Please enable JavaScript.

Coggle requires JavaScript to display documents.

DEVELOPMENT ECONOMY - Coggle Diagram

- - - - • Demilitarize - remove all military forces from an area
      - • Democratize - introduce a democratic system or democratic principles to.
      - • For example, 50s, 60s, 70s were miraculous years, (Japan’s Golden Age).
      - • A time led by the “Liberal Democratic Party” a political party that ruled the country for almost 40 uninterrupted years.
      - • In the early 1960’s, Prime Minister Hayato Ikeda announced a plan to double the size of Japan’s economy in just 10 years.
      - • To reach the goal, the country needed to maintain an annual average growth of 7.2% for that entire time.
      - • 10 years later, Japan had far exceeded it’s goal. The country had multiplied the size of it’s economy by 2.8 because it had an average annual growth more than 9.3%.
  - - - Incentives
        
        • Some countries have good incentives (WHY?)
        • Because they have good institutions that create incentives that spur prosperity.
        For example, Property rights, Honest government, Dependable legal system, Political stability, Competitive and open markets
      - Institutions
        
        Some countries have good institution (WHY?)
        Factors such as Ideas, History, Geography, Culture, Luck helps a country to have good institutions.