scroll to top
Stuck on your essay?
Get ideas from this essay and see how your work stacks up
Word Count: 824
THE GROWTH AND DEVELOPMENT OF SOUTH KOREA In the past 20 - 30 years South Korea has experienced economic development unlike the vast majority of other developing countries Not only did South Koreas percentage in GNP per capita gross domestic savings and investment increased but as well in international trade and in the labor force venturing out of the agricultural sector Of the three following economic growth and development theories neoclassical structural change and dependency only one the dependency theory contradicts with the successful growth of South Korea The other two greatly support it The neoclassical growth theory which supports Koreas growth and development states that savings increases the standard of living and that investment leads to growth As shown in the data chart savings increased by 11 percent while investment increased by 13 This means that income increased With a higher income people are able to spend and save more which in turn causes more money to circulate in the market which ultimately increases total social welfare This is similar to most supply and demand situations in that if demand increases suppliers will increase the supply to meet the demand The theory also states that diminishing returns to labor and capital brings about an incentive to advance technology According to this theory LCDs should grow faster than MDCs The reasoning behind this is that LCDs begin with less capital therefore their returns from each investment is higher For example an additional investment ie a worker in a MDC will yield an even lower return than the previous investment However because there is not a lot of capital in a LCD an additional investment will yield a great return Eventually it will come to a point where marginal cost exceeds marginal benefit This is where an advancement in technology plays role Even though this is not mentioned in the data it is needed to keep the economic growth from slowing down or perhaps
@Kibin is a lifesaver for my essay right now!!
- Sandra Slivka, student @ UC Berkeley
Wow, this is the best essay help I've ever received!
- Camvu Pham, student @ U of M
If I'd known about @Kibin in college, I would have gotten much more sleep
- Jen Soust, alumni @ UCLA