He Role Of Economic Geography In Economic Development And The Impact Of Ict On Economic Growth

2233 words - 9 pages

Introduction:There appears to be a general consensus that we have entered the information age and that we are on the verge of the information economy. Information and Communication Technologies (ICT) are rapidly consolidating global communication networks and international trade with implications for people in developing countries. So some writers argue that the geography would be meaningless for the economy development once those developing countries are armed with good communications. On the contrary, some writers believe that geography still matters a great deal for economic interaction and for the spatial distribution of income.To discuss, I will concentrate on the role of economic geography in economic development and the impact of ICT on economic growth. From the existing inequality of economic development, we can see distance still matters in terms of economic transactions and international income gradients. ICT can change the situation in different ways, but it cannot rewrite the rule of economic geography.Existing inequality of economic developmentIn world wide, there exists inequality of economic development. In terms of material well being, the big gaps are stunning and show few signs of amelioration. According to the data assembled by Angus Maddison (1996), Africa's average income is $1,292 in 1992, which is almost the same as in 1970. Asia showed significant progress during the past 30 years, with average incomes rising from around $1,275 in 1965 to $3,252 in 1992. In Latin America and the Caribbean, average income levels in 1992 ($4,820) were only 6.6 percent higher than in 1974. Western Europe outpaced Africa in average per capita GDP by a factor of around 2.9 in 1820 and a factor of 13.5 by 1992.From the existing inequality of economic development, we can see that on a global scale, the wealth of nations is well characterized by two geographical divides. The first geographical divide emphasizes differences in ecological conditions, the temperate zone versus the tropical zone. The countries in the geographical tropics are nearly all poor. Almost all high-income countries are in the middle and high latitudes. The second geographical divide emphasizes differences in the ability to conduct international trade, the coast versus the interior. Indeed, among 28 non-European landlocked countries there is not a single high-income country.What cause the big inequality? There are a complex relationship between geography and economic growth. Location and climate have large effects on income levels and income growth through their effects on transport costs, disease burdens, and agricultural productivity, among other channels. Furthermore, geography seems to be a factor in the choice of economic policy itself. Here I will only borrow one approach to simplify the question.One way to explain the inequalityTo explain why there is inequality of economic development among different countries in different locations, economists use two kinds of...

Find Another Essay On he role of economic geography in economic development and the impact of ICT on economic growth

The Impact of China's Modern Foreign Policies on Economic Growth

1113 words - 4 pages The Impact of China's Modern Foreign Policies on Economic Growth Recent Chinese economic policies have shot the country into the world economy at full speed. As testimony of this, China's gross domestic product has risen to seventh in the world, and its economy is growing at over nine percent per year (econ-gen 1). Starting in 1979, the Chinese have implemented numerous economic and political tactics to open the Chinese marketplace to

Economic Geography and Regional Development Essay

1820 words - 7 pages attention of many in the past and has generated enormous amounts of literature. Most theories have sought the help of ‘economic geography’ and its diversity to explain such incomes differences. We shall try and look at some of these explanations in the context of regional development. An attempt to explain regional differences takes us back to the early 1900’s when sub-national and regional issues began to assume greater importance . Historically, the

Impact of Globalization on Russia’s Political and Economic Development

1644 words - 7 pages governments clamor for. An economic theory posits that the free movement of capital would pave the way to a maximum provision of resources and the union of open and competitive financial markets and services. Moreover, a more liberalized capital movement would help in maintaining a more responsible macro-economic regulation that would further support growth and development through direct investments. For many individuals, this capital movement

The impact of early presidential foreign and economic policies on the growth of the nation.

524 words - 2 pages had more factories. Jefferson believed in laissez faire, idea that the government should play as small a role as possible in economic affairs. A Scottish economist, Adam smith, promoted the idea of laissez faire. He wrote the book, "The Wealth of Nations." It talked about free market, which is where goods and services exchanged with little regulation. Jefferson wanted to retain the Bank of the United States to reconcile party differences. When

Impact of Foreign Remittances on Economic Growth and Poverty Reduction in Pakistan

2476 words - 10 pages development indicators. CONCLUSION The results found in this study are in accordance with literature that investigates the Impact of foreign remittances on economic growth and poverty reduction. Remittances are the largest source of foreign exchange earnings for developing countries. Foreign remittances are the source of poverty reduction, better health care and education. Remittances are the main source of increasing investment and consumption in

