Development Economics Geographical Condition

Question: Discuss about the Development Economicsfor Geographical Condition. Answer: Introduction I always thought about the reason behind the different economic position of the people who are residing in different countries. I observed that the people of the developed countries are very rich, whereas the people from the poor countries are very poor. I found an article by Daron Acemoglu, where the author focuses on the root causes of the variation in income and living standard of people in diverse countries. Country like USA, UK, France, Germany, and Australia are richest, and the people of these countries are very rich, and their living standard is very high. The Sub-Saharan countries and their people are very poor and force to live in a hell like an environment. According to the author, the causes of the economic differences are a geographic influence and institutional influence. The geographical condition of the country has immense contribution to the economy of the nations (Leeds, 2006). Similarly, the institutional influence is also pivotal for the economy of the nations. Th e human and society have great influence on the economy of the society, and despite bad geographical position the right institution can improve the economy of a country. Main Context Interpretation The topic clearly shows the root causes of a historical approach to access the role of the institutions. The cause is depicted to be the cause of the differentiation of the prosperity which has been indicated with the differentiation of the countries geographic situation and the economic development. The enhancement of the issues is being depicted by the form of the differentiation of the institution with the geographic locations as considered for this study. The current theories that are related to this as determined by me depict the institutional hypothesis which explains the situational theory by the variation of the situation of the country. Therefore, the situational theory clearly describes that the country is poor or not. I agree with this theory that the situational analysis in the colonial era impacted the situation of the institutions and the variation of the growth can be depicted by the determining the acceptance of the geographic hypothesis. Therefore, the condemnation of the national parties is clearly illustrated with showing the nation's poverty but though the impact varies the geographic situation remains constant (D., 2003). The reflection of the capitalist or the neoliberal ideology is being described by the help of the Rostow's growth model, and the instructional hypothesis can be well explained by describing the structure of the institutions. Therefore, the external influences are ignored by me which is being faced by the nation and the impact is also indicated which is being faced by the wealthy nations. Evaluation The multiple perspectives clearly define the historical civilizations that show the geographic hypothesis which is being made in the 21st century where the issues become the borders and the locations. The clear argument can be provided by the situation that is depicted to be near the equator is consisting of most resources. The variation of the resources is creating the impact on the exploitation of the theories, and due to this, the effect can be easily determined by the government and the institutions. Therefore, this perspective had been determined by me is depicted to be reflecting the science, arts and the philosophies. Conclusion Plan The article shows that the fundamental causes of differences in the prosperity between nations are institutions and geography. I have found that the institution and geography hypothesis causes differed in the wealth of the countries. The institution hypothesis clearly shows why some nations are rich and poor. The development of an economy depends on the development of organizations and other institutions. The standard of living also depends on the development of the economy. The government utilizes all the resources to enhance their productivity that has made major differences in the prosperity of the countries. I have analyzed the differences in the wealth of the countries and analyzed the colonial era. The geography hypothesis shows that wealth of the countries also depends on its geography which includes natural resources, climate, and location. The countries have utilized the resourced for their economic development. Thus, the article shows that the nations with a huge amount of resources grow at a much faster rater economically that the nations without natural resources. It has also been observed that some countries with fewer resources are most economically developed. The institution's hypothesis states that presence of appropriate institutions helps the country to develop economically that can be managed and controlled by people. The economic theories examine the growth of the countries and also analyze the unique characteristics of the counties like institution and geography hypothesis. However, it is important for the countries to utilize their resources appropriately and supporting the poor countries. From this article, I have learned about the cause of the poverty and different economic condition of the diverse countries across the globe. Some causes are natural, and the mankind has no control on these causes. Such causes are the geographic position, climate change, and disasters natural calamity. However, there are some causes which can be controlled by the mankind, which is institutional causes. Such causes are education, government economic policies, technology adaptation, industrialization, etc. Hence, proper planning of development can improve the condition of the poor countries and their people. With proper planning in education, technology and business can bring the countries in the path of prosperity and development and the living standard of the people will also improve. The knowledge from the easy will help me in my future career as an economist, where I can plan for the development of the poor nations. References Acemoglu, D. (2003). [online] Available at: https://www.imf.org/external/pubs/ft/fandd/2003/06/pdf/Acemoglu.pdf [Accessed 14 Apr. 2017]. Leeds, M., Von Allmen, P. and Schiming, R. (2006).Economics. 1st ed. Boston: Pearson Addison-Wesley.