EC207 Lecture Notes - Lecture 5: Factors Of Production, Structural Adjustment, Linear Stage
Document Summary
Four perspective: linear stage models: stages of development: rostow stages of development and harrod- Domer model: structural change and pattern approach: change the structure of the economy: from. International dependency theories: neo-colonial dependence model and false paradigm. 3: sap: structural adjustment program b, false paradigm economists that apply a market approach that from developed. The critical question is to ask how developing and countries can increase saving and investment. Saving: the stock variable that are able to grow over the. How can you increase saving when you have low disposable income. Can save more once you have increased domestic savings. Emphasis on all these models is based on accelerated capital accumulation. You are more of a substance economy, your consumption is satisfied by what you product. This is the stage where you begin to save and develop a diverse economy. Development of trade and, saving rate, and entrepreneurs.
