Different Phases of Economic Development PDF

Diffrent Phases of Economic Development Presented by White Group Objectives : understand the 5 stages of economic development and its foundational to know the socioeconomic impact of the different phases. understand the meaning of economic developmentes.  Lets Watch this Vid...

Diffrent Phases of Economic Development Presented by White Group Objectives : understand the 5 stages of economic development and its foundational to know the socioeconomic impact of the different phases. understand the meaning of economic developmentes.  Lets Watch this Video  Lesson ? Success is built on failure, frustration, and even catastrophe. So Failure is not the opposite of success, it’s part of success (Sumner Redstone, Arianna Huffington ) Diffrent Phases of Economic Development Presented by White Group  ECONOMIC DEVELOPMENT - It is a total process that includes economic growth and increase in the given amount of good and services produced by the country's economy.  CONCIDERING Conciders Social, Political, Cultural, and Spiritaul. Weal Aquisition is among the concerns. Greater concern is the improvement of people’s lives. Sustainable economic development ensures that the percent needs of a particular generation or fully met without endangering the ability of the futures generations to also fully meet their own needs ROSTOWS STAGES Of ECONOMIC GROWTH Given by Walt Whitman Rostows ( 1960 ) A well-cited development theory that illustrates the intersection of economics, geograph, and politics. Major historical growth model Walt whitman rostow 5 Phases of economic development  TRADITION SOCIETY This stage was prevalent prior to the 1700s. When most spcoeties operated in a ralatvely stable state and productivity didn’t rise or fall dramatically. It is also relied heavily in agricultural labor because a tremendous amount of labor was required to grow enough food to sustain the societies Trade existed, That's why technology was very limited.  TRADITION - SOCIETY It is characterized by a subsistent agricultural based economy with intensive labor and Low Investment of trading, and a population that does not have a scientifi c perspective on the world and technology  PRECONDITIONS FOR TAKE- OFF A period of transitions between the traditional society and a society that take-off , and for a certain time that society is establishing the preconditions for take-off It is a progressive elements creep in the society, and the economic progress it takes place. even the investment was been rising and the agriculture become more mechanized and more output is traded.  PRECONDITIONS FOR TAKE- OFF This generally described as "prerequisites for rapid economic growth." It is the intermediary step between a traditional, agrarian society and industrial explosion Development of infastructures like the roads, high ways, and also having machinery etc...  TAKE-OFF It is a stage of “dynamic economic growth” or “short period of intensive growth”. Manufacturing industry assumes greater importance, although the number of industries remains small Agriculture assumes lesser importance author the majority of people remain employed in the farming sector  TAKE-OFF Technological breakthrough happens Political and social institutions start to develop external fi nances may still be required nvestment is above 10% Urbanization and industrialization increase Dual economy  DIVE TO MATURITY It is about a 60 year period between the takeoff and the fi nal stage the age of mass consumption During this short period an economy is able to reinvest 10 to 20% of what it creates in some more production Process are improved quality of life, improved technology and new ideas continue to become more essential to the society  DIVE TO MATURITY The cause of producing the needs for survival it becomes the a smaller part of the economy The use of technology increases and the national economic growth and diversifi es STAGE OF MASS CONSUMPTION - The quantity and the quality of products and services increase. A society or economy in this stage is able to export productions, bringing in money from other countries that help the economy grow larger beyond actual consumption STAGE OF MASS CONSUMPTION A country’s economy fl ourishes in a capitalist system. characterized by mass production and consummerism. People have lots for leisure as per capita income and standard of living have improve. National income has greatly improved. also the investment is grwoedd above 20% QUESTIONS? Thank you very much! Hope you learn a lot!