ECONOMIC DEVELOPMENT

{CONFERENCE HALL}
[EVERYONE PREPARING TO DISCUSS ABOUT ECONOMIC DEVELOPMENT]
KATHLYN: [HANDLING THE FOLDERS]
Good Morning everyone. Please settle down. Our agenda for today is how to develop our economy to be a
better one for the welfare of the citizens. This meeting is going to be led by Mr. Franz Ducusin, has worked
in the financial industry for 8 years and has Accounting & Economics degree and masters in Business
Administration. He is an accredited financial manager.

FRANZ: [WALKING]
This morning, I m going to introduce what economic development is, and prepare yourself [EVERYONE
LOOKING IN TO HIM- ONG] the one who will discuss broadly about it.
First and foremost, let me ask you, [POINTING OUT- ROCHELLE] how can you make our country
economy stronger?

ROCHELLE: [SWALLOWING HER SALIVA]

If we are willing to work together, we are going to realize the full potential of our country, the big one as I
see it, partnerships is need to get for the trade development, working with business, labor attraction, and
yet partnerships and collaboration, thats the answer.

FRANZ:
Hmmm. Is that even possible nowadays?

ROCHELLE: [PROUDLY EXPLAINING]

Yes, if the decisions we make today, the directions we take will define the country of tomorrow. We should
ask ourselves, a guiding light to clarify those decisions that want to build a country strength and abundance
and align our efforts with those peers and the government, thats more possible in a country.
We should start thinking about the outcomes we want.
FRANZ:
Thank you for sharing your thoughts.
And now, we will learn what economic development is and why you may play a part in it every time you
purchase something.
You most likely help fund economic development every time you purchase something at the store and pay
local or state sales tax.
That water bottle [HANA- DRINKING IN THE WATER BOTTLE], those new bag you bought [POINTING
OUT- CHARMAINES NEW BAG], or the real estate taxes you may pay, all usually have a percentage of
the sales going towards economic development projects or initiatives.
In general, economic development is usually the focus of federal, state, and local governments to improve
our standard of living through the creation of jobs, the support of innovation and new ideas, the creation of
higher wealth, and the creation of an overall better quality of life.
Economic development is often defined by others based on what it is trying to accomplish. Many times
these objectives include building or improving infrastructure such as roads, bridges, etc.; improving our
education system through new schools; enhancing our public safety through fire and police service; or
incentivizing new businesses to open a location in a community.
Hence, a country's economic development is usually indicated by an increase in citizens' quality of life.

FRANZ: [PREPARING THE LAPTOP]

How do we know if economic development is working?

DIANNE:
We can measure this through improvements in average income of families [NOT SURE]

ONG:
Leisure time and changes in life expectancy, or hospital stays.

KATHLYN:
Standardized testing and literacy results in children.

FRANZ: [SMILING]
 All of you got the answers.
Well, as what I have said earlier, the country's economic development is usually indicated by an increase in
citizens' quality of life.
What quality of life is?
'Quality of life' is often measured using the Human Development Index, which is an economic model that
considers intrinsic personal factors not considered in economic growth.
There are hundreds of ways to measure things for the hundreds of different economic development
objectives that communities may have such as literacy rates, life expectancy and poverty rates.
Using the factors of Human Development Index,
If the life expectancy and literacy rate, increases and the poverty rate, decreases in a certain country
> [BETTER JOBS] > [BETTER SALARIES] > [BETTER SHOPPING] > [BETTER REVENUES SHOPS]
> [BETTER ECONOMY]-{act}

ONG: [PREPARING THE MATERIALS]

As what we have learnt from the discussion of Mr. Ducusin, economic development generally refers to the
sustained, concerted actions of policymakers and communities that promote the standard of living and
economic health of specific area.
Economic development may be defined as a selective attack in the worst forms of society.
It implies of higher level of productivity in all sectors of economy.
[PREPARING THE WHITEBOARD MARKER]
It is the process of tapping up the rate of capital formation that is needed for rapid economic development.
Economic development depends on two sets of factors: economic and non- economic. [WRITING
SOMETHING ON WHITEBOARD]
ECONOMIC DEVELOPMENT

ECONOMIC NON-ECONOMIC
FACTORS FACTORS

TRADITIONAL GROWING
ECONOMY
APPROACH
APPROACH

Economic factors and non-economic factors

In the theory of economic development, two main approaches to the concept of economic development are
traditional approach and growing economy approach.
Traditional approaches to economic development policies have been developed from the perspective of
what was necessary to attract and keep businesses in local communities.
[VENDORS, POTTERING, GRILLING]- {act}
This approach defines development strictly in economic terms.
A long run expansion in production was to be achieved by rapid industrialization of the country at the
expense of agriculture and rural development.
Traditional approach implies sustained annual increase in GNP, or GDP at rates varying between 5 to 7
percent or more.
5% to 7%

G G
N D
P P

Next is the growing economy approach, this approach defines development including improvements in
material welfare especially for persons with lowest income and eradication of mass poverty with the
availability of resources and their distribution.
[MEDICAL CAMP, HELPING THE DISABLED PERSON]
In growing economy approach, human beings are at the center of economic development.

In non- economic factors presents in a society are the elements which have no direct effect upon the
economy of the country.
EXAMPLES:
[RELIGION, SOCIAL ACTIVITY LIKE PLANTING, ETHNICITY, POLITICAL ELEMENTS]- {act}

The non- economic factors relate to socio- cultural and political changes in the society which either lead to
economic growth or create hindrances to growth.
Underdevelopment takes place when resources are not used to their full socio- economic potential.
It results that local or regional development, is slower in most cases than it should be.
Underdevelopment is co- existence of unutilized and underutilized manpower and unexploited natural
resources.
Of these underdeveloped economies, countries which show the tendency of high growth rate are called
developing economies.
Economic development is the development of economic wealth of countries or regions for the well- being of
their inhabitants.
ONG: [
I hope each of you learn something for today. Thank you.
FRANZ: [STANDING]
Stand still, Mr. Ong
QUESTIONS TO MR. ONG?

SOURCES:

Economic Development -- One Team, One Vision-YOUR

ALBERTA
STUDY.COMchapter 19 and chapter 29