TEST BANK FOR
Economic Development
By Michael P. Todaro | Stephen C. Smith
13th Edition
Page | 1
,TABLE OF CONTENT
1 Introducing Economic Development: A Global Perspective
2 Comparative Economic Development
3 Classic Theories of Economic Growth and Development
4 Contemporary Models of Development and Underdevelopment
5 Poverty, Inequality, and Development
6 Population Growth and Economic Development: Causes, Consequences, and Controversies
7 Urbanisation and Rural-Urban Migration: Theory and Policy
8 Human Capital: Education and Health in Economic Development
9 Agricultural Transformation and Rural Development
10 The Environment and Development
11 Development Policymaking and the Roles of Market, State, and Civil Society
12 International Trade Theory and Development Strategy
13 Balance of Payments, Debt, Financial Crises, and Sustainable Recovery: Cases and Policies
14 Foreign Finance, Investment, Aid, and Conflict: Controversies and Opportunities
15 Finance and Fiscal Policy for Development
Page | 2
, Chapter 1: Introducing Economic Development: A Global Perspective
Key Concepts
As Curious As Students Who Register To Take Development Economics May Be, Their Knowledge
And Experience Of The Developing World Will Vary Widely. The First Main Point Of Chapter 1 Is To
Emphasise How Different Life In The Developing World Is. New In The 13th Edition Is A Systematic
Description Of Four Stylised Strata Of Living Standards From Extreme Poverty To Rich Based On
Rosling,
Rosling, And Rosling Ronnlund‘S Book Factfulness. This Is Followed By A Discussion Of The World
Bank‘S Classification Of Economies By Ranges Of Average National Income Using Gross National
Income (GNI) Statistics.
The Second Point Is To Provide An Overview Of The Nature Of Development Economics As A Field. A
Defense Of Development Economics As A Distinct Field, Rather Than An Agglomeration Of Other
Economics Subfields, Is Offered. A Major Theme Of The Book, That Development Economics Must
Encompass The Study Of Institutional And Social, As Well As Economic, Mechanisms For Modernising
An Economy While Eliminating Absolute Poverty, Is Introduced.
Sections 1.5 And 1.6 Looks Deeper Into The Meaning Of Development And A View Of Development That
Is Multidimensional. Amartya Sen‘S ―Capabilities‖ Approach Is Discussed In Section 1.5. In Section 1.6,
Data Collected In A Gallup World Poll On The Relationship Between Happiness (As Measured By Gallup‘S
Life Satisfaction ―Ladder‖ Question And Real Per Capita Income) And Other Research On
Happiness/Life Satisfaction Is Discussed. The Level Of Happiness Is Not Only Related To Level Of
Income But To Other Factors Such As Democratic Freedoms And The Quality Of Social Relationships.
The Role Of Normative
Values In Development Economics—A Subject Dealing With Human Misery And Human Potential,
With Equity As Well As Efficiency, With Cultural Change That Causes Losses As Well As Gains, And
With Transfer
As Well As Creation Of Wealth—Is Also Stressed.
Page | 3
, The Conclusion Is That Development Is Both A Physical Reality And A State Of Mind. The Meaning
And Objectives Of Development Include The Provision Of Basic Needs, Reducing Inequality, Raising
Living Standards Through Appropriate Economic Growth, Improving Self-Esteem In Relation To The
Developed Countries, And Expanding Freedom Of Choice In The Market And Beyond.
Section 1.7 Presents An In Depth Examination Of The UN‘S Sustainable Development Goals (Sdgs).
This Includes A More Comprehensive List Of The Goals Themselves (Appearing In Table 1.1) And A
Discussion Of The Shortcomings Of The Sdgs. In Section 1.8, The Plan Of The Book Is Introduced
Through 32 Critical Questions Of Development Economics. Depending On The Amount Of Material
Covered By The Instructor, Students Should Be Able To Intelligently Address Most Of These
Questions By The End Of The Course. Finally, A Comparative Case Study Of Pakistan And Bangladesh
Is Presented.
