What are the conditions under which impoverished growth occurs

Impoverished growth is a situation that occurs in certain developing countries, and it means that when a country for some reason (usually always a large increase in the supply of a single factor) increases the export scale of traditional export commodities exceedingly, the result is not only a serious deterioration of the country's conditions, but also an absolute decline in the level of national welfare in that country.

There are three prerequisites for the growth of impoverishment: first, the country's commodity exports have a large share of the world market; Second, the growth of the country's production capacity is mainly concentrated in the export sector; Third, the elasticity of demand for this commodity in the international market is low. Obviously, for an open economy in a large developing country, these three conditions are basically met, and it is all the more necessary to be vigilant against the emergence of impoverished economic growth.

The most important basis for judging whether a country has impoverished growth is the condition, which is also known as the price comparison or exchange price, which refers to the ratio between the imported goods (**, purchasing power, and factors) that a country can exchange for exporting a unit of commodity (**, purchasing power, and factors) in the foreign world. Condition is a relative concept, to some extent. The conditions reflect the changing trend of the country's advantages and competitiveness.

There are four different forms of ** conditions commonly used in practice: ** condition, **income ** condition, single element ** condition and double element ** condition.

Economic growth has led to a decrease in people's living standards.

It generally occurs when the income distribution is extremely uneven and the social security system is not perfect.

Impoverished growth is what has happened in some specific developing countries

Its implication is that when a country for some reason (generally always a large increase in the supply of a single factor) makes the export of traditional export commodities increase dramatically, the result is not only a serious deterioration of the country's conditions, but also an absolute decline in the level of national welfare of the country. Lindet points out that impoverished growth means that "the growth of a country's will to expand can lead to such a serious deterioration of conditions in that country that the country's situation becomes worse".

It can be seen that, to a certain extent, the change in conditions is a "display" to measure whether there is a growth of poverty in a country. Bhagwati elaborated on the necessary conditions for a country to have an impoverished growth at the national level, but meeting the above conditions does not necessarily lead to impoverished growth.

That is to say, the above four conditions are the necessary conditions but not sufficient conditions for the emergence of impoverished growth in a country, and the essence of impoverished growth is the overall deterioration of the conditions of economic growth, income and factor conditions, resulting in a decline in the level of welfare.

The conditions for a country to experience an increase in poverty are ().

a.The benefits of the expansion of the conversion curve outweigh the negative effects of the deterioration of conditions.

b.When the capital goods are exhausted, they are not replaced, and the conversion curve is cracked and moved inward.

c.**Conditions are growing faster than the labor force.

d.The slag management theory cannot be explained, and this phenomenon often occurs in the current Youhe closure.

Correct Answer: a

Poor countries with export-biased growth

Impoverished growth is more likely to occur in poor countries with export-biased growth. Countermeasures and suggestions:

From a dynamic point of view, there is a possibility that China will become impoverished, increase the number of years or "relative poverty growth".

Impoverished growth was first proposed by Brevish and Singh, and later the Indian economist Bhagwati linked the conditions and economic growth to study, the basic meaning is: the economic growth of a large country causes a serious deterioration of the conditions, so that the degree of decline in social welfare is much higher than the degree of improvement in social welfare due to the increase in per capita output, and eventually there will be more and more poverty, so it is also called tragic growth.