Economic And Non Economic Indicators Essay

829 Words Mar 30th, 2015 4 Pages
There is no set criteria for what make a economy developed. When looking at the measures we would expect mostly higher levels of GDP, GNP, advanced infrastructure and standard of life. It is important that we consider both economic and non economic indicators.

A developed Economy is in generally said to be that of a industrialised , sovereign state with highly developed technological infrastructure relative to other nations. More recently new scales such as the Human Development Index (HDI) have been introduced. In this approach we consider three basic areas of a country Health, Education and Living standards which provides a proxy of the level of development. (See appendix A)

Interestingly in recent decades developing countries have been see to attain higher growth rates, such as Afghanistan and Pakistan. (UN, 2015). As a country develops we have observed a shift away from agricultural and towards industrial and then services ( Thirwall, 2005 p.71. See appendix B ) . Increased accumulation of physical and human capita. Leading to a change in consumer prefaces from basic to manufactured luxury goods. There also is a noted decline in family size generally, the china’s OCP being an extreme example ( Un, 2014) The classic economic approach to growth is that of a surplus as a necessary condition of growth ( Marx, Smith, Sraffa). Which is a physical excess of the production, which if used effectively can create a profit of which can reinvested i.e Growth. Of-course a surplus…

Related Documents