Presently, the world comprises of three major categories of countries viz. the developed countries, the developing countries and the under-developed countries. Out of these, the developed countries have highly advanced industrial setups and booming economies. These Most Developed Countries (MDCs) include the Group of Eight (G-8) nations such as USA, UK, Canada, Russia, Japan, Germany, France and Italy. These eight nations enjoy a hold on the world trade and have great influence on the international monetary institutions like World Bank and IMF. Moreover, these nations contribute 50% of world exports and 64% of the blobal GDP but have only 12 percent population of the world. They enjoy high Per Capita Incomes (PCI) which reflect the prosperity of their citizens. in the recent years, a few other nations such as China, Brazil, India, Turkey, Mexico, South Korea, Thailand and Australia have also made rapid progress in the economic field. Thus, these economies are on the threshold of entering the category of developed counries.
Along with the developed and the developing countries there is a long list of the underdeveloped poor nations which are termed Least Developed Countries (LDCs). These nations have low levels of GDPs and the Per Capita Incomes. The people of these countries are very poor and they are living without basic necessities of life such as health care, education, standard accommodation and pure drinking water. The poverty of these nations can be judged from the fact that majority of then have PCI less than 1000/year which is far less than USA’s PCI which is $55809.
In recent years, the great economic disparity between the MDCs and LDcs have resulted in great differences and demands. Public demonstrations during the G-8 summit meetings have become a common affair. the developing nations have been demanding preferential dealing in respect of trade transfer of technology and relaxation in the loan facilities by IMF and World Bank. Unfortunately, most of the developing countries such as Brazil, Argentina, Pakistan, Thailand etc, are under heavy foreign debts. However, the developed countries are reluctant to share their monopoly of economic prosperity with the LDCs. As a result, the economic differences continue unabated. On the other, the developing and under developed countries have formed many regional organization to wriggle out this tight economic situation. These organizations include ECO, SAARC, SCO, ASEAN, NAM, GCC, AL, OIC and APEC.
More Developed and Less Developed Countries