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Economic Development as an Empirical Concept

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  • David W. Rasmussen

    (Florida State University)

Abstract

Economic development must be the most abused term in social science. It is used to mean many different things; it describes both a state and a myriad of processes. Development is a state to be achieved since developed countries have a per capita income in excess of $1500; lesser developed counties do not. Development is also widely viewed as a process. Many scholars have emphasized that development is distinct from the concept of growth, but careful usage of these terms is not common practice. Flammang (1979) reports nine different ways of distinguishing between growth and development, one of which is not bothering to define either term. In this paper we explore a positive definition of development that has empirical content. Obviously we cannot measure development per se since it involves a host of institutional changes, demographic shifts, technical change, and changes in international economic relations that are too varied and heterogeneous to measure in a simple way. But we can observe whether development has occurred by investigating long term changes in aggregate measures of economic performance and the distribution of income.

Suggested Citation

  • David W. Rasmussen, 1990. "Economic Development as an Empirical Concept," The Review of Regional Studies, Southern Regional Science Association, vol. 20(1), pages 56-61, Winter.
    • Handle: RePEc:rre:publsh:v20:y:1990:i:1:p:56-61
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    References listed on IDEAS

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    1. Flammang, Robert A, 1979. "Economic Growth and Economic Development: Counterparts or Competitors?," Economic Development and Cultural Change, University of Chicago Press, vol. 28(1), pages 47-61, October.
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    3. Sen, Amartya, 1983. "Development: Which Way Now?," Economic Journal, Royal Economic Society, vol. 93(372), pages 742-762, December.
    4. Baumol, William J, 1986. "Productivity Growth, Convergence, and Welfare: What the Long-run Data Show," American Economic Review, American Economic Association, vol. 76(5), pages 1072-1085, December.
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    7. Dooley, Martin D & Gottschalk, Peter, 1984. "Earnings Inequality among Males in the United States: Trends and the Effect of Labor Force Growth," Journal of Political Economy, University of Chicago Press, vol. 92(1), pages 59-89, February.
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