Measurement of Economic Development
Economic development is measured on the basis of four criteria
Gross National Product (GNP): GNP goods and services produced within a nation
in a particular year, plus income earned by its citizens (including
income of those
located abroad),minus income of
non -residents located in that country. GNP is one measure of the economic
condition of a country,under the assumption that a higher GNP leads to a higher
quality of living,all other things being equal.
GNP per capita:
This
relates to increase in the per capita real income of the economy
over the long period. This indicator
of economic growth emphasizes that for economic
development the rate of increase in real per capita income should be higher
than the growth rate of population.
Welfare: Economic development is regarded as a process whereby there is an increase
in the consumption of goods and services by individuals. From the welfare
perspective, economic development is defined as a sustained improvement in
health, literacy and standard of living.
Social Indicators: Social indicators are normally referred to
as basic and collective needs of the people. The direct provision of basic
needs such as health, education, food, water, sanitation and housing facilities
check social backwardness.
Determinants of Economic Development
Economic development is not determined by any single factor.
Economic development depends on Economic, Social, Political and Religious
factors.
Related Topics
Privacy Policy, Terms and Conditions, DMCA Policy and Compliant
Copyright © 2018-2024 BrainKart.com; All Rights Reserved. Developed by Therithal info, Chennai.