MODULE 5.pptx

Development

1. Economic development is a total process that includes economic growth and increase in the given amount of goods and services produced by the country’s economy. PHASES OF ECONOMIC DEVELOPMENT

2. PHASES OF ECONOMIC DEVELOPMENT Wealth acquisition is among the concerns of economic development; however its greater concern is the improvement of people’s lives.

3. Economic development phases are the distinct stages involved in the total process of economic development PHASES OF ECONOMIC DEVELOPMENT

4. Walt W. Rostow (1960) took a historical approach in suggesting that developed countries have to pass through five phases to reach their current degree of economic development. Traditional society. Preconditions for take-off. Take-off. Drive to maturity. Age of mass consumption.

5. Rostow’s Economic Development Phases Traditional society. Preconditions for take-off. Take-off. Drive to maturity. Age of mass consumption.

6. t his is an agricultural economy of mainly subsistence farming . TRADITIONAL SOCIETY with intensive labor and low levels of trading . a population that does not have a scientific perspective on the world and technology. Rostow’s Economic Development Phases

7. Rostow’s Economic Development Phases Preconditions for take-off. Agriculture becomes more mechanized and more output is traded. Here, a society begins to develop manufacturing and a more national/international outlook.

8. Rostow’s Economic Development Phases Take-off . Rostow describes this stage as a short period of intensive growth, in which industrialization begins to occur. workers and institutions become concentrated around a new industry .

9. Rostow’s Economic Development Phases Drive to Maturity standards of living rise. the use of technology increases, and the national economy grows and diversifies.

10. Rostow’s Economic Development Phases Age of High Mass Consumption a country’s economy flourishes in a capitalist system, characterized by mass production and consumerism.