IBHL-2 BW32

IBHL-2 BW32

1)      Illustrate and explain Herman Daly’s Concept of uneconomic growth

Negative externalities of production and lack of sustainability

Econ. growth often leads to pollutionb,and other negative externalities

 Humans will be more severley effected in develpoing countries

 1) access to fresh water will be harder

 2) tropical deisises will sprad furhter north

 3) droughts will be more frequent

 4) food production is liekly to suffer

 5) people will be affected by rising sea levels

2)      Briefly chart out the sources of economic growth

A)     Natural factors

B) Human capital factors-

C)      physical capital and tech factors-

D)     institutional factors-

3)      Does economic growth lead to economic development? Create a T-chart to answer the question

Yes-

 1) higher incomes-leads to a higher gdp per head of populationand this should to an extent lead tp higher standard of living, also depend on how fairly the income is distributed

 2) improved indicators of welfare

 Ecomic growth has led to higher avg. years of schooling, literacy rates but not all sections of the population.

 3) higher gov revenue- increased gov rev from tax

 Can better provide services

No-

4) creation of inequality: leads to increase in gdp but also inequality. gap between rich and poor still widens, trickle down affect doesnt seem to work in developing countries

 5) Negative externalities and lack of sustainability

 Econ. growth often leads to pollutionb,and other negative externalities

 Humans will be more severley effected in develpoing countries

 1) access to fresh water will be harder

 2) tropical deisises will sprad furhter north

 3) droughts will be more frequent

 4) food production is liekly to suffer

 5) people will be affected by rising sea levels