Do all developing economies have same underlying problems, Business Economics

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Do all developing economies have same underlying problems?

Less developed countries are similar but exceptional. The impact of a problem will vary depending upon circumstances as like:

• Factor endowment,

• Infrastructure,

• The size and utilize of past current account deficits,

• Culture and legal structure,

• Sectoral balance,

• Open and transparent governance,

• Income distribution,

• Savings levels,

• Rural-urban imbalances,

• Openness of economy to world economy and capital flows

• Recent foreign debt levels

• Degree of dependence onto agricultural exports.


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