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Developed country

(Redirected from Industrialized nations)
"Industrial nation" redirects here. For the magazine, see Industrialnation.
Not to be confused with Developing country.
For the investing classification, see Developed market.

A developed country, or advanced country,[3][4] is a sovereign state that has a high quality of life, developed economy, and advanced technological infrastructure relative to other less industrialized nations. Most commonly, the criteria for evaluating the degree of economic development are the gross domestic product (GDP), gross national product (GNP), the per capita income, level of industrialization, amount of widespread infrastructure and general standard of living.[5] Which criteria are to be used and which countries can be classified as being developed are subjects of debate. Different definitions of developed countries are provided by the International Monetary Fund and the World Bank; moreover, HDI ranking is used to reflect the composite index of life expectancy, education, and income per capita. Another commonly used measure of a developed country is the threshold of GDP (PPP) per capita of at least US$22,000. In 2023, 40 countries fit all four criteria, while an additional 15 countries fit three out of four.

  Developed countries (IMF)
  Developing countries (IMF)
  Least developed countries (UN)
  Data unavailable

World map showing country classifications per the IMF[1] and the UN[2] (last updated April 2023). "Developed economies" according to this classification scheme are shown in blue. The map does not include classifications by the World Bank.

Developed countries have generally more advanced post-industrial economies, meaning the service sector provides more wealth than the industrial sector. They are contrasted with developing countries, which are in the process of industrialisation or are pre-industrial and almost entirely agrarian, some of which might fall into the category of Least Developed Countries. As of 2023, advanced economies comprise 57.3% of global GDP based on nominal values and 41.1% of global GDP based on purchasing-power parity (PPP) according to the IMF.[6]

Definition and criteria

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UNCTAD members classifications
  List A
  List B, consisting predominantly of developed countries
  List C
  List D
  To be assigned

Economic criteria have tended to dominate discussions. One such criterion is the income per capita; countries with the high gross domestic product (GDP) per capita would thus be described as developed countries. Another economic criterion is industrialisation; countries in which the tertiary and quaternary sectors of industry dominate would thus be described as developed. More recently, another measure, the Human Development Index (HDI), which combines an economic measure, national income, with other measures, indices for life expectancy and education has become prominent. This criterion would define developed countries as those with a very high (HDI) rating. The index, however, does not take into account several factors, such as the net wealth per capita or the relative quality of goods in a country. This situation tends to lower the ranking of some of the most advanced countries, such as the G7 members and others.[7][8]

According to the United Nations Statistics Division:

There is no established convention for the designation of "developed" and "developing" countries or areas in the United Nations system.[9]

And it notes that:

The designations "developed" and "developing" are intended for statistical convenience and do not necessarily express a judgement about the stage reached by a particular country or area in the development process.[10]

Nevertheless, the United Nations Conference on Trade and Development considers that this categorization can continue to be applied:

The developed economies broadly comprise Northern America and Europe, Israel, Japan and the Republic of Korea, as well as Australia and New Zealand.[11]

Similar terms

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See also: Global North and Global South

Terms linked to the concept developed country include "advanced country", "industrialized country", "more developed country" (MDC), "more economically developed country" (MEDC), "Global North country", "first world country", and "post-industrial country". The term industrialized country may be somewhat ambiguous, as industrialisation is an ongoing process that is hard to define. The first industrialized country was the United Kingdom, followed by Belgium. Later it spread further to Germany, United States, France and other Western European countries. According to some economists such as Jeffrey Sachs, however, the current divide between the developed and developing world is largely a phenomenon of the 20th century.[12]

Mathis Wackernagel calls the binary labeling of countries as "neither descriptive nor explanatory. It is merely a thoughtless and destructive endorsement of GDP fetish. In reality, there are not two types of countries, but over 200 countries, all faced with the same laws of nature, yet each with unique features."[13]

A 2021 analysis proposes the term emerged to describe markets, economies, or countries that have graduated from emerging market status, but have not yet reached the level equivalent to developed countries.[14] Multinational corporations from these emerging markets present unique patterns of overseas expansion and knowledge acquisition from foreign countries.

