Improved social and economic well being of a country’s citizenry with equitable access to all basic necessities of life defines economic development. Economic development becomes sustainable when the needs of the current generations are met continuously over a period of at least two decades without compromising the ability of future generations to meet their social economic needs. This entails using efficient production processes that provide the needs of the current generations without putting at risk the ability of future generations to meet their needs. Meier (2008) defines economic development as the process where the real per capita income of a country increases over a long period of time subject to stipulations that the number of people below an absolute poverty line does not increase and that income distribution does not become more unequal. Three elements pertinent to economic development are; poverty, unemployment and inequality. Dudley Seers argues that economic growth which does lead to reduction in all these three does not lead to economic development.
Economic growth generally measures the amount of production from a country or region over a period of time. What then are the key