social Characteristics

 High industrialised  High standards of living
 High employment levels  High levels of literacy
 High levels of income  Good and adequate social facilities, for

example, clinics/ hospitals and schools
 Highly developed infrastructure

 High calorie intake or food intake
 High GNP/ GDP

 Low birth rates and low population growth
rate
 High energy consumption
 High levels of urbanisation

THE REASONS WHY DEVELOPED COUNTRIES ARE HIGHLY DEVELOPED
 Developed countries use advanced technology to produce goods and services.
 Developed countries have long history of urbanisation.
 Colonialism is the other reason why developed countries are highly developed.
 Developed countries are highly developed because of importation of raw materials at cheap rates from
Less Developed Countries.
 Developed countries are selling or exporting expensive manufactured goods
 In developed countries, there are highly skilled and productive work forces.
 Developed countries have control and domination of the World Trade.
THE ECONOMIC CHARACTERISTICS OF THE COUNTRIES OF THE NORTH
-The economic characteristic of countries of the North is that there is high use of complex technology to
produce goods.
-The countries of the North have high development of transport and telecommunication networks or high
infrastructural development.
-The economic characteristic of countries of the North is that they dominate international trade or they have high
share of international trade.
-The countries of the North have high income or high wages.
-The countries of the North have high energy consumption because people own many electrical appliances such
computers, televisions and refrigerators.
-The countries of the North have high industrialization or mass production or high manufacturing of goods.
-The economic characteristic of the North is that they export finished goods and they import raw materials.
-The countries of the North have low percentage population depending on agriculture because few people
practise commercial agriculture.
-The countries of the North have high GNP because they have many industries that produce goods and services.
- The countries of the North have high GNP per capita.
- The economic characteristic of countries of the North is that they have high GDP.

DEVELOPING COUNTRIES
Also known as;

 Less Developed Countries
 Third World Countries
 Countries of the South
 Least Developed Countries
 Under Developed Countries
 Middle income or low income Countries
Example: Most African countries, for example, Botswana, Malawi, Zambia etc
South American countries such as Peru, Colombia, Nicaragua, Chile, Bolivia etc.
Asian countries such as Iran, Iraq , Bangladesh etc.
THE CHARACTERISTICS OF DEVELOPING COUNTRIES

 Developing countries depend on raw  Developed countries have low standards of
materials for export, for example, crop and living.
minerals.  They have high levels of illiteracy or low
 Developing countries have low levels of education levels.
industrialisation.  Developed countries have poor and
 They have high levels of unemployment inadequate social facilities, for example,
 Developed countries have low incomes and school and hospitals.
widespread poverty.  Developed countries have low life
 Developed countries have poorly developed expectancy..
infrastructure.  They have low urbanisation levels, for
 They have low GNP/GDP example, most people live in the rural areas.
 Developed countries have dependence on  Developed countries have few stable
subsistence agriculture. democracies.
 Oppression of women.
THE REASONS WHY DEVELOPING COUNTRIES ARE UNDERDEVELOPMENT
 The slave trade which depleted Africa‟s human resources.
 Colonialism /imperialism that exploited Africa, for example, took raw materials.
 Developing countries use backward or poor technology.
 Developing countries depend on cheap raw materials for export.
 Developed countries set unfair international trading terms that disadvantage developing countries.
 Developing countries have unskilled and less productive labour force.
 Huge foreign debts.
 Neo-colonialism, for example, domination of the economies by developed countries through Trans
National Companies.

NEWLY INDUSTRIALISED COUNTRIES
These are countries that have achieved industrialisation in the last thirty years. They used to be less developed.
For example, Korea, Thailand, Singapore, Hong Kong, India, Brazil, Indonesia, Mexico etc.
THE MAPS WHICH SHOWS GEOGRAPHICAL LOCATIONS OF NEWLY INDUSTRIALISED

COUNTRIES (NICs)
Fig.2
Fig.3

THE LOCATION OF THE NEWLY INDUSTRIALISING COUNTRIES IS AS FOLLOWS:
- The Newly Industrialising Countries are found in Southern Africa, for example, South Africa.
- Newly Industrialising Countries are located in the Far East countries such as Malaysia, Thailand,
Singapore, Philippines, South Korea and China.
- The Newly Industrialising Countries are found in South of North America, for example, Mexico.
- Newly Industrialising Countries are found in Northeast of South America, for example, Brazil.
- The Newly Industrialising Countries are found in South Asia, for example, India.
- Newly Industrialising Countries are located in the Middle East, for example, Saudi Arabia and Turkey.
THE CHARACTERISTICS OF NEWLY INDUSTRIALISED COUNTRIES

 NIC‟s have fast growing industrial sector  NIC‟s have rapid urbanisation
 NIC‟s have greater dependence on exports of  They have improving standard of living.
manufactured goods.  NIC‟s are having higher levels of education
 They have rapidly commercialised therefore high literacy.
agricultural sector, for example, from  They have improved provision of social
subsistence to commercial agriculture. services
 NIC‟s have raising income levels.  NIC‟s have rising life expectancy.
 They have emergence of new Trans National  They have falling birth and population
Companies, for example, Samsung, Daewoo, growth rate.
Kia, all from South Korea.
THE REASONS WHY THE NIC’s DEVELOPED SO FAST
 The NIC‟s have heavy investment in science and technology education.
 They have large scale foreign direct investment, for example, Multi-National Companies/ Trans
National Companies.
 Export Oriented Industrialisation based on the production of consumer goods for the world market.
 Foreign Aid from the developed western countries in an attempt to stop the spread of communism, for
example, South East Asia.
 NIC‟s got loans from international financial institution, for example, World Bank and International
Monetary Fund.
 NIC‟s have technology transfer from the Western countries
 They have cheap labour costs that helped to attract foreign investment.
 NIC‟s had agricultural and land reform that helped to modernize and improve productivity.
 They have heavy investment in modern infrastructure.

THE CHALLENGES WHICH ARE FACED BY THE NEWLY INDUSTRIALISING COUNTRIES
- The challenge faced by the Newly Industrialising Countries is that of high inflation rates/ weak currencies/
high fuel prices.
- The Newly Industrialising Countries faces the challenge of having foreign debt or debt crisis.
- The challenge faced by the Newly Industrialising Countries is that of the wide gap between the rich and
the poor or huge disparities of wealth.
- The Newly Industrialised Countries are faced with the challenge of dominance of the industrial process by
Multi-National Companies who move their investment of the country.
- Newly Industrialising Countries are faced with the challenge of depletion of their natural resources or
damage to the environment.
- The challenge faced by Newly Industrialising Countries is that of fast growth of the private sector which
makes it difficult to be controlled by the government.
- Newly Industrialising Countries are faced with the challenge of exploitation of workers by the employer.
- The Newly Industrialising Countries are faced with the challenge of declining exports because of tough
competition from the mostly developed countries or in the world market.
- The challenge faced by the Newly Industrialising Countries is that of high expenditure on imports and less
on exports.
- Newly Industrialising Countries are faced with the challenge of declining real income.
- The Newly Industrialising Countries are faced with the challenge of corruption.
- Newly Industrialising Countries are faced with the challenge of urban poverty.
THE REASONS FOR THE DIFFERENCES IN THE DEVELOPMENT LEVELS IN DIFFERENT

COUNTRIES
Explain why there are differences in the levels of development between developed and developing
countries.
- The differences in levels of development between developed and developing countries is that developed
countries export finished goods whereas developing countries export raw materials.
- Developed countries have skilled manpower because they have many educational institutions and
developing countries have brain drain because most of skilled people prefer working in developed
countries.
- The difference in levels of development between developed countries and developing countries is that
developed countries dominate or control world trade whereas developing countries have less control over
world trade.
- Developed countries have many Multinational companies which contribute towards government revenue
by paying tax and developed countries have huge debts because they have only few companies that export
finished goods.
- There is peace in developed countries whereas developing countries are involved in political instabilities
caused by wars and civil strife.
- Developed countries policies are directed to high infrastructural development while developing countries
policies are directed towards poverty and disease eradication.

- The difference in levels of development between developed countries and developing countries is that
developed countries use advanced technology to produce goods whereas developing countries use simple
technology to produce goods.
- Developed countries have high skilled manpower whereas developing countries have shortage of skilled
manpower.
- Developed countries have created dependency syndrome in developing countries by giving them aid or
assistance, for example, foreign aid in the form of grants and loans.
THE FACTORS THAT SLOW DOWN DEVELOPMENT IN THE DEVELOPING COUNTRIES
- The factor that slows down development in the developing countries is lack of funds.
- Developing countries have slow down development because of use of poor technology to produce goods
and services.
- The slowdown in development of developing countries is caused by lack of skilled labour because of poor
education.
- The factor that slow down development in developing countries is caused by wars and conflicts.
- Developing countries have slow down development because they have high populations.
- The slowdown in development in developing countries is caused by corruption and mismanagement of

public funds by most of the leaders for their own personal benefit.
- Developing countries have slow down in development due to brain drain because many skilled people in
developing countries prefer working in developed countries.
- The factor that slows down development in developing countries is dependency syndrome. This means
developing depend on developed countries in order for them to develop.
- Developing countries are involved in foreign debts which slow down their development, for example, they
get loans from financial institutions such as the World Bank, International Monetary Fund and developed
countries.

MEASURING DEVELOPMENT/ INDICATORS OF DEVELOPMENT
Fig.4
Economic Social Development Political

Indicator Development Indicator Indicator Development
Developed Developing Developed Developing Developed Developing
GNP High Low Infant Low High Democracy
mortality
rate (IMR)
GDP High Low Life High Low Peace Civil
expectancy wars/strife
GNP per High Low Death rate Low High Women in More Few
capita managerial
positions
Energy High Low Birth rate Low High Elections More Few
consumption
Doctor – Low High Human
patient rights
ratio
Employment/ High/less Low /more Teacher- Low High Justice
number of people in people in student
people in agriculture agriculture ratio
agriculture
Number of Low High Freedom
people per
telephone
Number of Low : High : few
people per Many houses with
tap houses water
with water
Dependency Low High
ratio
Literacy High Low
rate
Adult High Low
literacy rate
Calorie High Low
intake
Daily food High Low
intake
Fig.2

SOCIAL INDICATORS ECONOMIC INDICATORS POLITICAL INDICATORS
Infant Mortality Rate Gross National Product per Capita Number of political parties in a
country
Life expectancy Gross Domestic Product Percentage of people who vote
during elections
Adult literacy rate Gross National Product Freedom of expression
Number of people per doctor Energy Consumption per Capita Percentage of women in
managerial positions
Number of pupils per teacher Number of people employed in Number of wrongful imprisonment
agriculture
Birth rate Employment rate
Death rate Manufacturing production
Fig.3
SOCIAL INDICATORS OF DEVELOPMENT
1. INFANT MORTALITY RATE
What is infant mortality rate?
- Infant mortality rate number of babies who die before their first birthday per thousand per year in a
country.
- Infant mortality rate is the percentage of babies who die before their first birthday in a country
THE REASONS WHY DEVELOPING COUNTRIES HAVE A HIGH INFANT MORTALITY RATE
- Developing countries have high doctor patient ratio/ inadequate access to health care because there are few
trained doctors and nurses.
- There is poor nutrition in developing countries leading to such health conditions as kwashiorkor
- In developing infant mortality rate is caused by teenage pregnancy which may lead to delivery
complications.
- Infant mortality rate is caused by pandemic diseases such HIV/AIDS because some of the babies are born
with the virus.
- The reason why developing countries have high infant mortality rate is Poor sanitation / unhygienic
conditions
- Developing countries have high infant mortality rate because of poor care / parent negligence
2. LIFE EXPECTANCY
What is life expectancy?
- Life expectancy is the average number of years a person is likely to live in a country.
What is life expectancy at birth?
- Life expectancy is the average number of years a new born baby is likely to live in a country.

THE REASONS WHY LESS DEVELOPED/ DEVELOPING /THIRD WORLD COUNTRIES
HAVE HIGHER INFANT MORTALITY RATE
- The reason why developing countries have high infant mortality rate is that of shortage of health facilities
where health care can be provided by doctors and nurses.
- High infant mortality rate in developing countries is caused by widespread of diseases and epidemics, for
example, cholera, malaria and HIV/AIDS.
- Developing countries have high infant mortality rate because of poor nutrition which may lead to
kwarshikor due to high unemployment rate or poor farming methods.
- High infant mortality rate in developing countries is caused by poor sanitation and hygiene.
- Infant mortality rate is high in developing countries because of poverty which lead to low living standard.
THE REASONS WHY DEVELOPED COUNTRIES HAVE LOWER INFANT MORTALITY

RATE
- Developed countries have adequate health facilities where health care is provided by trained doctors and
nurses.
- Low infant mortality rate in developed countries is caused by immunisation programmes that help to
eradicate child killer diseases, for example, cholera, malaria and polio.
- Developed countries have low infant mortality rate because of adequate and balanced nutrition.
- Low infant mortality rate in developed countries is caused by good sanitation and hygiene.
- Infant mortality rate is low in developing countries because of high living standard.
THE REASONS WHY WORLD LIFE EXPECTANCY IS RISING
- The life expectancy is rising in the world because cleaner water supplies to prevent waterborne diseases
such as cholera.
- The governments of the world provide better sanitation to their citizens to improve hygiene.
- The world life expectancy is rising due to provision better health care whereby there is enough trained
medical personnel such as doctors and nurses.
- Countries provide primary health care to citizens which focuses on the prevention of diseases and giving
assistance to the sick, for example, provision of clean water, health education and immunisation
programme.
- In the world some of the countries provide citizens with better nutrition for example, in Botswana children
are given supplementary feeding such as Tsabana.
3. CALORIE INTAKE
What is calorie intake?
- Calorie intake is the energy value of the food eaten in a country.

THE REASONS FOR LOW CALORIE INTAKE IN DEVELOPING COUNTRIES
- The reason for low calorie intake in developing countries is that there is high unemployment so less
money to buy food
- There is lack of purchasable food in some areas
- Developing countries have quality and quantity food shortage because of drought
- The high illiteracy rate in developing countries lead to inability to determine food quality
- Developing countries have low calorie intake because of low productivity in agriculture.
- Low calorie intake in developing countries is caused by drought and famines.
- Developing countries have low calorie intake due to wars and political instability.
THE REASONS FOR HIGH CALORIE INTAKE IN DEVELOPED COUNTRIES
- Developed countries have high calorie intake because of high income because most of the people are
employed.
- High calorie intake in developed countries is caused by surplus food production.
- Developed countries have high calorie intake due to high levels of education.
- Calorie intake is high in developed countries because of the use of advanced technology to produce
food.
4. LITERACY RATE
Define literacy rate
- The percentage of the population / average number of people who are able to read and write in a
country.
What is the importance of literacy to development?
- The importance of literacy to development is that when people are able to read and write they are able
to learn / acquire new skills easily
- They can better participate in decision making and national campaigns e.g. elections, immunisation
programmes
- They can read and understand environmental issues/conservation better
- Reduces dependency on those who are literate and promotes privacy e.g. reading own letters or mail
- Literate mothers can access information on childcare leading to better hygiene and lower IMR
- Improved nutrition when the mother is literate
- They can easily find out and fill themselves application forms e.g. at the post office, credit facilities
forms and can even write application letters for jobs etc.

5. ADULT LITERACY RATE
Define adult literacy rate
- Adult literacy rate is the percentage of people or number of people 18 years and above who can read
and write in a country.
Male literacy rate is higher in most countries than female literacy rate
THE REASONS FOR THE DIFFERENCE BETWEEN MALE AND FEMALE LITERACY RATES
- The reason for the difference between male and female literacy rate is that girls are denied the chance
to go to school and are expected to stay home and help their mothers
- The girls drop out of school because they marry or get pregnant which lead to the difference between
male and female literacy rate.
- Girls are neglected for cultural/traditional reasons
- It is believed a girl child has a smaller brain than their male counterpart (and this makes them less
intelligent) and so sending them to school is a waste of time and money
THE NEGATIVE EFFECTS LOW SCHOOL ENROLMENT CAN HAVE ON A COUNTRY’S

DEVELOPMENT
- The negative effect of low school enrolment can have on a country‟s development is low literacy rate
- The low school enrolment can have negative effect on a country‟s development because it can lead to
fewer skilled personnel
- Increase the gap between the educated rich & the uneducated poor
- The negative effect of low school enrolment may lead to fewer people will be involved in decision
making
- Low school enrolment may lead to high birth rates because of lack of knowledge on how to use
contraceptives.
- The negative effect of low school enrolment on country‟s development lead to High Infant Mortality
Rate or death rates because of lack of knowledge on how to take care of their babies.
THE CHALLENGES FACED BY DEVELOPING COUNTRIES IN TRYING TO IMPROVE THEIR

CITIZENS’ EDUCATION
- The challenge faced by developing countries in trying to improve their citizen‟s education is that they
have shortage of funds which lead to inadequate educational facilities.
- The challenges faced by developing countries in trying to improve their citizens‟ education is shortage
of trained personnel, for example, teachers.
- Developing countries inaccessible educational facilities because of shortage of funds, for example,
students have to walk long distances to access educational facilities.
- Uncooperative, unruly & bad behaved students
- Corruption and bribery
- Developing countries have high unemployment rate which makes parents to be unable to pay school
fees.

THE CAUSES OF HIGH SCHOOL DROPOUT RATES IN DEVELOPING COUNTRIES
- The cause of high school dropout rates in developing countries due to teenage pregnancy.
- Developing countries have high school dropout rates because domestic responsibilities e.g. looking
after livestock
- Poverty causes high school dropout rates in developing countries because of inability to pay school
fees by some parents
- In developing countries , there is high school dropout rates because of early marriage.
- Family disputes / divorce / lack of parental guidance
- High school dropout rates in developing countries is caused by diseases, for example, HIV/AIDS, TB,
etc. / accidents leading to disability
- Developing countries have high school dropout because of civil wars e.g. Ethiopia/Eritrea, Sudan etc.
- High school dropout in developing countries is caused by long distance to educational facilities or
school
6. BIRTH RATE/ POPULATION GROWTH RATE
What is birth rate / Population growth rate?
Birth rate is the number of babies per 1000 born in a year in a country.
Population growth rate is the speed at which the population grows in a year, and it is expressed in
percentages in a country.
DEVELOPING COUNTRIES HAVE HIGH BIRTH AND POPULATION GROWTH RATES

BECAUSE OF:
- Large family seen as a symbol of social prestige, for example, proves ones virility.
- Ignorance of the use of family planning and contraceptives.
- Low levels of education.
- Children are regarded as a source of social security
- Early marriages.
- Polygamy
- Desires for sons if girls are born first to continue family name because girls get married and change the
surname.
DEVELOPED COUNTRIES HAVE LOWER BIRTH AND POPULATION GROWTH RATE

BECAUSE OF:
- Widespread of use of contraceptives and also family planning is done.
- High levels of education.
- Social security as they have pension schemes in place.
- High standards of living that make a large family expensive to have.
- Banning of child labour.

EXPLAIN HOW SOCIAL INDICATORS ARE USED TO MEASURE DEVELOPMENT
- When infant mortality rate is low it means that development is high and when infant mortality rate is
high, it means that development is low.
- High literacy rate means that a country is developed whereas low literacy rate means that a country is
less developed or developing.
- High Birth Rate means that a country is less developed and a low Birth Rate means that a country is
developed.
- When there is a high doctor-patient ratio it means that the country is less developed and a low doctor-
patient ratio means that the country is developed.
- High life expectancy shows that the country is developed and a low life expectancy shows that the
country is less developed.
- High calorie intake shows that a country is developed whereas a low calorie intake shows that a
country is less developed.

ECONOMIC INDICATORS OF DEVELOPMENT
1. GROSS NATIONAL PRODUCT
Define Gross National Product
- Gross National Product is the total value of goods and services that a country produces in one year
including earnings from abroad or outside the country.
Define GNP per capita
- GNP per capita is the proportion / share of a country‟s wealth each individual is entitled to if the country‟s
money is shared equally / evenly amongst the population
- GNP per capita is the total money value of goods and services produced within and outside the country
divided by the total population
THE ADVANTAGES OF GNP PER CAPITA
- GNP per capita is a standard measure, therefore, allows easy comparison between countries and years.
- The data on GNP per capita is available from the World Bank.
- GNP per capita highlights international wealth differences.
- GNP per capita is better than raw GNP measurement, which ignores the size of the population, or GDP,
which does not include investments abroad.
- GNP per capita helps to estimate productivity capacity of country‟s economy.
THE DISADVANTAGES OF GNP PER CAPITA

The reasons why GNP per capita is not a good measure of development
- The reason why GNP per capita is not a good measure of development is that few people might own most
of the land, farms, shops, factories, etc. leaving the majority very poor i.e. it ignores the difference between
the rich and the poor within the country
- GNP per capita ignores the informal sector and illicit trades; economists only count goods and services
marketed openly and recorded by government.
- Production/income statistics may be inaccurate / concealing of actual earnings to avert tax or Business
officials hiding information
- Population statistics may be inaccurate and/or outdated
- There is official biasness of statistics to score a political mileage

- GNP per capita assumes that everyone is working and benefiting from the economy and ignores the quality
of life, social & environmental consequences of wealth/ignores happiness
THE REASONS WHY COUNTRIES OF THE NORTH/DEVELOPED COUNTRIES HAVE A HIGHER

GNP THAN THOSE OF THE SOUTH/DEVELOPING COUNTRIES
- The countries of the North have mass production due to use of complex and many industries whereas
countries of the South have low production because of use of simple technology and few industries.
- Countries of the North export a lot of high value / expensive goods & services while countries of the South
export low value goods and services.
- The reason why countries of the North have high GNP is because they price the commodities themselves
while the prices of raw materials from the countries of the South are determined by the North.

- The countries of the North have favourable terms of trade whereas countries of the South have
unfavourable conditions of trade because are determined by the countries of the North.
- Most Multi National Companies originate from countries of the North and operate in other countries which
lead profit repatriation
- Countries of the North earn a lot of interest from loans to the developing countries.
2. ENERGY USE/ ENERGY CONSUMPTION
Define Energy use/ Energy consumption
Energy consumption is the average amount of kilograms of oil, gas, electricity or wood that utilized by each
person in a country.
- Developed countries use large quantities of energy while Developing countries use small quantities.
- Developed countries use a lot of energy because they have a lot of industries, machines, vehicles and
gadgets that use electricity and have large urban areas.
- Developing countries use smaller quantities of energy because there have very few industries, vehicles and
machines. Most work is done manually.
3. EMPLOYMENT
In developed countries there are a lot of employment opportunities in:

- Large industrial sector
- Large commercial service sector
- Quarternary sector
In developing countries employment is very low because of

- Small industrial sector
- Small commercial sector
- Dependence on subsistence agriculture.
4. TRADE
Developed countries are dependent on exporting manufactured or finished products.

