Discussion 1 Topic 1: Factors Affecting Economic Growth
It is highly recommended that you review the Seminar presentation located in the Seminar area before beginning the Discussion.
There are a number of economic and non-economic factors that affect long-run economic growth of countries. Among these factors, roles of physical capital, human capital, technology, and natural resources in influencing long-run economic growth of aggregate output per capita are widely discussed. Governments also play their roles in promoting and sustaining long-run economic growth of countries.
Based on your reading of Chapter 26, other course materials, and your knowledge and experience, analyze the following questions.
- What factors might contribute to low or high growth rates in a country? How can sustainable long-run economic growth rate be realized? What are the roles of the government in achieving sustainable long-run economic growth?
- Why resources are no longer the most important indicators of economic growth disparity among countries? Which other economic and non-economic factors do you think explain the reasons behind growth disparities among countries?
- What is the relationship between economic growth rate and unemployment rate?