Economy lists by various criteria

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Human Development Index (HDI)

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Main articles: Human Development Index and List of countries by Human Development Index
The world map representing Human Development Index categories (based on 2021 data, published in 2022)
  •   Very high
  •   High
  •   Medium
  •   Low
  •   No data
World map of countries or territories by Human Development Index scores in increments of 0.050 (based on 2021 data, published in 2022)
  •   ≥ 0.950
  •   0.900–0.950
  •   0.850–0.899
  •   0.800–0.849
  •   0.750–0.799
  •   0.700–0.749
  •   0.650–0.699
  •   0.600–0.649
  •   0.550–0.599
  •   0.500–0.549
  •   0.450–0.499
  •   0.400–0.449
  •   ≤ 0.399
  •   Data unavailable

The UN HDI is a statistical measure that gauges an economy's level of human development. While there is a strong correlation between having a high HDI score and being a prosperous economy, the UN points out that the HDI accounts for more than income or productivity. Unlike GDP per capita or per capita income, the HDI takes into account how income is turned "into education and health opportunities and therefore into higher levels of human development."

Since 1990, Norway (2001–2006, 2009–2019), Japan (1990–1991 and 1993), Canada (1992 and 1994–2000) and Iceland (2007–2008) have had the highest HDI score.

The following countries in the year 2022 are considered to be of "very high human development":[15]

RankΔCountry or territoryHDI%

annual growth

(2010-2022)

1   Switzerland0.967 0.24%
2 (1)  Norway0.966 0.25%
3  Iceland0.959 0.28%
4 (2)  Hong Kong0.956 0.38%
5 (1)  Denmark0.952 0.35%
 Sweden 0.38%
7 (8)  Ireland0.950 0.38%
(3)  Germany 0.19%
9 (1)  Singapore0.949 0.25%
10 (1)  Netherlands0.946 0.26%
(1)  Australia 0.20%
12 (2)  Liechtenstein0.942 0.23%
(3)  Belgium 0.26%
 Finland 0.27%
15 (3)  United Kingdom0.940 0.24%
16 (7)  New Zealand0.939 0.13%
17 (19)  United Arab Emirates0.937 1.04%
18 (5)  Canada0.935 0.22%
19 (3)  South Korea0.929 0.36%
20 (1)  Luxembourg0.927 0.14%
(5)  United States 0.10%
22 (1)  Slovenia0.926 0.33%
(1)  Austria 0.21%
24 (4)  Japan0.920 0.16%
25 (1)  Israel0.915 0.26%
(3)  Malta 0.50%
27  Spain0.911 0.40%
28 (3)  France0.910 0.28%
29 (3)  Cyprus0.907 0.45%
30  Italy0.906 0.24%
31 (2)  Estonia0.899 0.33%
32 (6)  Czech Republic0.895 0.22%
33 (3)  Greece0.893 0.18%
34 (3)  Bahrain0.888 0.80%
35 (3)  Andorra0.884 0.20%
36 (2)  Poland0.881 0.35%
37 (2)  Latvia0.879 0.51%
(2)  Lithuania 0.32%
39 (6)  Croatia0.878 0.53%
40  Qatar0.875 0.45%
(6)  Saudi Arabia 0.70%
42  Portugal0.874 0.42%
43 (10)  San Marino0.867 0.32%
44  Chile0.860 0.47%
45 (9)  Turkey0.855 1.10%
(5)  Slovakia 0.14%
47  Hungary0.851 0.22%
48 (6)  Argentina0.849 0.15%
49  Kuwait0.847 0.36%
50 (1)  Montenegro0.844 0.38%
51 (2)  Saint Kitts and Nevis0.838 0.49%
52 (8)  Uruguay0.830 0.47%
53 (3)  Romania0.827 0.14%
54 (1)  Antigua and Barbuda0.826 0.18%
55 (7)  Brunei0.823 0.02%
56 (3)  Russia0.821 0.25%
57 (3)  Bahamas0.820 0.21%
(5)  Panama 0.47%
59 (7)  Oman0.819 0.22%
60 (3)  Trinidad and Tobago0.814 0.30%
(4)  Georgia 0.54%
62 (2)  Barbados0.809 0.18%
63 (6)  Malaysia0.807 0.41%
64 (5)  Costa Rica0.806 0.39%
65 (3)  Serbia0.805 0.39%
66 (6)  Thailand0.803 0.65%
67 (1)  Seychelles0.802 0.30%
(4)  Kazakhstan 0.38%
69 (11)  Belarus0.801 0.12%

