- Growth: The economy's output must grow, so it creates more wealth (or income) in order to feed an increasing population. Without growth, it becomes a problem of redistribution of existing wealth (or income).
- Poverty: The minimum income per individual or family that can bring the basic amenities for a reasonable living.
- Inequality: Refers to the unequal distribution of income levels among individuals in a given society. Growth is like a rising tide, but that doesn't automatically lift all boats, so policies are necessary to make an equitable distribution happen.
Sunday, January 18, 2009
How can we create a Balanced Economy?
At a first level, the strategy to accomplish the mission of creating a Balanced Economy shoul
d address all three of the following:
Labels:
GDP,
growth,
Inequality,
Poverty
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