market value of all final goods and services produced within a given period by the factors of production located within a country” (Case‚ Fair & Oster‚ 2008‚ p.105.). Essentially‚ GDP is a measure of production of an economy; that is‚ it measures its economic performance. Despite this‚ economists often use GDP statistics as an indication of social welfare. According to Case‚ Fair and Oster (2008) however‚ this may cause serious problems to arise. These problems are put forwards in the following limitations
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component of the structural reform process and globalization strategy in many economies. Several developing and transition economies have embarked on extensive privatization programmes in the last one and a half decades or so‚ as a means of fostering economic growth‚ attaining macroeconomic stability‚ and reducing public sector borrowing requirements arising from corruption‚ subsidies and subventions to unprofitable SOEs. By the end of 1996‚ all but five countries in Africa had divested some public enterprises
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Foreign Direct Investment and Economic Growth Prithu Sharma Binadi According to Solow swan model‚ economic growth can be attributed to three variables. Population growth‚ savings (capital) and technology. Therefore according to theory we know that higher saving rates leads to growth but only temporarily. So the actual growth and persistence rise in living standard is achieved only by technological process. Thus‚ the technological improvement is vital for economic growth. One of the major methods
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Interests in the study of economic growth and development have been on the increase especially since the middle of the present century. Economic growth results in the expansion of a country’s production possibility curve such that the potential output of the country is increased beyond the previous levels. Thus growth is often defined in terms of a sustained increase in the real per capita income of a country. Simon Kuznets in (Todaro‚ 1885)‚ defined a country’s economic growth as “a long term rise in
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Economic growth in Bangladesh: experience and policy priorities ____________________________________________________________ The Liberation War of 1971 destroyed about a fifth of Bangladesh’s economy‚ and the post-war dislocations left the country on a slow growth trajectory for better part of two decades. Then the economy accelerated from 1990‚ driven by a remarkable turnaround in the growth of multi-factor productivity. We identify factors that inhibit another growth spurt: low levels
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The Theory of Economic Growth: a ‘Classical’ Perspective The Theory of Economic Growth: a ‘Classical’ Perspective Edited by Neri Salvadori University of Pisa‚ Italy Edward Elgar Cheltenham‚ UK • Northampton‚ MA‚ USA Contents Introduction by Neri Salvadori 1. Theories of economic growth: old and new Heinz D. Kurz and Neri Salvadori The structure of growth models: a comparative survey Antonio D’Agata and Giuseppe Freni Endogenous growth theory as a lakatosian case study Mario
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Introduction to Economic Growth Economic growth is defined as a positive change in the level of production of goods and services by a country over a certain period of time. With that in mind‚ I must say that economic growth is often desirable for a country as a whole. However‚ one has to acknowledge and able to differentiate between Nominal Economic Growth (NEG) and Real Economic Growth (REG). NEG is derived without considering the effect of inflation whereas REG is calculated based on the effect
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China’s Successful Economic Growth China may share some economic growth patterns with Japan‚ Korea‚ and Taiwan due to cultural similarities‚ geographic location‚ similar economic development strategies‚ or‚ in the case of Japan‚ relatively large size of the domestic economy. China’s economic growth is expanding at a great pace‚ while other countries may be at a standstill. China has been the world ’s fastest-growing economy. One of the main stimuli twelve years ago was the release of Hong Kong
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Asian Business Enviromments (BBA320) | China’s Rapid Economic Growth and Institutional Economic Reform‚ and Future Growth | Can institutional reform (the transition from central planning to a market economy) provide a sufficient explanation for China’s rapid economic development over the past three decades? What needs to happen in order for growth and development to be maintained in future? | | | | | Introduction The country; one of the oldest civilizations in the world has created
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Corruption and Economic Growth This brief overview analyzes corruption and its relationship to economic growth. The brief continues to consider the idea of economist Amartya Sen that development means more than economic growth. Additionally‚ provided‚ a quick risk analysis of two countries where corruption is common everyday practice. Corruption and Economic Growth Relationship What is the relationship between corruption in a country and economic growth? Answer this question. Research indicates
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