Features of Economic Development

Economic development is the term used in the context of the well-being of the economy of a country; it is a very broad concept which covers not only economy growth but also a wide range of parameters like the standard of living, literacy rate, mortality rate and many other factors. Economic development is not limited to good roads, high rise building, malls, five star hotels but it has many variables; in order to understand this concept let’s look at some of the features of economic development –

  1. The topmost feature of the economic development is that it indicates general well-being of the people of the country because if the country is economically developed then automatically it leads to a better standard of living of the people of the country. Although a gap will always be there where some people will benefit more while others will benefit less but still overall there will be more prosperity in the country than before.
  2. Another feature of the economic development is that there is a substantial migration of people from rural areas to urban areas in search of better job opportunities as well as for improved standard of living which sometimes may lead to urbanization problem in metro cities and urban areas.
  3. Another feature of the economic development is that services and industry sector command more share in GDP of the country than agriculture sector. This shift happens due to government laying more emphasis on industry and service sector by framing policies which promote companies and people working in both the sectors which in turn leads to people and companies moving from agriculture to industry and service sector.
  4. The whole focus of the government is on technology because new and innovative technology helps in manufacturing the products at cheaper rates and also automates many works which in turn leads to less human interference and more automation. In short an economically developed nation uses more technology in every field than developing or developed countries.
  5. Another important characteristic of economic development is that it leads to the elimination of many age – old beliefs and superstitious because as the standard of living of people improves they are exposed to technology like television and internet and eventually they began to learn that science and technology are the reality while all their superstition is a myth and useless.
  6. In economically developed countries there is a tendency of people to save less and spend more besides almost entire population of the country is covered through banks and financial institutions and also people use plastic money like credit cards, debit cards, internet payment gateways to make payment instead of cash. In short financial habits of developed countries are completely different from that of people living in developing or under developed nations.

As one can see from the above that economic development is more extensive in nature and that is the reason why countries strive to achieve economic development rather than economic growth. However economic development does not mean that country has become heaven because problems like corruption, recession, urbanization etc… happen in developed countries also.

0 comments… add one

Leave a Comment


Related pages


difference between normal good and inferior goodmateriality principlemerit and demerits of internetcharacteristic of managerial accountingautocratic leadership in businessassumptions of the capmwhat is fdi and fiiexplain barter systemppf fullformexamples of capital receipts and revenue receiptsbenefits of demat accountwhat does penetration pricing meanwhat is durable and nondurable goodsmixed economies advantages and disadvantageswhat is oligopoly and monopolydurable and nondurable goods examplespayback period advantages and disadvantagesbundling pricing strategy examplesnon redeemable preference sharesmarket skimming exampleearned but unbilled revenueadvantage of autocratic leadershipwhat is the difference between direct and indirect laboran example of complementary goods would befull form of tds in bankingadvantages of mixed economy in south africafinancial market segmentationslums curse to urbanisationfactoring and discountingnormal inferior goodstypes of elasticitiesautocratic leadership pros and consbartering systemplanned economy advantages and disadvantagesadvantages of autocratic leadership stylewhat is capm in financial managementvarious types of elasticity of demandmixed economy of welfareadvantages of lifoexample of unitary elastic demandforex reserve meaningwholesale banking definitionadvantages and disadvantages of social marketingmeaning of fund flowclassification of elasticity of demanddisadvantages of comparative advantage theoryprice skimming focuses on selling products toaccounting entry for prepaid expensesexample of capital reservesystematic unsystematic riskwhat is the difference between systematic risk and unsystematic riskdisinflation refers to a situation whereconglomerate organizational structurelearn bank reconciliation statementmixed economy advantagesmeaning of forfeiting in financeexplain capital rationingwhat are examples of current liabilitiesexample of law of diminishing returnsdebentures as a source of financeexamples of liabilities accountsdifference between cash credit and bank overdraftmarket skimming pricing strategy examplesdisadvantages of convertible bondsadvantages of conglomerate diversificationadvantages and disadvantages of markup pricingwhat is substitute goods in economicsdurable or nondurable goodstypes of price elasticity of demand with graphsmonopoly and oligopoly market structuresunearned revenue accountingcommand economy advantages disadvantagesjob and process costingunsystematic risk examplewhat is the difference between consignor and consigneedefinition of centrally planned economy