Concept and meaning of infrastructure, Microeconomics

CONCEPT AND MEANING OF INFRASTRUCTURE:

Infrastructure sectors are the backbone of a national economy. It has been commonly opined that infrastructure development is closely related to economic growth and poverty reduction. Therefore, development plans of all countries, particularly those of the less-developed countries, are aimed at the development of infrastructure sectors through sector specific policies, which, in turn, generate sustained economic growth. The word "infrastructure" is defined in dictionary as "the underlying foundation or basic framework" (See Webster's Ninth Collegiate Dictionary, 1985, p. 621). By this definition, infrastructure is the basis for development. In other words, infrastructure is taken as the foundation on which the factors of production interact in order to produce output. Infrastructure, in the general sense, is taken to refer to large-scale public systems, services, and facilities that are necessary for economic activity. Broadly, infrastructure includes all public services from law and order through education and public health to transportation, communications, power and water supply, as well as irrigation and drainage systems. Infrastructure can be classified as  'economic infrastructure' and 'social infrastructure'. Economic infrastructure comprises of sectors that have capital investments on hardware as a significant component. On the other hand, social infrastructure sectors like health, education etc. have less significant capital investments. Transport sector (Roads, Railways, Airports, Seaports), Energy facilities (Power, POL infrastructure, terminals, pipelines), Communication facilities (Telecom, Posts), and Banks are the important constituents of economic infrastructure.  

Posted Date: 11/10/2012 7:27:42 AM | Location : United States







Related Discussions:- Concept and meaning of infrastructure, Assignment Help, Ask Question on Concept and meaning of infrastructure, Get Answer, Expert's Help, Concept and meaning of infrastructure Discussions

Write discussion on Concept and meaning of infrastructure
Your posts are moderated
Related Questions
Discuss how the opportunity cost principle influence a supplier''s decision to supply labour

The raspberry growing industry is a perfectly competitive industry. The firms in the industry have a U-shaped LAC, minimum average cost is $8 and the minimum efficient scale is 4 u

Which drug is likely to be the most profitable for its producer (in terms of average “per-drug” profit)?

explain the following disadvantages of amalgamation. Complex nature

Potentials of Productivity Growth: It needs to be noted that growth in productivity witnessed in the past are an average rate at the All-India level. There are considerable re


Production Function for Wheat *  Farmers should choose between a capital intensive or labor intensive technique of production. Isoquant Describing Production of Wheat

What is affected variable and cause variable?  In a graph, one variable is dependant and the other is independent. The dependant variable is known as effect variable and indepe

do you give solutions

Discuss whether inflation or deflation is the more serious problem for an economy. Inflation is a consistent general enhance in the price level, whereas deflation is a consiste