Developing countries are dependent on exports of raw materials.
POLITICAL INDICATORS OF DEVELOPMENT
HUMAN RIGHTS: These are things or conditions that every person is entitled to have and they are part of the
constitution of every country.
Respect for human rights marks a high level of development for any country.
Conditions that fulfil human rights include the following:
- Regular free and fair elections
- Freedom of speech or opinion
- Right to education
- Freedom of association and worship
- Impartial/ fair justice
- Law and order
- Peace and security
- Equal opportunities in all spheres of life.
However if these conditions are not met, there is bound to be discrimination

THEORIES OF DEVELOPMENT
A theory is a set of ideas offering explanation about something.

Theories of development are ideas from such disciplines as economics, politics and sociology that attempt to
explain how the world can be developed.
Different views have been brought forward, these include:
 Modernisation theory
 Dependency theory
 Sustainable Development theory
 Environmentalism and sustainable development theory
 Populism
 Globalisation
 Gender and Development
Fig.5
MODERNISATION THEORY
Modernisation theory is a set of ideas that states that for developing countries to advance, they should copy
development pattern that was taken by the developed countries.
It is also referred to as the „Stages of Growth theory’.
The theory suggests that a country goes through the following stages of development.
Stage 1: Traditional society stage depends on subsistence agriculture.

 Technology is still simple or rudimentary.
 People live a simple life, therefore low standard of living.
 In traditional society, people practice barter trading.
 Traditional societies have few towns
Stage 2: Pre-Conditions for takeoff is when there is improvement of transport network, for example, roads,
canals and railways.
 Agriculture revolution, for example, changes from subsistence to commercial farming.
 In Pre-Conditions for takeoff stage, there is introduction of fertilizers, hybrids and pesticides.
 Specialisation of work begins.
 Improved technology that raises productivity.
 Urbanisation starts.
Stage 3: Take-off is when industry stimulates city growth.

 There is rapid urbanisation in take-off stage.
 Investment in capital goods rises and quickens economic growth.
 In take-off stage, some people become rich.

Stage 4: Drive to Maturity is when there is rapid increase in manufacturing and service industries, have more
exports and fewer imports.
 More people dependent on paid employment and wages generally improve.
 Agriculture now fully mechanized with very few people engaged in it, more people in industries.
 Demand for consumer goods increases.
Stage 5: The Age of High Consumption is when there is high production of consumer goods.
 Large services sector that employs the majority of the people.
 High standards of living as wages are good for most people.
POLICY IMPLICATIONS/ PRINCIPLES
Policies that should be implemented:

 There should be investment in industry and infrastructure.
 Apply or borrow ideas from the Capitalist countries of the North.
 There should be emphasis on the importance of education and training.
 People should give up their traditional habits and experiment with new ideas.
 There should be change from subsistence agriculture to commercial agriculture.
 New production technologies should be introduced.
 There should be specialisation in production.
 Urbanisation should take place.
 There should be industrialisation.
 People should be patient enough to accept less income until the economy of the country has grown.
THE STRENGTHS/ ADVANTAGES OF MODERNISATION THEORY
 Modernisation theory shows the importance of capital investment as a fuel for economic development.
 Modernisation theory lays emphasis on the need for change in the attitudes and ways of life of people.
 Modernisation theory stresses the need to work hard for little money, for example, working for low
wages so as to enjoy full benefits later.
 Modernisation theory recognises that change can be unpleasant and that certain groups will suffer in
the process.
THE WEAKNESSES/ DISADVANTAGES OF MODERNISATION THEORY
 Modernisation theory neglects political and social development.

 Modernisation theory ignores the fact developing countries are affected by circumstances beyond their
control that are deterrent to development, for example, natural disasters.
 Modernisation theory neglects the fact that some people value their cultural practices too much to
relinquish them.
 Modernisation theory also ignores the fact that developing countries lack cheap sources of raw
materials that developed countries got from their former colonies.
 Capitalism is not the only way to achieve development, USSR and China developed under the Socialist
mode of production.
 Developing countries are unable to follow the pattern of development because developed countries
control their economies and determine trade terms.
 Globalisation, Multi National Companies, free trade all make it difficult for developing countries to
develop.
 There is an unfair international trading term that favours the developed countries at the expense of the
developing countries, the trade terms are set or determined by the developed countries.
 In many countries the wealth has never trickled down.
 In some countries industrialisation is slow with the economy trapped by dependence on producing
primary products.

DESCRIBE THE STAGES OF THE MODERNISATION THEORY
-The traditional society is where people practise barter system and subsistence farming. The people make simple
crafts. The people also experience low standards of living.
-The Preconditions for take-off stage is where new technology arises. The people start to practise commercial
farming. The specialisation increases in this stage. In this stage urbanisation starts to happen. The people start to
use hybrid seeds and fertilizers.
-The take-off stage is when there is investment in capital goods. There is also growth of cities in the take-off
stage. Some people become rich. In take-off stage there is rapid urbanisation.
-The Drive to maturity/ maturity stage is where manufacturing dominates the economy. There are more exports
than imports in drive to maturity stage. The wages increase as most people get employed. The demand for
consumer goods increases
-The age of high consumption/ high mass consumption stage is where service industries and consumer goods
dominate the economy. The wages are high for many people. Many people experience high living standards.
DESCRIBE THE BENEFITS TO THE PEOPLE OF A COUNTRY WHERE MODERNISATION HAS

TAKEN PLACE.
-The benefit to the people of a country where modernisation has taken place is that they will be technological
development or people will start to use modern technology.
-In a country were modernisation has taken place there will be infrastructural development, for example, tarred
roads, hospitals and schools.
-The benefit to the people of a country where modernisation has taken place is having human resource
development/ skilled manpower/ high literacy rate because the modernisation theory emphasis training and
education.
-The country were modernisation has taken place people will have improved standard of living.
-In a country were modernisation has taken place they will be improved service delivery through research and
development.
-The benefit to the people of a country where modernisation has taken place is availability of affordable goods.
-They will be wealth creation in a country where modernisation has taken place.
-They will be employment creation in a country where modernisation has taken place.

DEPENDENCY THEORY
Define dependency theory
Dependency is a set of ideas that argue that the South was unable to copy and adopt the North‟s path of
industrialisation because the North exploited the South‟s resources to enhance their economy and kept the South
poor
- Dependency theory is a set of ideas that states that in order to advance, developing countries should
rely less on developed ones.
- It argues that less developed countries became economically reliant on the North and thus the North
became industrialised at the expense of the South who remained underdeveloped
Dependency was developed in the 1960‟s to try and explain why developing countries were failing to develop.
Europe and North America became rich and developed through exploiting the poor countries during
colonialism.
They exploited resources of developing countries and neglected their economies by not developing any
industries or infrastructure.
Exploitation is still continuing today in the form of Neo-Colonialism, that is the control of the economies of
developing countries through;
 Trans National Corporations or Multi National Companies

 International loans (the debt trap)
 Foreign Aid Control
 International trade
Dependency theorists argue that developing countries would be better off if they break off economic relations
with the developed countries and develop on their own.
 The Countries of the South/ developing countries should cut economic links with Countries of the
North/ developed countries.
 Developing countries should reduce spending on consumer goods but spend more on capital goods, for
example, machinery.
 Countries of the South should save and invest locally instead of borrowing.
 Local inventions should be encouraged, for example, development of local technology.
 Developing countries should become self-sufficient reliant.
 Dependency theory encourages people to be patient and sacrifice for a better future.
THE STRENGTHS/ ADVANTAGES OF DEPENDENCY THEORY
 It focuses on all aspects of development which are social, political, economic and environmental
development.
 Dependency theory acknowledges the inter-linkage of countries globally.
 Dependency theory explains the crippling effect of colonialism.
 Dependency theory emphasis the need for self reliance in capital and technology.
THE WEAKNESSES /DISADVANTAGES OF DEPENDENCY THEORY

 It ignores the fact that the South lacks investment capital that would make cutting links difficult.
 Dependency theory also ignores the fact that the developing countries would lose the benefits of
international trade if it cuts links with the Countries of the North.
 Producing for the local market may result in the inefficient use of resources.
 It neglects the fact that most people in the South aspire to the lifestyle of the people of the Countries of
the North, and may likely object when asked to stop importing products from Countries of the North.

 Most developing countries lack the capacity to develop the industrial technology own their own.
 Governments will face a lot of opposition if they stop importing western goods, for example,
television and cars.
 Some countries which have links with the Countries of the North developed successfully without
cutting links with the Countries of the North, for example, Cuba and Tanzania.
SUGGEST THREE WAYS IN WHICH DEVELOPING COUNTRIES CAN USE THE DEPENDENCY
THEORY TO DEVELOP.
-The way in which developing countries can use dependency theory to develop is by breaking off all links with
the West and become self -reliant.
-Developed countries can use dependency theory to develop by avoid borrowing from outside but save and
invest within the country.
-The way in which developing countries can use dependency theory to develop is by spending less on consumer
goods.
-Developed countries can use dependency theory to develop by using appropriate technology and make its own
industries or encourage local inventions.
-The way in which developing countries can use dependency theory to develop by encouraging its people to
exercise patience, work hard and shun modern lifestyles.
SUSTAINABLE DEVELOPMENT THEORY
Define Sustainable Development:
- Sustainable Development is the wise use of resources by the present generation to meet its needs
without jeopardizing the ability of future generations to meet their needs
- Sustainable Development is the wise use of resources by the present generation to meet its needs so
that future generations could also meet their needs .
Sustainable Development was developed in the 1970‟s as a response to the damage to the environment by
the developed countries, for example, pollution, depletion of species and resources, soil erosion,
desertification and rapidly rising global population.
There was also concern with the unequal sharing of the world‟s resources, for example, 80% are consumed
by the developed countries and 20% by developing countries.
It calls for both equitable sharing and the caring for the environment.
- There should be conservation of the environment.

- Population growth should be stabilized, for example, contraceptive use and family planning.
- World agreements on environmental issues should be set up.
- There should be equitable distribution of resources of the world.
- Use of appropriate technology to conserve resources and limit pollution.
- Recycling and reuse to prevent depletion.
THE STRENGTHS/ ADVANTAGES OF SUSTAINABLE DEVELOPMENT THEORY
 Sustainable Development encourages one to think about conservation, which is a good thing.
 It highlights the dangers facing the globe, such as pollution.
 Sustainable Development makes people aware that they have the common problems.
 Makes the world realize the need for cooperation in solving environmental problem.
 It alerts the world to the unfair distribution of the global resources.

THE WEAKNESSES/ DISADVANTAGES OF SUSTAINABLE DEVELOPMENT THEORY
 Sustainable development ignores the possibility of the discovery of new sources of resources.
 It dispels the possibility of a development of new technologies which will help increase food supply,
reduce pollution, and substitutes for minerals that pollute the environment, for example, solar energy
for wood and coal.
 Sustainable development neglects a possibility of people and government joining hands to find ways of
equitable distribution of resources.
THE WAYS OF ACHIEVING SUSTAINABLE DEVELOPMENT IN A COUNTRY
- Stock piling of minerals / preservation until prices in the world market has improved.
- Introduction of Legislation / seasonal hunting / quotas / hunting licenses / National Parks & Game
Reserves / Anti-poaching laws to prevent extinction of natural resources.
- Stabilising population growth e.g. planning for small families, birth control, practicing population
control, giving incentives to small families or penalize for large families
- Conservation measures; tree planting, recycling, re-use, reduce, refuse, clean-up, limited use of
resources, good farming methods, Wildlife Management Areas
- Education on resource use
- Use of synthetic products
- Finding alternative energy sources, for example, the use of solar energy instead of coal which causes
air pollution.
ALTERNATIVE STRATEGIES FOR DEVELOPMENT
GENDER DEVELOPMENT
There has been a realisation that women, despite being the majority population, have been excluded from most
areas such as:
Political rights, there are few women in leadership positions.
Legal rights, no laws protecting women against oppression or abuse.
Access to education and training, most girls are uneducated because they are regarded as being less
important.
Access to property, most societies prohibit women from owning property, for example, land and
livestock.
The unequal treatment at the work place, women are given low paying jobs even if they have the
same qualifications as men, for example, managerial positions are held by men mostly.
GENDER EQUALITY IN DEVELOPMENT
The move to include women in development started in the 1970‟s and 1980‟s as a result of the pressure from
human and women‟s rights groups.
There was a realisation that sidelining women and serious implications.
THE PROBLEMS OF SIDELINING WOMEN
- More than half of the human resources are underutilized.

- Large population families because women are ignorant of birth control because of being illiterate.
- Poor health for families and consequently an unhealthy nation.
- Less skilled manpower.
- Fewer enterprises since women have less access to credit.

POLICIES THAT WILL ALLOW WOMEN TO PARTICIPATE IN DEVELOPMENT
- Giving women full access to credit capital.

- Giving women property rights.
- Giving women access to education, for example, universal education (compulsory and free).
- Affirmative action for women ,that is programmes that deliberately accelerates the promotion of
women over men in education, politics, business and the workplace.
- Promoting women‟s organisations that fight for their rights, for example, Emang Basadi and
Metlhaetsile.
- Including gender studies in the school curriculum to remove prejudice among the young population.
- Legislation ,passing laws that gives equal rights to both men and women.
GLOBALISATION
Globalisation is a set of ideas that emphasis that all people of the world should become once nation in order to
bring democracy as a way of maintaining peace and stability.
Globalisation is the integration of the world‟s economic, social and political systems into one entity.
It involves interaction and interdependence of all the countries in the world- The Global village.
Globalisation came about after the collapse of the Communist bloc in the 1980‟s. capitalism became the
dominant political and economic system.
- Organisations for economic cooperation for both developed and developing nations must implement -
mutually agreeable and sustainable policies to reinforce macro-economic structures.
- Infrastructure should be improved in developing countries.
- There should be fostering of good governance and participatory democracy.
- Policy makers in developing countries should facilitate the dissemination and application of
technological knowledge.
THE STRENGTHS/ ADVANTAGES OF GLOBALISATION
There will be emergence of more democratic system in the world.

More economic opportunities will be developed, especially for developing countries.
THE WEAKNESSES/ DISADVANTAGES OF GLOBALISATION
Globalisation may perpetuate domination of the world trade by the developed nations.
The regional blocks that already exist run against the concept of free trade.
THE DEVELOPMENT THAT SHOW THE GROWTH OF A GLOBAL VILLAGE
- The emergence of satellite and high-tech global information systems, for example, DSTV and internet.
- Globalised patterns of consumerism, for example, consumer rights movements.
- Growing appeal for a universalized wealthy „cosmopolitan life style‟.
- Nation‟s participation in world sport such as Miss World and FIFA World Cup.
- Relative decline of the Soviet Block, and other blocks.
- The growth of regional and international agencies and organisations.
- Emergence of Human Rights Protection Organisations, for example, Ditshwanelo.

THE ELEMENTS/ CHARACTERISTICS OF GLOBALISATION
- Globalisation improves technology and production, for example, use of automated machines,
information technology and technology transfers to the developing countries.
- Globalisation integrated global communication network, for example, satellite, radio, television and
radio networks, the internet and global media publication such as newspapers and magazines.
- Globalisations lead to trade liberation which is the removal of trade barriers to facilitate the free
movement of goods and services across international boarders.
- Globalisation leads to the rise of Trans-National Corporations, Global business empires with
subsidiaries all over. They are far much more powerful economically than national governments.
- Globalisation caused decline of sovereign state, independent nation states will cease to exist and to be
replaced by regional and international economic groupings, for example, European Union.
THE PROBLEM CREATED BY GLOBALISATION
- Increase in poverty and inequalities between the developed and developing countries.
- Globalisation leads to concentration of capital and wealth in the developed countries.
- It lead to emergence of Trans-National Corporations that are difficult to control and monitor.
- Globalisation caused marginalization of the developed countries from the global village because they
lack capital, technology, skills and have weak economies that are unable to compete.
- Globalisation cause environmental degradation by Trans-National Corporation.
THE GLOBALISATION CHALLENGES FOR AFRICA
 Education and training to produce competitive people who can work anywhere in the world.
 Regional integration and continental Union to enable African economies to compete on the
international market.
 Controlling the repatriation of profits by Trans-National Corporations.
 Controlling the brain drain, for example, the flight of skilled and professional labour to the developed
countries.
 Globalisation leads to shifting from primary production to secondary production.
 Globalisation leads to controlling the HIV/AIDS pandemic.
 Globalisation builds a stable political climate in order to be able to attract investment.
 Changing the African mindset from consumerism to saving, investment and production.
 Respect for human rights and upholding their dignity and pride.

Describe the challenges faced by Africa/ the countries of the South as a result of globalisation
Ideas such as:

-The challenge faced by the countries of the South as a result of globalisation is that of development of
international crime syndicates or terrorism.
-The countries of the South are faced with the challenge of increase of brain drain as a result of globalisation
because most of skilled people in developed countries prefer working in developed countries.
-The challenge faced by the countries of the South as a result of globalisation is that of the dominance or control
of the economy by the Multi-National Companies taking profit away to their countries of origin.
-The countries of the South are faced with the challenge of lack of funds to educate and train people to compete
for jobs locally or have high illiteracy rate.
-The challenge faced by the countries of the South as a result of globalisation is that of HIV and AIDS killing
their skilled manpower.
-The countries of the South are faced with the challenge of having weak economies which fail to compete in a
globalised world because of dependence on exporting raw materials instead of finished goods.
-The countries of the South are faced with the challenge of loss of sovereignty as a result of globalisation.
- The challenge faced by the countries of the South as a result of globalisation is that of loss of culture.
- The challenge faced by the countries of the South as a result of globalisation is that of difficult to accept
change.
(ii) Suggest ways through which globalisation encourages development of all countries.
Ideas such as:
-The way through which globalisation encourages development of all countries is by transfer of technology from
developed countries to less developed countries, for example, automated machines. /Improvement of
technology/ from simple technology to complex technology, for example automated machines.
-The way by which globalisation is used to develop the world is through introduction of global communication
networks, for example, internet and televisions.
-The way through which globalisation encourages development is by trade liberalisation or promote foreign
exchange.
-The way by which globalisation is used to develop the world is through international policing/ Interpol/
peaceful interventions.
-The way through which globalisation encourages development is by increase of Trans-National Companies.
-The way by which globalisation is used to develop the world is through formation of regional and international
groupings such as European Union and African Union.
-The way by which globalisation is used to develop the world is through the promotion of democracy.
-The way by which globalisation is used to develop the world is through the free movement of labour.
-The way by which globalisation is used to develop the world is through the encouragement of investment or
saving.

POPULISM
Populism is a set of ideas that emphasizes that people should be agents of their own development.
They should deal with their problems on an individual level.

They should deal with their problems via local non-governmental and voluntary organisations.
The theory recognizes three sets of problems as obstructing human development:
 Concentration of power within government bureaucracies and large private sector firms and
organisation.
 The tendency to evoke narrow economic and technical criteria and procedures as a basis for their
decisions and general operations.
 Exclusive mechanisms working through the state and the market marginalize the vast majority of poor
people from political and economic life.
Populism also opposes large –scale industrialisation and, instead, supports smaller scale and community-
oriented ventures in industry and agriculture.

CHECK YOUR PROGRESS
1.Study Fig 1, which shows population statistics for selected African countries and answer question 1(a)
Fig1
(a)(i) Describe the causes of high infant mortality rate in developing countries.
(ii) Describe the ways in which the government is trying to reduce the infant mortality rate in Botswana.
2. Study Fig. 2 which shows some indicators to measure development.
Fig.2

(a)(i) Explain how each indicator shown in Fig.1 is used to measure development.
(ii) State the disadvantage of using GNP per capita to measure development.
(b)(i) Explain how any three political indicators can be used to measure development.
(ii) Explain why political development is difficult to measure.
3.Fig. 3 shows a list of countries and their indicators of development. Use it to answer question 1(a)
Fig.3
(a)(i) Using Fig. 3 only, describe three economic characteristics of developed countries.
(ii) Explain why there are differences in the levels of development between developed and developing countries.
5. Study Fig. 4, which shows some theories of development.
Fig.4
(a)(i) Describe the stages of the Modernisation theory.
(ii) Describe the benefits to the people of a country where modernisation has taken place.
(b)(i) Describe the factors that slow down development in the developing countries.
(ii) Explain how social indicators are used to measure development.

5.Study Fig. 5, which shows the Newly Industrialised Countries (NICs), and answer questions (a)(i) and (ii).
Fig.5
(a)(i) Describe the location of the Newly Industrialised Countries.
(ii) Explain the challenges which are faced by the Newly Industrialised Countries.
6.Study Fig. 6, which shows the division of the world into countries of the North and countries of the South.
Fig.6
(a)(i) Describe the geographical locations of the countries of the South.
(ii) Describe the economic characteristics of the countries of the North.
(b)(i) Describe the challenges faced by the countries of the South as a result of globalisation.
(ii) Suggest ways through which globalisation encourages development of all countries.

MODULE 2: PRODUCTION, CONSUMPTION AND INVESTMENT

Production Explain the concept and the - Explain the concept of production;
process of production - Discuss the need for production including basic
needs, needs, wants (material and non-material),
choice, scarcity and opportunity costs;
- Discuss production in hunting and gathering
societies;
- Identify and define the factors of production;
- Discuss land ownership and problems related to
utilisation and ownership;
- Explain the various forms of capital such as finace,
machinery and technology;
- Discuss ways of raising capital;
- Discuss labour and capital intensive modes of
production
- Discuss the determinant factors for appropriate
technology;
- Evaluate progress in the development of relevant
technology in Botswana including efforts by Rural
Industries Innovation Centre and Botswana
Technology Centre;
- Discuss specialisation and division of labour;
- Describe different types of labour including
specialised, skilled, semi-skilled and unskilled;
- Discuss conditions which either or promote labour
efficiency;
- Assess how far local conditions facilitate or militate
against labour efficiency;
- Explain entrepreneurship;
- Describe the role played by an entrepreneur in the
process of production;
- Discuss economic production systems;
- Suggest and justify an alternative production system
for Botswana‟s economy.
Enterprise Demonstrate an - Explain enterprise;

understanding of the role of - Discuss the characteristics of sole proprietors,
enterprise in the process of private companies, parastatals, joint venture,
production. partnerships and co-operatives;
- Discuss privatisation of parastatals, citizen
empowerment, localisation, women and property
ownership strategies for development;
- Evaluate the role and development of the primary,
secondary, tertiary and quaternary sectors of
production in developing countries with specific
reference to Botswana.
Consumption Develop an understanding - Explain consumption;
and investment and appreciate consumption - Describe the relationship between consumption and
and investment in Botswana production, supply and demand, consumption,
savings and investment;
- Discuss the benefits and risks of investment;
- Discuss foreign reserves as a form of investment;
- Evaluate the promotion of a culture of investment in
Botswana‟s economy.

