First World

AAA

DEFINITION of 'First World'

1. A country that was aligned with the West and opposed to the Soviet Union during the Cold War. Since the collapse of the Soviet Union in 1991, this use of First World has largely gone away.


2. A country characterized by political stability, democracy, rule of law, a capitalist economy, economic stability and a high standard of living. Various definitions have been used for First World nations, including GDP, GNP and literacy rates. The Human Development Index is also a good indicator in determining First World countries.

INVESTOPEDIA EXPLAINS 'First World'

First-world countries have stable currencies and robust financial markets, making them attractive to investors from all over the world. Examples of first-world countries include the United States, Canada, Australia, New Zealand, Japan and the Western European countries. First-world countries are in the minority; most countries are classified as second- or third-world.

RELATED TERMS
  1. Second World

    1. A country that was once controlled by the Soviet Union. Second ...
  2. Human Development Index - HDI

    A tool developed by the United Nations to measure and rank countries' ...
  3. Developed Economy

    While there is no one, set definition of a developed economy ...
  4. Organization for Economic Cooperation ...

    A group of 30 member countries that discuss and develop economic ...
  5. Emerging Market Economy

    A nation's economy that is progressing toward becoming advanced, ...
  6. Lesser-Developed Country - LDC

    A country that is considered lacking in terms of its economy, ...
Related Articles
  1. An Introduction to Microfinance
    Insurance

    An Introduction to Microfinance

  2. Does High GDP Mean Economic Prosperity?
    Economics

    Does High GDP Mean Economic Prosperity?

  3. Standard Of Living Vs. Quality Of Life
    Fundamental Analysis

    Standard Of Living Vs. Quality Of Life

  4. The Six Things Investors Should Do Now
    Fundamental Analysis

    The Six Things Investors Should Do Now

comments powered by Disqus
Hot Definitions
  1. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  2. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  3. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  4. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
  5. Days Payable Outstanding - DPO

    A company's average payable period. Calculated as: ending accounts payable / (cost of sales/number of days).
  6. Net Sales

    The amount of sales generated by a company after the deduction of returns, allowances for damaged or missing goods and any ...
Trading Center