Question

Please do it by type not pics.

1.Explain the factors that influence the ability of countries and populations to develop into modern industrialized countries?

a.Per class discussion what role does the “rule of law” play in economic development?

b.Why does your instructor believe this is the most important factor in economic development?

c.Compare the role of TFP to capital accumulation is economic development

d.Compare the divergence in the standard of living across the Earth two hundred years ago to that of today

Answer 1

Answer 1. Today most of the countries are developed or developing and thus there is an ongoing expnomic growth as well as an industrial revolution. To be modernised in every way the country as well the individuals who are living there have to contribute so that modernisation can take place. Majorly the factors that influence a country to develop are- Human resource which are the people living over there which will eventually contribute to the exonomic growth of the country. Then comes the natural resources present in the natuon and their quality as well as quantity. Their should also be optimum utilisation of such resoirces. Technological development is also another favtor which enables a country to become modernize. Other favtors include capital formation which includes machinery and one more favtor may be the social and political factors which are a major contributor for development.

(A) Rule of law refers to the rule of a land by which it is governed. As compared to the early times when the individuals were given the power to govern and thus the rule of comes in place. A land or nation should always be governed by some rule as helps the nation in economic development. Being multidimensional the rule of law sets out the property rights as well as the law and regulations which helps in economic development and a more corruption free nation. It also helps in keeping a check on the government and thus helps in economic development.

(B) The above mentioned factors are the most important for economic development because it helps the nation in boosting their GDP and thus growing nation wide. Also these factors are what circles the nation and thus it helps in proper economic growth. All the important factors which help in economic development are clearly mentioned above and thus all of these are important.

(C) Total factor productivity refers to the amount pf output which cannot be explained by the inputs used. It also shows how well effectively and efficiently the inputs are utilised. Capital accumulation refers to the investment in financial assets that help in flow of capital. Economic development requires capital in form of machinery, tools, plants and equipments etc and this they need to be carefully used so that exonomic development can take place. Also these capital needs to be fully utilised so that they can be used optimally and the inputs are effectively and efficiently used. Thus all this process leads to economic development as more goods and services are produced.

(D) Clearly due to the change in technology and other socio and political changes there has also been a change in standard of living. The standard of living basically means that the amount of wealth or assets a person has and the material and immaterial comfort a person has. It has completely changed over the period of years. Earlier the people used to live a very low standard life like there were no televisions and internet and also no such transportation and communication facilities that we have today were present in such times. But now we have much more than we used to have and thus standard of living has increased to a much new level.