WESP developed economies

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According to the United Nations Department of Economic and Social Affairs' World Economic Situation and Prospects report, the following 37 countries are classified as "developed economies" as of January 2024:[16]

31 countries in Europe:

two countries in Northern America:

four countries in Asia and the Pacific:

High-income OECD members

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According to the World Bank, the following 34 members are classified as "OECD High-Income":[17][18]

26 countries in Europe:

three countries in the Americas:

three countries in Asia:

two countries in Oceania:

Development Assistance Committee members

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See also: Development Assistance Committee
Member nations of the Development Assistance Committee

There are 29 OECD member countries and the European Union—in the Development Assistance Committee (DAC),[19] a group of the world's major donor countries that discusses issues surrounding development aid and poverty reduction in developing countries.[20] The following OECD member countries are DAC members:

23 countries in Europe:

two countries in the Americas:

two countries in Asia:

two countries in Oceania:

IMF advanced economies

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  Countries described as Advanced Economies by the IMF

According to the International Monetary Fund, 41 countries and territories are officially listed as "advanced economies",[1][21] with the addition of 7 microstates and dependencies modified by the CIA which were omitted from the IMF version:[22]

29 countries and dependencies in Europe classified by the IMF, 6 others given by the CIA:

Plusd

seven countries and territories in Asia:

three countries and territories in the Americas classified by the IMF, one territory given by the CIA :

two countries in Oceania:

d The CIA has modified an older version of the IMF's list of 38 Advanced Economies, noting that the IMF's Advanced Economies list "would presumably also cover the following nine smaller countries of Andorra, Bermuda, Faroe Islands, Guernsey, Holy See, Jersey, Liechtenstein, Monaco, and San Marino[...]". San Marino (2012) and Andorra (2021) were later included in the IMF's list.[22]

Paris Club members

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Permanent members of the Paris Club

There are 22 permanent members in the Paris Club (French: Club de Paris), a group of officials from major creditor countries whose role is to find coordinated and sustainable solutions to the payment difficulties experienced by debtor countries.

15 countries in Europe:

three countries in the Americas:

three countries in Asia:

one country in Oceania:

Comparative table (2024)

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Comparative table of countries with a "very high" human development (0.800 or higher), according to UNDP; "advanced" economies, according to the IMF; "high income" economies, according to the World Bank; and income per capita (purchasing power parity) higher than $25,000, according to the IMF.

