Economic development
Growth vs development
- economic growth = a rise in real output.
- economic development = wider — people's standard of living (health, education, freedom), not just income.
- A country can grow without developing much (if the extra income goes to a few).
Practice
Economic development is wider than growth because it also covers:
Development is about living standards (health, education, freedom), not just rising income.
Practice
A country can experience economic growth without much development.
If the extra income reaches only a few, growth need not raise broad living standards.
Measuring development
- the Human Development Index (HDI) combines three things into a number 0–1:
- income (GNI per person),
- health (life expectancy),
- education (years of schooling + literacy).
- Other signs: clean water, doctors per person, internet use.
Practice
The HDI combines which three measures? (Choose all that apply.)
HDI combines income, health and education into one number between 0 and 1.
You've got it
Key idea
- growth = more output; development = better living standards (health, education, freedom)
- a country can grow without developing
- the HDI combines income + health + education into one 0–1 number