Alexandru Florea Economic Development and Growth
Economic Development and Growth of Romania
Alexandru Florea
ARISTOTLE UNIVERSITY OF THESSALONIKI
FACULTY OF ECONOMICS AND POLITICAL SCIENCES
SCHOOL OF ECONOMICS
Economic Development and
Growth
Professor: Dr. Grigoris Zarotiadis
Alexandru Florea
JANUARY 2015
1
Economic Development and Growth of Romania
Alexandru Florea
Contents:
2
Economic Development and Growth of Romania
Alexandru Florea
A. Introduction
The purpose of the project is to analyze the economic development and growth of Romania especially after communist period.
Economic development vs. Economic Growth
Economic development is the process of improving the standards of living and increasing the level of welfare of the population. Usually is expressed by the per capita income.
Indicators of economic development:
Labor productivity
Weighted Machine tool industry in total industry
Weighted Machine tool exports in total exports
Weighted Brain drain in total export
Weighted Employment in services
Economic growth is represented by the evolution of specific economic indexes, with benefits for the social and economic life, in a specific time and area. The most known index for calculating the economic growth is the GDP/capita.
Types of economic growth
Extensive economic growth- based on growing the GDP/capita by increasing the number of workers, arable lands etc.
Consolidated economic growth: it would be realized at the global scale
Zero economic growth: is happening when the economic indexes and the population of the country are increasing with the same percentage.
The single way that a state can achieve economic development and growth is by using their economies to make investments.
Economic development represents a qualitative process while economic growth is a quantitative one. However the processes of economic development and growth are produced simultaneous therefore they must be considered together.
The first part of the analysis will provide an overall picture of
Alexandru Florea
ARISTOTLE UNIVERSITY OF THESSALONIKI
FACULTY OF ECONOMICS AND POLITICAL SCIENCES
SCHOOL OF ECONOMICS
Economic Development and
Growth
Professor: Dr. Grigoris Zarotiadis
Alexandru Florea
JANUARY 2015
1
Economic Development and Growth of Romania
Alexandru Florea
Contents:
2
Economic Development and Growth of Romania
Alexandru Florea
A. Introduction
The purpose of the project is to analyze the economic development and growth of Romania especially after communist period.
Economic development vs. Economic Growth
Economic development is the process of improving the standards of living and increasing the level of welfare of the population. Usually is expressed by the per capita income.
Indicators of economic development:
Labor productivity
Weighted Machine tool industry in total industry
Weighted Machine tool exports in total exports
Weighted Brain drain in total export
Weighted Employment in services
Economic growth is represented by the evolution of specific economic indexes, with benefits for the social and economic life, in a specific time and area. The most known index for calculating the economic growth is the GDP/capita.
Types of economic growth
Extensive economic growth- based on growing the GDP/capita by increasing the number of workers, arable lands etc.
Consolidated economic growth: it would be realized at the global scale
Zero economic growth: is happening when the economic indexes and the population of the country are increasing with the same percentage.
The single way that a state can achieve economic development and growth is by using their economies to make investments.
Economic development represents a qualitative process while economic growth is a quantitative one. However the processes of economic development and growth are produced simultaneous therefore they must be considered together.
The first part of the analysis will provide an overall picture of