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The table below compares a number of development indicators for Ethiopia and Chile. As of 2023. they are both considered developing countries by the United Nations, but there are obvious differences between the two.

(Data source: World Bank. All data from 2022 except Ethiopia adult literacy rate, dating from 2017)

There are many reasons, both physical and human, to explain the differences in levels of development.

Ethopia

• few natural resources
• caught in the vicious circle of poverty
• based on subsistence agriculture with land degradation
• government lacking money and in debt ($10 billion)
• civil war and an unstable, corrupt government
• poor health with endemic disease - Aids/HIV holding back development
• low standards of housing, sanitation and education
• lack of industrial development
• suffers from flooding and drought

Chile

• a government that is politically secure and stable
• rich in naturally occurring resources
• a mixed economy based on services and trade more than agriculture
• some government spending is reinvested in social welfare, education and health
• government investment in transport, connectivity and energy infrastruture
• good foreign relations with USA and many other countries
• well located to export to USA, China and Pacific Rim countries
• foreign investment attracted
• population growth under control