Developed countries have more capital and investment. Furthermore, these nations will have higher GDP, leading high per capita income. On the other hand, the growth of the population is high and the standard of living is low in the developing nations. Most of the people will be engaged in primary sector like farming and forestry. In addition, the capital will be less and the technology will be low.
There is no real and fixed definition for development. Development could be a process of changing from a bad thing towards the good things and there is no end of development because it always a growing process. However, development can be seen as to increase the quality of life of human being around the world. These qualities of life include the job opportunities, employment, education, and clean water, health care and so on. The poor countries usually are been help in term of technology and science from developed countries and this lead to the increasing of capitalist in the backward country.
Development is a normative concept due to which there is a constant tussle in conceptually defining development. There are different models of development parse but it has been increasingly equated to economic development and wrongly paralleled to economic growth. In strictly economic terms, development has conventionally meant a sustained annual increase in GNP (or GDP) at rates that vary from 5 percent to 7 percent or more (Kapila, 2013). Till the 1960’s the term economic development was used as a synonym to economic growth; where the latter meant increase in per capita GNP in real terms (adjusted to inflation). According to the economic historian Kindleberger, “Whereas economic growth merely refers to a rise in output, economic development
CHAPTER ONE INTRODUCTION 1.1 BACKGROUND OF THE STUDY The economies of many developing countries are currently confronted by severe difficulties owing to a combination of lower commodity prices, higher energy costs, falling exchange rates and rising inflation. At the same time, the countries face immense social problems (including a rising urban population and unemployment) which are putting pressure on the nation’s resources and capabilities. The construction industry in a typical developing country is facing reduced levels of demand as a result of adjustment programmes which invariably involve cuts in governments’ capital investment. The challenge, as Ofori (1993) suggests, is that the construction industry should do well despite the severe constraints in its operating environment. There is a growing awareness among developing countries about the significance of infrastructure supply and capacity building in construction for socio-economic development in general, and for the effective implementation of poverty reduction initiatives, in particular.
According to the world systems theory, the world system is divided into two parts the Core and Peripheral. Core countries are dominant capitalist countries that exploit peripheral countries for labor and raw materials. They are strong in military power and not dependent on any one state or country. They serve the interests of the economically powerful. Whereas, Periphery countries fall on the other end of the economic scale.
Development described as a social condition within a nation in which the reliable needs of its population are satisfied by the rational and sustainable use of natural resources and systems. Meanwhile, Human development defined “as the process of enlarging people’s freedoms and opportunities and improving their well-being. Human development is about the real freedom ordinary people have to decide who to be, what to do, and how to live” . Economic growth is basically defined as an increase of wealth of a nation over time. Although, economic growth and development are closely intertwined, the economic growth is but a step in the direction towards development – one of prime significance, indeed a precondition to it, but by no means can it be conceptualized as development itself.
Developed Countries These are the world’s countries that are considered to be at the highest social and economic levels. USA, France, Canada, Germany, UK and Australia can be considered to be modern developed nations. These countries are also generally (but not exclusively) those with the finance to participate in International Trade, Finance and Commerce. Economic Development is largely based on the service sector and less on the industrial and manufacturing services. They are a socially developed nation with a well-established education system.
The economic and development disparity between the developed and developing countries is a major concern. The people living in a developing nation should have an equal opportunities to lead healthy and successful lives. Economic security without harming the environment and preserving it for the future generations, should be the goal of development. The idea of such sustainable development was highlighted for the first time in the 1922 Rio Earth Summit. The summits objective was to agree on the best and most efficient ways to ensure development as well as save the environment and reduce its deterioration.
Mainly people living in developing countries face this problem. People living in developing countries like Bangladesh, India, and Pakistan are deprived of good education systems. In urban areas of the developing countries have private schools for the privileged ones, and the people who are poor send their children to public schools. The standard of education in a public school and a private school in a developing country is a lot different. Security isn’t
Development is a specified state of growth and advancement that involves an improvement in the quality of life as perceived by the people undergoing change. The central focus of any development in a country should be the reduction of absolute poverty. The nature of development is categorized into developed countries and developing countries. Developed countries, also known as More Economically Developed Countries (MEDCs) are countries that have post-industrial economies meaning that the service sector provides more income compared to industrial sector. In contrast, developing countries also known as Less Economically Developed Countries (LEDCs) are often agricultural countries which are in the process of industrialization and seek to become more advanced in regards of economically as well as socially.