• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Using Rostow's model as a basis what are the stages in development a country needs to become a self-sustaining economy?

Extracts from this document...

Introduction

Harpal Chima 13A Human Geography Using Rostow's model as a basis what are the stages in development a country needs to become a self-sustaining economy? The Rostow model is used to detect what stage of development a nation is in, within the course of the 5 stages the increase in development will show that a country will gradually gain a self-sustaining economy. Within the 5 stages of the Rostow model each stage differs and eventually leads to a nation having a self-supporting economy. Within the first couple of stages (Stage 1 & 2) the economy needs to have some foreign direct investment and also must develop some form of capital formation. ...read more.

Middle

The countries of Ethiopia and Somalia are clear examples of this, in order for development to occur the economy increase the amount of capital that it receives. In order for the economy to receive capital there is an increase in foreign investment within the country and thus leads the stage 2 of the Rostow model. In the second stage, preconditions for take off, there is an increase in foreign investment into the agricultural area. Development within the agricultural changes from subsistence to commercial and thus leads to some capital formation which introduces investment into infrastructure. If commercial development does occur it will mean that the government will be able to introduce tax and thus spend expenditure upon education, welfare, infrastructure and injections into the economy. ...read more.

Conclusion

Vietnam and Thailand are good examples of nations currently within stage 3 of the Rostow model. The fourth stage of development within the Rostow model, the drive to maturity, is a clear motive for a nation to eventually have a self-supporting economy. In the fourth stage the economy becomes increasingly diversified and is less reliable upon foreign investment because there is enough capital formation within the country. The multiplier effect becomes active within the fourth stage and it means that there is an increase in government expenditure to spend more leading to larger industries and attraction of other like industries, industrial agglomeration. Rapid urbanisation occurs and there is a significant decrease in the rural population. Malaysia, China, Argentina and Chile are all countries within the 4th stage of the Rostow model. The 5th stage within the Rostow model is the final stage showing that a country has a self-sustaining economy. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our AS and A Level Global Interdependence & Economic Transition section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related AS and A Level Global Interdependence & Economic Transition essays

  1. International Ecotourism Management: Using Australia and Africa as Case Studies.

    Management of Environmental Quality Ecotourists seek high levels of environmental quality (Eagles, 1992). Most ecotourism is concentrated in national parks, wildlife reserves and similar types of protected areas. Each of these protected area systems has environmental integrity goals. Therefore, the inherent thrust of the ecotourist travel motives and the management philosophy of the park agencies' are similar.

  2. Bestwood Country Park is situated in North Nottinghamshire 4 miles north of the Nottingham ...

    would employ local people and reduce the unemployment rate in the area. The theme park would almost certainly attract a much larger number of visitors (probably a similar number to other theme parks in the area) and would also boost the tourism in locally and in Nottinghamshire.

  1. Different types of travel destination. Study of Cardiff and Barcelona as travel destinations.

    It aims to attract a mature and stylish crowd. . There is a large range of accommodation in Cardiff Ranging from the YHA hostel to the Marriott and Hilton Hotels. A double room in the YHA Cardiff will cost �13 per room a night and would appeal to students or young people who are visiting Cardiff for a short break.

  2. Census data AS geography

    The better the environment is better this is for tourism as tourists will not like to come to the village if the environment is not very good everywhere, especially the beach as this is the biggest pull factor for tourists who visit the village of Port Eynon.

  1. What makes a country wealthy?

    expenditure and investment. GDP of India is $3.36 trillion. At the end of first quarter of 2005-2006 GDP growth rate is 8.1. Contribution of sectors in the GDP of the India. Service Sector: 52.2% Industrial sector: 26.1% And the Agriculture sector contributed 21.8% in the total GDP of India.

  2. Development of the leisure and recreation industry

    The 5 leisure and recreation facilities are listed hereunder: * Dreamland Cinema * Bugsy's Bowling Centre * Planet Laser * Lido Snooker Club * Pool Land Club Initially let us begin with a breakdown of the demographic changes from several Mintel reports Age Range Total Males Females 0-4 3486469 1786036

  1. Successful Property Development.

    The architect as leader of the design team has a crucial role to interpret his client's intentions and produce a design which will meet the requirements of tenants, planners and long term funders. Other commentators such as journalists, the general public, and the Prince of Wales may also criticise the

  2. Development Increases Inequalties within a country. Discuss in the context of one named country

    Therefore, there is little foreign direct investment. As a result, this region has high levels of unemployment. Since 1994, the Mezzogiorno has lost 2 million jobs in the textile industry due to comparative advantage shift in the north. This meant that mean unemployment rates in Mezzogiorno were above 10% and mean unemployment rates in the north were below 7%.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work