Factors that affect economic development , - Coggle Diagram
Factors that affect economic development
Positive relationship between levels of education and economic development
This is because high levels of education allow people to land better jobs, which increases their income. This increases SOL and brings economic development
Income(GDP per capita)
Main factor in considering level of economic development
Positive relationship between GDP per capita and economic development
Higher income allows people to afford more goods and services, increasing SOL and economic development
Positive relationship between quality of health care and economic development
This is because high quality healthcare can increase the productivity of the labour force.
Child mortality rate, the number of deaths of children below the age of 5, per thousand of the population
Positive relationship between productivity and economic development
This is because an increase in productivity leads to increased output, thus leading to increase in SOL and economic development
The Rapid population growth limit increase in real GDP as it reduces the GDP per capita. High population growth can hinder economic development as there are competing pressures on the earth's scarce resources.
LEDC's have large or very fast-growing populations. This tends to reduce their GDP per capita, which limits their ability to develop economically.
Sizes of Economic Sectors
Most developed countries have majority of the population in the tertiary sector
LEDCs usually have most of their population working in the primary/secondary sectors
The quality and quantity of available human resource can directly affect the growth of an economy.
With an attractive climate and environment, tourism can be an important source of foreign earnings and incentive to develop infrastructure and new hotels.