Social And Economic Welfare Of A Country Essay - 1173 Words

Developed in 1930s, GDP defined as the value of all the goods and services produced within a country in a given financial year (Heloisa, 2012). GDP is significant as it measures size and performance of an economy. GDP uses growth rate to quantity the economic activity and this assists policy makers to adjust and implement economic policy during recession and depression, as it obliges as a precise indicator of the business climate where it provides all the essential data to government and business so they can adjust and think of ways to survive (Macroeconomics, 2011). Economically it functions as a modest representation for social and economic welfare of a country and this helps economist worldwide to study and compare different countries in terms of life expectancy, wealth, income, education level and many other indicators (Macroeconomics, 2011). However, on the other side GDP has been relentlessly critiqued by many economists as it doesn’t take into account non-market activities such as unpaid voluntary work or illegal trade. Second, criticism of GDP is that it doesn’t not take into consideration the distribution of nation wealth’s, as it only feeds an estimated of each person share of the market economy it ignores the fact that some people level of income is higher than others hence, due to unequal distribution the level of poverty in some countries is difficult to assess. Furthermore, it doesn’t even account for loss of welfare due to natural disasters and alsoShow MoreRelatedEconomic Development And Development Of Welfare1640 Words   |  7 Pagesdiscussing the origins of welfare states it is easy to make an assumption that the development of welfare states was in direct response to social needs brought by industrialization and economic development. In fact the early scholarship in social pol icy did not question the causational effect between economic development and development of welfare states. Understanding that economic development alone cannot sufficiently explain why some countries developed into full welfare states while others didRead MoreSocial Welfare Policies During The Transition Countries Of Central Asia732 Words   |  3 Pagesin study of social welfare policies in transition countries of central Asia. I am concerned with the status of vulnerable groups of population-particularly, the aged, women, children, the disabled, and the poor. In most transition countries, the political and economic collapse of 90s had the devastating effects on the certain groups of population. The sharp decline in size of the government has greatly affected and in some sense triggered the transformation of the scope of social welfare policies.Read MoreGlobalization and the Decline of the Welfare State1172 Words   |  5 Pages The idea that globalization and the welfare states can conflict comes from the fact that: while globalization is based on profit maximization, the welfare states main goal is to reduce, if not eliminate inequality, insecurity and poverty through proper redistribution of wealth mechanisms. The welfare state has to enhance â€Å"people’s adaptability, so that they, whatever their skills, can turn themselves from losers into winners through their own efforts† (Dennis J. Snower. Et al.137). The pointRead MoreWhat Is the Evidence of Welfare State Retrenchment ?1444 Words   |  6 PagesWhat is the evidence of welfare state retrenchment in western welfare states? 1. Introduction 1. Crisis of Welfare State At the end of the 1970’s, the welfare state moved into crisis (OECD, 1981; Rosanvallon, 1981). As the period of high economic growth ended and stagflation appeared, governments couldn’t afford the social expenditure which had been expanded before. Fiscal deficit appeared and unemployment rate started to increase with economic depression. The idea shared byRead MoreThe Welfare State and Government Responses to Economic Openness1668 Words   |  7 PagesThe Welfare State and Government Responses to Economic Openness I. Introduction Economic openness is the phenomenon in which individual economies from all over the world become increasingly connected and interdependent through greater liberalization of trade and the vast movement of goods, services, and capital across borders. With the rise of globalization, positive effects have resulted from economic openness. The widespread benefits of globalization have resulted in global economic growthRead MoreThe Social Welfare And Import Trade Of Britain And China1322 Words   |  6 Pagesanalysis: This essay will compare the social welfare and import export trade of Britain and China, and will evaluate the causes and consequences of the differences. In recent years, the import and export trade has been one of the factors of the rapid economic development of many countries, by increasing the production inputs, labour inputs and technology investment, and promoting economic development. At the same time, with the continuous development of economy, countries ensure the harmonious developmentRead MoreWhat Is the Evidence of Welfare State Retrenchment ?1444 Words   |  6 PagesWhat is the evidence of welfare state retrenchment in western welfare states? 1. Introduction 1. Crisis of Welfare State At the end of the 1970’s, the welfare state moved into crisis (OECD, 1981; Rosanvallon, 1981). As the period of high economic growth ended and stagflation appeared, governments couldn’t afford the social expenditure which had been expanded before. Fiscal deficit appeared and unemployment rate started to increase with economic depression. TheRead MoreInequality Is The Inevitable Outcome Of Capitalism Essay970 Words   |  4 Pagesimplement policies and programs that provide their citizens safety nets. These are known as welfare states. Models and theories of welfare state are highly influenced by the experiences of the Western world. In these state social provisioning came to be due to economic growth, labour mobilization and coalition. So, it brings into question if it can be applied to the rest of the world. This paper will argue that the welfare state literature is inapplicable to the Global South as the writings and understandingsRead MoreGovernment Spending On Welfare And The Gross Domestic Product1673 Words   |  7 Pagesbroken into numerous categories and welfare is one of the biggest categories. Expenditure on welfare is directly extracted from government statistics[1]. There has been a great debate as to whether government spending on welfare has any relationship with the size of a country’s GDP[2 ]. As such, this research is meant to demystify the situation. The purpose of carrying out this research is to examine any underlying correlation between the government spending in welfare of the people and the gross domesticRead MorePoverty Inequality : The United States1040 Words   |  5 Pagespoverty are left to face different social, cultural, physical and mental challenges.The American Dream is to have a well paying job and to be comfortable, but most Americans are forced to live a life of poverty. Although the United States is one of the richest countries in the world, the rate of poverty and income inequality is still relatively high. Economic Inequality is the reason why poverty is increasing, and equal opportunity is reducing. 1 Although social and political inequalities are the