Please enable JavaScript.

Coggle requires JavaScript to display documents.

Recession, Economic growth - Coggle Diagram

- - - - a. Increase in labour force
      - b. Increase in availability of natural resources
      - c. Increase in capital stock; investment in physical capital & economic infrastructure
    - - a. Increase in labour productivity
      - b. Increase in land productivity
      - c. Increase in capital efficiency
    - - Note: not limited to factory floor and automation; includes improvements in management techniques
      - Rate of tech progress depends on
        
        Supply of scientists and engineers
        
        Environment for research & development
  - - - e.g. Investment (part of AD) increases productive capacity; Increased consumption also gives firms incentive to invest in tech
  - - - Cultural attitudes towards work & material advancement are determinants of incentives to work
      - Fluid social structure more conducive than rigid
      - Political stability is vital
  - - - Rate of growth of the rest of the world is important to country with large foreign trade sector
        
        Slow growth of trading partners = amount of exports sold will grow slowly; limits opportunities for investment & growth
- - - - GDP per capita
      - Labour and productivity
      - Employment
      - Healthy life expectancy; measure of QoL
    - - Median household income
      - Poverty rate
      - Income Gini (inequality)
      - Wealth Gini (wealth concentration)
    - - Adjusted net saving (true rate of saving in an economy)
      - Public indebtedness as a share of GDP (scale of borrowing by current gen against capacities of future gen)
      - Dependency ratio or proportion of retirees and youth to the working age population (indicator of likely future pressure on nation's finances)
      - Carbon intensity of econ output (indicator of country's relative performance on climate change)
- - - - real GDP per capita
      - population demographics
      - poverty & income distribution
      - labour & employment
      - inflation
      - inflation
      - external debt
      - savings
      - rate of urbanisation
      - military expenditure
    - - Physical Quality of Life (PQLI)
      - Measure of Econ Welfare (MEW)
      - Human Development Index (HDI)