PRODUCTION
SPECIFIC OBJECTIVE: Learners should be able to explain the concept of production
- Production is a process whereby natural resources are transformed or changed into more useful
goods/commodities to satisfy human needs and wants.
- Production is any economic activity that satisfies human needs and wants
- Production is any process whereby natural resources and human effort are used to provide goods and
services to satisfy human needs and wants.
- Production is the making of goods and provision of services in order to satisfy human needs and wants.
Goods are physical products that can be seen or touched, for example, bread, sugar, books and furniture.
Services are non-tangible activities that meet people‟s needs and wants(intangible or invisible). For example:
 Trading which is buying and selling of goods.
 Teaching which is imparting of knowledge to children by teachers.
 Nursing which is medical care given to ill people at hospitals by health workers.
 Insurance is the industry that protects society and businesses from unforeseen risks.
 Transportation is the carrying of people, goods and services.
SPECIFIC OBJECTIVE: The learner should be able to discuss the need for production including basic
needs, needs, wants (material and non-material), choice, scarcity and opportunity costs
THE NEED FOR PRODUCTION
In order to develop we have to satisfy our basic needs and wants to start the process of economic growth.
To satisfy our needs and wants, we produce and exchange goods.
Development emphasizes satisfaction of people‟s needs and the production process ensures that goods and
services are made to satisfy basic needs first and wants later.
Development requires money for it to take place and this money is generated by production activities such as
mining, industry and agriculture.
Production creates wealth to fuel the development process.
The higher the level of production the higher the level of development
NEEDS
Needs are items that are essential for human beings to survive.
Needs are items without which human beings will be unable to survive.
They can be divided into material and non-material needs.
MATERIAL NEEDS
Material needs are tangible, for example, they can be seen or touched.
They are usually referred to as basic needs.
They are four basic or material needs:
(a) Food which is essential for providing energy.
(b) Clothes which are important for providing warmth.
(c) Shelter provides protection from harsh weather conditions, for example, cold, sun and winds.
(d) Clean and safe water which is important for excretion of waste from the body or prevention of
diseases.

NON-MATERIAL NEEDS
Non-material needs are services that we require for survival, they are intangible and invisible. For example,
love, security, education, health care and human rights.
WANTS
Wants are items that make human lives easier and more comfortable.
Wants are inessential for human survival that man can do without them.
Human societies only produce wants after meeting their basic needs.
Societies have to produce surplus for it to be able to have wants, for example, if excess food is produced it can
be exchanged for jewellery.
Examples of wants
(i) Non-material wants, entertainment, banking and electricity.
(ii) Material wants, jewellery, expensive/flashy clothes, mansion/big house, cars and furniture.
SCARCITY, CHOICE AND OPPORTUNITY COST
SCARCITY
In order for production to occur resources have to be used.
Resources can be in any of the following forms.
 Human resources which is knowledge, expertise and skills provided by people.

 Economic resources which is capital in the form of machines and finance (money).
 Natural resources which are items provided by nature that people can utilize for their own good, for
example, soil, water, vegetation and minerals.
- People‟s needs and wants are unlimited (infinite). Therefore if resources were in abundance people
would produce more goods and services to satisfy their needs and wants.
- Resources are, however, limited (finite) and insufficient to satisfy all people‟s needs and wants.
- The inadequacy of resources is what is called scarcity. This means that some people in a society will
be able to meet their basic needs and wants and enjoy high standards of living while others will remain
poor.
- Scarcity of resources differs from society to society since this is dependent on the level of
development, for example:
(a) Simple traditional societies: People mostly concerned with acquiring basic needs hence low levels of
scarcity, for example Basarwa become satisfied once they have killed an animal for their food.
(b) Modern societies: they have higher level of scarcity since they have many and diverse needs and
wants which are difficult to fully satisfy. For example, after a person meets the basic needs there are so
many luxuries that one desires which are usually difficult to satisfy, for example, car, furniture and
holiday.
CHOICE
- Given the scarcity or insufficiency of resources, people are unable to have all things they desire. People
are, therefore, forced to choose what to spend the available resources on. For example, people have to
decide on whether to spend on needs or wants if their income is limited.
- A country or the government also has to make similar choices on how to best use the limited resources.
For example, whether to spend money on industrial development or social development, for example,
education and health; use land for agriculture or wildlife conservation; education or military
expenditure.
- All these choices, made by people and government, will affect the way in which a country uses its
resources and therefore they will determine what is produced.

OPPORTUNITY COSTS
 Whenever resources are committed to the production of one item, then the society must forego the
outputs of other items that could have been produced but have been forfeited or sacrificed because of
the choice made.
 This means opportunity cost is the act of choosing one item over the other as a result of scarcity of
resources. For example:
(i) If a student chooses to use his/her own free time to study for an examination, he/she sacrifices
watching television and other forms of entertainment. The entertainment is sacrificed in order to
study and obtain a good grade.
(ii) If a country chooses to use more money on buying weapons then other services are neglected.
The importance of opportunity cost
 It helps people to make the right choices or decisions as it helps them to focus on the real or true cost
using resources.
 For example, production may mean loss of a clean environment if it causes pollution like at Selibe-
Phikwe. So the loss of a clean environment is part of the cost of production that may be ignored if the
opportunity cost of production is neglected.
THE PRODUCTION IN HUNTING AND GATHERING SOCIETIES
SPECIFIC OBJECTIVE: The learner should be able to discuss production in hunting and gathering
societies.
 Hunting and gathering societies are the earliest forms of human societies.
 They depended on products of the local environment that is the wild animals, vegetation and water.
 They hunted wild animals, collected insects and gathered wild plants and fruits. For example, the
Basarwa of the Kgalagadi desert.
 Hunter –gatherers are nomadic or wanderers, that is, they move from place to place without any
permanent homes.
Production Activities:
 Gathering was done mostly by women and children. Gather water bearing plants like the tsama melon
and makatane, nuts fruits, edible roots and tubers and morama beans.
 Hunting was done mostly by men. Hunting big and small game, for example, eland, kudu, hares, duiker
and so on. They used simple weapons like bows and poisoned arrows, clubs. They also used traps, for
example, pit traps and snares. Mostly hunted as individuals or in groups or communal hunting.
 Animal products: meat for food; skins for clothing; bones to make tools, for example, knives; bladders
used to make containers.
Labour:
 Labour is provided by clan members in the group.
 Division of labour was done according to gender, for example, men hunted while women gathered.
 The work was mostly devoted to production to basic needs. No luxuries or surplus.

Land:
 The land is communally owned by the group.
 They had specific hunting territories.
 All resources belonged to the group.
Capital:
 They owned little capital because they were unable to produce surplus.
 Possessions consisted of weapons, clothes and containers.
 Shelter was temporary because of a nomadic lifestyle.
Entrepreneurship:
 They used knowledge handed down from generation to generation, for example, hunting skills; poison
from plants and animals; animal behaviour and tracking.
 Low level of production because of simple technology and dependence on basic needs.
THE CHANGES IN THE LIFESTYLE OF HUNTING AND GATHERING SOCIETIES IN

BOTSWANA –i.e The Basarwa
The Basarwa are now abandoning the nomadic and hunting and gathering way of life for a more settled life
because of a number of factors;
 Provision of water by government, for example, boreholes.
 Encroachment of pastoral farming into wildlife areas.
 Overgrazing that has depleted edible plants.
 Construction of cordon fences that has disrupted migratory routes of wild animals.
 Increased population that has reduced the land available for a nomadic life.
 Government resettlement programmes like Remote Areas Dwellers (R.A.D)
 Increasing levels of education amongst the Basarwa.
 Anti-poaching laws that prevent Basarwa from hunting.

FACTORS OF PRODUCTION
SPECIFIC OBJECTIVE :Identify and define the factors of production
- There are four factors of production namely, Land, Labour, Capital and Entrepreneurship.
Fig.1
- Each of the factors has to be present if production is to take place.
FACTORS OF PRODUCTION (DEFINED)
- Land: refers to the whole of the earth‟s surface together with all natural resources found on it
- Labour: refers to the human effort, both physical and mental, that is directed towards the production of
goods and provision of services or work done by people to produce goods and services
- Capital: refers to the things people use to produce goods and provide services , for example, tools,
machinery, factories and money saved up and used to buy such things
- Enterprise: The organization or management of land, labour and capital in the production process with the
intention of making profit.
THE WAYS BY WHICH ONE OF THE FACTORS OF PRODUCTION CAN AFFECT THE
PRODUCTION PROCESS
Land:
- If land is unfertile crop production will be low or poor pasture for livestock
- If there is shortage of water there will be poor harvest or poor pasture for livestock
- There has to be land to start a production process
Capital:
- Capital / money is needed to pay workers
- Capital is needed to buy machinery & tools
- We need capital goods to start a production process
Labour:
- There is need for workers to provide labour in the production process
- The labour has to be trained & motivated to be efficient / productive
- The labour needs to be managed and/or coordinated for optimum production

LAND OWNERSHIP
SPECIFIC OBJECTIVE: The learner should be able to discuss land ownership and problems related to
utilisation and ownership.
 Land or natural resources are owned or controlled in some way.
 Ownership and control of land resources is paramount in production because it determines who
produces and become wealthy.
 Land owners are usually rich while the landless are poor.
TYPES OF LAND OWNERSHIP
Fig.2
(a)Public/State ownership
 The land belongs to the government.
 Private ownership and selling or buying of land is prohibited.
 It can be leased out to individuals or companies for specific period of time.
 In communist countries like China, the land used to be all owned by the state, and individuals had the
right to use it.
 In other countries, parts of the land are owned by the government in countries like Botswana and South
Africa, for example, National Parks and Game Reserves, mining concessions.
(b)Communal ownership
 Land belongs to the whole community, usually the tribe or ethnic group.
 Everyone in society has access to land.
 The chief has the power to share out the land to individuals. In Botswana it is the responsibility of the
Land Board.
 Grazing lands are communally used.

Advantages Disadvantages
- Everyone in society has access to land - Land degradation may occur as no one
takes responsibility for looking after it, for
- The land is free example, deforestation, soil erosion.
- Having title deeds is prohibited.

- Land is allocated fairly because no one is
allowed to grab land.
- The user is unable to use it as collateral to
obtain loans.
- Women are denied ownership of land in

some traditional societies.
€Collective Ownership
 This is when land is owned and worked by the community as a unit.
 They combine their capital and labour and share the profits equally.
 Found mostly in Socialist or Communist countries, for example, Russia and Ujamaa villages in
Tanzania in the 1970‟s.
(d)Private Ownership (Freehold)
 This is when land is owned and controlled by individuals or companies.
 There land has title deeds or certificate of ownership.
 Land is a commodity that can be bought or sold, for example, land has value attached to it.
 Land is productively used, for example, commercial farming, mining.
 Common in Capitalist economies.
Advantages Disadvantages
- Land can be used as a security to obtain - Only the rich can own land.
loans.
- Can be sold to raise capital. - Landlessness and poverty among the poor.
- Land carefully looked after by the owner.
- Anybody can buy land as long as he or she
has the money. - May lead to land speculation, for example,
people buying up large tracts of land in
order to sell it for a profit in future.
(e) Leasehold
- This is when land owners rent out their land out to tenants for a fee.
- Tenants use the land for commercial production.
- The landowners are referred to as absentee landlords.

Advantages
- Land used productively because the tenant has to pay rentals.
Disadvantages
- Rent has to be paid whether there has been production or not.
- The tenant is unable to use it to raise capital.
- The tenant can misuse land.
The people who rent land are often poor and do not have enough cash to pay rent. So instead of paying with
money they pay the landowner with a share of their crops. We call this sharecropping.
THE LANDLESSNESS
 People are said to be landless when they are unable to have access to the land at all.
 Landless people are unable to produce or fend for themselves leading to poverty.
 Landless is caused by
(i) People being too poor to buy their own land.
(ii) Inadequate or limited land for existing population.
(iii) Unfair distribution of land.
(iv) Rapid population growth.

CAPITAL
Capital is a man-made resource.
Capital is the money, machinery technology and buildings that is used to produce goods.
Capital is in two forms

(i) Money capital
(ii) Capital goods, for example, machinery or technology
Money Capital
 Money capital is also known as finance.
 This is the money that is used to increase production, that is, it is used in ways that will help to earn
more money.
 Money capital can be used in the following ways:
(a) Buying capital goods that will increase production hence earn more money.
(b) Investment: saving it in a bank so that one can earn interest.
Capital Goods
Capital goods are tools, equipment or machinery that are used to make other goods, for example, factory
machines, roads, building and vehicles.
It is also known as fixed capital because they remain unchanged during production.
The Ways of Raising Capital (Government revenue)
Capital for investment can be raised in the following ways:
1. Saving is abstaining from consumption and putting the money in the bank to earn interest.
2. Borrowing from the banks and financial institutions.
3. International loans from other countries, the World Bank and International Monetary Fund.
4. Investment is putting money into a business with the hope of earning profit.
5. Shares are putting money in the business to get a certain percentage of profit made.
6. Taxation is done by the government. It taxes workers and companies to raise money for development.
7. Privatisation of parastatals which is the transfer of state or public assets through selling.
8. Penalities of those people who break the law, for example, traffic offences such as over speeding.
9. Licensing, for example, renewal of business licences, hunting licences and drivers licences.
10. Fees, for example, school fees and tourists who pay fees to enter into game reserves and national parks
for wild life viewing.
11. Joint ventures, for example, the government of Botswana and DeBeers forming company known as
Debswana which is responsible for mining and selling diamonds.

TECHNOLOGY
Technology is the combination of tools, skills and machinery a society employs to produce goods and services.
Technology is dynamic, that is, it is always changing. For example:
 Primitive societies such as hunter-gatherers used simple tools made from bones and wood. Production
was very low.
 Agriculture societies used better tools made from iron, for example, hoes, axes and spears.
 Modern societies use complex technology such as machines, computers, motor vehicles. Production is
very high.
TYPES OF TECHNOLOGY
There are three types: simple, intermediate and complex.
Fig.3
(a)Simple Technology is the use of hand tools to produce goods, for example, hoes for weeding and knives for
cutting.
 It demands a lot of manual labour.
 It is mostly used by traditional societies, for example, subsistence farmers.
Advantages of Simple Technology Disadvantages of Simple Technology

 Simple technology is cheap to buy and use.  Simple technology is very slow method of
production.
 It uses unskilled labour.
 Poor quality goods are produced.
 The tools can be made at home.

 Simple technology leads to low productivity.
 Simple technology creates a lot of

employment opportunities.  Simple technology is strenuous, for example,
tiresome and back-breaking work.

(b)Intermediate Technology is the use of simple machines to produce goods and services. For example:
- Sewing machines
- Animal drawn ploughs and carts
- Windmill water pumps
- Cement blocks machines
- It can be used both at home and in industry.
- It can be used by both semi-skilled and unskilled labour.
Advantages of intermediate Technology Disadvantages of intermediate Technology

 It is relatively faster means of production  It is strenuous to use because it needs a lot of
than simple technology. human effort.
 It is cheaper.  It leads to low productivity.
 It is easy to use and maintain.  Slows method of production as compared to

complex technology.
 It produces good quality goods.

 It produces lower quantities of goods.
 It creates employment because it is labour

intensive.
©Complex technology is the use of big and sophisticated machines for production.
 Machines are power driven, for example, electricity and fuel.
 Some machines are automatic.
 For example, Automatic Teller Machines, factory machines, computers and telephone.
 It requires education and training.
Advantages of intermediate Technology Disadvantages of intermediate Technology

 It creates employment in factories.  It expensive to buy and maintain
 Complex technology produces high quality  Have to import spares at great costs.
goods.
 Increases dependency on Developed

 It is very fast and efficient because of use of countries
machinery.
 It causes damage to the environment, for

 There is mass production of goods. example, pollution.
 It produces cheaper or affordable goods.  It can lead to unemployment because of the

use of automatic machines

APPROPRIATE TECHNOLOGY
Appropriate technology refers to tools, skills and machines that are best suited for particular conditions in
society.
 It depends on the level of development of the society.
 For example, a subsistence farmer will use ox-drawn ploughs, carts and hoes because he can afford and
maintain them than complex machinery.
 In developed countries a tractor is appropriate for the farmer because they have the capital, big farms
and the skills to make and maintain them.
THE FACTORS THAT DETERMINE APPROPRIATE TECHNOLOGY
- Levels of development, developed societies tend to concentrate on complex technology while

developing societies concentrate on simple and intermediate technology.
- Education and skills, complex technology needs highly educated and skilled people to operate and
maintain while simple technology and intermediate technology need less skills and education.
- Capital/Cost/Affordability, complex technology is expensive to buy and maintain therefore only the
rich countries can afford it. Developing countries are poor hence can only afford to use simple and
intermediate technology.
- Employment creation, developing countries like Botswana have high unemployment levels hence
need simple and intermediate technology that are labour intensive. Complex technology would be
inappropriate as it would lead to high rates of unemployment.
- Environmental risks, for example, simple technology causes less pollution while complex technology
causes pollution.
THE ADVANTAGES OF APPROPRIATE TECHNOLOGY
 Create employment
 Makes use of local resources
 Cheap to buy and maintain
 Produces relevant goods and services
 Promotes local development

DEVELOPMENT OF APPROPRIATE TECHNOLOGY IN BOTSWANA
Botswana is one of the developing countries that recognise and appreciate the importance of the use of
appropriate technology for development this is indicated by efforts undertaken by the Botswana Technology
Centre (BOTEC), Rural Industries Promotion Company (RIPCO) and Rural Industries Innovation Centre
(RIIC).
The primary aim of these organisations is to assist the people of Botswana to identify appropriate technology
choices for development. They create and promote technologies that are best suited or appropriate to conditions
particularly to rural areas in Botswana.
The following are examples of the technologies invented and adapted by BOTEC and RIIC in their effort to
encourage appropriate technologies in Botswana.
 Solar Cooker/Bakers: The solar cookers are developed by RIIC and they operate by converting the
sun‟s energy into electricity. The technology is appropriate for Botswana because Botswana has
plentiful supply of the sun and therefore the technology is cheap, easy to use and repair. It also assist
Batswana to reduce dependence on the already disappearing firewood which leads to deforestation and
other environment impacts like soil erosion and land degradation.
 Rural electrification: Photovoltaic Power Station at Motshegaletau Power Station is another example
of how the sun can be used to generate electricity that is cheaper and affordable by the rural people in
Botswana. It uses solar panels to convert sunshine into electricity.
 Solar Aid: BOTEC has converted a solar aid for the hearing impaired people. It combines solar and
hearing aid technologies to make solar rechargeable hearing aid that never needs replacement batteries.
 Water tanks: RIIC has also designed water tanks which are used for rain harvesting. This is an
appropriate technology for drought prone Botswana with unreliable rainfall.
 Animal Drawn Ploughs: RIIC has designed animal drawn pumps that do not require fuel in order to
run. They suitable for rural areas with a problem of water and are cheaper and easier to use.
 Farming implements; RIIC has developed farming implements such as ploughs and planters that are
simple, cheap and easy to use and are thus appropriate for local subsistence farmers who lack capital
and modern skills.
 Other examples include technologies such as the Basic windmill developed by RIIC to pump water and
generate electricity. Sorghum grinding and threshing machines and the rim oven. The rim oven is
another inventions by RIIC made from two trucks rims welded together. It stands on three legs and has
a hinged steel door. It uses firewood and can bake a batch of nine loaves in an hour. It is appropriate for
rural dwellers.
All the above appropriate technologies indicated to us that Botswana is making efforts in trying to encourage
Batswana to use appropriate technology for development.
We should then commend the department such as RIIC and BOTEC for these good efforts because Batswana
have less money and skills to use the expensive and complicated technologies.

THE MODES/METHODS OF PRODUCTION
Fig.4
(a)Labour Intensive Production relies heavily on the use of simple technology and manual labour.
What is labour intensive production?
- Labour intensive is a way/process of making goods and providing services which relies heavily on the use
of human manual effort.
 Mainly uses unskilled labour.
 Example, cutting grass using slashers, transporting sand with wheelbarrows, digging trenches with
picks and shovels.
Advantages of labour intensive production disadvantages of labour intensive production

- In Labour intensive production, little capital is - Labour intensive may lead to poor quality work
needed because of the use of simple technology. and products because of the use of simple
technology and unskilled labour.
- It creates employment to a large number of
people - It is the slow method of production it relies
heavily on human manual effort.
- It is cheap to run and maintain / little capital
required since simple technology used
- It leads to low level of production because of the
- It provides with an opportunity to train on the job use of simple technology.
- It causes less pollution or destruction of the - It makes people tired because the work is
environment strenuous.
- It requires little skills to enter or run
- It promotes human interaction
- It encourages craftsmanship
- It uses local skills & knowledge
(c) capital-intensive production is a process of making goods and providing services which relies heavily
on the use of machinery and money/finance
 capital-intensive production is the use of advanced or complex machines to speed up production.
 For example, using a mechanical digger to dig a trench, vehicles to transport goods.
 It needs trained or skilled people to operate and maintain the technology.

