Economic Development

Economic development is a multi-dimensional concept, which involves both a quantitative and qualitative improvement in the economy. In economics, economic development is a process whereby a country experiences not only an increase in the total national output but also improvements in quality. It is, therefore, a positive range in both the quantitative and qualitative aspects of the economy. It involves a number of elements.

  • Improved output per capita.
  • Increased output per region.
  • Increased choice of goods and services.
  • Improved human dignity.
  • Freedom of press, association, choice, religious associations, etc.
  • Quality of goods and services.
  • Balanced sectoral contribution to national income.
  • Improved life expectancy.
  • Improved literacy levels.
  • Improved infrastructure.
  • Improved understanding among the people.
  • Increased manufacturing industries.
  • Lower social costs of economic growth.
  • Lower input per manpower.
  • Improved technology.
  • Political maturity and unity.
  • Limited cultural hinderances to growth.
Low death rates and regulated birth rates.
  • Low cost of living and high standards of living.
  • Reduced dependency of any nature.
  • Fair distribution of incomes.
  • Increased employment prospects.
  • High consumption per person.
• A change in known techniques of production from the inefficient labour intensive to better and modern capital intensive techniques.
• A move towards economic dependence.

NB: Economic growth can occur in a country without necessarily ex - economic development.

When most of the national income is distributed among a few individuals

A large part of the national income is spent on wasteful or non productive (dead weight) projects by the government.

If the rate of population growth exceeds the rate of output production.

If there is a high expenditure on capital goods so that consumption is an opportunity cost, currently.

Where today, people spend longer hours at work than before.

There is more involvement of many women, the children and the provision of the country's labourforce.

There is rampant unemployment, misery, epidemics, catastrophies and diseases.