Question

9. Study Question #9 Ch 7. Evaluate the following statement describing the strategy that East Asia used from the 1970s to the 1990s to achieve high rates of economic growth. True or False: East Asia’s growth strategy has emphasized high rates of investment combined with high and increasing endowments of human capital due to universal primary and secondary education. True False Evaluate the following statement pertaining to whether the Asian miracle will continue in the new millennium. True or False: History shows that every economic miracle eventually loses its luster as youthful exuberance gives way to economic maturity. As fixed investment increases, its marginal return decreases, and each additional unit of capital fosters less output than the preceding one. True False

Answer 1

Answer:

East Asia's accomplishment in accomplishing a high development rate is a miracle.The example of overcoming adversity centers around outside trade,savings of government and above all in teaching young men and young ladies so that by accomplishing high education level they can accomplish high financial growth.East Asia likewise have a high PPP(Purchasing Power Parity)which helped them to accomplish high growth.Countries like China and Japan are putting more in colleges.  

Fare - situated methodology assumes a significant job being developed of East Asia.Many nations like Japan,Taiwan,China moved to send out polocies to cultivate high econmic growth.Of course,open exchange will be a significant development driven motor and the creating nations will considered it as a most significant weapon in accomplishing growth.Thus,industrialisation is a significant rebound for East Asia to accomplish high financial development.  

Therefore,industralisation,openness to trade,educational accomplishment and import-send out approaches helped East Asia to accomplish high econmic development.  

(b)We know the idea of 'theory of unavoidable losses or Total Factor Productivity.It states that at one point including one extra factor of creation brings about a lessening increment in output.For example,if we utilize laborers to fabricate an item then at a specific level the creation is steady and by utilizing more,the yield decreases.So we can say that the given articulation is valid.  

TFP is a significant factor for high development rate.East Asian nations have accomplished a high growth.Most of this is from factor accumulation.East Asia TFP can't and along these lines the nations lost their normal development achievement.High monetary development brings about low TFP.