Advantages of capital intensive production disadvantages of capital intensive production
- Greater opportunity to use machinery / quick & - Causes pollution to the environment because of
efficient method of production the use of advanced technology.
- Production of quality goods - Lead to high unemployment rate because the

advanced technology requires only few people to
- Mass production makes goods cheaper operate.
- Acquire skills of operating machines / skills - Lead to loss of craftsmanship.

development / creates a lot of skilled manpower
- Work is made lighter and more enjoyable - It is expensive to buy and maintain.
because of the use of machinery
- It requires skilled manpower.
INFORMATION TECHNOLOGY
-Informantion technology is a way of disseminating data using computers
THE WAYS BY WHICH INFORMATION TECHNOLOGY CAN ENHANCE THE DEVELOPMENT

OF BOTSWANA:
- Stores a lot of data which otherwise could be lost by traditional record keeping / easier storage of
complex information
- It is easy to transfer information from one source to another
- It can be used to project future development trends in Botswana
- It links Botswana with other countries & therefore good for marketing the country
- Global communications
- Fast trade arrangements / electronic payments
- Dissemination of information
- Increased productivity / mass production / saves time
- Improvement of technology
- Development of infrastructure to suit the technology
- Draw behaviour patterns / project future trends
THE DISADVANTAGES OF INFORMATION TECHNOLOGY
- Very costly to acquire / costly to maintain
- Reduces craftsmanship
- Enslaves the mind
- Requires complex skills/training/reliance on foreign expertise

THE REASONS WHY IS IT DIFFICULT TO INTRODUCE INFORMATION TECHNOLOGY IN
BOTSWANA
- Few people are computer literate
- Computers are too expensive for the general public to afford
- Computer specialists who can maintain the IT systems are few & very expensive to hire so sustaining the
IT system is not guaranteed
- Issues of security of information may discourage some people to acquire IT resources
- There is a tendency for people to fear introduction of machines such as computers so they may prefer to
use old traditional ways of doing things / conservative / rigidity / fear of the unknown
- Existing levels of production are too low to encourage use of computers
- Lack of supportive infrastructure e.g. electricity

CHECK YOUR PROGRESS
1(a) Define production.
(b)Describe any three factors of production.
2(a) What is technology?
(b)Describe three major types of technology, giving examples to illustrate your answers.
3(a) What is appropriate technology?
(b)Describe three factors determining appropriate technology.
4(a) What is information technology?
(b)Describe three ways by which information technology can enhance development of Botswana.
(c)Suggest three disadvantages of information technology.
(d)Why it is difficult to introduce information technology in Botswana.
5(a) What is labour intensive production?
(b)Give three advantages of labour intensive production.
(6)(a) What is capita-intensive production?
(b)Describe three advantages of capital-intensive production.
6. Fig. 1 below shows two different modes of production. Use it to answer questions (a) and (b).
(a)(i) Which diagram, A or B, shows labour intensive production?
(ii) Which mode of production, A or B, is suitable for large scale production?
(b) Give two characteristics of the type of production shown by diagram B.
(c) Give three advantages of a capital intensive mode of production.

7. Fig. 2 shows some inputs required to make goods in a factory. Use it to answer questions (a)(i) and (ii).
(a)(i) Identify one factor of production from Fig.2.
(ii) Name one item of capital shown in Fig.2.
(b) Give two disadvantanges of capital intensive production to a developing country.
(c) Describe three major types of technology, giving examples to illustrate your answers.
(d) Suggest three ways by which the Government of Botswana can raise capital.
2.Study Fig. 3 which shows different types of land ownership.
Fig.3
(a)(i) Describe each type of land ownership shown in Fig. 3.
(ii)Sugget problems that people might face when they own land communally.
(b)(i) Describe the use of any three factors of production in a hunting and gathering society.
(ii)Suggest reasons why hunting and gathering is practised by very few societies.

(b)(i) Describe the ways in which governments raise capital./Describe the sources of government revenue in
Botswana.
(ii) Describe the factors that determine appropriate technology.
9.Study Fig. 4 which is an extract about Rural Industries Innovation Centre (RIIC)
Located in Kanye, in the Southern District of Botswana, Rural Industries Innovation Centre (RIIC) is the
national appropriate technology development and dissemination centre in Botswana. It undertakes new and
renewable energy activities with projects in solar cooking and pumping, biogas, energy management, and
solar cold room.
Source: RIIC’s website http:// www.ripco.co.bw
Fig.4
(a)(i) Describe factors which might make solar energy appropriate for Botswana.
(ii)Suggest problems that the Rural Industries Centre might face in their effort to disseminate new
developments.
(b)(i) Describe the importance of Information Technology (IT) in the development of Botswana.
(ii)Suggest factors that might slow down the introduction of Information Technology (IT) in Botswana schools.
10.Study an extract on availability of the internet in schools in Botswana.
The World Economic Forum reports that on internet access in schools, Botswana is at position number 92
out of 144 countries. Internet access is an important part of Information Technology (IT) and Computer
Education.
Fig.5
(a)(i) Describe ways in which Information Technology (IT) is introduced in Botswana.
(ii)Suggest reasons why Botswana‟s position in internet access in schools is low.

LABOUR
Labour is human effort that is directed at the production of goods and services, for example, both physical and
mental.
Man is central to production because it is he who initiates production and is also the consumer.
SPECIALISATION OF LABOUR
Specialisation of labour is the concentration of people on one job that they are trained in, for example,
teaching, engineering and nursing.
It can be divided into three levels, for example, individual, regional and national specialisation.
(a) Individual Specialisation is when a person concentrates in one activity only, for example, a doctor
may specialise on teeth problems (dentist)
(b) Regional Specialisation is whereby people in an area are engaged in the production of a particular
commodity or service due to geographical conditions, specific skills, or resource availability, for
example, copper nickel in Selibe-Phikwe, Basketry in the North West.
(c) National Specialisation is whereby different countries specialise in producing certain commodities
which they have comparative advantage, for example, Botswana specialises in Beef and diamonds
because of physical conditions, Lesotho specialises in wool, Malawi-fishing, Zambia-copper.
DIVISION OF LABOUR
What is division of labour?
- Division of labour breaking down of work into small parts so that each worker takes a part
- When work is shared out in different parts between different people
- The breaking down of the production process so that it may be based on gender or age or training
Advantages of Division and specialisation of labour Disadvantages of Division and specialisation of

labour
 Work can be done faster and perfectly  Doing the same job repeatedly leads to
because the worker perform only one task. boredom.
 Little time is wasted moving from one task to  Workers lose the initiative to exercise
the other. judgement and responsibility.
 There is a chance of exploring people‟s  Increased risk of unemployment because of
potential. the greater use of machinery.
 It is cheaper and time saving to train in one  Loss of craftsmanship because of the
particular job. increased use of machinery.
 Quality goods and services are produced  Increased dependency easily leads to
because of use of advanced technology. disruption of production, for example, if one
 There is higher productivity because of the worker is absent.
use of machinery.  Concentration on one task makes it difficult
 Increases worker‟s proficiency because of for one to acquire other skills.
constant repetition.
 Creates a lot of employment opportunities,
for example, teaching.

TYPES OF LABOUR
(a)Specialised Labour
- These are people who are experts or highly skilled people.
- They have high education levels.
- They have spent long time training.
- They are paid high wages and salaries.
- Also known as professionals, for example, engineers, doctors, teachers, nurses and lawyers.
(b)Skilled Labour
 These are people who are highly trained in practical work related to production, for example, artisans.
 They know how to design and make items.
 They are highly trained and paid.
 Examples, surveyors, electricians, auto mechanics, fitters and turners.
 They are given technical qualifications, for example, City Guilds and Crafts, Higher National
Diplomas.
©Semi-Skilled Labour
- These are people who are trained on-the-job for specific tasks.
- Mostly found in industry.
- They usually have no paper qualifications but gain enough experience to perform the job proficiently.
- For example a spanner boy who eventually become a fully-fledged mechanic.
(d)Unskilled Labour
 These are workers who have no training at all.
 Mostly used as manual labourers, for example, farm workers, cleaners and garden boys.
 They are paid low wages that is the minimum wages.

THE CONDITIONS THAT PROMOTE EFFICIENCY OF LABOUR/ LABOUR PRODUCTIVITY
Efficiency of labour is the ability of workers to be highly productive.
THE FACTORS THAT PROMOTE EFFICIENCY OF LABOUR ARE:
 Education and training, the higher the level of training and education the higher the level of
productivity.
 Customs and attitudes of the people, some cultures encourage hard work, for example, Japanese and
Chinese culture.
 Technology, if workers use simple technology then productivity will be lower. Workers who use
advanced technology will be more productive.
 Working conditions, good working conditions ensure high productivity, for example, good
ventilation, lighting, safety and working hours.
 Worker welfare, workers must have peace of mind for them to be productive at work. This can be
done by giving workers medical aid, pension schemes, funeral assistance, social and entertainment
facilities and housing.
 Motivation, workers can be encouraged to work harder by being offered incentives such as higher
wages, bonuses, participation in decision making.
HOW CONDITIONS IN BOTSWANA FACILITATE THE EFFIENCY OF LABOUR
 Education, there is free education for all to improve knowledge.
 Training, at university and other tertiary institutions to improve the skills.
 Labour laws that protects the workers from exploitation, for example, minimum wage and working
hours.
 Pension schemes or social security, for both government and private sector workers.
 The acquisition of modern technology such as complex machines, computers, that help to raise
productivity.
 Improvement of infrastructure, to improve the movement of goods and provision of services.
 Better housing for workers, for example, institutional housing, like teachers houses, Botswana
Housing Corporation houses and SHAA Programme.
 Provision of health facilities such as clinics, health post, hospitals and so on for a healthy and
productive population.
 Access to resources such as energy sources.

THE CONDITIONS THAT MILITATE AGAINST THE EFFICIENCY OF LABOUR IN BOTSWANA
 Lacks of skills, most of the people are unskilled without formal training.
 Poor health mainly because of HIV/AIDS that makes workers weak and unproductive.
 Poor infrastructure, for example, narrow roads that make traffic move slowly; single rail, poor
telephone coverage.
 Poor education system produces people that are unprepared to join the job market
 Poor work ethics such as late coming, lack of discipline, absenteeism and misuse of telephones .
 Poor or low level of technology, most of the work in Botswana is done manually and slowly, for
example, agriculture and construction.
 Poor working conditions such as low wages, long working hours, poor safety, and unavailability of
pension schemes for some private sector employees.
 Culture works against the efficiency of labour in the following ways; the extended family that places a
huge burden on the worker making them less focused at work. Lack of assertiveness, for example,
going the extra mile.

ENTREPRENEURSHIP
Entrepreneurship refers to the art or skill of coordinating, managing, organising and running a business.
What is an entrepreneur?
An entrepreneur is a person who takes the risk of putting down money to start a business with the main aim of
making a profit.
Role played by an entrepreneur
 Organisation: of land, labour and capital to produce goods and services.
 Decision-making: on what to produce, how to produce and where to produce.
 Management/leadership: the day to day running of business or enterprise.
 Risk bearer: the ability to take risks and steer the business to be a success.
Enterprise is the process of bringing together the factors of production to come up with goods and services.
THE ECONOMIC SYSTEMS FOR ORGANISING PRODUCTION IN SOCIETIES
There are basically three economic systems, namely:
 Capitalism/Market economy
 Socialism /Planned economy/ Communism
 Mixed economy
Fig.6
An economic system determines the following in a society:
 Who owns the means of production, for example, land , labour and capital.
 Who controls production, for example, what and how much to produce.
 Who benefits from production?

CAPITALIST/MARKET ECONOMY
Market economy is an economic system whereby the means of production are owned and controlled by
individuals or the private sector.
The main emphasis is on private ownership of capital or property.

Examples:
 Africa: Kenya, Nigeria, South Africa, Malawi etc
 Others: USA, Japan, Germany etc.
THE MAIN FEATURES/ CHARACTERISTICS OF MARKET ECONOMY
 Private property is when individuals have the right to own and control the means of production, for
example, labour, land and capital.
 Freedom of choice is when people are free to choose what to produce, how to produce and where to
produce.
 Freedom of enterprise is when people are free to start businesses of their choice.
 Self interest is when people are motivated by the need to make profits for themselves.
 Competition is when businesses compete against each other.
 Price mechanism is when the laws of supply and demand determine the prices for goods and services.
 Government role is minimal which means there is little government interference with the running of
the economy.
Advantages of market economy Disadvantages of market economy

 The economy responds quickly to the  It is unable to meet the basic needs of the
people‟s needs and wants. people since the emphasis is only on profit.
 Entrepreneurs always try to use the resources  Businesses overcharge since there is little
as efficiently as possible in order to get the government control.
most profit out of them.
 Damage to the environment goes unchecked
 High quality goods and services because of in the pursuit of profit, for example,
fierce competition. deforestation and pollution.
 Entrepreneurs are always motivated to make  Inequalities in society widen with the rich
a success of their businesses because they becoming very rich and poor very poor.
want to make profit.
 Workers are exploited by the employers, for
 Highly productive because of the use of mass example, long working hours, violation of
production methods. labour rights.
 Capitalist countries have achieved the highest

levels of development in the world, for  Uncontrolled competition may lead to
example, japan and U.S.A. overproduction and lowering of prices thus
leading to collapse economies, for example,
 Anyone has the chance to become rich The economic depression of 1929 in America
provided he or she has the business skills. that even affected Europe and the rest of the
world.

SOCIALIST/PLANNED ECONOMY
Planned economy is an economic system whereby the means of production are owned and controlled by the
state for the benefit of the whole society.
Private ownership of property is prohibited.
The government controls all production, distribution and consumption.
Examples of planned economy:
 Africa: Mozambique, Angola, Ethopia and Tanzania.

 Others: China, Cuba, North Korea and Vietnam.
THE MAIN FEATURES/ CHARACTERISTICS OF PLANNED ECONOMY
 State ownership: All means of production belong to the state.
 State entrepreneurship: The government is the only entrepreneurship that is allowed to operate.
 Collective interest: All people are expected to work for the good of the society.
 No competition: there is any competition since all businesses belong to the state.
 Price control: All prices are set and controlled by the state.
 Central planning: Decisions on what and how to produce are made by the central government.
Advantages of planned economy Disadvantages of planned economy

 It satisfies all the people‟s basic needs, for  It is difficult to plan for the whole country
example, food, shelter and clothes. and these results in a lot of mistakes.
 The benefits of production are distributed  It suppresses individual freedom to think and
equally among the whole population. act.
 Everyone has the right to work or

employment.  State appointed managers are inefficient
because they are appointees rather than
entrepreneurs.
 The goods and services are made available at
low prices.  There is technological inefficient because
managers are prohibited coming up with new
ideas or make changes.
 Very luxury goods are produced hence the

people‟s lives are uncomfortable.
 A very limited choice for consumers since all

goods and services are produced by the state.
 There is a low productivity level because of

over-employment, inefficient management
and low morale of the workers.
 NB: However most of the socialist are

moving towards the Capitalist mode of
production.

MIXED ECONOMY
Mixed economy is an economic system whereby there is both private and state ownership of means of
production.
It is a mixture of both capitalism and socialism.
There is a state planning, control and businesses operating alongside a private sector.
Most of the countries of the world are now mixed economies, for example, Botswana, Zimbabwe and Zambia.
THE MAIN FEATURES/ CHARACTERISTICS OF MIXED ECONOMY
 There is both private and state/public ownership of resources.
 There is freedom of enterprise.
 The government also operates enterprises, for example. State corporations/ parastatals.
 The government plans for the economy, for example, National Development Plans.
 The government interfers in the running of the economy through the following ways:
 Taxation of businesses.
 Legislation, for example, company laws and labour laws.
 Quality control, for example, through the Botswana Bureau of Standards.
 Price monitoring
 Provision of basic infrastructure, for example, roads, power, railways and water.
 Government provides social services for the people such as education, health, sanitation and social
welfare.
Advantages of mixed economy Disadvantages of mixed economy

o It redistributes the benefits of production o The government may discourage investment
through the taxing of businesses. through laws and heavy taxation.
o Helps the poor through the welfare system. o Government always ends up in debt because
of public expenditure.
o The government provides the basic needs of
the people. o The welfare system encourages people to be
lazy and irresponsible.
o The government protects the workers from
exploitation. o State enterprises are inefficient and a drain to
the economy.
o Consumers obtain quality goods and services.
o The environment is protected from

unnecessary damage by laws.
o People are free to establish enterprise of their

choice.

THE FEATURES THAT SHOW THAT BOTSWANA FOLLOWS A MIXED ECONOMIC
PRODUCTION SYSTEM
1. The feature that show that Botswana follows a mixed economic production system is that parastatals
operating side by side with the private businesses. For example, Botswana Power Corporation and
Choppies.
2. The prices determined by market forces while the government controls prices for some goods and
services, for example, petrol and maize meal.
3. The government schools and universities such as University of Botswana and Botswana International
University Of Research Science and Technology operating alongside private schools and universities
such as Botho College and Baisago University College.
4. The government hospitals and clinics operating alongside private hospitals and clinics. For example,
Nyangagwe Hospital in Francistown and Riverside Hospital in Francistown. The government prepares
National Development Plans while individuals implement them.
5. The government set regulations for business operations such as quality control, price monitoring while
individuals are free to make other decisions.
6. The government gives free food or basic needs to destitute while other people must buy for themselves.
The government exempts the poor from paying school fees whilst other people pay.
THE BENEFITS OF CHOOSING A MIXED ECONOMIC PRODUCTION SYSTEM
1. The government social welfare programme ensures that everybody has access to basic needs.
2. The government labour laws protects workers from exploitation through coming up with labour laws.
3. The benefit of choosing a mixed economic production system is having environmental laws that
prevent damage to the environment.
4. The presence of government businesses or parastatals ensures availability of essential goods and
services, for example, water and electricity.
5. The government price control ensures that basic needs are sold at affordable prices, for example, water,
electricity, mealie meal and petrol.
The government laws and regulations prevent immorality, for example, banning of pornographic
materials. The element of freedom of enterprise allows high achievers to excel.

ENTERPRISE
Enterprise is an act of organizing factors of production in order to make profit.
TYPES OF ENTERPRISE
 Sole proprietor/ sole trader
 Limited companies
 Partnership
 Parastatal
 Multi National Companies
 Joint Venture
 Cooperatives.
SOLE PROPERIETOR/SOLE TRADER
Sole proprietor is an enterprise owned and run by an individual.
The person may be helped by a few people especially some family members.
Sole proprietor is also known as a sole trader.
THE CHARACTERISTICS OF SOLE PROPERIETOR
 It is owned and run by one person who provides all capital needed to set it up and run it.
 The profit is enjoyed and the loss felt by the owner.
Advantages of sole proprietor Disadvantages of sole proprietor

 This type of ownership is advantageous  Individuals usually have small amounts of
because the owner is usually self motivated capital and this might hinder the expansion of
and has every reason to make the business the enterprise.
become as efficient as possible. The
individual owner is in full charge and can  The success of the business depends on the
devote as much of his time and energy to the owner‟s abilities, and on his or her death or
business as he or she wishes. retirement, the business might be affected by
the person who inherits it. If the inheritor is
 The owner has no need to consult or involve not a good business person, the company will
anyone when making a new policy for the obviously collapse.
business. This allows the owner to put
decisions into effect without having to
convince others.  Since the individual owner bears all the risks,
he or she is liable for all the debts and losses
of the firm.
 Sole trader or sole proprietors are usually
small and this allows the owner to have more  Liability is limited; this means the owners
closer and personal contact with both the assets are at risk.
employees and customers.
 Sole trader is at times has difficulties to get
 In most cases, it requires small amount of money or loan to finance the business since
capital to start. banks need security.
 There are no economies of scale. This means
 Sole trader pays tax for development of the the sole trader cannot buy in bulk to
country. experience discounts.
 The division of labour may be difficult to
organise because of the small size of the
 Sole trader creates jobs. business, resulting in little sharing of the
workload, hence the owner is overworked.
This may affect productivity and labour
efficiency.

PRIVATE COMPANIES
Private company refers to a type of enterprise owned by shareholders and run by a board of directors and a
manager.
Shareholders earn some of the profit but if the company goes bankrupt, they only lose the amount they have
invested.
Advantages of private companies Disadvantages of private companies

 They have a lot of potential in increasing  The private sector tends to invest mostly
public awareness of an issue. where returns or profit is assured.
 The private sector is profit and efficiency  They tend to be owned mostly by expatriates
driven, and as such tends to have a highly and this contributes heavily to the country‟s
productive staff. capital flight. This is a situation in which a lot
of money generated in the country is sent out
 The private sector is demand and client to other countries and this contributes very
driven and therefore very responsive to the little to the development of the country.
people‟s needs.
 The sector is very flexible compared to others

in that it has to amend its service to fit the
public whenever a need arises.
PARASTATALS
Parastatals are state corporations owned by the government of the country in which they operate.
They are funded by the government and the profits they make are taken by the state to be used for
developmental purposes.
In Botswana we have parastatals such as Botswana Railways, Botswana Telecommunications, Air Botswana
and many others.
The government usually advertises for and appoints a board to run the parastatals.
Advantages of parastatals Disadvantages of parastatals

 They employ many people and thus create  They tend to waste state funds if they are not
employment in countries with a few private run properly, which is a great cost to
companies such as Botswana. taxpayers.
 Parastatals have an advantage of expansion  They often lead to monopolies whereby the
because they are funded by the government. government owns most of the profitable
enterprises and competes with small
 The state has a chance to control the companies and this might lead to the collapse
provision of essential services and goods. For of the small companies.
example, water and electricity.
 Parastatals enjoys economies of scale hence  Parastatal mostly tends to provide goods and
offer cheaper price. services of poor quality due to monopolies.
 Parastatals are mostly not profit oriented.  Most are too expensive to run and over
stretch the taxpayer‟s money.
 Parastatals provide secure employment to a
large number of local people.
 Lack of initiative amongst workers leads to
 It reduces duplication of equipment and inefficiency in production.
unnecessary wastage of resources.
 Parastatals helps to implement governmet  Uniform products may not satisfy everyone‟s
policies. taste.
 It is a source of income of the government.
 The effort is made to train and employ local
workers of all levels of production.

MULTI-NATIONAL COMPANIES/ CORPORATIONS
Multi-National Companies are enterprises that have subsidiaries or branches in more than one country.
Multi-National Companies are also known as Trans National Companies.
Fig.7
THE CHARACTERISTICS OF MULTI NATIONAL COMPANIES
 MNCs is usually a public limited company.
 The decision making is controlled from the head office.
 They employ many people in different parts of the world.
Advantages of multi national companies Disadvantages of multi national companies

 They pay tax to the host government.  At times they dominate economies by
monopolistic practices.
 They increase employment opportunities.
 Sometimes they bring in their own expert
 They bring new technology to the host instead of training locals for managerial
countries. positions within the host country.
 They bring in foreign currency when they  Attracts experts locals to work for them at the
export from the host country. expense of local industries.
 They enjoy greater economies of scale.  They encourage dependency and neo-
colonialism through dependence on foreign
 They give support, mostly financial to the technology.
local social clubs and associations.
 They may take all the profits back to the
 They offer goods and services of better country of their origin.
quality and variety to customers.
 Sometimes they interfere with the policies of
 They widen the country‟s income base the host country.
increasing Gross National Products.
 Some are too powerful for the host country to
control.