Developed countries
CountriesHDI[23]IMF[24]WB[25]Per capita PPP 2024[26]
2023
 CroatiaYes since 2007Yes since 2023Yes since 2017Yes since 2016
2021
 San MarinoYes since 2021Yes since 2012Yes since 2000Yes before 2004
2020
 AndorraYes since 2003Yes since 2020Yes since 1990Yes before 2010
2016
 LatviaYes since 2005Yes since 2014Yes since 2012Yes since 2016
2015
 LithuaniaYes since 2005Yes since 2015Yes since 2012Yes since 2013
2013
 GreeceYes since 2001Yes since 1989[27]Yes since 1996Yes since 2013
2012
 EstoniaYes since 2003Yes since 2011Yes since 2006Yes since 2012
2011
 SlovakiaYes since 2006Yes since 2009Yes since 2007Yes since 2011
2009
 Czech RepublicYes since 2001Yes since 2009Yes since 2006Yes since 2006
2008
 MaltaYes since 2003Yes since 2008Yes since 2002Yes since 2007
 LiechtensteinYes since 2000Yes since 2008Yes since 1990Yes since 1987[28]
 MonacoYes before 1990[29]Yes since 2008Yes before 1990Yes since 1987[30]
2007
 SloveniaYes since 1998Yes since 2007Yes since 1997Yes since 2006
 PortugalYes since 2005Yes since 1989[27]Yes since 1994Yes since 2007
2006
 IsraelYes since 1991Yes since 1997[31]Yes since 1987Yes since 2006
 South KoreaYes since 1999Yes since 1997[31]Yes since 2001Yes since 2006
2003
 New ZealandYes before 1990Yes since 1945Yes since 1987Yes since 2003
2002
 CyprusYes since 2001Yes since 2001Yes since 1988Yes since 2002
 TaiwanN/A[Note 1]Yes since 1997[31]Yes since 1987Yes since 2002
2001
 SpainYes since 1995Yes since 1945Yes since 1987Yes since 2001
1999
 SingaporeYes since 1999Yes since 1997[31]Yes since 1987Yes since 1991
 FinlandYes since 1994Yes since 1945Yes since 1987Yes since 1999
 United KingdomYes since 1992Yes since 1945Yes since 1987Yes since 1999
1998
 IrelandYes since 1996Yes since 1945Yes since 1987Yes since 1998
 IcelandYes before 1990Yes since 1945Yes since 1987Yes since 1998
 SwedenYes before 1990Yes since 1945Yes since 1987Yes since 1998
 FranceYes since 1993Yes since 1945Yes since 1987Yes since 1998
1997
 AustraliaYes before 1990Yes since 1945Yes since 1987Yes since 1997
 BelgiumYes before 1990Yes since 1945Yes since 1987Yes since 1997
 CanadaYes before 1990Yes since 1945Yes since 1987Yes since 1997
1996
 ItalyYes since 1995Yes since 1945Yes since 1987Yes since 1996
 AustriaYes since 1992Yes since 1945Yes since 1987Yes since 1996
 GermanyYes before 1990Yes since 1945Yes since 1987Yes since 1996
 JapanYes before 1990Yes since 1945Yes since 1987Yes since 1996
1995
 NetherlandsYes before 1990Yes since 1945Yes since 1987Yes since 1995
1994
 DenmarkYes since 1991Yes since 1945Yes since 1987Yes since 1994
1992
 LuxembourgYes since 1992Yes since 1945Yes since 1987Yes since 1986
 United StatesYes before 1990Yes since 1945Yes since 1987Yes since 1992
1988
 NorwayYes before 1990Yes since 1945Yes since 1987Yes since 1988
1987
  SwitzerlandYes before 1990Yes since 1945Yes since 1987Yes since 1986
In process
CountriesHDI[23]IMF[24]WB[25]per capita PPP 2024[26]
 UruguayYes since 2014NoYes since 2012Yes since 2022
 ChileYes since 2007NoYes since 2012Yes since 2021
 Trinidad and TobagoYes since 2021NoYes since 2006Yes since 2006
 RomaniaYes since 2013NoYes since 2021Yes since 2017
 PanamaYes since 2019NoYes since 2021Yes since 2015
 BahamasYes since 2016NoYes since 1987Yes since 1999
 HungaryYes since 2005NoYes since 2014Yes since 2014
 PolandYes since 2003NoYes since 2009Yes since 2014
 KuwaitYes since 2014NoYes since 1987Yes since 1992
 BahrainYes since 2012NoYes since 2001Yes since 1983
 OmanYes since 2012NoYes since 2007Yes since 1990
 Saudi ArabiaYes since 2010NoYes since 2004Yes before 1980
 United Arab EmiratesYes since 2004NoYes since 1987Yes before 1980
 BruneiYes since 1999NoYes since 1990Yes before 1985
 QatarYes since 1996NoYes since 1987Yes before 1980
 Saint Kitts and NevisYes since 2011NoYes since 2012Yes since 2017
 SeychellesYes since 2022NoYes since 2014Yes since 2016
 Antigua and BarbudaYes since 2007NoYes since 2012Yes since 2023
Other recognitions
CountriesHDI[23]IMF[24]WB[25]per capita PPP 2024[26]
 SerbiaYes since 2019NoNoYes since 2023
 Costa RicaYes since 2019NoNoYes since 2022
 MauritiusYes since 2019NoNoYes since 2022
 ArgentinaYes since 2006NoNoYes since 2022
 MontenegroYes since 2013NoNoYes since 2022
 BulgariaYes since 2015NoNoYes since 2021
 KazakhstanYes since 2015NoNoYes since 2018
 MalaysiaYes since 2016NoNoYes since 2017
 RussiaYes since 2013NoNoYes since 2017
 TurkeyYes since 2015NoNoYes since 2015
 GeorgiaYes since 2019NoNoYes since 2024
 BelarusYes since 2012NoNoYes since 2024
 BarbadosYes since 2016NoYes since 2006No
 Dominican RepublicNoNoNoYes since 2023
 GuyanaNoNoYes since 2022Yes since 2022
 ThailandYes since 2021NoNoNo
 MaldivesNoNoNoYes since 2021
 NauruNoNoYes since 2019No
 LibyaNoNoNoYes since 2024
 MexicoNoNoNoYes since 2024
 ChinaNoNoNoYes since 2024

