Mid term assignment Example | Topics and Well Written Essays - 750 words

Mid term - Assignment Example is 1.3%, European Union: 1%, Japan: -0.4%, China: 9.8%, India: 6.6%, Ethiopia: 8.5%. (C.I.A., 2009). As a general rule the LDCs tend to have higher average rates of growth as compared to high income economies, which implies that eventually, such poor countries may equal the per capita incomes of wealthier countries, which in an economic term is referred to as: convergence. b. Technological innovation is almost certainly a key driver of long-term economic growth. However, developing economies require more than mere technological advancements, to effectively achieve economic progress since economic growth, in the absence of proper and adequate manufacturing capabilities, along with the implementation of state of the art technological knowhow, no innovation can actually be expected. Moreover, there must be the existence of sufficient resources that facilitate such innovation, which in turn drives economic growth, such as exceptionally high quality of human capital, an adequate level of educational system and science and technology, as well as effective implementation of institutional reforms across the country. c. The institutional reforms must be accompanied by advances in science and technology as well as nation wide political, and legal reform policies. Also, these countries must make optimum utilization of their natural resource base such as wind and solar energy, by taking into consideration the differences in its technological capacity and energy requirements. Furthermore, long term sustainable development can be ensured through partnerships with industrialized nations which enable LDCs to share and implement valuable information regarding policies to ensure growth and development. 2. Vietnam has successfully managed to accomplish a noteworthy reduction in poverty in the recent years which further substantiates the belief that poverty could be concentrated considerably within a specified time limit with the help of effective market reform policies.