JOINT VENTURES
Joint Venture is a form of partnership whereby two or more individuals or companies agree to do business for a
specific time under clear contract conditions. We have a number of joint ventures in Botswana between retail
outlets.
For example, we have a joint venture between Metro supermarket and Sefalana supermarkets which is called
Metsef Hyper-market.
Profits under joint ventures are shared out according to the written contract.
Advantages of joint ventures Disadvantages of joint ventures
 They reduce unnecessary competition  They usually lead to the collapse of small
between companies selling the same products businesses because they are big and
which allows them to share the profits and monopolise the market.
losses.
 Joint ventures can expand easily and make  If the company collapses many people might
more profits because they have a lot of lose their jobs because joint ventures usually
capital. employ many people.
 Joint ventures can save money by buying
products at low prices because they buy in
bulk.
 They create a lot of employment by hiring
many people because they have capital
PARTNERSHIP
Partnership is a relationship that exists between two or more people who have come together to do a common
business with the view to make profit.
THE CHARACTERISTICS
 Partnership is owned by many people between 2 and 20 people.
 Partnership is controlled by partners.
 Partnership has unlimited liabilities.
Advantages of partnership Disadvantages of partnership

 Partnership allows for division of labour  The decision may be delayed by consultation.
 In partnership create continuity is assured.  The withdrawal of one or some partners may
cause the partnership to dissolve.
 It is easy to set up.
 Lack of capital may limit expansion.
 There is shared decision making.
 Unlimited liability.
 Secrecy in business is maintained.
 It may be difficult to find a suitable partner.
 There is greater chances of security for loans.

CO-OPERATIVES
Co-operatives are enterprises formed by people with a common goal who bring together some of their
resources such as money, tools, labour and equipment in order to reduce production costs.
Co-operative members can either share the profit amongst the members or they can reinvest it into other
businesses.
The co-operatives can sometimes use their profit for the development of their community or they can divert it to
charitable events with the agreement of all the members.
Examples of co-operatives in Botswana come in the form of co-operative supermarkets that are spread
throughout the country.
A bigger co-operative can be found in Mogobane village which runs a poultry, diary and vegetable farm.
Advantages of co-operatives Disadvantages of co-operative

 They allow members to have more buying  Co-operatives in rural areas are usually led by
power than individuals because they are large inexperienced mangers and often collapse
organisations. and lose a lot of money.
 A co-operative can give its members access  It is often difficult to divide the profits fairly
to cheaper materials because it buys in larger amongst members of a co-operative because
amounts or in bulk which allows for their contributions are equally important even
discounts. though they vary.

STAGESS/SECTORS OF PRODUCTION
There are basically three stages of production:
Fig.8
(a)Primary Production is the extraction or removal of natural resources directly from the earth‟s surface
without changing their form.
Examples:
 Mining which is the extraction of minerals from the ground or earth.
 Fishing which is catching fish in water.
 Forestry is the growing and cutting down of trees for timber.
 Agriculture is the production of crops and livestock.
The products of primary production are:
- They are raw, that is, they are in their natural state.
- Generally unusable directly by the people since they need some processing.
(b)Secondary Production involves the changing or transformation of raw materials into semi-finished and
finished products.
They are three types of secondary production:
(i) Processing is the transformation of raw materials into useable more goods. For example, cattle into
beef, hides into leather, maize into mealie meal and copper ore into copper metal.
(ii) Manufacturing involves the transformation of raw materials into more specific and usable goods.
These goods can be used directly by consumers or public. For example, leather into shoes, belts,
jackets and hats, steel into door frames and tools, chocolates from milk, cocoa and sugar.
(iii) Construction is the building of houses, dams, roads and bridges. Construction uses both the products
of primary and manufacturing industries.
For example, to come up with complete building the following items are used:
 Quarry stones, river sand, pit sand and cement from mining.

 Timber for roofing from forestry.
 Nails, window and door frames, plumbing materials, plate glass, electrical components from
manufacturing industries.
(c)Tertiary Production involves the provision of services that help in the transfer of finished products from the
factory to the consumer.
It is now the major employer in most of the modern economies.
They are two types of services involved:
(i) Commercial services:
 Warehousing for storing of goods in bulk in large buildings.
 Wholesaling is the selling of goods in bulk to the shops and supermarkets.
 Retailing is the selling of goods directly to the public through shops and supermarkets.
 Transportation is carrying of goods and people using vehicle, for example, cars, trains etc.
 Advertising
 Insurance services
 Banking and finance
(ii) Direct services: Mainly aims at serving the people directly. For example:
o Health services
o Education and training
o Entertainment, for example, music, sports and cinema
o Lawyers or legal services
o Architects or Architecture
o Security, for example, police, security firms.
(d)Quaternary are the activities concerned with research , compilation, processing and dissemination of the
research information to improve human resource and production.

STRATEGIES FOR DEVELOPMENT
The following are strategies for development: privatisation of parastatals, citizen empowerment and localisation.
Fig.9
PRIVATISATION OF PARASTATALS
Privatisation is the transfer of public/state assets into the ownership of individuals and companies usually
through selling.
Privatisation refers to the process of transferring the ownership of public enterprises to private buyers.
That is, the corporations owned by the state are turned to private companies and given to individuals to own.
This is a very complex process involving the selling of shares to individuals and groups as well as ensuring that
some of the services provided by the government are stopped to allow private companies to start businesses
providing those services.
PRIVATISATION CAN BE DONE FOR MANY REASONS WHICH INCLUDE THE FOLLOWING:
 Privatisation can promote competition which may lead to improving efficiency and increasing
productivity of enterprises.
 It can increase direct citizen participation in the ownership of national assets.
 It can stimulate entrepreneurship and investment in order to accelerate economic growth.
AIMS OF PRIVATISATION
 To reduce fiscal burden by state enterprise.
 To accelerate the national development process.
 To reduce the role of the state in the economy in order to allow the government to concentrate on the
essential tasks of governing.
 To release limited state resources for financing of other demands.
 To promote economic efficiency in fastening well functioning markets and competitions.
 To generate new investment.

THE FORMS OF PRIVATIZATION
 Contracting out work to private sector firms.
 Disposing of public sector shareholding in companies.
 De-nationalizing major public sector concerns by transferring the ownership of assets from state to the
private sector.
THE ADVANTAGES OF PRIVATISATION /BENEFITS OF PRIVATISATION
- Privatisation improves efficiency because of competition and profit
- Privatisation increases participation in ownership of national assets / citizen empowerment
- Privatisation reduces public bureaucracy
- Privatisation accelerates economic growth by stimulating entrepreneurship

- Privatisation reduces prices and public sector budget deficit through enhancing the quality of goods and
services
- Empowers citizens where such sales are restricted to them
- Revenue/govt. gets tax from companies/revenue from sale of shares
- Removes burden from govt.
- Increases foreign direct investment
- Private companies take social responsibilities
THE DISADVANTAGES OF PRIVATISATION
- There is massive job losses due to redundancy
- Open to abuse by corrupt political bureaucrats
- Widens the gap between the rich and the poor
- Expensive due to adverts and publicity
- It is a transfer of monopoly from public to private hands/may lead to emergence of private monopolies
- Will lead to hyper-inflation to meet initial costs
THE ROLE OF GOVERNMENT IN PRIVATISATION
- Government sets up regulatory price mechanism
- The government makes laws that govern privatisation process
- Government sets up prices of assets to be privatised
- The government empower citizens
- The government provide loans or grants

CITIZEN EMPOWERMENT AS A STRATEGY FOR DEVELOPMENT
Citizen empowerment is the process of helping citizens to become self-reliant through the provision of help by
the government or Non Governmental Organisations.
Citizen empowerment is the creation of opportunities and conducive environment for nationals to participate
fully in the socio-political and economic development of the country.
It involves a process of ensuring that there is an increased participation of citizen owned companies in the
economy.
STEPS TAKEN BY THE GOVERNMENT OF BOTSWANA TO PROMOTE CITIZEN

EMPOWERMENT
The government has over the years empowered Batswana through a number of financial schemes such as the:
(a) Financial Assistance Policy (FAP)
(b) Citizen Entrepreneurial Development Agency (CEDA) for Batswana to get loans and entrepreneurial
training.
(c) Introduction of remote area dwellers program.

(d) Reservation and price control for citizen owned contractors.
(e) Universal free education.
(f) Citizen Mortage Assistance Equity Fund (CMAEF) to allow citizens to buy shares in citizen owned
property companies in order to prevent property falling into hands of non-citizens.
THE FACTORS HINDERING CITIZEN EMPOWERMENT
 Fronting which means the foreigners use the locals to set up businesses reserved for citizens by funding
them and become silent partners or controls them.
 Lack of markets/Insufficient market for goods produced locally
 Poor business skills
 Lack of commitment from the bureaucrats, especially in dissemination of information.
LOCALISATION
Localisation of labour is the process of replacing expatriate public servants with citizen public servants
What is localization policy?
- Localisation policy is the process of promoting citizen labour and enterprise / The process of giving jobs
or businesses to citizens
THE IMPORTANCE OF LOCALIZATION
 It is part of restoring national pride and asserting a country‟s independence.
 It promotes the socio-economic development of locals.
 It helps in making the citizens believe in themselves and not always show much respect for foreigners.
 Some key posts which are quite politically sensitive need to be localised.

THE ADVANTAGES / BENEFITS OF LOCALISATION OF LABOUR IN BOTSWANA
- It promotes the socio-economic development of locals
- It is part of restoring national pride and asserting a country‟s independence
- It helps in making Batswana believe in themselves and not always show too much respect for foreigners
- Citizens would occupy politically sensitive positions
- Creates employment for citizens
- Development is in accordance to culture
- There is possibility of making long term decisions as there is no fear of end of contract
- Locals acquire necessary skills
- Workers are patriotic and have their national interest at heart
- Saves money wasted on foreigners

CONSUMPTION AND INVESTMENT
THE EXPLANATION OF CONSUMPTION AND INVESTMENT
(a) Consumption refers to buying goods or things which do not last for a long period of time. For
example, when people are paid their monthly salaries, they buy groceries. However, these groceries do
not last for two months which means that they have to buy groceries every month-end when they are
paid.
(b) Investment refer to the use of purchasing power in the form of money saved from previous income to
purchase assets of the sort, that can with reasonable assurance be expected to yield over the future a
total amount of purchasing power greater than that represented by their cost. Investment is when
individuals or companies save money and invest it in many ways that will bring a return in the future.
RELATIONSHIP BETWEEN PRODUCTION AND CONSUMPTION
Production means any activity which serves to satisfy human needs and wants.
Consumption is the purchase and use of these goods and services made through production.
In a community, all people are consumers and most are producers since they contribute their labour to
production through employment.
RELATIONSHIP BETWEEN SUPPLY AND DEMAND
(a)Supply can be seen as the amount of commodity that is available to be used.
(b)Demand refers to the quantity required at a particular price, for it is impossible to conceive of demand not
related to price.
THE RELATIONSHIP BETWEEN CONSUMPTION, SAVINGS AND INVESTMENT
Consumption is when we buy things which do not last such as food, drinks, clothes and crockery.
Savings on the other hand is all the money that you have saved especially in the bank, and investment is when
individuals or companies save money and invest it in ways that will bring a return in future.
THE FACTORS INFLUENCING SAVINGS
There are a number of factors that can directly influence savings. These include:
(a)Income: The most obvious requirement is the ability to save and this depends on the level of income. No one
can save until the level of income is sufficient to cover what are considered to be the necessities of life as
income which is devoted to consumption spending tends to fall.
(b)Social attitude: The prevailing social attitude towards thrift, which is old-fashioned, wise and careful use of
money, has significant influence on the level of saving.
(c)The financial framework: In the developed countries, all kinds of institutions for the safe deposit of savings
are available. In less developed countries, there are few such institutions and they are neither widely known nor
easily accessible.
THE BENEFITS AND RISKS OF INVESTMENT
By investment we mean engaging in an activity that will bring in more money or make profit. For example, as
sole proprietor or trader operating a company can get a lot of returns from the business.
Taking risks in production is the function of the entrepreneur, and the reward for risks is profit.

RISKS AND UNCERTAINTY
Risks involve situations or events which may or may not occur but whose probability of occurrence can be
calculated statistically and the frequency of their occurrence predicted. It then follows that risks are insurable.
Risks include natural disasters such as floods, earthquakes, hurricanes, fire and others.
Uncertain events are those which property cannot be insured against. Their outcome cannot be predicated with
sufficient statistical confidence. Sources of uncertainty may include:
(i)External sources: where the decision maker will only be able to have limited view of how political and
economic factors will affect the situation under review. External sources of uncertainty include the state of
national economies and world trade, potential legislation and political change.
(ii)Internal sources: The organisation may not be able to react to challenges or crisis because it does not have
the resources or the experience to do so.
(iii)Finance: If the company is partly debt-financed, there is the problem of ensuring that debt interest can be
paid out of profits before interest and tax.
THE FOREIGN RESERVES AS A FORM OF INVESTMENT
Foreign reserves refer to the saving of money in other countries.
This involves saving money for future use in foreign countries. For instance, Botswana Government has foreign
reserves in the World Bank. This money is saved for future investment and because it is a bank, it is
accumulating interest or profit.
THE ADVANTAGES OF FOREIGN RESERVES
(a) Money accumulates interest.
(b) The money is kept for future use in cash the country‟s economy drops.
(c) The money can be used to develop the country if need arises.
THE DISADVANTAGES OF FOREIGN RESERVES
Foreign reserves also have their setbacks or disadvantages. For instance currency fluctuations. Botswana‟s
foreign reserves are saved in US dollars, and because of a political situation such as the Iraq war, the dollar has
been fluctuating and as a result, Botswana‟s savings are affected. Currently, Botswana has lost US$ 1 billion of
its foreign reserves.
EVALUATION OF A CULTURE OF INVESTMENT IN BOTSWANA’S ECONOMY
Traditionally, a culture of investment existed amongst Batswana. However , this culture existed at a very
minimal level.
For example, most of Batswana relied, as they still do, much on subsistence farming or producing at a very
small scale. This small scale method of farming does not reflect a good culture of investment and has caused
most Batswana to rely on the government instead of being self-reliant.
This dependence on the government has made leaders to embark on various programmes aimed at encouraging
Batswana to invest and become self-reliant.
For example, during the 1980s, the government introduced programme such as Accelerated Rainfall Programme
(ARAP) and Arable Land Development Programme (ALDEP) in order to encourage a culture of investment
amongst Batswana
.

These two grants were meant to assist Batswana to start subsistence farming in order to raise money and more
food for Batswana.
In 1990s again, the Botswana government introduced another grant known as the Financial Assistance Policy to
encourage Batswana to start small scale and large scale businesses for investment purposes.
Apart from the above investment systems, the three successive Head of State travelled abroad to try to attract
more foreign investors to come to invest in Botswana. However, we have comparatively few large companies
operating in Botswana. We have a few multi-national companies such as Coca Cola, BP, Shell and others that
pay taxes to the government for operating in Botswana.

CHECK YOUR PROGRESS
1(a) Define division of labour.
(b)Give three advantages of division of labour.
(c)Give three disadvantages of division of labour.
2(a) What is specialisation?
(b)Describe any three forms of specialisation.
3(a) What is extension services?
(b)Describe three ways factors that extension services can be provided.
4(a) Define planned economic system/ socialism
(b)Describe three characteristics of planned economic system.
(c)Give three disadvantages of socialism.
(d)Give three advantages of socialism.
5(a) Define enterprise.
(b)Give three advantages of partnership in business.
(6)(a) What is a sole proprietor?
(b)State three characteristics of a sole proprietor.
6(a) Define joint venture.
(b)Give three advantages of a joint venture.
7(a) Define entrepreneurship.
(b) Describe any three roles of an entrepreneur.
8(a) Define privatisation.
(b) Describe advantages/ benefits of privatisation.
(c) Describe the disadvantages of privatisation.
(d)Describe the role of the government in privatisation.
9(a) Define localisation of labour.
(b) What is localisation policy?

(c) Describe the benefits or advantages of localisation of labour in Botswana.
10.(a)What is citizen empowerment?
(b) Explain ways through which your government empower citizens/ How does your government empower
citizens.
11(a)(i) Describe the advantages of specialisation of labour.

(ii)Describe the disadvantages of specialisation of labour.
(b)(i) Describe conditions that promote labour efficiency in production.
Describe ways of improving productivity in a country.
Describe the factors that increase the efficiency of labour.
12.(a)(i) Describe characteristics of a private limited company
(ii)Describe the advantages of a private limited company.
(b)(i) Describe the characteristics of parastatals.
(ii)Describe the advantages of parastatals.
13(a)(i) Explain reasons for owning parastatals by a government.
(ii)Explain the negative impacts of localisation in Botswana.
(b)(i) How does the government of Botswana promote a culture of investment.
(ii)Describe the benefit of Multi-National Companies to the host countries./ Describe the advantages of multi-
national companies for developing countries.
14(a) (i) Describe the advantages of developing the secondary sector in Botswana.
(ii)How does the employment structure of a developing country differ from that of a developing country?
(b)(i) Describe problems faced by foreign investors in Botswana.
(ii)Describe ways in which the government of Botswana can encourage the development of local
entrepreneurship.
15(a)(i) Describe the advantages of capitalism/ market economy.
(ii)Describe the advantages of capitalism/market economy.
(b)(i) Describe the advantages of socialism/ planned economy.
(ii) Describe the disadvantages of socialism/ planned economy.
16(a)(i) How does the government control the economy in mixed economic system.
(ii)Describe the advantages of mixed economy.
1.Study Fig. 1, which shows an assembly line in a car factory, and use it to answer questions (a)(i) and (ii).

(a)(i) Describe the factors that increase the efficient of labour.
(ii) Describe the advantages of specialisation of labour.
2. Study Fig. 2, which shows economic production systems.
(a)(i) Describe the characteristics of a planned economic production system.
(ii) Explain the disadvantages of a market economic production system.
(b)(i)Describe the features that show that Botswana follows a mixed economic production system.
(ii) Explain the benefits of choosing a mixed economic production system.
4. Study the extract below and use it to answer question 3(a).

Most of the large commercial farmers in Namibia belong to a co-operative such as Agra. Co-operatives can
also be of great benefit to subsistence farmers and they have been set up in a number of African countries.
Adapted from: Development Studies 1 by Mweti and Van Wyk
Fig.3
(a)(i) Describe the advantages of being a member of farming co-operative.
(ii) Describe ways in which the government helps local entrepreneurs.
5. Study Fig. 4, which the relationship between Multi-National Corporations (MNCs) and developing countries.
Fig. 4
(a)(i) Explain how Multi-National Corporations benefit host countries.
(ii) Describe the problems that Multi-National Corporations cause to developing countries.
(b) Localisation is the act of replacing foreign workers with nationals.
(i) Explain why localisation is necessary in Botswana.
(ii) Suggest possible problems that the localisation process may cause in Botswana.
6.Study Fig.5, which shows some of the government policies in Botswana.

Fig.5
(a)(i) Describe each policy shown in Fig.5.
Ideas such as:
 Citizen empowerment is when the government equips nationals with skills and other means so that
they can participate in the economy of the country/development/ creating social, political and economic
opportunities so that nationals take part in the development/economy
 Localisation is when the government replaces foreign workers with nationals/citizens/locals/ the
government reserves some businesses for locals
 Privatisation of parastatals is when the government transfers ownership of its businesses to
individuals/companies usually through selling.
 Women and property ownership is when the government allows women to own big possessions, for
example houses and forms or
The government recognises the rights of women to own big possessions such as businesses and houses.
[RULE: Do not penalise for repetition of terms]
(ii)For three of the policies shown in Fig. 2, suggest two ways by which each policy may improve production.
Ideas such as:
 Citizen Empowerment
Increase businesses as locals are given financial assistance
Increased production as citizens are trained or become skilled
 Localisation
Locals are likely to work harder for their country or national pride
Local businesses are given financial assistance
Locals are trained or given courses
 Privatisation of parastatals
Efficient use of resources will result in high production
Possibility of increased foreign direct investment (FDI) to fuel production through more capital or
technology transfer
Improved quality of goods and services

 Women and property ownership
More women owned businesses will increase production in the economy
Increased production in women inclined industries, for example, Fashion and Design, Interior design,
Beauty Parlours, Knitting and pottery
Inherited funds can be used as capital for investment
Government allows females or women to own big or large possessions or assets/material/goods
[Accept any two correct points per policy]
(b)(i) Describe ways by which the government of Botswana empowers citizens.

Ideas such as:
- Training/educating citizens
- Provision of financial assistance to locals
- Providing opportunity for locals to vote in elections
- Provision of information through radio, television, newspapers on various issues
- Provision of health services to fight/ cure/control/treat diseases
- Teaching locals their rights
- Government providing a market to citizens or tenders
- Marketing of local goods and services to outside markets
- localisation
(ii)Suggest challenges that the government may face when trying to follow the localisation policy.
Ideas such as:
- shortage of skilled locals
- Poor work ethics among citizens
- Shortage of funds to implement the policy
- Lengthy training programmes that may delay the process, for example, medical doctors
- Brain drain where trained locals prefer to work in developed countries rather than at home
- Lack of experience among locals slows down production, for example, when a fresh local graduate
replaces an experienced expatriate graduate
- The policy creates conflict between home government and other governments/ it strains foreign relations/
promotes xenophobia.
[RULE: Award slowing down of the economy/productivity if it is the only answer]
7.Study Fig. 6 which is an extract on parastatals.

Fig.6
(a)(i)With the aid of Fig. 1, describe characteristics of parastatals
Ideas such as:
- They are established by Act of Parliament
- The y are separate legal entity from government
- The Chief Executive Officer (CEO) handles the daily operations
- They are owned by government
- Profit goes to the government
- The minister appoints board of directors
- They focus on the provision of essential service such as water and electricity
(ii)Suggest benefits of operating parastatals to a developing country.
Ideas such as:
- To create employment for citizens
- Parastatals prevent duplication of production which is wasteful
- Parastatals allows for economies of scale because they are large
- Parastatals ensure that essential goods and services are available even if they are expensive to produce or
provide, for example, water supply and electricity
- Parastatals provide sufficient capital for large scale development
- Parastatals rescue dying industries in order to protect employment
- Parastatals industries of strategic importance are in the hands of the government rather than private
individuals, for example, atomic power or electricity
- Parastatals also serve as a strategy to promote industrialisation in the country
- They are a source of foreign exchange
- They encourage infrastructural development such as provision of piped water and tarred roads
(b)(i) Explain why some parastatals have been privatised.

