MGEC32H3 Chapter Notes - Chapter 5: Landlocked Country, Chauvet Cave, Classic Case
16 Apr 2016
School
Department
Course
Professor
Document Summary
Ch 5: bad governance in a small country. This chapter is focused on the importance of governance and economic policies in impacting growth. Government and economic policies help to shape economic performance, but there is an asymmetry about getting them right and getting them wrong. Excellent governance & economic policies can help the growth process, when there are opportunities, but there is a ceiling to feasible growth rates at 10% In constrast, terrible governance & policies can destroy an economy w. alarming speed. In 2005, transparency int"l rated two societies for the global bottom pace when it came to corruption o o o o. Being corrupt hasn"t prevent bangladesh from adopting reasonaable economic policies and growing. Classic case of resource-scarce, coastal, low income country. Since the 1980s, the development path for such countries has been to export labor-intensive manufactures and services --> not demanding of govt. The govt merely has to avoid doing harm than actively doing good.
