Developing Countries Competing with Developed Countries Discuss the alternative methods that developing countries might use to overcome the difficulties that they have when trying to compete with developed countries. No industry attracted Including Foreign Direct investment (FDI) Economic development occurs when a country improves the economic welfare of its population through, for example reducing poverty. Some economists discuss the world as being the 'developed north' and 'underdeveloped south'. This refers to the gap between rich countries, which are mainly in the northern hemisphere and poor countries, which are located mainly in the southern hemisphere. This is not the only method used to categorise countries, The World Bank and United Nations classify countries into high, middle and low income countries while the International Monetary Fund (IMF) categorises countries into least developed, developing and industrial countries.
International Development in Developing Countries “…increasing international trade and financial flows since the Second World War have fostered sustained economic growth over the long term in the world’s high-income states. Some with idle incomes have prospered as well, but low-income economies generally have not made significant gains. The growing world economy has not produced balanced, healthy economic growth in the poorer states. Instead, the cycle of underdevelopment more aptly describes their plight. In the context of weak economies, the negative effects of international trade and foreign investments have been devastating.
Like many overly-disputed debates, people who argue on the behalf of this questions usually fall on one of the two sides; they either believe that rich countries exploit the poor countries and the west is to blame, or they believe that poor countries are corrupt and deserve their lifestyle. In our modern industrial society, financial wealth depends on trade in goods or services. Trade then depends on infrastructure, which in turn depends on investment. Which then creates the split between countries, based on development. Poor countries are called LEDCs (Less Economically Developed Countries) and MEDCs (More Economically Developed Countries).
This is defined as product classification in paper "How Rich Countries Became Rich and Why Poor Countries Remain Poor: It’s the Economic Structure" by Jesus Felipe, Utsav Kumar and Arnelyn Abdon. This three authors had given an scenario regarding comparative advantage with respect to technology used for designing and making better products can have greater advantage over international market which in general held by developed countries leading them to be more rich and countries having this products leading them to poor. Also developing countries labor more unskilled then developed countries this takes them time to understand technology. which makes them to use that technology but not understand and innovate new technology. 2).
“The Road to Disaster.” Time 16 Oct. 2000: 96-98. McCuen, Gary E. Ecocide & Genocide in the Vanishing Forest: The Rainforests and Native People. Hudson: GEM, 1993. Medine, Tyler. “Rain Forest Destruction and Prevention.” The Vocal Point Dec. 1997.
The global economy is the sum of all economies; a problem recognized and concerned is the elasticity and easily disrupted nature of market economies, resulting the shift away from human development to mass-market development. A vital contributor and mean of sustainment for the market economy is the middle class. Defined as the consumer class, a large middle class is representative and suggestive of low inequality; they are “powerful enough to be heard, but not elitist” (Birdsall). The questions that must be taken into consideration are as follows: Is the power of the developed middle class diminishing along with the group itself and how does it vary? Is it growing in less developed countries?
Print. Makridakis, S. & Wheelwright, S. Forecasting Methods and applications. New Delhi: Wiley India Pvt. Ltd. 2008. Print.
Many of the richer countries across the world do allocate money to alleviate poverty in poorer countries. Even with these large sums of money it is still hard to compensate for the lack of money that the country itself produces. Unfortunately, international economic downturns can have an effect on this. This is another fact that is almost unpreventable. If a negative economic situation arises in the U.S. of course the U.S. in turn is going to donate less of its budget to foreign aid so it can sustain itself.
Retrieved from http://www.epa.gov/oswer/docs/ghg_land_and_materials_management.pdf Wackernagel, M., Schulz, N., Deumling, D., Callejas Linares, A., Jenkins, M., Kapos, V., ... Randers, J. (2002). Tracking the ecological overshoot of the human economy. Proceedings of the National Academy of Science, 99(14), 9266–9271. doi:10.1073/pnas.142033699 Walker, H., & Brammer, S. (2009).