Ideas such as:
- To raise capital from sale of shares
- To reduce the burden of running production from the government
- To encourage more people to own shares/ encourage citizen empowerment
- To encourage competition in some business areas where there is monopoly
- To reduce trade union power since private companies are less likely to give into demands by unions
- To increase efficiency in production since private productions will respond to market forces /to reduce
bureaucracy
- To attract foreign investors so that individual companies pay tax

(ii)Suggest problems that may be caused by privatisation.
Ideas such as:
- Many privatised assets are sold too cheaply so taxpayer loses/ encourages corruption
- Sometimes shares or business can land in the hands of foreign companies so profit will go out of the
country
- Shares are bought by the rich businesses so locals fail to participate/ widens the gap between the rich and
the poor
- Privatisation may result in lower wages and poor working conditions fir workers/ exploitation of workers
- Attempts to make profit often result in higher prices making consumers suffer
- Sometimes privatisation changes state monopoly to a private monopoly
- Privatised businesses often reduce workforce/ increases unemployment/ loss of employment
- Private companies are profit driven so they fail to take care of the environment/ disregard care for the
environment, forexample, pollution
MODULE 3: RURAL DEVELOPMENT

- Explain rural development;
Rural Develop an understanding - Describe types of traditional rural societies under
Development and appreciation of the the following headings: land use and ownership,
nature of rural development. division of labour, cultural activities, technology
and dependence on the environment;
- Explain the concept of colonialism;
- Discuss the impact of colonialism on rural
development with specific reference to Botswana;
- Discuss changes in rural areas in Botswana since
independence;
- Discuss positive and negative aspects of rural
development;
- Discuss strategies to solve problems of rural
development;
- Assess different rural schemes, programmes and
projects:
- Investigate the changing family roles in rural areas.
What is meant by rural development?

- Rural development is the improvement in the living standards of people living in the countryside or
village.
- Rural development is improving the standard of living or quality of life or status of people in villages
or remote areas or the country side.
In the context of Botswana, rural areas are settlements where 75% of the population is employed in agricultural
sector, for example, farming.
TRADITIONAL RURAL SOCIETIES
Traditional rural societies were mainly shaped by the natural environment and changing seasons. They made a
living using the natural resources which surrounded them and they used their simple skills to survive and earn a
living. Farming was influenced by the natural environment and the level of production was small. As time went
on, some communities learnt how to make iron, and the tools that they made out of iron enabled them to work
the land more effectively.
Fig.1
TYPES OF TRADITIONAL SOCIETIES
Hunter-gatherers Nomadic pastoralists Agriculturalists

Land tenure Communal : Everyone Communal : Members of Communal :Traditioanal
had a right to use the the tribe had traditional tribal rights to land
environment but none rights to use the
owned it. environment.
Division of labour The small family group. Family .Men looked after Family.Men looked after
Men hunted wild animals animals while women livestock, smelted iron
while women gathered gathered plants , made and women weaved .
wild fruits, nuts, roots clothes and shelter. Men cleared the land and
and other foodstuff from Women made clothing cultivated, built huts for
the natural vegetation. and shelter from animal shelter, collected water
skins. and food from the bush or
veld.
Technology Very simple, made from Simple Iron tools were used and
stones, bones and wood. fire used to clear the
fields.
Cultural Activities Collective decision Initiation ceremonies Storytelling, ancestors
making, natural objects held, natural objects and and idols worshipped,
and ancestors worshipped ancestors worshipped, initiation ceremonies
storytelling. marriage festivities held. held.

What is meant by agricultural communities?
- Agricultural communities are societies that depend on cultivating crops and rearing livestock.
- Agricultural communities are groups of people or societies that depend on arable and pastoral farming.
State any three ways in which agricultural communities differ from hunter-gatherer societies.
- The way in which agricultural communities differ from hunter-gatherer societies is that agricultural
communities get food from domestic animals and plants while hunter-gatherers get food from wild
animals, wild fruits and vegetables.
- Agricultural communities live in permanent settlement while hunter-gatherers are nomadic or built
temporary structures as shelter.
- Agricultural communities use sophisticated technology, for example, iron tools while hunter-gatherers use
simple technology.
TYPES OF FARMING
SUBSISTANCE/ PEASANT FARMING
Subsistence agriculture is the growing of crops and rearing of livestock for family consumption.
CHARACTERISTICS
- It is practised on small scale.
-Labour is provided by the family members.
-Simple technology is used.
-There is production of low yields.
-Sometimes it uses primitive methods for production.
THE ADVANTAGES OF SUBSISTANCE FARMING
-It is cheap.
-it helps poor farmers sustain themselves and their families.
-It requires semi-skill, hence can be done by almost anyone.
-There is less destruction to the environment.
DISADVANTAGES OF SUBSISTANCE FARMING
-It is easily affected by natural disasters such as drought and floods.
-Production is seasonal, and people may starve during the dry season
.
-Poor quality products are produced due to the use of poor methods.
COMMERCIAL FARMING

Commercial farming is the growing of crops and rearing of animals for sale.
CHARACTERISTICS
-It is practised on large scale.
-Labour is provided by paid workers.
-Division of labour is practised.
-It uses capital intensive mode of production.
-Owners are companies or rich individual farmers who run the farm for profit.
-Finance often comes from foreign companies.
THE ADVANTAGES OF COMMERCIAL FARMING
-It creates employment as labour is provided by paid workers.
-High quality goods are produced.
-It is a source of foreign exchange as products are usually for export.
-Productivity tends to be high due to use of machinery and division of labour.
-It enhances self sufficiency in food production.
-It allows for production to take place throughout the year with the help of better methods of farming like
irrigation.
THE DISADVANTAGES OF COMMERCIAL FARMING
-There is too much damage to the environment, for example, the use of chemicals and fertilisers may pollute the
environment.
-Machinery replaces human labour leading to the increase in unemployment.
-Keeping large numbers of livestock in one area may lead to easy spread of parasites and diseases.
-It is expensive to run.
-Labour may receive low wages as farmers are after maximising profit.
THE PROBLEMS FACED BY ARABLE FARMERS
-Arable farmers are faced with the problem of poor storage facilities with most of the harvest being lost to pests.
-There is shortage of labour due to rural-urban migration.
-Pests and diseases that destroy crops.
-Drought and low and unreliable rainfall.
-Communal ownership of land hinder farmers from effecting meaningful developments.

-Soil erosion.
-A young and more educated nation that shuns hard agricultural work.
-Poor and infertile soils.
THE PROBLEMS FACED BY PASTORAL FARMERS

-Poor management strategies.
-Overstocking and overgrazing.
-Shortage of water.
-Outbreak of parasites and diseases, for example, foot and mouth.
-Resistance to change, with some refusing to sell even during drought.
THE CHARACTERISTICS OF A RURAL AREA
1. There is an excessive dependence on agriculture.
2. There is a lot of small uneconomic land and livestock holding.
3. There is low capital-labour ratio.
4. There is high incidence of poverty, underemployment, and unemployment.
5. There is large number of illiterate, semi-skilled and unskilled workforce.
6. There is lack of basic infrastructure.
THE ASPECTS OF RURAL LIFE
(a) THE POSITIVE ASPECTS OF RURAL LIFE
-Life is cheap as people depend on agricultural products that they produced for themselves.
-There is less pollution as there are few industries.
-There is still the spirit of communal co-operation in rural areas.
(b) NEGATIVE ASPECTS OF RURAL LIFE
- The negative aspect of rural life is dependence on subsistence farming or poor agricultural production due
to overworked soils and poor farming methods.
- Rural poverty is common
- High cost of goods
- Fear of witchcraft/ cultural rigidity
- Less job opportunities/ lack of alternative sources of income
- Lack of recreational facilities/ poor infrastructure
- Shortage of market
- Lack of variety of goods to choose from
- Poor educational facilities
- Poor roads
- Lack of access to health facilities

- Poor services
- Poor soil fertility
- Deforestation because people use trees for firewood
- Poverty or inability to fend for oneself
THE AIMS AND OBJECTIVES OF RURAL DEVELOPMENT
- To generate adequate reliable employment.
- To eradicate poverty.
- To accelerate the growth rate of the economy with stable prices and services.
- To ensure food and nutritional security for all.
- To provide minimum services of safe drinking water, health care facilities, and universal education.
- To promote self-reliance.
- To empower women and socially disadvantaged groups.
- To increase agricultural productivity.
- To promote the participation of the people in the development process.
- To contain the growth rate of the population.
THE IMPORTANCE OF RURAL DEVELOPMENT
1. It reduces rural-urban migration.
2. It increases agricultural production, thus helping the country to be more self-sufficient in food.
3. It creates employment in rural areas.
4. It reduces the gap between the rich and the poor, especially in rural areas.
5. It increases production of raw materials for industries.
6. It reduces the inequalities between the rural and urban areas.
THE OBSTACLES OF RURAL DEVELOPMENT
(a) There is shortage of land in rural areas.
(b) Most of the people in rural areas are credit unworthiness.
(c) There is lack of markets in rural areas.
(d) There is shortage of labour in rural areas.
(e) Poor managerial and market skills.
(f) Natural disasters.

(g) Poverty.
COLONIALISM

Colonialism is a system which a powerful country controls a less powerful country. A colony is a country that
is governed by a more powerful country. A coloniser is a country that rules another country.
Define colonialism.
- Colonialism is when a country is ruled or controlled or dominated by another or a foreign country.
- Colonialism is a policy or system of rule or control in which a more powerful country takes complete or
full control over a less powerful one.
IMPACT OF COLONIALISM ON RURAL DEVELOPMENT
(a) NEGATIVE
- Africans lost their most fertile land to Europeans.
- Taxes were introduced such as hut tax.
- Rural communities lost able bodied men (productive population).
- Some people lost their lives.
- Culture was lost.
- The powers of the dikgosi were diminished.
- Establishment of unfair trade patterns between the rich and the poor countries.
- African initiative or craftsmanship was lost.
- Raw materials were lost.
- There was exploitation of cheap labour.
- There was an emergence of migrant labour.
- The family structure changed.
- Native reserves were created.
(b) POSITIVE IMPACT
(a) New and better methods of farming were introduced.
(b) Money as a trading item was introduced.
(c) The colonisers brought infrastructural development.
(d) Christianity was introduced, ending cruel traditional practices such as the killing of twins in the forests.
(e) The introduction of the modern health care system led to the eradication of some killer diseases.
(f) New and better technology was introduced.
(g) Cash crop production was introduced.
(h) Modern education was introduced.
THE POSITIVE EFFECTS OF COLONIALISM ON WOMEN

1. The positive effect of colonialism on women is that of income generation because some women
produced cash crops.
2. The positive effect of colonialism on women is that of introduction of literacy for women or modern
education.
3. The positive effect of colonialism on women is that of a platform for women to prove themselves that
they were able to fend for themselves.
4. The way by which a country may benefit economically from being colonised is that of having
organized markets as capable as men, for example, struggle for liberation.
5. The positive effect of colonialism on women is that of modern health introduced women to family
planning and immunisation.
6. The positive effect of colonialism on women is that of job opportunities outside home, for example,
cashiers, cleaners and nurses.
7. The positive effect of colonialism on women is that of new religion such as Christianity which
removed some bad practices relating to culture, for example, polygamy and killing of twins in the
forest.
8. The positive effect of colonialism on women is that of property ownership, for example, land.
THE WAYS IN WHICH A COUNTRY MAY BENEFIT ECONOMICALLY FROM BEING

COLONISED
a) The way by which a country may benefit economically from being colonised is that of having
organized markets.
b) The way by which a country may benefit economically from being colonised is that of having large
scale farming or plantation agriculture or ranching.
c) The way by which a country may benefit economically from being colonised is that of having
commerce or trade or cash economy or use of money or cash cropping.
d) The way by which a country may benefit economically from being colonised is that of having paid
employment.
e) The way by which a country may benefit economically from being colonised is that of having
technological advancement or skills development.
f) The way by which a country may benefit economically from being colonised is that of having resource
development, for example, mining.
THE MAP SHOWING THE ‘SCRAMBLE FOR AFRICA’ BY EUROPEAN NATIONS WHICH
COLONISED AFRICAN COUNTRIES

Fig.2
THE REASONS WHY EUROPEAN NATIONS COLONISED AFRICA
1. The reason European nations colonised Africa was to get minerals and other natural resources, for
example, copper, gold and diamonds.
2. The European nations colonised Africa to exploit cheap labour.
3. The European nations colonised Africa to set up plantations for industries in Europe.
4. The European nations colonised Africa to give land to European settlers.
5. The European nations colonised Africa to expand their markets.
6. The European nations colonised Africa to expand political influence.
THE NEGATIVE EFFECTS OF COLONIALISM ON PEOPLE IN RURAL AREAS IN DEVELOPING

COUNTRIES
- The negative effect of colonialism on people in rural areas in developing countries is that of introduction
of hut tax resulting in migration of labour.
- Colonialism lead to decline in food production in rural areas in developing countries due to introduction of
cash crops, for example, cotton.
- The negative effect of colonialism on people in rural areas in developing countries is that of land
dispossession or Africans lost their land.
- The negative effect of colonialism on people in rural areas in developing countries is that of family
breakdown due to labour migration or migrant labour.
- Introduction of unhealthy diets, for example, alcoholic beverages.
- Abolition of initiation schools
- Dikgosi lost their authority or their powers

- Loss of culture
- Increased workload for women due labour migration as women were not allowed to join their husbands
who worked in South African mines
- Loss of property such as cattle.
RURAL POVERTY
Rural poverty is a situation whereby people in villages or countryside have insufficient of their basic needs.
FORMS OF RURAL POVERTY
(a) ABSOLUTE POVERTY
- When a person lacks access to reasonably adequate amount or quantities of goods and services to satisfy
her or his material and non-material basic needs.
- The income is so low that even a minimum standard of nutrition, shelter and other basic needs cannot be
maintained.
(b) RELATIVE POVERTY
- Relative poverty is when a person‟s access to the basic needs of life is lower as compared to some group
of people.
- It shows that while some people‟s basic needs are met, they may still experience economic difficulties or
disadvantages as compared to other people.
THE CAUSES OF RURAL POVERTY
- Population pressure leading to resource not been enough for everyone.
- Unemployment because of few industries
- Lack of skills and technology.
- Lack of alternative sources of income to use it to invest in rural areas or to start businesses
- Unequal access to land.
- Lack of money for investment because most of the people are credit unworthiness
- Dependence on poor farming methods, for example, broadcasting method instead of raw planting method.
- Conservatism because some people do not what to change how they do things or are afraid of change.
- Weak and inappropriate representation by the authorities.
THE EFFECTS OF RURAL POVERTY

1. There are low yields as a result of poor soils due to overgrazing and shortage of manure.
2. Erosion and flooding result from shortage of land which leads to slope clearance.
3. Deforestation increases as trees are cut and not replaced.
4. Water resources are over-used and polluted by sewage and animals.
5. Malnutrition and other diseases become more common.
6. Labour is lost as able bodied people migrate to urban areas looking for jobs.
NB: These causes and effects of poverty lead to the vicious cycle of poverty. Once people are trapped in this
cycle, it is difficult to break out as one factor leads to the other.
VICIOUS CYCLE OF POVERTY
Fig.3
INTERPRETATION OF THE VICIOUS CYCLE
Since people are poor, they have little money to invest in improving their farming methods or buy better seeds
and animals. As a result, their land produces very little.
Therefore they are short of food, and they suffer from malnutrition and ill health and they become even poorer.
THE SOLUTIONS TO PROBLEMS OF RURAL POVERTY
1. Drilling more boreholes and construction of dams for better supply of water.
2. Advising farmers on better methods of farming, for example, through radio programmes in order to increase
yields.
3. Providing loans (and other credit schemes) at low interest rates.
4. Practising family planning methods to reduce population pressure.
5. Conserving plants and animals to prevent deforestation and extinction.
6. Encouraging private investors to invest in rural areas so as to create employment for rural and dwellers.
THESE SOLUTIONS CAN BE IMPLEMENTED THROUGH DIFFERENT STRATEGIES:

1. Bottom-Up Approach
Bottom –Up Approach is a strategy in which local people participate fully in development decision making.
ADVANTAGES:
- It leads to development that has local support.
- People come up with relevant solutions to their problems.
- It promotes democracy.
DISADVANTAGES
- It takes a long time to implement some decisions.
- A lot of money is used during consultation.
- It may be manipulated by local elites.
- A decision may be unsuccessful if disapproved by government officials.
2. Top-Down Approach
Top-Down Approach is a strategy in which development decisions are made and implemented by high ranking
government officials who are mostly based in rural areas.
ADVANTAGES
- Decisions are made with the best interest of the whole nation.
- Decision are made within a relatively short period of time.
- It saves money.
- Decisions are made by experts.
DISADVATANGES
- It is remote from the local people.
- Decision may be irrelevant to local interests.
- It may be difficult to implement.
- It may be abused by politicians.
3.Intergrated Rural Development

Integrated Rural Development is a strategy that aims to improve all aspects of the lives of people living in
villages.
THE AIMS OF INTERGRATED RURAL DEVELOPMENT
- Improving farming
- Providing basic social services.
- Reducing dependence on urban economies.
- Raising people‟s standard of living in rural areas.
RURAL INTEGRATED DEVELOPMENT ENTAILS THE FOLLOWING:
Fig.4
(a) LAND REFORMS
- Redistributing land so that everyone has equal access to it.
- Helping the landless people.
- Giving women the same land rights as men.
(b) MODERNISING FARMING
- Providing extension services.
- Introducing credit schemes.
- Raising cash crops for the market.
- Increasing self sufficiency in food.
- Forming farmers‟ co-operatives.
(c) WATER RESOURCES MANAGEMENT

- Providing clean water.
- Helping the villages to construct small dams.
(d) SOCIAL SERVICES
- Construction of clinics.
- Construction of schools.
- Improve telecommunications.
- Construction of tarred roads.
(e) STORAGE AND MARKETING SCHEMES
- Providing markets.
(f) RURAL INDUSTRIES
- Setting up industries in rural areas.
- Establishing financial assistance programmes such as FAP/CEDA
RURAL DEVELOPMENT SCHEMES
There are many ways through which the governments in developing countries try to develop rural areas. The
government of Botswana has adopted several of these:
1. LOAN AND CREDIT SCHEMES
Government help farmers to borrow loans from banks and other financial institutions at very low interest rates
so that they can use the money to improve farming.
Government agencies are often set up to lend people money at very low rates so that poor farmers can borrow.
When farmers take a loan, they usually use their land as security. This means that if they fail to repay the loan,
the bank will take the land and sell off to recover its money.
Sometimes it is difficult for farmers to get loans from the banks because they are small scale farmers. For
example, credit schemes such as FAP, ALDEP, ARAP, SMME, CEDA etc.
(a) ARABLE LAND DEVELOPMENT PROGRAMME(ALDEP)
ALDEP helped farmers with grants to enable them to produce more.

The grants covered the following:
- 85% of the total cost of purchasing drought animals, for example, cattle and donkeys.
- Farm machines and implements, for example, tractors, ploughs, planters.
- Water catchment tanks.
- Fencing materials.
- Farmer education on scientific methods of production.
- Agricultural inputs, for example, hybrid seeds, fertilizers etc.
(b) ACCELERATED RAINFED ARABLE PROGRAMME (ARAP)

Farmers received grants in the form of money for the following:
- Ploughing their fields.
- Fencing their fields.
- Practising row planting.
- Weeding the fields.
EVALUATION OF ALDEP AND ARAP
FAILURES
These failed to receive agricultural production. They have thus been suspended. They failed because of the
following reasons:
- Severe and persistent drought.
- Dependency syndrome among farmers who now expected the government to provide them with
everything.
- Most of the grants were used for non-agricultural activities.
- They mostly benefited the rich and literate farmers.
- Most farmers did not co-operate.
- Some farmers were resistant to change.
ACHIEVEMENTS
- Great awareness of modern farming methods was created among farmers.
- Farming technology was improved.
- Some farmers ended up producing for the market.
- Most communal farmers had access to capital.
2. FARMERS CO-OPERATIVES
This is a group of farmers who join together in order to increase production.
They are able to gain advantages as a group that they would not be able to make a s individuals.
By buying in bulk, they are able to save on cost of transporting these inputs.
3. SMALL RURAL PROJECTS
These try to help people in rural areas by giving them a chance to earn money from something other than
farming.
For example, such projects are, brick-making, tree-planting, weaving etc.
In Botswana, these are usually done through the Drought Relief Programme (Namola Leuba).
THE CONDITIONS IN RURAL BOTSWANA AT INDEPENDENCE

Rural areas in Botswana were adversely affected by rural poverty characterised by:
(a) Lack of infrastructure.
(b) High levels of illiteracy.
(c) Low incomes.
(d) Simple and less productive technology.
(e) Low agricultural yields.
(f) Lack of capital for investment.
(g) High levels of unemployment or lack of paid employment opportunities.
(h) Lack of access to safe and clean water.
(i) Few social services.
(j) Food shortages and widespread malnutrition
(k) Poor or standard shelter.
DEVELOPMENT OF RURAL AREAS SINCE INDEPENDENCE
The government of Botswana has been engaged in an integrated rural developmental program with the
following objectives:
(i) To increase sustainable production from land and wildlife.
(ii) To improve marketing and credit facilities in rural areas.
(iii) To create productive employment opportunities.
(iv) To improve access to social services such as water, education and health care.
NB:Consequently the following improvements have taken place in the rural areas.
(a) IMPROVEMENT IN INFRASTRUCTURE
- A network of tarred and gravel roads has been constructed.
- A network of telecommunications, especially in big villages, has been set up, coupled with a mobile
telephone network.
- Powerlines that bring electricity to the countryside have been put up (rural electrification).
- Dams and boreholes have been constructed.
Describe three infrastructural changes that have taken place in many rural areas in Botswana.

- The infrastructural change that has taken place in many rural areas in Botswana is that of rural
electrification.
- The infrastructural change that has taken place in many rural areas in Botswana is that of piped water.
- The infrastructural change that has taken place in many rural areas in Botswana is that of tarred roads and
bridges.
- The infrastructural change that has taken place in many rural areas in Botswana is that of
telecommunications networks.
- The infrastructural change that has taken place in many rural areas in Botswana is that of construction of
schools.
market centres such as Botswana Agricultural Marketing Board (BAMB), Cooperatives and cattle
ranches.
dams such as Ntimbale dam, Lotsane dam, Dikgatlong dam and drilling of boreholes.
- The infrastructural change that has taken place in many rural areas in Botswana is that of recreational or
entertainment facilities, for example, stadia such as Masunga Sports Complex and Molepolole Sports
Complex.
- The infrastructural change that has taken place in many rural areas in Botswana is that of rural industries.
- The infrastructural change that has taken place in many rural areas in Botswana is that of clinics and
hospitals.
- The infrastructural change that has taken place in many rural areas in Botswana is that modern houses.
- The infrastructural change that has taken place in many rural areas in Botswana is that of airports and
airstrips.
(b) IMPROVEMENT OF WATER SUPPLY
- Over 90% of rural Botswana has access to clean and safe water through the Department of Water Affairs.
- Clean water is supplied through boreholes, dams, and water reticulation systems.
- Water borne diseases have been eradicated by means of treating water to make it safe for human
consumption.
(c) IMPROVEMENT OF SOCIAL SERVICES
- There has been massive expansion in the education sector with the construction of primary and secondary
schools.
- Education has been made free to cater, especially, for the rural poor.
- Hospital , clinics and health posts have been constructed.
- Health care services have been made affordable for everyone with people paying only P5.00.
- There is supplementary feeding such as Tsabana, especially for malnourished children at almost all clinics
and health posts.

