POLITICAL AND ECONOMIC FACTORS
Value of the indicator per year in USD
|Gross Domestic Product (GDP) per capita||60704.6||59606.5||58271.8||57291.4||56770.4|
|Gross Nation Product (GNP)||65560||63780||61020||58970||58340|
|Human Development Index (HDI)||0.922||0.920||0.919||0.919||0.917|
|Gross National Income (GNI)||276.89||267.9||243.296||218.168||224.626|
|SPAIN||Gross Domestic Product (GDP) per capita||38093.1||37650.8||36941.0||35966.9||34938.6|
|Gross Nation Product (GNP)||41689||40570||39570||37370||34900|
|Human Development Index (HDI)||0.896||0.893||0.891||0.888||0.885|
|Gross National Income (GNI)||3.214||3.188||-303133628||3.044||-268394160|
|COLOMBIA||Gross Domestic Product (GDP) per capita||14914.7||14590.3||14387.8||14352.0||14216.2|
|Gross Nation Product (GNP)||14800||14310||14050||13800||13700|
|Human Development Index (HDI)||0.763||0.761||0.760||0.759||0.753|
|Gross National Income (GNI)||-13.532||-11.772||-5.75||-3.062||-4.151|
|LIBERIA||Gross Domestic Product (GDP) per capita||663||677||699||715||710|
|Gross Nation Product (GNP)||1420||1330||1380||1260||1180|
|Human Development Index (HDI)||0.467||0.465||0.466||0.463||0.463|
|Gross National Income (GNI)||-448000000||-437000000||-302889900||-281000000||-280000000|
Graph of GDP per capita (USD) vs Time in years
Graph of GNP(USD) vs Time in years
Graph of GNI(USD) VS Time in years
Graph of HDI(%) vs Time in years
The indicators used were readily available during the research and also their data were easy to get during the research. They are discussed below
1. GDP per capita, GDP is the abbreviation of gross domestic product. Gross Domestic Product is the value of total goods and services produced within a country for a specific time which in most cases is normally annually. GDP per capita determines the approximate contribution of each member of its population in the total GDP(Robinson, Hammitt et al. 2017). It is normally calculated by diving the GDP by the population of the country. GDP per capita is useful in measuring the country economic health and its overall prosperity.
1. GNP, is Gross National Product, it measure the monetary value of all the output produced by the residents of a country. The output produced by foreigners is excluded when calculation the GNP and the output produced by the country’s residents outside the country must be included. Intermediary goods and services are excluded to avoid double counting because they already added in the value of final goods and services(Argandoña 2016). GNP helps in determining the economic wealth of a country
1. HDI, Human Development Index is a measurement system developed by the United Nations to assist in evaluating individual human development in each country. It is measured by evaluating the following; knowledge and understand, long and healthy life and acceptable standard of living in each country(Ghoncheh, Mirzaei et al. 2016).
1. GNI, Gross National Income is the total amount of money earned by a country for a specific time like one year. Its include the country’s gross domestic product plus the income it receives outside the country. GNI can be used to measure and track a country wealth from one year to the other year.
Among the four countries, only USA and Spain had data for the last ten years, this can be contributed to lack of proper technology that could be used to collect and store the data by then. From the plotted trends, it’s clear that most currently are struggling to be economically stable except the United State of America. It’s shocking that in some country like Colombia and Liberia, the Gross National Income is very low even far below zero.
|Country||Political Risk||Political freedom||Reasons (often pulled from the news)|
|USA||1||2||· Limited trade barriers
· Political stability
· Good administration
· Stable taxation
· fair governance and administration
· Stable legislation
|Colombia||3||5||· Political instability
· Poor administration
· Changes in legislation
|Liberia||7||7||· Political instability
· Poor governance and administration
· Changes in taxation
Political data (Global Economy ,n.d.)
From the available political data, there is a wide difference between the four countries; USA has the least political risk factor while Liberia has the highest. There is correlation between when the country gained its independence and the level of political independence. For instance, USA gained its independence long way before the other three countries thus it has a well-developed governance system and this greatly contributes to it high level of political stability. Economic stability also plays a bigger role in the country’s political risks, from the four countries, the more economically a country is advanced, the less the political risk ranking. As I did my research, I was surprised at how some countries such as Liberia have poor governance and how such governance has caused economic problem to the specific country. I fully surport the indictor I found and the risk levels of the specific countries, since there is enough evidence and the implications of the risks levels is also evident globally. Probably the area that I could be interested to study more in this four countries is the strategic plan of each countries for the next 10 years, this would enable me to come up with the political and economic risk factors.
Argandoña, A. (2016). Gross Domestic Product (GDP) and Gross National Product (GNP).Encyclopedia of Business Ethics and Society, Forthcoming.
Ghoncheh, M., et al. (2016). Incidence and Mortality of Breast Cancer and their Relationship with the Human Development Index (HDI) in the World in 2012. Asian Pacific Journal of Cancer Prevention 16(18), 8439-8443.
Global Economy (n.d.). Political Risk, Medium/long-term country rankings. Retrievd from https://www.theglobaleconomy.com/rankings/political_risk_long_term/
Robinson, L. A., et al. (2017). Understanding and improving the one and three times GDP per capita cost-effectiveness thresholds. Health Policy and Planning 32(1), 141-145.
GNI (USD) vs Time (Years)
LIBERIA 2015 2016 2017 2018 2019 -280000000 -281000000 -302889900 -437000000 -448000000 COLOMBIA 2015 2016 2017 2018 2019 -4.1509999999999998 -3.0619999999999998 -5.75 -11.772 -13.532 SPAIN 2015 2016 2017 2018 2019 -268394160 3.044 -303133628 3.1880000000000002 3.214 USA 2015 2016 2017 2018 2019 224.626 218.16800000000001 243.29599999999999 267.89999999999998 276.89
HDI (%) vs Time (years)
LIBERIA 2015 2016 2017 2018 2019 0.46300000000000002 0.46300000000000002 0.46600000000000003 0.46500000000000002 0.46700000000000003 COLOMBIA 2015 2016 2017 2018 2019 0.75600000000000001 0.75900000000000001 0.76 0.76100000000000001 0.76300000000000001 SPAIN 2015 2016 2017 2018 2019 0.88500000000000001 0.88800000000000001 0.89100000000000001 0.89300000000000002 0.89600000000000002 USA 2015 2016 2017 2018 2019 0.91700000000000004 0.91900000000000004 0.91900000000000004 0.92 0.92200000000000004
GDP per capita(USD) vs Time (Years)Chart Title
LIBERIA 2015 2016 2017 2018 2019 710 715 699 677 663 COLOMBIA 2015 2016 2017 2018 2019 14216.2 14352 14387.8 14590.3 14914.7 SPAIN 2015 2016 2017 2018 2019 34938.6 35966.9 36941 37650.800000000003 38093.1 USA 2015 2016 2017 2018 2019 56770.400000000001 57291.4 58271.8 59606.5 60704.6
GDP per capita (USD)
GNP (USD) VS Time (Years)
LIBERIA 2015 2016 2017 2018 2019 1180 1260 1380 1330 1420 COLOMBIA 2015 2016 2017 2018 2019 13700 13800 14050 14310 14800 SPAIN 2015 2016 2017 2018 2019 34900 37370 39570 40570 41389 USA 2015 2016 2017 2018 2019 58340 58970 61020 63780 65560