Answer: The relationship between the environment and economic development may be accessed from two different points of view. One point of view is that factors like political climate, governmental policies and culture in the environment affects economic development. A second viewpoint is the manner in which the activities associated with economic development affect the environment.Environment and economic development are linked in the sense that the factors in place in the environment have a huge impact on the rate of economic development for a region. A country with a politically unstable reputation will not be able to attract necessary investors and businesses from interested investors both within and outside the country. A local investor with the resources to establish a business may prefer to take his or her money elsewhere, to a country with a reasonably stable government. This lack of investment by entrepreneurs is due to the fact that there is no guarantee of any security for their investments. Lack of security also means that the business will not flourish in the way it would in a country with a stable government.