(d) IMPROVEMENT OF AGRICULTURE
- Loans are provided for farmers through National Development Bank and CEDA.
- Farmers have been provided with grants through programmes such as ALDEP and SLOCA- Services to
Livestock Owners in Communal Areas.
- Farmers are taught new and better farming methods through Agricultural Extension Services.
- Marketing facilities have been improved for farmers, for example, BMC, BAMB.
- Artificial Insemination Centres have been established to improve livestock breeds.
- Diseases and pests are controlled by the Veterinary Services Department of Animal Health and
Production, and the Crop Protection Unit.
- Sebele Agricultural Research Station has been established to developed new hybrid seeds and production
methods.
- RIIC and BOTEC have been established to produce relevant technology for rural areas.
- Government services have been decentralised to rural centres and Drought Relief Programme has helped
create employment opportunities in rural areas.
- Land Boards have been established to control and regulate land use and distribution in communal areas.
Check your progress

1.(a) What is meant by rural development?
(b)Describe three negative aspects of rural life.
2.(a)Define colonialism.
(b) Describe three ways by which a country may benefit economically from being colonised.
3.(a) What is meant by agricultural communities?
4.(a) Define rural poverty?
(b) Describe any three causes of rural poverty.
5.(a)What is commercial farming?
(b) State three advantages of commercial farming.
6.What are hunter-gatherer societies?
7.Describe the division of labour in the hunter-gatherer societies
8.Aims of rural development
9.Explain the importance of rural development
10.The figure below shows some essentials for rural development
Rural Industries
Transport Schools
Essentials for Rural Land Reform

Loans & Credit
Development
Agric. Extension
Resettlement Services
Schemes
Appropriate
Technology
Figure 1
Choose one of the labels from the figure above and explain why it is essential for rural development
11.Describe the problems involved in the implementation of rural development schemes & strategies such as
those in the figure above
Describe obstacles to rural development in Botswana
12. How did colonialism benefit people in rural areas?

Positive effects of colonialism on Africa

13Describe the characteristics of subsistence farming
14.What are the problems faced by subsistence farmers?
15.Describe the characteristics of commercial farming
16.What are the problems faced by commercial farmers?
Explain how govt. schemes help solve problems faced by commercial farmers in Botswana
17.How can the foot & mouth (or cattle lung) disease affect the rural economy in Botswana?
18.Study Fig.2 and use it to answer question 18(a)(i) and (ii) below
Fig.2
(a)(i) Describe the causes of rural poverty in developing countries.
(ii) Describe the major impacts of poverty on people and the natural environment in rural areas.
(b)(i) Explain how women contribute to rural development in Botswana.
(ii) How is the government attempting to solve the problems of rural poverty in Botswana?
19.Study Fig. 3, which shows element of integrated rural development.

Fig.3
(a)(i) Describe each element of integrated rural development shown in Fig. .3
- The element of integrated rural development which is land reforms deals with redistribution of land to
help landless people or deals with helping people to have access to land.
- The element of integrated rural development which is modernising farming deals with teaching people
new methods of growing crops and raising livestock or introducing credit schemes to help farmers
improve their activities or to improve agricultural production.
- The element of integrated rural development which is water resource management deals with helping rural
people to construct small dams or providing safe water to the people.
- The element of integrated rural development which is storage and markets helps with the establishment of
selling points for farm produce and buildings for keeping farm produce, for example, grain silos and
Botswana Agricultural Marketing Board (BAMB).
- Rural industries are setting up factories in the countryside to create employment or jobs.
- Provision of social services deals with building of schools and clinics to improve the education and health
of people in rural areas
(ii) Explain the problems which are caused in rural areas of Botswana as development occurs.
- The problem which is caused in rural areas of Botswana as development occurs is that of loss of culture
due to modernisation.
- The problem which is caused in rural areas of Botswana as development occurs is that of increase in
crime.
- The problem which is caused in rural areas of Botswana as development occurs is that people may be
forced to relocate to give way to industries and other infrastructure, for example, construction of tarred
roads, schools and dams.
- The problem which is caused in rural areas of Botswana as development occurs is that of high cost of
food.

- The problem which is caused in rural areas of Botswana as development occurs is that of
commercialisation of life.
- The problem which is caused in rural areas of Botswana as development occurs is that mobility of people
increases and this could encourage spread of diseases, for example, HIV/AIDS.
- The problem which is caused in rural areas of Botswana as development occurs is that of pollution.
- The problem which is caused in rural areas of Botswana as development occurs is that of deforestation
and soil erosion.
- The problem which is caused in rural areas of Botswana as development occurs is that of low production
in agriculture.
(b)(i) Explain the challenges that the government of Botswana faces when trying to provide safe water in
rural areas.
- The challenge that the government of Botswana faces when trying to provide safe water in rural areas is
that it is expensive or of lack of funds, for example, dam construction or piping is expensive.
- There are few big rivers
- Unreliable rainfall
- Scattered settlements making it difficult to take advantages of economies of scale.
- Vandalism by the rural people/ people vandalising pipe work or livestock
- Relocation of the people to pave way for dams may be unwelcomed by people.
- Culture/ traditional beliefs may block government efforts.
(ii) Suggest ways by which Non-Governmental Organisations can help people in rural areas to improve
their standard of living.
- The way by which Non-Governmental Organisations can help people in rural areas to improve their
standard of living is through fund income generating activities or provide capital for people to start
businesses.
- The way by which Non-Governmental Organisations can help people in rural areas to improve their
standard of living is by employing rural people in projects.
- Train people in practical skills
- Buy rural products or crafts
- Provide basic needs to the needy, for example, food and shelter
- Teach people to utilize local natural resources or veld products
- Promote environmental awareness
- Advocate for human rights
- Improve infrastructure, for example, roads.
20. Study Fig. 4, which is an extract on rural development.

Since Botswana‟s independence in 1966, the major challenges facing the country has been rural development,
and the critical issue that needed urgent attention has been, and still is, poverty alleviation. In an effort to
achieve rapid social and economic development, as well as promote social justice, various policies, programmes
and strategies have been formulated to address development issues in the country.
Fig.4
(a)(i) Describe how rural areas in Botswana have improved since independence.
Ideas such as:

- Wide tarred roads have been constructed
- More schools have been built
- More health services have been provided/clinics/health centres/hospitals built
- Increased agricultural extension service
- Increased livestock and crop production/ improved agricultural infrastructure
- Provision of agricultural marketing centres, for example Botswana Agricultural Marketing Board,
Botswana Meat Commission
- Establishment of rural industries/shops in rural areas
- Rural electrification, improved/modern housing
- Improved telecommunications
- Provision of piped water
- Agricultural disease control
- Sewage system connection and landfills
- Establishment of service centres, for example, Omang, Registration of birth and deaths, water utilities,
power and community hall.
(ii)Explain the importance of any three rural development projects in Botswana.
Ideas such as:

- Road construction to improve transport
- Borehole drilling to supply clean water
- Connection of water pipes/ construction of water treatment plants to supply clean water
- Markets stalls to provide shelter for small scale businesses operations
- Dam construction to supply clean water
- Bus shelter erection to protect travellers from harsh weather conditions
- Construction of Kgotla buildings to protect people/attendants from harsh weather
- Construction of community halls to provide venues for activities
- Construction of educational facilities to increase literacy rate and to assist learners to qualify for upper
levels of education
- Construction of health facilities to treat the ill or injured people / to improve people‟s health
- Construction of houses by Village Development Committees to provide accommodation
- Rural electrification to provide power
(b)(i) Describe challenges which result from development in rural areas.

Ideas such as:
- Loss of culture, for example, changes in diet
- Increased population/ migration
- Overharvesting of natural resources
- Increased crime
- Commercialisation of life/ increased cost of living
- People living in heterogeneous groups instead of homogeneous groups thereby decreasing unity/
understanding
- Deforestation due to infrastructural development/ industrialisation process
- Complexity of life as opposed to the simple traditional life
- Pollution [allow example]
- Poor sanitation/hygiene
(ii)Suggest ways by which duties of family members in rural areas have changed as a result of the
development process.

Ideas such as:
- Grandmothers/mothers/wives/daughters look after large livestock
- Grandmothers/mothers/wives/daughters do paid work/jobs
- Husbands/sons/grandfathers/fathers babysit/look after children
- Grandmothers/mothers/wives make decisions
- Children attend school
- Grandfathers/fathers/husbands grow food crops
- Husbands do household chores
- Mothers/grandmothers head families/ female headed households
- Child headed families
[RULE: Award even when men/women terms are used]
MODULE 4: INDUSTRIALISATION AND URBANISATION

TOPIC GENERAL SPECIFIC OBJECTIVES
OBJECTIVES
Industrialisation Describe the process of - Explain the industrialisation;
industrialisation and its - Evaluate different strategies for industrialisation
impact on development. including import substitution, export oriented
industries, small and large scale enterprise, multi-
national companies, local investment and joint
venture;
- Describe the characteristics of modern industries
including mechanisation, advanced technology, a
wide range of raw materials, synthetic products,
division of labour, automation, robotics,
feminisation of the labour force, sub-contraction,
cottage and co-ordination of specialised tasks;
- Discuss the effects of industrialisation;
- Discuss the successes and challenges of newly
industrialised countries;
- Investigate the impact of industrialisation on their
locality.
Urbanisation Explain the dynamics of - Explain urbanisation, urban growth, rural-urban,
urbanisation and its impact urban-urban migration and primates cities;
on development in - Discuss the effects of urbanisation;
Botswana and the SADC - Suggest possible solutions to problems of
region. urbanisation;
- Explain the formal and informal sectors of the
economy;
- Account for the growth of the formal and informal
sectors;
- Discuss the problems of the informal sector of the
economy and suggest possible solutions;
- Compare and contrast the process and impact of
urbanisation in Botswana to that of other
developing countries in the SADC region.
INDUSTRIALISATION
AN INDUSTRY is the production of everything (goods & services) other than those produced in agriculture.
-Any activity which is aimed at economic gain but particularly applied to manufacturing industry.
INDUSTRIALISATION is the process of setting up organisations for the making of goods and provision of
services, especially in the introduction of manufacturing industry.
-The process of growth of large-scale machine production and the factory system.
This is done through manufacturing, mining, construction, assembling, energy/power and service production.
HISTORICAL BACKGROUND
Industrialisation started in Europe in the early 18 th century. The main aim was to speed up the production of
clothes from cotton and wool. Later on similar methods to those in the textile industry were employed in the
production of other goods and services. By the end of 19 th century many countries of Western Europe, North
America and Japan had started to industrialise.
In Botswana, industrialisation is still at infancy or primary stage. The country only started to industrialise after
attaining its independence. It is therefore in the category of industrialising or developing countries.
STRATEGIES FOR INDUSTRIALISATION

Fig.1
There are two broad strategies for industrialisation which have been used successfully by many industrialised
and Newly Industrialised Countries (NICs).
These are Import Substitution Industrialisation (ISI) and Export Oriented Industrialisation.
These could be implemented through Multi-National Corporations, Local companies, Small scale and large
scale, and joint venture.
IMPORT SUBSTITUTION INDUSTRIALISATION
This is whereby the country starts making goods itself instead of importing them from elsewhere.
A deliberate effort is usually done to local industries through :
- Putting high tariffs on imported goods.
- Providing loans and grants to local business people by the government.
- Encouraging students to specialise in science and technology, so as to provide the much needed skills.
- Starting national research centres to encourage technical inventions.
- Inviting Multi-National Corporations to invest in the country to produce for the home market.
- Controlling the workers so as to ensure stability at the work place.
- Protecting individual property rights at all times, thus reducing fear from the private companies that
their property may be nationalised.
- Providing the necessary infrastructure such as telecommunications, water and power.
- The government investing directly in heavy industries which are of strategic importance or which
cannot attract private investors.
Other Advantages of Import Substitution Industrialisation (ISI) Strategy
- There is creation of employment.
- Improved infrastructure.
- A country earns foreign exchange if it produced surplus goods which could be exported.

- Workers acquire skills and knowledge.
- Local raw materials can be used. So the goods may be cheap.
- A country saves money which could be used for other economical activities.
THE ADVANTAGES OF IMPORT SUBSTITUTION INDUSTRIALISATION
- Home market is too small and expansion is limited.
- A country still needs to import expensive machinery or technical knowhow to produce goods.
- A country does not earn foreign exchange.
- Depletion of local raw materials.
- There could be limited variety of goods.
EXPORT ORIENTED INDUSTRIES
This is whereby a country develops industries directed towards exports, for example, products in high demand
in the outside world.
This done for many reasons:
- to generate the high required foreign exchange.
- to create job opportunities for the locals.
- to encourage research, innovation and development skills.
- to encourage economies of scale, for example, they can produce more for a bigger market and be able
reduce the prices while still making profit.
- to make more profit in using cheap local labour and export goods which may not find market locally.
THE DISADVANTAGES OF EXPORT ORIENTED INDUSTRIES
- local people‟s needs may not be met because a country is only concentrating in goods for export.
- local raw materials may get depleted.
-if products are not of good quality they may not compete well in the world market.
-if the countries which buy the goods find an alternative goods or substitute the market may decline.
NB:The two strategies can be achieved by various means, such as Multi-National Corporations, Local
investments, Joint Enterprises, small scale and large scale industries.
MULTINATIONAL CORPORATION/TRANS NATIONAL CORPORATION

There are large companies or firms usually based in the industrialised countries, with branches in some other
parts of the world. These companies are so huge that their annual turnover is bigger than GDP of most countries
including developed countries.
TNC COUNTRY OF ORIGIN PRODUCTS

Roche Switzerland Pharmaceuticals
Honda Japan Motor cars and motor cycles
De Beers Republic of South Africa Diamonds
Sony Japan Electronic goods
Kodak USA Photographic equipment
Nestle Switzerland Food stuffs
Bayer Germany Chemicals and medicines
Exxon (Esso) USA Oil products
Phillips Netherlands Electrical goods
General Motors USA Motor cars
IBM USA Computers
Volkswagen Germany Motor cars
Coca Cola USA Soft drinks
Unilever Netherlands Foodstuffs and household products
Monsanto USA Agri-chemicals and biotechn.
goods
THE ADVANTAGES OF MULTI-NATIONAL COMPANIES/CORPORATIONS (MNCs)
 They bring with them capital, skills and technology.
 They reduce reliance on imported goods, for example, they can be part of import substitution
industrialisation.
 They pay taxes to the host countries, thus generating income.
 They create job opportunities.
 They provide goods and services of better quality and variety to the customers.
 They export and earn foreign exchange for less developed countries-export oriented industrialisation.
 They widen the country‟s income base, increase GNP.
 Some local clubs, teams, individuals usually benefit from this obligations, for example, scholarship and
sponsorship.
THE ADVANTAGES OF MULTI-NATIONAL COMPANIES/CORPORATIONS (MNCs)
 They often use local saving which could be used for the benefit of the locals.
 They often pay locals little salaries and take most profits back home.
 Less Developed Countries(LDCs) often compete for MNCs, by providing them with incentives such as
tax holidays, grants and loans. MNC‟s move their products between countries so as to avoid
responsibilities and enjoy incentives from different countries.
 Some MNC‟s are too powerful for local governments to control.

 MNC‟s sometimes take advantage of ignorance of the locals to use methods which are not appropriate
to the local environment and conditions, for example, using capital intensive technology and expertise.
 At times goods are produced are irrelevant to the local community or domestic market.

 MNC‟s encourage dependency and neo-colonialism through dependence on foreign technology,
foreign markets, foreign capital, foreign expertise etc.
 They bribe and corrupt the host government or even interfere with in their politics.
LOCAL COMPANIES
Local individuals or group of individuals can organise themselves and start businesses.
THE ADVANTAGES OF LOCAL COMPANIES
 They are eager to make profit so they are prepared to work harder.
 They are flexible and respond well to local demands.
 They find out what people need and they try to meet their demands.
THE DISADVANTAGES OF LOCAL COMPANIES
 They are profit oriented and they can exploit the locals.
 They face the problem of raising capital for technology.
 Locals usually prefer foreign goods than locally made ones.
 If they produce in small quantities the cost of production may be high leading to high prices.
SMALL SCALE INDUSTRIALISATION
This refers to production done on small scale basis and involves the production of crafts work, for example,
sculpture, curving, pottery, basketry etc.
THE ADVANTAGES SMALL INDUSTRIALISATION
o They generate income as products are usually bought or purchased by pursuits.
o Employment creation in rural areas.
o Utilisation of local resources, for example, raw materials and skills.
o Reduction of rural-urban migration as they are usually rural based.
THE DISADVANTAGES OF SMALL INDUSTRIALISATION
 Unreliable markets or poor marketing strategies.
 Lack of managerial skills.
 Destruction of environment.
 Financial constraints or lack of capital.
LARGE SCALE INDUSTRIES

This refer to huge production of goods, it involves machinery as well as a lot of mechanical power.
THE ADVANTAGES OF LARGE INDUSTRIES
 Encouraging mass production.
 Create linkages, for example, growth of interconnected industries.
 Economies of scale.
 Quality production due to competition.
 Training of labourers.
 Development of infrastructure.
DISADVANTAGES OF LARGE INDUSTRIES

@REFER TO SMALL SCALE INDUSTRIES
PARASTATAL
These are state owned corporations which are set if the government fails to attract private inventions or it wants
to “decommercialise” the essentials commodities and services.
Examples in Botswana are: Botswana Telecommunications, Bank of Botswana, Air Botswana, Water Utilities
etc.
THE ADVANTAGES OF PARASTATALS
1. Their aim is not to generate profit but to provide essential services.
2. If there is profit it is reinvented for the benefit of the whole country.
3. Effort is made to train and employ local workers at all levels of production.
4. The produce is made and sold at affordable prices.
5. There is job satisfaction and security.
THE DISADVANTAGES OF PARASTATALS
i. Single or uniform products do not satisfy everyone‟s taste or wants.
ii. Goods produced are usually of poor quality.
iii. Civil servants usually lack motivation as they work for salary rather than for prize.
JOINT ENTERPRISES
A joint venture involves two or more business organisations or individuals who combine their resources to
form a new business operation.
That is when an individual, or the government join hands with foreign individuals, companies, or government to
form or start business, for example,
- Debswana- Debeers and Botswana government
- Bolux- Botswana and Luxembourg
- BCL-Botswana and Anglo-American
- Murray &Roberts
THE ADVANTAGES OF JOINT VENTURE

(a) Economies of scale
(b) Encourage mass production
(c) Quality production
(d) Create job opportunities
THE CHARACTERISTICS OF MODERN INDUSTRIES
Modern industrial production is complex and highly mechanised. In order to industrialised, a country must have
natural resources [land], human resources [labour], financial resources and entrepreneur skills to help in the
production of goods and services. Here are some of the characteristics of modern industries:
*Raw materials: Raw materials may determine the location of an industry, for example, industries using large
quantities of bulky raw materials such as cement factory, brick work, iron making, will be influenced by the
location of the raw materials, for example, fruit and vegetable canning.
*Advanced technology: Modern industries require complex technology. The machinery is very complicated
and expensive, it requires special skills to produce and repair it.
*Mechanisation: Modern industries require factory buildings, machinery and various types of equipment.
*Division of labour and specialisation: for the factory to be more efficient and to make products within a short
time it needs to divide its workers into different tasks. In other words each worker has to specialise in small part
of the whole task.
*Automation and robotics: In modern industries most of the machine processes are controlled by computers.
Such industries are called High Tech industries. In such industries goods are not handled by people at all during
the whole production process. Only a few highly skilled workers are required to ensure that the machine does its
work properly.
*Feminisation of labour force: In industries today women are increasingly doing the jobs hitherto regarded as
men‟s work, and consequently their numbers are constantly increasing. This is because increased mechanisation
has done away with much heavy labour. Women excel in work requiring precision and delicacy of touch, they
tend also to tolerate long hours of machine-minding than men.
*Synthetic products: new technology has made it possible to replace natural products with artificial ones, for
example, synthetic fibre and synthetic rubber made from hydro carbons derived from petroleum.
* Sub-contraction: Because of high specialisation in industries some companies find it increasingly hard to
complete some tasks alone. They hire some companies to do part of the job.
*Cottage industries: the manufacturing wholly or partly carried out at the home of the worker. Here a big
industry could supply raw materials to the cottage industry operator, to turn them into finished goods for a fee
and then return it to the big industry for selling. This is done to minimise costs.
*Coordination of specialised tasks: Large scale industries are made up of large numbers of independent
specialists, for example, in a mining industry, there are people specialising in engineering, research, sales,
accounting, advertising, etc.
THE EFFECTS OF INDUSTRIALISATION

Industrialisation and development are closely related. Development can be either negative or positive and so do
industrialisation.
THE ARGUMENT FOR INDUSTRIALISATION (POSITIVE EFFECTS)
- Through industrialisation the country can produce more goods and services, so the GDP will increase.
- More jobs can be created. There will be different jobs for the locals.
- The standard of living will increase since people will have more choices.
- The government can collect more money to spend on welfare services.
- When a country has its own industries it is more independent.
- Industry can produce surplus for further investment.
THE ARGUMENT AGAINST INDUSTRIALISATION (NEGATIVE EFFECTS ON PEOPLE)
- People have to change their way of life, move into cities and often lose touch with family and friends
.
- Work has to match the pace of the machine. Some jobs are repetitive and boring.
- People may become greedy for more and more goods. Wealth becomes more important than human
relations.
- Industries tend to use up natural resources, like minerals and fossil fuels which are non renewable.
- They may forget the importance of agriculture and craft production.
- Traditional culture may be lost or changed.
THE EFFECTS ON THE ENVIRONMENT
Large cities grow up around the industries often with problems of poor housing, overcrowding, bad sanitation,
diseases.
Industries pollute the land, air and water.
THE SUCCESSES AND CHALLENGES OF NEWLY INDUSTRIALISED COUNTRIES
These are countries with new and fast growing industries. They are third world countries which started
industrialising after the second world war.
Examples of newly industrialised countries are South Korea, Brazil, Egypt, India, Argentina, Singapore, Hong
Kong, Taiwan, China etc
SUCCESSES
 There is creation of employment.
 Introduction of new technologies.
 More exports.
 More foreign exchange.
CHALLENGES

 Competition with developed countries.
 Local people do not have the buying capacities.
 Shortage of buyers in the international market because of low quality and environmental pollution.
CASE STUDY-BRAZIL
Brazil is one of the examples of successful industrialised countries of the South. She managed that through the
help of her motor industry, through which she managed to implement import substitution and export oriented
industrialisation strategies.
Brazil invited Multi-National Corporations such as Ford, Volkswagen, General Motors to set up industries in its
territory.
These industries were attracted through grants, loans, flexible rules allowing companies to send profit home.
A 200% tariff was levied on all imported cars, making them three times expensive in Brazil.
The government gave loans to the Brazilian companies to set up support companies such as battery companies,
tyre companies and wire companies.
The government built heavy industries such as steel mills to supply car industries with locally made steel.
The government also developed infrastructure such as roads, railways, sea ports and imported oil.
BENEFITS
 Jobs were created.