See also

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Notes

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  1. ^ The HDI annual report compiled by the UNDP does not include Taiwan because it is no longer a UN member state, and is neither included as part of the People's Republic of China by the UNDP when calculating data for China.[32] Taiwan's Statistical Bureau calculated its HDI to be 0.926 based on UNDP's 2010 methodology,[33][34] which would place Taiwan well within the group of "Very high human development" at 19th globally in 2021 within the 2022 UNDP report.[35][36]

References

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  1. ^ a b "World Economic and Financial Surveys World Economic Outlook Database—WEO Groups and Aggregates Information". International Monetary Fund. Archived from the original on 3 March 2023. Retrieved 2 June 2022.
  2. ^ Least Developed Countries Archived 17 May 2011 at the Wayback Machine (2018 list Archived 21 December 2019 at the Wayback Machine)
  3. ^ "Fiscal Policy and Inclusive Growth in Advanced Countries: Their Experience and Implications for Asia" (PDF). adb.org. Asian Development Bank. December 2014. Archived (PDF) from the original on 26 July 2021. Retrieved 8 July 2021.
  4. ^ "Advanced Countries Will Benefit Most from Progress in Technology, with Lesser Benefits to Other Nations". rand.org. RAND Corporation. 1 June 2006. Archived from the original on 21 August 2021. Retrieved 8 July 2021.
  5. ^ Developed Economy Definition Archived 22 March 2016 at the Wayback Machine. Investopedia (16 April 2010). Retrieved 12 July 2013.
  6. ^ International Monetary Fund. "World Economic Outlook Database, April 2023". International Monetary Fund. Archived from the original on 13 April 2023. Retrieved 30 April 2023.
  7. ^ The Courier. Commission of the European Communities. 1994. Archived from the original on 15 March 2020. Retrieved 20 January 2021.
  8. ^ "Human development index". Economics Help. Archived from the original on 17 December 2020. Retrieved 23 September 2018.
  9. ^ "Millennium Development Indicators: World and regional groupings". United Nations Statistics Division. 2003. Note b. Archived from the original on 10 February 2005. Retrieved 13 May 2017.
  10. ^ "Standard Country and Area Codes Classifications (M49): Developed Regions". United Nations Statistics Division. Archived from the original on 11 July 2017. Retrieved 13 May 2017.
  11. ^ "UNCTADstat - Classifications". Archived from the original on 6 October 2022. Retrieved 30 September 2022.
  12. ^ Sachs, Jeffrey (2005). The End of Poverty. New York, New York: The Penguin Press. ISBN 1-59420-045-9.
  13. ^ Wackernagel, Mathis; Beyers, Bert (2019). Ecological Footprint: Managing Our Biocapacity Budget. Gabriola Island, BC, Canada: New Society Publishers. p. 132. ISBN 978-0-86571-911-8. Archived from the original on 30 December 2019. Retrieved 20 January 2021.
  14. ^ Lee, Eun Su; Liu, Wei; Yang, Jing Yu (23 September 2021). "Neither developed nor emerging: Dual paths for outward FDI and home country innovation in emerged market MNCs". International Business Review. 32 (2): 101925. doi:10.1016/j.ibusrev.2021.101925. ISSN 0969-5931. S2CID 244268711.
  15. ^ Human Development Report 2023-24: Breaking the gridlock: Reimagining cooperation in a polarized world. United Nations Development Programme. 13 March 2024. Archived from the original on 17 March 2024. Retrieved 16 March 2024.
