Income Distribution and Economic Growth in LDC's
INTRODUCTION
In recent years, one of the major concerns of economic development is the study of poverty, the income distribution and growth in the less developed countries (LDC’s) or Third World countries. Economists from all over the world have been doing researches and studies on how to induce a growth in those underdeveloped countries. However, countries differentiate in historical backgrounds, cultural believes and natural resources. As a result, the government would implement different strategies to attain a much fairer distribution of income among the society. The relationship between the income distribution and growth in the LDC’s is a significant factor that would affect government policies. Also, the study of the strategies, promoted from the government, would show us how the government can enable economic growth with a more equal income distribution.
INCOME DISTRIBUTION AND ECONOMIC GROWTH
For years, most of the more developed countries have been helping the less developed countries. Most of them believed that the only solution to the problem of poverty is to make the GDP grow. However, some other questions may arise as to who would make it grow, and should they be the few or the many. If it is the many who need to make it grow, then the GDP may be shared more equally. On the other hand, in order to make the GDP rise, we need to make decisions in production. The Production Possibility curve can show us the maximum amounts an economy can produce, but it doesn’t tell us which decision would be made. A country makes the decision on what to produce is accordance to the income distribution. The most ideal case is to have perfect income equality (Gini Coefficient equal to 0) in one society. However, studies tell us that this can never be reached. In most of the more developed countries, a Gini Coefficient (G.C.) of 0.2 to 0.35 is considered to be in relative equality. One may wonder what is the G.C. in the less developed countries? The answer is assumed to be a number in the higher rank. In fact, in most LCD’s, the G.C. is about 0.5 to 0.7 or even higher. This shows us that the problem of income inequality is very seriously in those countries. “We were taught to take care of our GNP as this will take care of poverty. Let us reverse this and take care of poverty as this will take care of po...
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...ad to many positive notes such as increase in productions, employments, and indirectly increase the local investments. Increase in productions, employments and capitals in the country thus enable a growth in the economy and therefore, the government should make careful decisions keeping in mind that of the impact these factors have on the societies.
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French social philosopher, Alex de Tocqueville (1805-1889), once said, “However energetically society in general may strive to make all citizens equal and alike, the personal pride of each individual will always make him try to escape from the common level, and he will form some inequality somewhere to his own profit.” Through the ages, income inequality has caused class conflict, created political systems (communism), and has simultaneously promoted vast increases in wealth and technological advances. The purpose of this paper is to research and examine the benefits and detriments, or pros and cons, of income inequality and to then render my opinion regarding my findings. Because income inequality is vast in nature, this paper will serve to focus on only some of the important aspects of income inequality that fall under the category of “pros,” which include education, competition, and how income inequality stimulates productivity. In addition to focusing on some of the pro aspects of income inequality, this paper will also serve to outline some of the important aspects the “cons” which include concentration of wealth, social consequences, and job flight.
College athletes attend post-secondary schools in order to receive an education and to participate in sports. “Student athletes participate in an organized competitive sport sponsored by the educational institution in which he or she is enrolled. Student athletes must typically balance the roles of being a full-time student and a full-time athlete” (“Student athlete” 1). Additionally, some people believe athletes should receive a salary. However, paying college athletes hurts the school, the sports, and the athletes.
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Income inequality in the United States has increased and decreased throughout history, but in the recent years, the widening gap has become a serious issue. Income inequality is usually measured by Gini coefficient. According to this method coefficient varies between 0 and 100; while 0 represents complete equality (income is distributed equally among all the population of the country), 100 represents complete inequality (only one person receives all the country’s income, while the rest of the population receives nothing). According to the Census of Bureau, the official Gini coefficient in the U.S. was 46.9 in 2010. This is way higher than the all-time low coefficient of 38.6 set in 1968 (qtd. in Babones).
