‘You cannot have rich countries without poor ones.’ Do you agree?

dependent-on-poor-countries

It is almost a characteristic of modern society that when progress takes place, a myriad of issues with regard to the purpose, the means as well as the implications of that progress will emerge. Consequently, the issue of inequality, as a result of disproportionate development among countries arises. Those countries with abundant financial resources due to such development are considered rich countries. However, nations that lose out in such unfair disproportionate development are known as poor countries. Considering such definitions of rich and poor countries, the presence of inequality among nations will undoubtedly result in the coexistence between rich and poor countries. However, it is apparent that one of the United Nations (UN) Millennia goals is to eradicate extreme poverty. In other words, the UN wants to reduce the number of countries considered poor.  Will such a situation result in the deterioration of the conditions of developed countries? It is in my opinion that rich countries will continue to exist, and even progress, and are not dependent on poor countries. This is due to reasons such as technological advancements, the change in the focus concerning the growth of certain industries and an increase in the demand for higher quality goods.

Rich countries have been highly dependent on poor countries in many ways. One of which is the dependence on poor countries for their labour so as to ensure the development of rich countries. Cheap labour is commonly found in poor countries due to the fact that the majority of citizens of those countries have low standards of living, quality of life and cost of living, thus allowing them to accept lower salaries. The rich countries exploit this comparative advantage as they attempt to expand and diversify their economy via outsourcing and ensure that their products remain cheap on the global stage, tapping on the benefits of globalisation and consequently, interdependence among countries. Nike, an American shoe company, opened various factories in poor countries such as Vietnam and China due to the presence of cheap labour to the extent that the labourers were acrimoniously exploited. Initially, Nike had a factory in South Korea. However, as it evolved from a poor country into a rich one, Nike had no incentive in continuing its processes in South Korea as the cost of labour rose; this American company was not dependent on South Korea anymore. As companies in rich countries continue to ensure that their products remain competitive, they will constantly be dependent on poor countries for their labour force.

Other than that, rich countries are dependent on poor countries for numerous necessities. More often than not, majority of the citizens in poor countries engage themselves in primary industries which include farming and the extraction of natural resources such as oil and precious metals. As countries develop into rich countries, their focus swerves towards the expansion of the secondary and tertiary industries such as services, processing and manufacturing industries since they include sectors which are highly profitable. Consequently, it can be inferred that as more poor countries progress out of the poverty cycle, there will be fewer areas throughout the world in which there will be farming activities and the extraction of vital resources such as oil and aluminium. Will there be a situation in which there will be a shortage of rice and meat due to the decrease in agricultural activities caused by development? If such a case was to occur, we, as part of the global society, will experience detrimental effects such as exponential increases in hunger related diseases and malnutrition. Today, a child dies from malnutrition or hunger-related diseases every 5 seconds; tomorrow, the situation may be worse. Countries such as Singapore, which have negligible natural resources, will be the worst hit. Despite being rich, they will not be able to sustain their growth as they are in no way self-sufficient from the food and natural resources perspectives. In that sense, rich countries may not be able to survive without poor countries.

However, if the world was to be in a situation in which there was the absence of poor countries, I am certain that rich countries will still exist and even continue to prosper. One of the prominent aims of the United Nations Development Programme (UNDP) is to eradicate extreme poverty by 2015. Extreme poverty occurs when an individual survives on less than US$2.15 a day. Technically, if there was a moment in time in which no individual was considered poor, there would be no poor country as individuals are the building blocks of a country. As such, the UNDP envisions a world without any poor countries; this is, apparently, for the betterment of society at large.

The fact that countries develop means that there will be technological advancements and a shift in focus towards the growth of certain industries. Consequently, we would expect farming activities to decreases tremendously alongside the evolution of countries into developed, rich ones. However, this may not be the case. Applying technology in farming regions has led to an increase in the production of foodstuffs, as well as a more uniform quality of food. This has allowed the farmers in the United States of America (USA) to be among the most productive in the world. With just 0.3 per cent of the world’s agricultural workforce, the USA produces around 45 per cent of all soybeans, 40 per cent of all maize, 22 per cent of all beef, 25 per cent of all poultry meat and supplies up to half of the world’s grain exports. Thus, it is observed that the productivity, and hence profitability of primary industries, can be increased with the usage of modern technology; such technology can only be considered affordable if countries are not poor. We also realise that our basic necessities can still be met without the presence of poor countries. Thus, rich countries may still exist without poor countries and are not dependent on poor countries.

Furthermore, economically, rich countries will prosper.  As countries develop, people will demand better quality and a larger variety of goods and services. As such, the centre of attention of companies will change based on consumer trends. Many companies today have developed their research and development sects to ensure the competitiveness of their products. Specialised, skilled workers will be required for the sustenance of such jobs; such workers can mostly be found in rich, developed countries in which the majority of their populations are educated. Today, our society does not demand as many bicycles as before; we demand more motorised vehicles such as cars and motorcycles. This was especially observed in China as the number of vehicles purchased increased alongside the development of their economy. Thus, rich countries will prosper due to the increasing demand for skilled labour, based on changing trends of consumption, internationally that is caused by the basic principle of interdependence amongst countries.

Besides that, as poor countries move out of the causation cycle, the price of products will increase due to the increase in the cost of labour and consequently, cost of production. However, citizens of rich countries will still be able to afford such goods and services due to their high disposable incomes. Thus, it is almost impossible to imagine a time in which rich people in rich countries cannot afford their basic necessities due to their high prices. Today itself, such people demand expensive, luxurious items such as branded clothes and quality food. As such, although rich countries may suffer financially due to the increase in the cost of living, they will never fall due to such a problem.

In conclusion, rich countries will exist despite the absence of poor countries. Undeniably, rich countries are highly dependent on poor countries, mainly because of globalisation. However, rich countries will still exist due to the fact that their basic necessities will be met and that their high Gross Domestic Product will still be sufficient for their development. As such, rich countries should not be reluctant to assist in the development of poor countries into rich ones. Such an action may be detrimental to rich countries in the short term; nevertheless, abundant advantages such as increased productivity due to improvements and increased access to technology will be experienced in the long term. Thus, we should work towards the development of our international society for the benefit of the future of civilisation.

Author: GpAdmin

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