When we study different countries we can see that some countries are richer than others. This unequal distribution of wealth is called economic inequality.
Countries can be divided into three categories according to their economic development: 1. Developed economies
2. Economies in transition 3. Developing economies
Developed economies Economies in transition Developing economies
: Figure 20.2 World map showing the three categories of economic development 1. Developed economies
The economies of these countries are very strong. • These countries are well-developed and wealthy. • They are also heavily industrialised.
• The majority of the workforce is employed in the secondary and tertiary sectors.
• Developed countries have good healthcare, a high standard of education and a high-quality infrastructure.
Countries with developed economies are mainly located in the northern hemisphere. However, Australia and New Zealand are also developed economies.