  16. ^ "World Economic Situation and Prospects 2024" (PDF). United Nations Department of Economic and Social Affairs. p. 135.{{cite web}}: CS1 maint: url-status (link)
  17. ^ "Doing Business 2019 Fact Sheet: OECD High-Income" (PDF). World Bank. Archived (PDF) from the original on 1 November 2018. Retrieved 31 October 2018.
  18. ^ "Doing Business 2019 Regional Profile: OECD High Income" (PDF). World Bank. Archived (PDF) from the original on 1 November 2018. Retrieved 31 October 2018.
  19. ^ Peer reviews of DAC members – Organisation for Economic Co-operation and Development Archived 27 May 2013 at the Wayback Machine. Oecd.org. Retrieved 22 October 2013.
  20. ^ DAC website >> "The DAC in Dates" Archived 15 February 2010 at the Wayback Machine, On the DAC's self-description, see the introductory letter. On other events, refer to the relevant section by date.
  21. ^ "World Economic and Financial Surveys World Economic Outlook Database—All countries/Advanced economies (40 countries)". International Monetary Fund. Archived from the original on 7 November 2021. Retrieved 13 October 2021.
  22. ^ a b CIA (2008). "Appendix B. International Organizations and Groups". World Factbook. Archived from the original on 9 April 2008. Retrieved 10 April 2008.
  23. ^ a b c United Nations (13 March 2024). Human Development Report 2023/2024 Breaking the gridlock: Reimaging cooperation in a polarized world. United Nations Development Programme. pp. 279–282. ISBN 978-9-210-03102-8. Archived (PDF) from the original on 13 March 2024. Retrieved 5 May 2024.
  24. ^ a b c "World Economic Outlook Database – Changes to the Database". International Monetary Fund. Archived from the original on 29 December 2017. Retrieved 7 February 2019.
  25. ^ a b c "World Bank Country and Lending Groups – World Bank Data Help Desk". datahelpdesk.worldbank.org. Archived from the original on 28 October 2019. Retrieved 20 January 2021.
  26. ^ a b c "World Economic Outlook Database, April 2024". IMF.org. International Monetary Fund. 16 April 2024. Retrieved 18 April 2024.
  27. ^ a b "World Economic Outlook, October 1989" (PDF). International Monetary Fund. p. 12. Archived (PDF) from the original on 28 June 2020. Retrieved 8 May 2020.
  28. ^ "GDP per capita (current US$) - Liechtenstein". International Monetary Fund. Retrieved 7 June 2023.
  29. ^ "Monaco Has The World's Highest Score on the U.N. Human Development Index". Monaco Estate. 29 November 2021. Archived from the original on 8 July 2023. Retrieved 8 June 2023.
  30. ^ "GDP per capita (current US$) - Monaco". International Monetary Fund. Retrieved 7 June 2023.
  31. ^ a b c d International Monetary Fund Annual Report 1997. Annual Report of the Executive Board. International Monetary Fund. October 1997. doi:10.5089/9781451945102.011. ISBN 9781451945102. Archived from the original on 25 June 2020. Retrieved 8 May 2020.
  32. ^ Nations, United. "Data Reader's Guide". Archived from the original on 28 October 2022. Retrieved 27 October 2022.
  33. ^ "What is the human development index (HDI)? How are relevant data queried?" (PDF). Archived (PDF) from the original on 12 June 2021. Retrieved 26 October 2022.
  34. ^ "人類發展指數" (PDF) (in Chinese). Archived from the original (PDF) on 14 April 2021. Retrieved 26 October 2022.
  35. ^ "National Statistics, Republic of China (Taiwan) - Statistical Tables". eng.stat.gov.tw. Archived from the original on 16 October 2022. Retrieved 27 October 2022.
  36. ^ "國情統計通報" (PDF) (in Chinese). Archived (PDF) from the original on 11 February 2023. Retrieved 26 October 2022.
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