Economic growth and development Flashcards
1
Q
What is economic development?
A
Refers to an improvement in living standards and welfare over time
2
Q
3 components of HDI?
A
- GDP per capita (PPP)
- Health (life expectancy at birth)
- Education (measured in means years of schooling by age 25 and expected years of schooling at age 4)
3
Q
Problems with HDI measure?
A
Ignores:
- prop. pop. with access to clean water
- prop. of pop. employed in agriculture
- energy consumption per person
- prop. pop. with Internet access
- mobile phones per thousand
4
Q
What is economic growth?
A
The growth in the productive capacity of the economy
