ECON 313 Chapter Notes - Chapter 1: Millennium Development Goals, Gross Domestic Product, Gross National Income
18 Apr 2016
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Document Summary
Absolute poverty: a situation of being unable to meet the minimum levels of income, food, clothing, healthcare, shelter, and other essentials. Over 40% of the world"s population lives on less than 2$, aka absolute poverty. Subsistence economy: an economy in which production is mainly for personal consumption and the standard of living yields little more than the basic necessities of life. Development: the process of improving the quality of all human lives and capabilities by raising people"s levels of living, self-esteem, and freedom. Developing countries: countries presently characterised by low levels of living and other development deficits. Traditional economics: an approach to economics that emphasises utility, profit maximisation, market efficiency, and determination of equilibrium. Political economy: the attempt to merge economic analysis with practical politics to view economic activity in its political context. Looks at the social and institutional processes through which certain groups of economic and political elites influence the allocation of scarce productive resources.