Page | 4
Economic Development
By Michael P. Todaro | Stephen C. Smith
13th Edition
Page | 1
,TABLE OF CONTENT
1 Introducing Economic Development: A Global Perspective
2 Comparative Economic Development
3 Classic Theories of Economic Growth and Development
4 Contemporary Models of Development and Underdevelopment
5 Poverty, Inequality, and Development
6 Population Growth and Economic Development: Causes, Consequences, and Controversies
7 Urbanisation and Rural-Urban Migration: Theory and Policy
8 Human Capital: Education and Health in Economic Development
9 Agricultural Transformation and Rural Development
10 The Environment and Development
11 Development Policymaking and the Roles of Market, State, and Civil Society
12 International Trade Theory and Development Strategy
13 Balance of Payments, Debt, Financial Crises, and Sustainable Recovery: Cases and Policies
14 Foreign Finance, Investment, Aid, and Conflict: Controversies and Opportunities
15 Finance and Fiscal Policy for Development
Page | 2
, Chapter 1: Introducing Economic Development: A Global Perspective
Key Concepts
As Curious As Students Who Register To Take Development Economics May Be, Their Knowledge
And Experience Of The Developing World Will Vary Widely. The First Main Point Of Chapter 1 Is To
Emphasise How Different Life In The Developing World Is. New In The 13th Edition Is A Systematic
Description Of Four Stylised Strata Of Living Standards From Extreme Poverty To Rich Based On
Rosling,
Rosling, And Rosling Ronnlund‘S Book Factfulness. This Is Followed By A Discussion Of The World
Bank‘S Classification Of Economies By Ranges Of Average National Income Using Gross National
Income (GNI) Statistics.
The Second Point Is To Provide An Overview Of The Nature Of Development Economics As A Field. A
Defense Of Development Economics As A Distinct Field, Rather Than An Agglomeration Of Other
Economics Subfields, Is Offered. A Major Theme Of The Book, That Development Economics Must
Encompass The Study Of Institutional And Social, As Well As Economic, Mechanisms For Modernising
An Economy While Eliminating Absolute Poverty, Is Introduced.
Sections 1.5 And 1.6 Looks Deeper Into The Meaning Of Development And A View Of Development That
Is Multidimensional. Amartya Sen‘S ―Capabilities‖ Approach Is Discussed In Section 1.5. In Section 1.6,
Data Collected In A Gallup World Poll On The Relationship Between Happiness (As Measured By Gallup‘S
Life Satisfaction ―Ladder‖ Question And Real Per Capita Income) And Other Research On
Happiness/Life Satisfaction Is Discussed. The Level Of Happiness Is Not Only Related To Level Of
Income But To Other Factors Such As Democratic Freedoms And The Quality Of Social Relationships.
The Role Of Normative
Values In Development Economics—A Subject Dealing With Human Misery And Human Potential,
With Equity As Well As Efficiency, With Cultural Change That Causes Losses As Well As Gains, And
With Transfer
As Well As Creation Of Wealth—Is Also Stressed.
Page | 3
, The Conclusion Is That Development Is Both A Physical Reality And A State Of Mind. The Meaning
And Objectives Of Development Include The Provision Of Basic Needs, Reducing Inequality, Raising
Living Standards Through Appropriate Economic Growth, Improving Self-Esteem In Relation To The
Developed Countries, And Expanding Freedom Of Choice In The Market And Beyond.
Section 1.7 Presents An In Depth Examination Of The UN‘S Sustainable Development Goals (Sdgs).
This Includes A More Comprehensive List Of The Goals Themselves (Appearing In Table 1.1) And A
Discussion Of The Shortcomings Of The Sdgs. In Section 1.8, The Plan Of The Book Is Introduced
Through 32 Critical Questions Of Development Economics. Depending On The Amount Of Material
Covered By The Instructor, Students Should Be Able To Intelligently Address Most Of These
Questions By The End Of The Course. Finally, A Comparative Case Study Of Pakistan And Bangladesh
Is Presented.
Page | 4
