Robin R.

Santos, MBA
Economic Development
January 10, 2019
Economic Development

Development = Change plus Growth

Growth: sustained improvement in the level of per

capita income

Change: sustained improvement in institutions and

organizations that support growth
Economic Development
Growth vs. Development
 Measuring Growth

Gross Domestic Product (GDP): Market value of all final goods

and services produced within a country in one year

Gross National Product: Market value of all final goods and

services produced within a country plus net income from abroad
in one year

GDP Per Capita = (Real GDP / Population) or income per person

Economic Growth = percentage change in Real GDP per capita

GDP of Philippines
 Happiness and Development

There is no perfect correlation between happiness and

per capita income: people could be poor, but happy;
rich, but and unhappy
Happiness and Development
 Core Values of Development

Sustenance: The ability to meet basic human needs including

shelter, food, health, education, safety

Self-Esteem: To be a person with a sense of self-respect and self-

worth. To live with dignity, respect, and honor

Freedom from Servitude: To be able to choose the path to

prosperity and have the opportunity to improve
 Objectives of Development

To increase the availability and distribution of basic human

necessities

To improve the standard of living for the majority of the people

To expand the range of economic and social choices and

opportunities
 REFERENCES

Todaro, Michael P. & Smith, Stephen C. (2015).

Economic Development 12th edition. Tower One
Singapore; Pearson Education Ltd.
END OF PRESENTATION

THANK YOU! 