Development and Economic Growth

 

Differentiate between the Development and Economic Growth?

The development refers to the upward movement of the entire social spectrum of any country or nation. It encompasses social, economic, and political factors. Most of the time the development is linked to social, political, and economic progress attained by the global north, or at least it is taken as a benchmark of the development. Nations that have attained such progress are referred to as ‘developed’ and the others which are lagging are called less/under developed. Whereas growth refers to progress in terms of economy i.e. larger GDP, GNP, etc.

Scandinavian countries are far more developed while other western countries like the UK, US have greater economic growth. 

Explain the different measures of development?

Development can be measured using different methods and measures. Following are some of the measures of economic development;

Human Development Index

HDI is calculated by the UN and measures life expectancy, level of income, education, etc. HDI is a widely used index to measure development, it also takes into account birth rate, death rate, GNI, access to safe water, etc.

The Demographic Transition Model and development

It shows population changes over time by using five stages i.e. birth rate, death rate, total population, and projection. 

HDI entails all the factors of development i.e. economic, social and political. It is a comprehensive model because it covers the almost full spectrum of the development of human life.

What was Marshall Plan and how it changed the development era?

Marshal's plan was a US aid program for Europe. After the devastation of world war 2, the worst-hit Europe was economically bailed out by the US. It was aimed at curbing the rising tide of communism. Eventually, It would lead to the recovery of production abroad, which was essential both to a vigorous democracy and to a peace founded on democracy and freedom, and which, in the eyes of the United States, the Soviet Union had thus far prevented. It would support world trade, from which U.S. businessmen, farmers, and workers could benefit.