The Desirability of Economic Growth

935 words - 4 pages balance of payments could begin to worsen. If exports suffer and imports penetrate the country - then unemployment may increase in these sectors. ( Evaluation: a country will not necessarily lose its competitiveness straight away. It may take some time before the inflation differential between itself and its trading partners starts to make a difference - so we must be realistic !! ) 2. Fast economic growth, irrespective of the impact on

Effects of the 2005 budget on economic activity, price stability, economic growth, full Employment and inflation.

943 words - 4 pages , welfare to work, business taxes, health, skills and training, families and careers, Australia's security and international engagement.Nominal GDP has grown very strongly for a number of years. In 2003-04, nominal GDP grew by 7.3 per cent, largely reflecting the impact of housing demand on both real GDP and domestic prices. Strong growth in the terms of trade and the effects of higher oil prices are expected to result in nominal GDP growth of 6

Financial development & economic growth

2451 words - 10 pages mines economic efficiency and retards economic development is a view that is rapidly gaining importance in the global economic arena. (Choudhry, Iyman 2000). In this essay we will mainly focus on the role of finance in the growth of economy.To determine the importance of financial sector in economic growth is of key importance as it immensely affects the shape and implication of the policy. If finance has any contribution on economic growth then the

India and China: A Comparison of Economic Growth and Development

2154 words - 9 pages century.The history of economic development in India shared many similarities as well as a few differences with the development of China. Both countries implemented a socialist model to reform economic policy. India implemented a socialist model that promoted nationalism, while China used the socialist reform to open its doors to foreign companies. India's promotion of nationalism encouraged growth of Indian companies and reduced dependence upon

The impact of economic crisis on marital life in Romania

1645 words - 7 pages ).Research on the role of social support suggests that, in stressful situations, people reach out to their friends for support (e.g., Wheaton, 1985). However, some scholars have found that families faced with increased levels of economic pressure isolate themselves from their environments (e.g., Lorenz et al., 1994). There is consensus regarding the beneficial effects of perceived social support in reducing depression and marital conflict (e.g., Cutrona

Effects of Corruption on Economic Growth

517 words - 2 pages parameter of economic growth which are taken on percentage or an average basis are entirely differentTo begin with, in the presence of corruption, businessmen are often made aware that an up-front bribe is required before an enterprise can be started and that afterwards corrupt officials may lay claim to part of the proceeds from the investment. Businessmen therefore interpret corruption as a species of tax--though of a particularly pernicious

Similar Essays

The Role Of Globalisation In Economic Growth

2198 words - 9 pages facilitate from these institutions. The key International Institutions are World Bank, IMF, WTO, OECD etc and their role is to reduce and eliminate poverty and help member countries in their economic growth. Globalisation is one of the significant features of international trade. Since last ten years the world is becoming a globe and easier to access to resources more effectively. This report is based on the facts of globalisation and the

Economic Growth And Development Essay

820 words - 3 pages . Thus it is evident that economic development does not always lead to an improvement in living standards, due to its limited scope and inability to impact the non materialistic aspects of human life. Bibliography: - http://www.questia.com/PM.qst?a=o&d=5000372316 - http://www.bized.ac.uk/learn/economics/development/growth/index.htm - http://www.msu.edu/user/smythdav/growth.htm - Morris, Arthur, (1998).Geography and Development

Economic Growth And Development Essay

1354 words - 5 pages 1)Distinguish between economic growth and economic development.Economic growth is a measure of a county’s productivity and the total combined income of that country. Economic development is a measure of how developed a country is i.e. people’s standard of living. For economic development to occur, economic growth also is needed but economic development is not needed for economic growth to occur.BasisEconomic DevelomentEconomic

Corruption And Its Impact On Economic Growth And Development.

10433 words - 42 pages tends to adversely effect the rate of development in the Economy.Thesis Statement:Corruption negatively impacts economic growth by creating distortionary effects in the economy. It has an even more significant impact on economic development by virtue of its negative relationship with the determinants of economic welfare.Policy Implications----- what should and Should not be done.Corruption has a significant positive relationship with government