Concepts and Indicators of Development: Is a multi-delusional process which brings about a continuous enhancement of the capabilities and welfare of all Individuals In the society and the country as a whole. Sustainable Development: a theory of development that views the process in a holistic light, encompassing social as well as economic development and emphasizing the importance of conserving the environment and natural resources.
Economic development: a process whereby the real per capita income of a country increases over a period of time (Martingales). Economic growth: the steady process by which the productive capacity of the economy Is Increased over time to bring about rolling levels of national output and Income (Toward & Smith). ] Human development: a holistic portrayal of development obtained by putting human being at the center of the process (Mohammed 2007).
Economic Development Indicators: Gross domestic product: a measure of the total good and services produced in an economy over a specified period of time, usually a year(Bannock, Baxter & Davis 2003) Gross national product: this is the GAP of a country with adjustments made to include investments and other income from overseas generated by the country’s nationals, and deductions made for income earned In the country by persons abroad (Toward & smith 2004). Per Capita Income Is the total Income earned from goods and services produced by a country in one year divided by the total population for that country in that year.
Population growth rate: this is calculated by considering birth and death rates as well as migration statistics. Age dependency ratio: the ratio of dependents I. E. Individuals younger than 15 and older than 65 in comparison to those ages 16 to 64 who are active in the economy. Merits of the economic development approach: It provides a standardized means of measuring development. It provides a starting point for classifying level of development and Identifying some development needs. ; It allows an easy comparison and ranking across deferent countries. It provides a seemingly simple prescription to combat the high levels of underdevelopment that persist in developing countries. GNP per capita does not account for all the economic activities that take place in a country, e. G. Bartering transactions, subsistence farming, drug trade, domestic work (informal economy). ; GNP per capita is recorded in US dollars but in different countries one dollar is able to buy more goods and services than in another. ; GNP per capita does not show how the income or wealth is distributed.
The increased income may be concentrated in the hands of a few. ; GNP per capita does not take into account the social and environmental impact of economic development. Many countries which record increased economic growth do so at the expense of the environment. ; Wealthy citizens have been known to bank their profits outside of the country. As a result, their income is not fully captured in the GNP. The GNP is only a measure of economic growth and does not include such factors as non-market activities, e. G. Pollution, resource depletion and environmental degradation.
NON- ECONOMIC INDICATORS Non- economic factors of development are also referred to as indicators of Human Development. Since key concepts in Human development are based on equity, sustainability, empowerment and participation. The United Nations Human development Index was broadened to include: ; Freedoms enjoyed by the population Availability of Health Care (not Just its existence) Accessibility of housing and education Crime Levels/ rate 1. Social and economic equalization This is an indicator that is used to measure the degree to which members of society are experiencing social mobility.
Social and economic equalization means the degree to which all groups are experiencing similar levels of income, access to goods and services and other opportunities. 2. Distribution of wealth The distribution of income also speaks to equity. Equity speaks to the fair distribution of a country’s material wealth between classes, groups and genders. If a country’s material wealth grows, but the inequality between classes, groups or gender is deeding, then development is being impeded because that situation can lead to social tension in the future. Treatment of women, children and the normalized) Distribution of wealth influences the extent to which different groups can access the resources of the society. The wealthy have access to resources such as education and society are unable to take advantage of such resources the society is denied the income that they could have generated. Moreover, the government would. Need to allocate more money to provide for social welfare. 3. Levels of Income Levels of income speak to categories of income of a variety of individuals such as teachers, lawyers, construction workers, engineers, minimum wage workers.
These categories/levels can be used to indicate the growth levels in an economy especially, for example, when these levels of income are rising. 4. Literacy and Educational Attainment (Modern Knowledge) The traditional definition if literacy is considered to be the ability to read and write. In modern contexts, the word refers to reading and writing at a level adequate for communication, or at a level that enables one to successfully comprehend and enunciate in print society. Therefore literacy plays a role in providing access to power.
The United Nations Educational Scientific and Cultural Organization (UNESCO) defines literacy as a continuum of learning to enable individuals to achieve his/ her goals, to develop his/ her knowledge and potential, and to participate fully in wider society. Literacy may also be seen as access to modern knowledge. Knowledge is measured by access to education, adult literacy and mean years of schooling. This indicates the extent to which members of society are able to embrace opportunities elated to further and continuing education in order to improve the quality of their lives, such as Acts.
Increase in modern knowledge refers to the influence of ‘modernizing institutions such as schools and factories which are thought to promote urban industrialized societies. 5. Productivity and the level of social services The quality of infrastructure in a country enhances the production capability of that country and helps to encourage foreign investors to choose that country as a site. This would include such things as good roads, postal systems, transportation yester, availability of power supplies, telecommunications and water.
An increase in productivity means that there would be an increase in the development of certain social needs. For e. G. A decrease in health care cost and the availability of health care to most if not all the population; decrease in security costs and leisure. 6. Social Participation and Civic Consciousness If the level of output and wealth grows in an economy with all the decision making and controls in the hand of a few and the local community is not sharing in the decisions which affect their lives, then there is growth without development.
