4. What are the features of economic development?



Ans. The following are the features of economic development.

  1. Qualitative concept: Economic development tries to explain the qualitative changes in wants, goods, institutions, etc.
  2. Sectoral transformation: Economic development implies a shift of population from agriculture to industry and ultimately to service sector. This shift indicates modernity, high skills, discipline etc.
  3. Structural transformation: Economic development changes the economy from agrarian to industrial economy and ultimately a mature society with a large service sector.
  4. Public participation: Economic development is possible when people of the country participate and co - operate in the process of development.
  5. Long term concept: It implies that the increase in the real national income should be sustained over a long period.
  6. Increase in real national income: Economic development considers an increase int he real national income and not nominal (money) national income.