Economic growth means an increase in real GDP. This increase in real GDP means there is an increase in the value of national output / national expenditure. The benefits of economic growth include: Higher average incomes. This enables consumers to enjoy more goods and services and enjoy better standards of living. Lower unemployment With higher output and positive economic growth firms tend to employ more workers creating more employment UK unemployment rises during a recession – falls during periods of economic growth.
Literacy is an important capability because, it’s the first step on the road to mental and physical freedom. Literacy is an important capability to help function at school, on the job, and in society. Reading and writing are vital skills in finding a good job. Many well paid jobs require reading and writing as a part of the job. Literacy is important in all levels of employment.
Literacy is ability to read, write, and speak in a way that allow you to communicate effectively. It is an important things to have in today’s society. It enables us to better understand our environment and achieve personal success in our lives.It has a wide range of benefits for economis, social, and political development of a country. This is demonstrated through frederick Douglass’s slave narrative. He had a strong determination to learn and write.
U.S. economics professor Robert Gordon attributes the recent slowdown in economic growth in the U.S. to four main headwinds: demography, education, inequality and government debt. This paper will analyze two of these headwinds, demography and education, both of which are connected to innovation positively or negatively. The first headwind is demography. In general, the U.S. population is projected to grow more slowly in future decades than in the recent past, which will result in a decline in labor force participation. These demographic changes have a significant impact on economic growth.
Persistent economic growth sustained over a long period of time results into economic development and by this the challenge of wide income inequality would have been catered for. This study deduces economic growth as a state when there is increase in output, employment and wellbeing and can be achieved through enhanced efforts on monetary and fiscal policy regulations, trade and tax policies; through efforts that provide infrastructure and social services; and through employment generation and retention through specific effort in business, finance, manpower development, small business development, technology transfer and real estate development. The study will adopt the real value definition of economic growth because of its tendency to take care of inflation as a crucial phenomenon on finance and
DISADVANTAGES Long term financial development puts an awful effect on the inhabitants of any nation. Long term economic developments may be identified with expansion, as inflations may increase. Inflations usually increase the cost of products on sale, and as the costs are higher, it will be an issue to the nationality in question to be able to buy their needs There is a limited amount of time involved in the growth of an economy as it involves an increase in GDP. The hypothesis and practice are both diverse. The hypothesis is the thing that economists are able to figure out for themselves; however, to be able to use the hypothesis in reality is the main task.
This essay focuses on the negative and positive effects of population growth on economic development. NEGATIVE EFFECTS OF POPULATION GROWTH ON ECONOMIC DEVELOPMENT Government resources are limited, so population growth is seen as using up those limited resources on unproductive investment such as providing for the dependent population (the young (0-14) and the old (65and above) ). These government resources could have been used for capital goods and improving other sectors which might contribute to growth of the economy other than spending them on consumption goods. To support this point Cincotta and Engelman (1997) mention that the growth of GDP can be constrained by high dependency ratios, which result when rapid population growth produces large proportions of children and youth relative to the labour force. Population growth competes with capital formation and as such more is spent on the dependent ratio at
Nonetheless, in the 19th century, a researcher has discovered that increasing minimum wages can efficiently encourage workers to boost their labour skill, quality of work and then labour productivity will be promoted. While the company has high production efficiency, at the same time, will increase the enhancement of competitiveness between each firm. Despite it increases the cost of firm; it will not diminish the competitiveness among the firms. When the fierce competition occurred between the firms, they will provide many types of products which let people have more choice to consume. Besides, the labourers will increase loyalty to the firm which they work.
Most governments throughout the world give a high priority to the development of literacy skills in their populations. As part of basic education, literacy is seen as a key factor in a country’s social and economic development. UNESCO, as part of its education strategy, sees literacy as ‘a fundamental human right’ (Blackburn & Clark, 2007). Literacy gives people tools with which to improve their livelihoods, participate in community decision making, gain access to information about health care, and much else besides. Above all, it enables individuals to realize their rights as citizens and human beings.
Thus, we know that economic growth in a country is strongly related with its productivity. The increasing of productivity will brings the increasing of economic growth. The increasing of productivity in a country means the ability to produce more goods and service with the same amount of inputs. Also, there are many indicators to determine the economic growth, such as high saving rates, high income (that will drive the higher GDP), and the number of employment. A country can be categorized to have an economic growth if they are having an improvement in terms of their productivity and the indicators that will determine the economic growth.