 New technology was brought into the country.
 Research and design were created for new inventions.
 Standard of living rose.
 Export market grew.
 Profit used to diversify production.
PROBLEMS
 Gap between the haves and the have nots widened.

 Workers worked for a long time but paid very little.
 Urban poverty increased.
 Workers not allowed to strike.
 Working conditions crowded and unhealthy.
 Damaged caused to the equatorial forests and tribal cultures.
 The country not able to pay its loans due to high interests and low production.
 Corruption grew or money stolen / misused by leaders.
 Severe imported inflation, for example, due to rise in petrol prices.
Check Your Progress

1. Describe modern industries
Characteristics of modern industries:
2. Describe five factors that should be considered when setting up industries
3. How does industrialisation negatively affect development?
4. Suggest possible solutions to the negative effects of industrialisation on people
5. Why are most manufacturing industries found in the eastern part of Botswana?
6. How can the Botswana govt. encourage industrialisation in other parts of the country?
7. Identify and define the sectors of production
8. Describe the benefits of the secondary sector

9. What problems are faced by developing countries in their attempt to industrialise?
10. How does a developing country benefit if it adopts the import substitution industrialisation strategy?
Discuss the advantages of import substitution industrialisation
11. Why did Newly Industrialised countries take a shorter period of time to industrialise?
12. Give examples of Newly Industrialised Countries (NICs):
13. What challenges are Newly Industrialised countries facing in an attempt to sustain their development levels?
14.Study Fig.2, which shows some of the strategies for industrialisation.
Fig.2
(a)(i) Describe the industrialisation strategies shown in Fig. 2.
- Small scale enterprise is the industrialisation strategy where government can organize and fund people
to produce goods at home (cottage industry) or craft industry, for example, weaving and pottery. / the
government fund people to produce few goods.
- Multi-National Companies are companies that the government can invite to establish industries that
produce goods and services in the country.

- Joint venturing is the industrialisation strategy whereby the government works with other businesses to
produce goods and services/ the government encourages businesses to work together to produce goods
and services.
- Export orientation is the strategy the government can encourage investors to set up factories to produce
goods for sale outside the country.
- Import substitution is the strategy that the government can encourage the setting up of factories to
produce goods to replace those bought outside the country.
- State enterprises are the strategy whereby the government can establish parastatals to produce goods
and provide services in the country.
(ii) Describe factors that a country should consider in order to set up industries.
- The factor that a country should consider in order to set up industries is the availability of raw materials
or natural resources used to produce goods.
- Availability of capital for investment/money/ start-up capital
- Availability of labour, for example, specialised labour, skilled labour, semi-skilled labour and unskilled
labour.
- Availability of a large market to sell goods and provide services.
- Availability of power/electricity to drive machines used in the production process
- Availability of transport and telecommunication networks
- Availability of water for cooling machines, cleaning and as an ingredient
- A stable political environment
- Availability of land
- Availability of technical knowhow/skills/machinery
(b)(i) Describe the negative effects of industries on the environment.
- The negative effect of industries on the environment is that of air pollution, land pollution, water
pollution and noise pollution.
- Deforestation or cutting down of trees/ soil erosion
- Depletion of natural resources or natural resources getting finished
- Poor sanitation due to growth of overcrowded cities
- Acid rain
- Disturbance of the ecosystem/ loss of habitat
- Creation of heat island/ raised temperatures in towns
- Climate change

(ii) Suggest the benefits of having many industries in a developing country such as Botswana.
- The benefit of having many industries in a developing country such as Botswana is job creation.
- Availability of a variety of goods and services locally/ reduced imports
- Infrastructural development, for example, tarred roads
- Increase of GNP/GDP/GNP per capita/ GDP per capita
- Locals learn skills
- Technological advancement
- National pride
- Taxation by the government

- Foreign exchange from exports
- Utilisation of local resources
- Self reliance
- Diversification of the economy.
15.Study Fig. 4, which shows the Newly Industrialised Countries (NICs), and answer questions (a)(i) and (ii).
Fig.3
(a)(i) Describe the location of the Newly Industrialised Countries.
(ii) Explain the challenges which are faced by the Newly Industrialised Countries.

URBANISATION
EXPLANATION OF CONCEPTS:
 URBANISATION-an increase in the proportion of the people living in towns and cities.
 URBAN GROWTH-the increase in the physical size of urban area.
The difference between the two is that urbanisation means an increase in the percentage of the population,
whereas urban growth may not necessarily affect the percentage of the population, even though the physical size
of the urban area increases.
 TOWN-a small urban settlement.

 CITY-a large urban settlement.
NB: The criterion for classification of a settlement into either an urban or rural one varies from one country to
the other. For example, any settlement of 5000 or more people, with about 75% of its labour force involved in
non-agricultural employment is regarded as urban in Botswana. In contrast the United Nations regard a
settlement with 20 000 or more people as urban.
 PRIMATE CITIES-originally these were ports which were set up by colonial governments as their
administration centres.
Over the years, these settlements attracted a lot of people from rural areas, and most of the economic
activities in these settlements are more industrial than agrarian.
Examples are Lagos, Accra, Freetown, Abijan, Dakar, Dar es Salaam and Addis Ababa.
What is a primate city?
- Primate city is the largest urban centre or areas whose population is at least twice or double that of the
second largest in a country.
THE CHARACTERISTICS OF A PRIMATE CITY
- The characteristic of a primate city is that of an area where government would normally aet up its
administration, for example, parliament
- Primate city is an area where a national university and technical training schools are located.
- Primate city has the best infrastructure, for example, communication networks and most of financial
investment.
- Primate city is an area where many private companies headquarters are found or is a centre of
commerce
- More industries
- More population

THE CAUSES OF URBANISATION
The main ones are:
1. Natural Increase
The population increase in this case is caused by birth rate being higher than death rate.
It is calculated by subtracting the rate of death from the rate of birth (BR-DR=NI).
The incidence of this can be attributed to improved health facilities, diets, water and sanitation and the general
standard of living.
2. Migration
This is the process of moving from one area to the other with the intention of staying at the area of destination
for a reasonable length of time.
Permanent migration is when one moves from one area to another without the intention of moving elsewhere,
or returning to their place of origin.
Temporary migration is when one moves from place to the other to stay for a short period of time.
Internal migration is when one moves within the same territory or country.
External migration is when one moves across borders or territorials boundaries.
Fig.1
Migration may be a result of push factors (negative things that force people to move) such as inadequate social
amenities (education, health facilities, etc), desire to break away from traditional way of life, poverty, poor
farming methods, lack of investment opportunities, lack of employment, higher prices of goods in rural areas,
wars, drought and poor harvest.
Pull factors such as improved social amenities in urban areas, high opportunities of getting a job or investing or
better-paying jobs, relatively cheap prices of goods, security, high opportunities for modernity.
2.1. RURAL-URBAN MIGRATION
This is when people move from rural areas and settle in urban areas.
2.2 URBAN-URBAN MIGRATION
This is when people move from urban areas and settle in other urban areas.
THE EFFECT OF MIGRATION ON RURAL AREAS
(a) POSITIVE

 Migrants send some money or remittance home. In some cases this is the only source of income in rural
areas.
 Migrants who work outside the country sent remittance in the form of foreign currency, thus earning
their country of origin foreign money.
 Migrants bring in new and advanced technology back to their communities.
 Migrants can invest their income in rural areas, for example, by building some residential houses,
shops, etc, thereby creating employment.
(b) NEGATIVE
 Migration deprives rural areas the much needed labour in agriculture since most of the migrants are the
able-bodied men and women in the community.
 Division of labour has changed in rural areas as a result of migration. In the past, women were only
responsible for the small livestock like goats and chickens, but with the absence of men, they now look
after cattle.
 Disruption of family life due to the ill discipline of children especially boys left with their mothers in
rural areas.
 There is an imbalance in the sex ratio. Most of those left in rural areas are women.
 Traditional way of life is in most cases not practised since a lot of people prefer the modern way of
life. In some instances this comes with the bad behaviour of urban life.
THE EFFECTS OF MIGRATION ON URBAN AREAS
(a) POSITIVE
-Migrants provide the much needed labour in urban centres, especially unskilled and semi-skilled, for example,
in factories, homes, etc.
-Migrants increase employment opportunities in urban areas when they use some of their earnings for
investments, for example, starting up their own businesses.
-Migrants bring in some new ideas or survival skills to urban areas, for example, how to survive on very little
means.
-Increase in population in urban areas may result in increase and improvement in the infrastructure in urban
areas.
-Migrants provide the markets for the goods and services in urban areas.
(b) NEGATIVE
Migration in most cases results in rapid urbanisation (tendency of having more people living in urban areas than
in rural area at a rate that the national economy cannot sustain). This brings a lot of problems:
- Pressure on social amenities, for example, schools and hospitals
- Increased crime and social unrest.
- Shortage of clean water.
- Poor sanitation services.
- Shortage of housing.

- Pollution
- Increased unemployment rate.
- Traffic congestion.
- Diseases are spread at very high rate.
- Increased poverty, or low standard of living
THE POSSIBLE SOLUTIONS TO PROBLEMS OF RAPID URBANISATION
 Systematic and well planned towns and cities.
 Management of the growth and use of private vehicles in urban areas.
 Improvement of public transport.
 Establishment of a housing corporation that will build low cost houses so that everyone will have
decent and affordable house to live in.
 Abolition of squatter locations.
 Setting up of more industries to create more employment opportunities.
 Establishment of public work schemes in rural area to provide work for rural dwellers in order to
reduce rural-urban migration.
 Commercialisation of agriculture in rural areas.
 Encouraging rural-urban trade.
THE FORMAL SECTOR OF THE ECONOMY
The formal sector is the part of the county‟s economy that is organised by the government and large firms.
It consists of modern activities such industries, business and commercial activities and government agencies.
THE CHARACTERISTICS OF THE FORMAL SECTOR THE ECONOMY
- The workplace is up-to-date and in most cases permanent.
- T he private companies pay tax to the government and run according to the state laws.
- Workers get regular wages and are protected by the country‟s laws.
- Workers have written contracts with their employees.
- Employees are free to belong to trade unions.
- The jobs often require skill and training.
- Production is usually done on a large scale basis.
- Employees receive regular wages or salaries.
- Complex technology is often used.
ASSIGNMENT: Discuss the advantages and the disadvantages of the formal sector

THE INFORMAL SECTOR OF THE ECONOMY
Fig.2
This sector of the economy is organised by individuals, and not the government nor registered companies.
It consists of small, locally owned workshops and home factories, fruits, vegetable, clothes and jewellery
markets, selling of firewood etc.
CHARACTERISTICS
 The people are usually self-employed or provide service on small basis for others.
 The wages are not guaranteed.
 The jobs and workers do not belong to trade unions.
ASSIGNMENT: Discuss the advantages and the disadvantages of the informal sector.
THE POSSIBLE SOLUTIONS TO PROBLEMS OF THE INFORMAL SECTOR
- The registration of some jobs.
- They encourage skill acquisition training for all economic activities.
- They encourage the use of appropriate technology and the local resources.
- They provide environmental education in order to reduce pollution of the environment.

THE DIFFERENCES BETWEEN INFORMAL AND FORMAL SECTORS OF THE ECONOMY
Fig.3
- Informal sector is unregistered whilst the formal sector is registered or documented or the owners hold
licence to do it.
- Informal sector is unprotected by the law whilst the formal sector is protected by the law.
- Informal sector has flexible working hours whilst the formal sector has fixed working hours.
- Informal sector uses simple technology whilst formal sector uses complex technology
- Informal sector is done on small scale whilst the formal sector is done on a large scale

- Informal sector is done in temporary shelters or in the open whilst formal sector has permanent
buildings
- In informal sector, workers use natural talents while in the formal sector people are trained for the
work
- In the informal sector, taxes to the government are unpaid or ignored but in the formal sector tax is paid
- In the informal sector, there is lack of trade unions but in the formal sector trade union exist
- Wages in the informal sector are unguaranteed or irregular but in the formal sector wages are regular/
guaranteed.
THE PROBLEMS FACED BY THE INFORMAL SECTOR
- Lack of capital/small gain/profit
- Lack of entrepreneurship skills
- Lack of proper shelter for operation so production is disturbed by harsh weather
- Little market/competition for the formal sector/ competition among themselves
- Lack of security so cases of theft are common
- Goods of poor quality due to poor technology
- Harassment by law officers
- Lack of credit worthiness
- Lack of recognition by the government.
WOMEN CONTRIBUTION TO ECONOMIC DEVELOPMENT IN THE INFORMAL SECTOR IN

BOTSWANA
- Dominate specific important enterprises like catering, dressmaking, child care/ provide services
- They utilise their natural skills like cleaning, cooking, weaving/ traditional skills/ use less business
skills
- They create jobs for other people/self employment
- They provide a market for producers of specific materials like cotton, wool, reeds for weaving/
increases market
- They can develop into cottage industry, for example, making cakes at home for supermarkets
- They train themselves/ others/impart knowledge and skills to others
- They form self help groups

THE REASONS FOR THE RAPID GROWTH OF INFORMAL SECTOR IN DEVELOPING
COUNTRIES
- The informal sector requires little capital to start
- They utilises natural skills/traditional skills/uses less business skills
- There is less requirements for registration and licensing/ less paper work
- There is high unemployment/ little expansion in the formal sector/creation of employment for the
unskilled
- The goods are attractive for their traditional value, for example, arts and crafts.
- Their operations can be done anywhere.
- The goods are mostly affordable.
- They Use simple and intermediate technology

Check Your Progress
1. Define urbanisation.
2. What is meant by rural-urban migration
3. Define urban-urban migration
4. Describe five push factors of rural-urban migration in Botswana
5. Describe five pull factors of rural-urban migration in Botswana
6. Describe the positive effects of rural-urban migration on rural areas
7. How is the formal sector different from the informal sector?
8. How does the informal sector benefit the urban dwellers?
9. Why is it easy to join the informal sector?
10. Describe the problems posed by the informal sector to the national economy
11. Describe the problems faced by the informal sector
12. Describe any five problems caused by rapid urbanisation on towns & cities
13. Describe problems of urbanisation on rural areas
14. What is a primate city?

15. Describe three characteristics of a primate city.
16. Describe the factors which force people to move from rural to urban areas in developing countries.
- The factor that forces people to move from rural to urban areas in developing countries is lack of
employment opportunities.
- Lack of entertainment
- Shortage of social services, for example, schools and clinics
- Drought
- Witchcraft
- Traditional life
- Rural poverty
- Poor markets
- Expensive goods and services
17. Describe the negative effects of rural-urban migration in towns and cities in developing countries.
- The negative effects of rural-urban migration in towns and cities in developing countries is high
unemployment
- Overcrowding due to shortage of land
- Increase in crime rate
- Shortage of accommodation leading to squatter camps
- Over load of social amenities, for example, clinics, hospitals and schools
- Pollution, for example, land, water, air and noise.
- Loss of culture
- Poor sanitation

18. Study Fig. 1, which shows push and pull factors of rural-urban migration and answer the question (a)
Fig.1
(a)(i) Describe the factors that attract people to urban areas.
- The factor that attracts people to urban areas is employment opportunities because there are many
industries that provide goods and services.
- Better health facilities, for example, clinics and hospital both private and public owned.
- Better educational facilities, for example, public schools and private schools.
- Chances of better relationships
- Better transport facilities
- Low prices of goods
- Better entertainment and recreational facilities
- Security offered in towns
- Modern lifestyle
- Better housing
- Less beliefs in witchcraft
(ii) Describe the problems caused by urbanisation in towns and cities.
- The problems caused by urbanisation in towns and cities is pressure on social amenities, for example,
schools and clinics
- Shortage of housing
- Poor sanitation
- Easy spread of diseases, for example, some people may decide to practise prostitution due to high
unemployment rate.
- Pollution for industries that produces goods
- Traffic congestion due to poor planning of roads.
- Shortage of jobs
- Crime rate increases
- Overcrowding due to shortage of land
(b) (i) Suggest reasons for the low numbers of women in the formal sector of the economy.
- The reason for low numbers of women in the formal sector of the economy is due to lack of education
and training or high illiteracy rate.
- Women are less credit worthy
- Societal expectation on women, for example, taking care of children
- Women‟s low self esteem or fear
- Women‟s high workload at home especially in agriculture
- Myths or stereotypes about low intelligence of women
- Early marriages
- Lack of capital

(ii) What are the disadvantages of having few women in decision making positions?
- The disadvantage of having few women in decision making positions is that women issues are ignored
- Birth rate will be high
- Unequal participation in decision making
- Poor status on human rights
- Domestic violence/ conflict between men and women
- Lack of role models for the girl child
19. Study Fig.2 which is a picture showing some activities in the informal sector.
Fig.2
(a)(i) Describe the characteristics of the informal sector
- They operate on small scale

- Work is done in temporary shelter
- Payment of taxes is unnecessary
- People are often self employed
- Hours of work are flexible
- People use traditional skills to do the work, for example, weaving and sewing
(ii) Suggest reasons why many women are involved in the informal sector.
- Women lack education or qualification to enter the formal sector

- Women lack capital to establish formal businesses/ women can afford little capital in informal
activities
- Women are burdened with household chores so they engage in informal activities right at home, for
example, selling of fruits on the front of their homes
- Women can cope with flexible working hours
- Women lack the documents required for registration of formal businesses, for example, bank accounts
and tax registration
- Most women have responsibility to take care for children as single parents so they are forced into
informal production

(b)(i) Suggest reasons for the growth of the formal sector in Botswana
- Presence of the multi-national companies/foreign investors

- Financial assistance
- Government take the initiative to register businesses
- In some cases registration is a requirement for operation
- Tendering process demands registration
- Business/ entrepreneurship taught in schools motivating students to start formal businesses
- The need to export goods and services demand registration of businesses
(ii) Describe ways by which formal businesses contribute to the development of a country such as
Botswana.
- They pay tax to government

- They improve infrastructure by building permanent structures
- They train workers
- They increase GNP/GDP
- They sponsor social activities, for example, sports
- They increases international trade helping the country to earn foreign exchange
- Employment creation
- Technological advancement

20.Study Figs 1A and 1B, which show the informal and formal sectors of the economy, and answer questions
(a)(i) and (ii).
(a)(i) Using Figs 1A and 1B and your own knowledge, state the differences between the informal and formal
sectors of the economy.
(ii)Suggest possible problems that are faced by people in the informal sector, such as the person in Fig. 1A.
(b)(i) Describe ways by which women in the informal sector contribute to the economic development of
Botswana.
(ii)Explain why the informal sector of the economy is growing rapidly in developing countries.

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DEVELOPMENT STUDIES-NOTES & REVISION QUESTIONS

Notes and Revision Questions

-Avoid negative answering at all costs, for example,

Development Studies Notes MODULE 1 -4 Page 2

Development Studies Notes MODULE 1 -4 Page 33

- Give reasons for the differences in the

- Identify and discuss different development

- Show why political aspects of development

- Describe the characteristics of the developed

- Analyse and evaluate theories of

THE ASPECTS OF DEVELOPMENT

Development Studies Notes MODULE 1 -4 Page 34

DIVISION OF THE WORLD

1. Developed/ Industrialised countries/ Countries of the North

2. Newly Industrialised Countries (NIC‟s)

3. Less Developed Countries/ Countries of the South/ Developing Countries

Development Studies Notes MODULE 1 -4 Page 35

 First World Countries/ Capitalist Countries

 Second World Countries/ Communist Countries

THE CHARACTERISTICS OF DEVELOPED COUNTRIES

Economic Characteristics Social Characteristics

 High employment levels  High levels of literacy

 High levels of income  Good and adequate social facilities, for

 Highly developed infrastructure

 High GNP/ GDP

 High levels of urbanisation

Development Studies Notes MODULE 1 -4 Page 36

 Developed countries use advanced technology to produce goods and services.

 Developed countries have long history of urbanisation.

 Developed countries are selling or exporting expensive manufactured goods

 Developed countries have control and domination of the World Trade.

THE ECONOMIC CHARACTERISTICS OF THE COUNTRIES OF THE NORTH

- The countries of the North have high GNP per capita.

Development Studies Notes MODULE 1 -4 Page 37

Also known as;

Asian countries such as Iran, Iraq , Bangladesh etc.

THE CHARACTERISTICS OF DEVELOPING COUNTRIES

Economic Characteristics Social Characteristics

THE REASONS WHY DEVELOPING COUNTRIES ARE UNDERDEVELOPMENT

 The slave trade which depleted Africa‟s human resources.

 Developing countries use backward or poor technology.

 Developing countries depend on cheap raw materials for export.

 Developing countries have unskilled and less productive labour force.

 Huge foreign debts.

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THE MAPS WHICH SHOWS GEOGRAPHICAL LOCATIONS OF NEWLY INDUSTRIALISED

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THE CHARACTERISTICS OF NEWLY INDUSTRIALISED COUNTRIES

Economic Characteristics Social Characteristics

THE REASONS WHY THE NIC’s DEVELOPED SO FAST

 The NIC‟s have heavy investment in science and technology education.

 NIC‟s have technology transfer from the Western countries

 They have heavy investment in modern infrastructure.

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THE REASONS FOR THE DIFFERENCES IN THE DEVELOPMENT LEVELS IN DIFFERENT

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THE FACTORS THAT SLOW DOWN DEVELOPMENT IN THE DEVELOPING COUNTRIES

- The slowdown in development in developing countries is caused by corruption and mismanagement of

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Economic Social Development Political

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Death rate Manufacturing production

SOCIAL INDICATORS OF DEVELOPMENT