Economics Year 13 revision Day 29 - Development Economics
On day 29 of the Year 13 Recap we review the field of macroeconomics titled development economics.
Development economics is a branch of economics established to evaluate the link between growth and development. This is because standard economic theory, up to that point, had always assumed that higher levels of growth would translate into improved living standards and put a country on a strong development path.
However, development economics questions that central statement and says that even though growth is sufficient for development to take place - it is not always necessary. This is because of some of the off-setting externalities which growth creates such as inequality, pollution and social problems. Therefore, a country needs to achieve the right type of growth (sustainable) to achieve the sort of development progress that will help close the gap between the richest and poorest nations.
Here Jack provides an overview of the field of development economics: