Developing country

A developing country has a relatively low standard of living, an undeveloped industrial base, and a moderate to low Human Development Index (HDI) score. In developing countries, there is low per capita income, widespread poverty, and low capital formation. The term has tended to edge out earlier ones, including the Cold War-defined "Third World", which has come to have unintentional negative connotations associated with it, but new terms such as less developed country (LDC) or less economically developed country (LEDC) have not caught on yet. LEDC is a term used by modern geographers to portray the countries classified as "developing countries" more accurately, specifying that they are less economically developed, which usually correlates best with other factors such as low human development.

Development entails a modern infrastructure (both physical and institutional), and a move away from low value added sectors such as agriculture and natural resource extraction. Developed countries, in comparison, usually have economic systems based on continuous, self-sustaining economic growth in the tertiary and quaternary sectors and high standards of living.

The application of the term developing country to some of the world's less developed countries could be considered inappropriate: a number of poor countries are not improving their economic situation (as the term implies), but have experienced prolonged periods of economic decline.

Countries with more advanced economies than developing nations, but which have not yet fully demonstrated the signs of a developed country, are grouped under the term newly industrialized countries.

The development of a country is measured with statistical indexes such as income per capita (per person) (GDP), life expectancy, the rate of literacy, et cetera. The UN has developed the HDI, a compound indicator of the above statistics, to gauge the level of human development for countries where data is available.

Developing countries are in general countries which have not achieved a significant degree of industrialization relative to their populations, and which have a low standard of living. There is a strong correlation between low income and high population growth, both within and between countries.

The terms utilized when discussing developing countries refer to the intent and to the constructs of those who utilize these terms. Other terms sometimes used are less developed countries (LDCs), least economically developed countries (LEDCs), "underdeveloped nations" or "undeveloped nations", Third World nations, the South, and "non-industrialized nations". Conversely, the opposite end of the spectrum is termed developed countries, most economically developed countries (MEDCs), First World nations and "industrialized nations".

To moderate the euphemistic aspect of the word developing, international organizations have started to use the term Less economically developed country (LEDCs) for the poorest nations which can in no sense be regarded as developing. That is, LEDCs are the poorest subset of LDCs. This also moderates the wrong tendency to believe that the standard of living in the entire developing world is the same.

The concept of the developing nation is found, under one term or another, in numerous theoretical systems having diverse orientations — for example, theories of decolonization, liberation theology, Marxism, anti-imperialism, and political economy.

Critics believe that at times the word "developing" is a misnomer. In the case of countries ravaged by European colonialism, the word "re-developing" may be more accurate since there were successful economic systems prior to colonialism. Allegedly due to ethnocentrism, Western analysts generally deem these prior interactions invalid and do not consider them "developed". The premise is that "to develop" is the same thing as "to develop in a western manner".

First World · Second World · Third World · Fourth World

GDP per capita · List of countries by GDP (nominal), (per capita) · List of countries by GDP (PPP), (per capita), (per hour)

Human Development Index · List of countries by Human Development Index

Human Poverty Index · List of countries by percentage of population living in poverty