1. Managing economic development Contrasting levels of development How can the gap between MEDCs and LEDCs be reduced?

2. How can the gap between MEDCs and LEDCs be reduced? Development of Tourism Multinational investment (TNCs) Appropriate Technology Foreign Trade and Aid These are the main methods the development gap between MEDCs and LEDCs can be reduced. There are both advantages and disadvantages of each. Development Projects

3. Multinational Investment A multinational or transnational (TNC) company is one which operates in a number of countries. The headquarters are usually in MEDCs but factories located in LEDCs. Some examples: Ford, Toyota, BP and Shell. Major profits go back to MEDCs They bring money into the country Environmental management is often poor They can lead to the development of other industry Working conditions can be poor They train local people and improve skill levels Wages are lower than in MEDCs They provide work and regular income Disadvantages to LEDCs Advantages to LEDCs

4. The development of tourism There are large numbers of popular places for tourists to visit in LEDCs. Some have been popular for many years such as Safari and beach holidays in Kenya . Building large holiday resorts can damage the environment It can help the development of a range of industries (building/farming) A large number of visitors can cause a lot of pollution It can help develop transport systems It can cause conflict with local people It can create many jobs Wages are often low It can bring in a lot of money Disadvantages to LEDCs Advantages to LEDCs

6. Appropriate Technology (small scale) Appropriate technology – technology that its suited to the needs of the country Intermediate technology – matching the level of technology to the needs and skills of local people Sustainable development – improving living standards without damaging the environment or making anyone worse off Insert page 87 here