...aw in the US and Australia where the doctrine can be used to found a cause of action to remedy the non-performance of a promise unsupported by consideration. In the UK however, it is a means where contractual rights may be suspended, but not by which new rights can be formed. In the US, where the doctrine can be used as a cause of action and has been used in multiple cases, commentators have claimed that the doctrine is a ‘flexible means of achieving fairness’ and ‘cannot be reduced to a precise formula or series of tests’ .
Last year the NCAA hauled in a gigantic $11 billion in annual revenue from college sports, more than the estimated total league revenues of both the NBA and the NHL. In the past few years many people have been asking whether or not these college athletes should be paid to play their sport in college. College should receive a share of the money because they can’t get a job, need money to provide for themselves, and need money to provide for themselves later after they are out of college.
Sports are a very important part in students’ lives. A lot of universities have athletic programs to encourage students to spend their time in something good. Also, they use these players to benefit the university by winning titles and making it well-known in the whole country which will give so many advantages to the institution. Therefore, universities are giving athletic scholarships to athletes and accepting some of them who are not qualified academically just to play with its collegiate teams. This shows the importance of college sports and having strong teams that can gain benefits to the institution. Despite the fact that athletic students get free education, they are facing a lot of difficulties in their academic performance and their
Sports have been viewed as hobbies or after school activities. Now people view sports as full on careers and dream jobs. Colleges have begun supporting this new view come true by giving full or partial scholarships to sport’s athletes. Already a big compensation , it is not the only benefit athletes receive. They now consider offering college athletes a certain pay for their representation and participation in selected college sports. For a high school athlete this appears as a dream come true. On the other hand , for an athlete who depends strictly on his grades to enter college , this would feel unfair. Athletes who represent colleges , should not be paid due to the grand compensation of a scholarship.
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Chief Seattle was a Native American leader. He was chief of the Suquamish, Duwamish, and allied Salish tribes. He wrote “Letter to President Pierce, 1855” as a response to President Pierce’s actions. In the letter Chief Seattle discusses that the exploitation of the earth by white people will evidently lead to the destruction of the people and creatures who rely on the earth for its resources. Furthermore, he argues of the different views within the earth that is held by whites and Indians. For instance, whites see the land as an enemy to be conquered and left behind, and the Indians consider cities created by whites to be bad for the earth. Moreover, in the cities whites distance themselves from quiet sounds and pleasing scents and from other living things. In contrast, Indians prefer nature’s separateness and see all things as a connection with them. Seattle says that the Indians, who once controlled the land, will soon die out, but he warns that whites will suffer the same outcome, unless they can learn to respect the earth.
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Both doctrines of unconscionable and undue influence are intended to attain fairness between parties which provide remedies to overcome the consequence of unfairness transactions. In spite of that, various problems occur from the transaction and relevant to both doctrines. Many judges and lawyers seem to confused by the concept of unconsionability and undue influence during their application of these doctrines of transactional fairness.
In order for any country to survive in comparison to another developed country they must be able to grow and sustain a healthy and flourishing economy. This paper is designed to give a detailed insight of economic growth and the sectors that influence economic growth. Economic growth in a country is essential to the reduction of poverty, without such reduction; poverty would continue to increase therefore economic growth is inevitable. Through economic growth, it is also an aid in the reduction of the unemployment rate and it also helps to reduce the budget deficit of the government. Economic growth can also encourage better living standards for all it is citizens because with economic growth there are improvements in the public sectors, educational and healthcare facilities. Through economic growth social spending can also be increased without an increase of taxes.
Economic growth is one of the most important fields in economics. In current generation economic is developing well. Economic growth is really important to country and for the world as well. Economic are one of the identity for country because it shows a country development and attraction for other countries (F, Peter. 2014). For example well economic develop such as Singapore, Dubai, New York, and Japan. These countries are well develop and maintaining their economic growths. Economic growths are really important because higher average incomes enables consumers to enjoy more goods and services. Then, lower unemployment with higher output and positive economic growth firms tend to utilize more workers creating more employment. Enhanced public