Belgium. Simon Kuznets has rightly observed that during the period of modern economic growth, the share of agriculture and agro-based industries in aggregate output (GDP) has recorded a sharp decline, while the shares of manufacturing industries, public utilities and certain service groups like professional, government etc. Lewis has rightly observed, No nation is so poor that it could not save 12 per cent of its national income if it wanted to, poverty has never prevented nations from launching upon wars or from wasting their substance in other ways. Thus this dearth of critical skills and knowledge in these countries has resulted under-utilisation and mis-utilisation of physical capital leading to lower productivity and higher cost structure of the production system. Forward exchange rate is the rate at which a currency will be exchanged at a future predetermined date. The following write up is a discussion of oligopoly and its effect on consumers. Knowledge of these investors about market opportunities and new techniques of production should also be enhanced to the reasonable level. Therefore, in order to provide all outward push to the production frontier, the productive has to be expanded. These include availability of the substitute, the time one has to spend buying the product, the. In this connection, Meir and Baldwin aptly observed, New wants, new motivations, new ways of production, new institutions are to be created if national income is to rise more rapidly.
As underdeveloped countries have failed to fulfill these conditions thus their development process is neither self-sustaining nor cumulative. Thus education is working as an engine for economic development. Moreover, rapidly rising population necessitates a higher rate of investment to maintain old standard of living and per capita income. The basis for the allegations is the idea that smoke-free laws will hurt local economies and businesses. Firstly, the productive opportunities available within the existing resouirce and necessary known-how have to be utilised to the maximum extent through optimum allocation of the resources of the country. Plan for economic progress and social betterment cannot be initiated from outside of a country. Economical giants: China and India essay.
But the actual production curve of the underdeveloped country denoted by AB lies much below the potential production curve AB due to market imperfections resulting in misallocation and under-utilisation of resources in the country. But countries like Britain and France have modernised their agriculture in spite of shortage of land and the country like Japan has developed a solid industrial base despite its deficiency in natural resources. Thus to attain indigenous base in developmental framework is considered as an important pre-requisite for economic development. The country should arrange cheap and larger volume of credit facilities readily available for its industrialists, essay about religion in early civilizations essays cultivators, businessmen, small traders and new entrepreneurs. Thus the vicious circle of poverty is resulted from various vicious circles related to demand side and supply side of capital. More Essay Examples. For instance, discounts in a supermarket offer incentive to those who want to save some money. (iii) Changes in Sectoral Share in GDP: Prof.