Question

Explain the importance of the study of economic development. How does it help in economic planning?

Answer 1

Economic development is a critical component that drives economic growth in our economy, creating high wage jobs and facilitating an improved quality of life.

Whereas economic planning is necessary for equitable distribution of economic power. It is a powerful instrument for eliminating instability which is a necessary concomitant of a free market economy. It makes possible for optimum utilization of the country's resource. It results in a higher rate of capital formation.