Economic Growth Between Emerging And Developed Economics...

Nowadays, the various economic growth patterns are very common in both emerging and developed economy. The countries that are having most advanced economy and highly developed capital markets with high levels of liquidity is called developed country. Developed countries are mostly located in North America and Western Europe, including nations like the U.S, Germany, U.K., Canada, Australia, New Zealand and Japan. Emerging countries can be identifying with rapid growth rate and development but lower per capita than developed countries, namely Brazil, Russia, India, and China, Ireland, Italy, Greece, Spain. The economic growth of countries can be measured by gross domestic product (GDP) per capita. This essay is going to find out â€Å"What are the main reasons behind different rate of economic growth in emerging and developed economics in last 15 years?† In hear I selected five emerging and five developed economics, and do analysis through five selected numerous factors to identify reasons behind different rate of economic growth. 1. Literature Review Inflation Inflation can influence economic performance throughout the monitory policy of the economy. The economic specialists argue, that inflation effect economic growth of nations by decreasing domestic and foreign saving, inefficiency and ineffectiveness of resource allocation and declining balance of payment. Fischer and Modigliani (1980) suggested that there is a nonlinear and negative relationship between the rate ofShow MoreRelatedThe Main Characteristics Of Emerging Markets1417 Words   |  6 PagesThe main characteristics of ‘emerging markets’ Introduction In recent years,there has been a growing concern about the emerging markets,and it is kind of new economic markets in developing countries which likes mature markets but does not meet a criterion of it,and emerging markets is a relevant concept when it comes to the developed countries.While a variety of definitions of the term of emerging markets have been suggested,this essay will use the definition suggested by Arnold and Quelch(1998)whoRead MoreImpact Of Emerging Markets On Marketing : Rethinking Existing Perspectives And Practices1074 Words   |  5 PagesINTRODUCTION Research on emerging markets is not just a â€Å"nice thing to do†; it is increasingly becoming a necessity. (Jagadish N Seth, 2011). In his article titled, â€Å"Impact of Emerging Markets on Marketing: Rethinking Existing Perspectives and Practices† published in Journal of Marketing, 2011 he has specified the importance of academic research for understanding Emerging Markets. Emerging markets are those lower-incomes but rapid-growth countries that are using economic liberalization as their primaryRead MoreThe Economic Growth Of Brazil1214 Words   |  5 PagesUnemployment in Brazil Brazil is a country situated in Southern America and is listed among the emerging economies owing to its potential of economic growth. In other words, Brazil is among Russia India and China, or the BRIC which are said to be emerging economies because in the recent past they have recorded the highest level of economic growth. Economic growth contributes greatly to the other concerns in the economy such as the gross domestic product, unemployment, inflation and the quantitiesRead MoreMore or less a third of the entire world’s stock market capitalization is represented by the five600 Words   |  3 Pagesaverage growth rate for these emerging markets is expected to be four percent higher than all developed countries. Average growth rate for emerging markets is expected to be at five percent according to IMF predictions. Although for some of the BRICS countries overall growth may be lower than in previous years, yet these economies will still be probable to grow at a faster rate than developed countries. Long-term growth for these emerging markets looks very promising given these good growth projectionsRead MoreFactors That Influence Growth Via Innovation1223 Words   |  5 Pagesfocused on the factors that influence growth via innovation in emerging economies. Most of these studies use RD and patient as a measure of innovation in determining the influence of innovation on growth. Gould and Gruben (1996) investigated economic growth rates across many countries to a simple index of patient strength and other variables. They found a significant positive impact when patent was interacted with a measure of openness to trade. That is, growth increases by .66% on average due toRead MoreThe Differences Between Emerging and Developing Markets According to Oecd and Imf Definitions1129 Words   |  5 Pagesdifferences between emerging and developing markets according to OECD and IMF definitions,the I’m going to talk about relationships between unemployment,G DP and industrial production.Then I’m going to look at the effects on emerging and developing markets and try to find an answer the effects is significant or not. There are significant 2 market types in the world that over the years debates about differences,advantages,disadvantages are held on.Before we look at the differences between emerging marketsRead MoreWhat Are the Main Characteristics of ‘Emerging Markets’? Essay1211 Words   |  5 PagesWhat are the main characteristics of ‘emerging markets’? Introduction During the changing of world economy, it is increasingly common to hear the term ‘emerging markets’ and from news and report. In the mid-1980s, the term ‘emerging markets’ was created by the World Bank, and has significant influence on the global business world nowadays (Gwynne, Klak and Shaw 2003). To raise investor’s attention to those developing countries, there are numerous characteristics springing up which are given byRead MoreLife Insurance Industry : India Essay1620 Words   |  7 Pagesprovide insurance coverage for managing personal financial risks, it plays a very crucial role in promoting savings by selling a wide range of products and also actively contributes in promoting and sustaining the capital market of a country. In the emerging economy, characterized by the reduced role of state and declining state supported social security, the importance and the role of the life insurance industry has increased significantly not only as a risk manager but also as retirement security andRead MoreThe World Economic Power And Its Impact On The Economy991 Words   |  4 Pagesdifferent world is being formed by four main forces. The first force is the development of emerging markets and the growing urbanization within these markets (Cooper, 2015). The world economic power is moving to east and south. As an example, China is predicted to have most large companies located in rather than the United States or Europe by 2025. Equally important, economic activities are arising within these emerging markets. For instance, a Chinese city Tianjin, who had a same size GDP as StockholmRead MoreGlobalization Has Brought An Era Of Rapid Industrialisation And Modernisation1634 Words   |  7 Pagesopportunities for many emerging economies which in turn has increased the economic growth of those countries by manifolds. Globalisation has brought an era of rapid industrialisation and modernisation by giving organisations access to new ideas, technology, specialised skills and foreign investment. Globalisation gives a different perspective to organisations in terms of thinking and strategizing policies. In today’s world, we see organisations opting for globalisation because of the future growth which is getting