SOME QUESTIONS?  What does "development" really means with respect to different countries?  Can you determine which countries are more developed and which are less?

Economic Development Analyse the prospects of development of Kazakhstan’s economy

LEARNING OBJECTIVES  Distinguish between economic growth and development  Identify factors that affect economic development  Analyse the factors related to the Kazakhstan economy  Decide whether Kazakhstan might achieve its development plan in future

DEFINITIONS IN PAIRS  Look for the difference between economic growth and economic development.

DEFINITIONS  Economic growth : increase in output and incomes over time, measured on a per capita basis  Economic Development : The process that leads to improved standards of living for the population  Human development : Human development is the widening of people’s choices in life to achieve wellbeing  Sustainable development : The use of various strategies and resources optimally to achieve a beneficial balance over the longer term

ECONOMIC DEVELOPMENT

IN PAIRS Read the passage and identify the factors (indicators) of economic development TASKTASK

FACTORS FOR ANALYSING ECONOMIC DEVELOPMENT

MAIN FACTORS # 1 HUMAN DEVELOPMENT a) Life sustenance (access to basic goods and services) b) Self esteem (respect and dignity) c) Freedom (from want and poverty

MAIN FACTORS #2 INCREASE IN THE QUANTITY OF PHYSICAL CAPITAL What is “Physical capital” ??? Is an important source of growth Increases Productivity of labour

MAIN FACTORS #3 INCREASES THE QUANTITY OF HUMAN CAPITAL - Human capital is a source of growth. How can we increase the productivity of labour??? ) EDUCATION 2) HEALTH

MAIN FACTORS #4 DEVELOPMENT OF NEW TECHNOLOGIES Why is it important ? It increases the QUALITY of physical capital BUT It must be suitable for the country Eg Climate, ecology and geographical conditions

MAIN FACTORS #5 INSTITUTIONAL CHANGES = (rules of organisations) Include - Economic – finance and credit - Legal – contracts and tax - Social – corruption and poverty - Can you think of examples that hinder growth?

AN EXAMPLE  AUKLAND (New Zealand)

DEVELOPMENT GOALS

GROUP STUDY  Let’s look at Kazakhstan