In general words, economic development refers to the problems of underdeveloped countries and economic growth to those of developed countries. The raising of income levels is generally called economic growth in rich countries and in poor ones it is called economic development. But this view does not specify the underlying forces which raise the income levels in the two types of economies. The problems of underdeveloped countries are concerned with the development of unused resources, even though their uses are well known, while those of advanced countries are related to growth, most of their resources being already known and developed to a considerable extent. (more…)
Economic Development Versus Economic Nourishment – A False Argument
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Many have argued that while economic development is important, economic nourishment is even more important, but I do not see it as one or the other. Why you ask? Well it’s simple really, because capitalism, which provides economic development also provides for the needs and desires of those who participate or are surrounding the participants. You see it is an either/or question, it is not a contest and you can have both.
Recently, a mindful college student type wrote: “This is a key essential in my mind for not only economic development but for economic nourishment.” (more…)
Industrialization and Economic Development
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Industrialization is the process of manufacturing consumer goods and capital goods and of creating social overhead capital in order to provide goods and services to both individuals and businesses. As such industrialization plays a major role in the economic development of LDCs (Less Developed Country).
Industrialization is a pre-requisite for economic development as the history of advanced countries shows. For development, the share of the industrial sector should rise and that of the agricultural sector decline. This is only possible through a policy of deliberate industrialization. As a result, the benefits of industrialization will “trickle down” to the other sectors of the economy in the form of the development of agricultural and service sectors leading to the rise in employment, output and income. (more…)