It does have something to do with geography, but it is imprecise. The same way 'western' is imprecise, because it always includes Australia and New Zealand. And

It does have something to do with geography, but it is imprecise. The same way 'western' is imprecise, because it always includes Australia and New Zealand. And 'first world' is imprecise, because of it has roots in the cold war, thus should not include countries like Switzerland.