Name: Merrycris T.

Cinco
Course & yr.: BSMA-3
Subject: ECON 225- Economic Development 74208

REACTION PAPER
INTRODUCTION: ECONOMIC DEVELOPMENT

Each country has a strategy in place to help its economy grow and thrive. In order for a
community to survive, everyone should aim for effective economic development by attracting
and growing businesses, creating and maintaining jobs, producing locally produced goods and
services. By taking that into consideration, it will lead to a higher quality of life and a better
community to live in.

In the video, it showed a quick relevant overview of economic development on which is

defined as the growth of the economic wealth of countries or regions for the benefit of their
people. On the other hand, it may be described as a selective attack on the worst forms of
poverty. As someone who is living in a developing country, I can now see how influential are the
economic factors on understanding the capacity or the ability of the economy to develop on its
own. The video pointed out the two approaches that fall under the theory of economic
development. One is the traditional approach, which we are more likely to see in market sectors
where entrepreneurs are governed by what was needed to attract and maintain business in local
communities. This approach also represents a steady increase in annual GNP or GDP at rates
varying between 5 to 7 percent or more. Based on the video shown, the second approach was
able to let me reflect on the situation in our country on which I can say that our community is
trying to reduce mass poverty through the availability and allocation of the resources to be able
to achieve that development including the improvement in material welfare, particularly for low-
income people. Thus, this approach pertains to human beings as the core of economic
development.

In relation to the journal article that I have read entitled “Theories of Economic
Development: History and Classification” by Henry William Spiegel, the most decisive mark of the
prosperity of any country is the increase of the number of its inhabitants. As per classical economists,
they visualize economic development as a progressively increasing pressure of a growing population
on land resources. This means that what they're most interested in in this whole situation isn't so
much the cause of advancement and its nature as it is its impact on production and, in particular,
distribution.

In conclusion, the video was successful in teaching me the value of economic

development in a community. This is well-presented for viewers to easily understand and come
up with ideas for a specific circumstance that illustrates similar trends and changes in economic
growth. The overview was indeed quick but it conveyed a vital lesson: that every community has
the capacity to progress, that there are always untapped opportunities and that there is a time to
take a chance and try out a new strategy that could jump-start your economy.