Discovering the etymological origin of the two words that give shape to the term that concerns us is the first thing we are going to do, before entering fully into its definition:
-Development is a word that derives from Latin, it is exactly the result of the sum of two well-differentiated parts: the prefix “des-“, which is used to indicate what the investment of an action is, and the noun “roll”, which derives from “rutulus” and which is synonymous with “wheel”. See Abbreviation Finder for acronyms related to Economic Development.
-Economic, on the other hand, is an adjective that has its origin in Greek. It means “related to finances” and was formed from the union of three components of the said language: the noun “oikos”, which means “house”; the word “nomos”, which is synonymous with “law”; and the suffix “-ico”, which is used to indicate “related to”.
The concept of development can refer to growth or progress. Economic, on the other hand, is that related to the economy: the study of the production, exchange and consumption of services and goods.
The idea of economic development, in this framework, refers to the evolution of the economy in such a way that it favors an improvement in the quality of life of the people. In general, the notion is linked to the creation of wealth, although it also covers other dimensions such as the distribution of said wealth.
When a country reaches economic development, it acquires the capacity to produce and offer the goods and services necessary for its population to enjoy high social and monetary well-being. In any case, there is no nation without inequalities: this means that, in a territory with an advanced degree of economic development, there may also be people who suffer from poverty. However, the theory indicates that a developed country has the infrastructure and resources to meet the basic needs of its citizens.
Economic development is achieved when the production system grows over a sustained period of time, favoring the creation of wealth and the accumulation of capital. Governments must take charge, through economic policy, of ensuring that this development is sustainable.
There are numerous factors that can contribute to the adequate economic development of a city, a region or a country. Specifically, among the most important measures are discovering new natural resources, having much better trained workers, investing in what is human capital not only by establishing training courses for employees but also by creating a solid and competent educational system…
Likewise, relevant measures are also having the most advanced technology, having the most appropriate and necessary machinery, investing in R+D+I (Innovation, Development and Research), supporting productivity, helping the most disadvantaged population…
Countries such as Australia, the United States, Japan, and Germany are renowned for their economic development. On the other hand, Haiti, Sierra Leone and Afghanistan, to cite just a few examples, have very little economic development and their inhabitants suffer all kinds of hardships. Most nations, in fact, have limited economic development as wealth is concentrated in few regions.