Social Impact Of Social Factors On The Economy

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Impact of Social Factors on the Economy Economic growth and development in a country is basically described as the qualitative measure of advancement in an economy. The progress is normally evaluated on the basis of technological improvements, change from an agrarian to modern economy, and improved living conditions for the population across the entire socio-economic stratifications. In addition, economic development and growth is measured on the premise of the ability of progress to contribute to improved productivity and comfort. Therefore, an economy is usually influenced by several factors associated with the population’s living conditions, industrialization, and technological advancements. One of the major factors affecting a country’s economic growth is social and cultural forces within the economic community. Social factors have continued to have significant impacts on the economy because of the role they play in shaping the population’s attitude towards the achievement of progress. For instance, while societies that value individual gain and achievement experience significant economic development, those that discourage such measures achieve little to no progress (Williams, n.d.). The impact of social factors on the economy is demonstrated through socio-economic theory of regulatory compliance. This theory…show more content…
The increased incidences of corruption in the country have been brought by inefficient and ineffective public services that usually favor influential politicians. Corruption affects the economy by promoting political and economic failures through repelling investment, hindering market development, increasing the costs of running businesses, and grinding down the authenticity of formal
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