ARBUS301 Lecture Notes - Lecture 5: Emerging Markets, Economic System, Big Mac Index
16 Dec 2019
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Document Summary
Advanced economies are post-industrial countries characterized by high per capita income, highly competitive industries, and well-developed commercial infrastructure: examples- world"s richest countries and include australia, canada, japan, New zealand, the united states, and western european countries. Developing economies are low-income countries characterized by limited industrialization and stagnant economies: examples- low-income countries, with limited industrialization and stagnant economies- e. g. bangladesh, nicaragua and zaire. Emerging market economies are a subset of former developing economies that have achieved substantial industrialization, modernization, improved living standards and remarkable economic growth: examples- some 27 countries in east and south asia, latin america, middle. East and eastern europe- including brazil, russia, india, china (so called bric countries) Key differences: more than 50% of the population in emerging markets, less than 15% of population in advanced economies, advanced economies have 65% of approximate share of world gdp, 31% in emerging markets, and 4% in developing economies.
