2. SOME QUESTIONS?  What does "development" really means with respect to different countries?  Can you determine which countries are more developed and which are less?

3. Economic Development Analyse the prospects of development of Kazakhstan’s economy

4. LEARNING OBJECTIVES  Distinguish between economic growth and development  Identify factors that affect economic development  Analyse the factors related to the Kazakhstan economy  Decide whether Kazakhstan might achieve its development plan in future

5. DEFINITIONS IN PAIRS  Look for the difference between economic growth and economic development.

6. DEFINITIONS  Economic growth : increase in output and incomes over time, measured on a per capita basis  Economic Development : The process that leads to improved standards of living for the population  Human development : Human development is the widening of people’s choices in life to achieve wellbeing  Sustainable development : The use of various strategies and resources optimally to achieve a beneficial balance over the longer term

7. ECONOMIC DEVELOPMENT

9. IN PAIRS Read the passage and identify the factors (indicators) of economic development TASKTASK

10. FACTORS FOR ANALYSING ECONOMIC DEVELOPMENT

11. MAIN FACTORS # 1 HUMAN DEVELOPMENT a) Life sustenance (access to basic goods and services) b) Self esteem (respect and dignity) c) Freedom (from want and poverty

12. MAIN FACTORS #2 INCREASE IN THE QUANTITY OF PHYSICAL CAPITAL What is “Physical capital” ??? -------------------- Is an important source of growth Increases Productivity of labour

13. MAIN FACTORS #3 INCREASES THE QUANTITY OF HUMAN CAPITAL - Human capital is a source of growth. How can we increase the productivity of labour??? ----------------------------------- 1) EDUCATION 2) HEALTH

14. MAIN FACTORS #4 DEVELOPMENT OF NEW TECHNOLOGIES Why is it important ? It increases the QUALITY of physical capital BUT It must be suitable for the country Eg Climate, ecology and geographical conditions

15. MAIN FACTORS #5 INSTITUTIONAL CHANGES = (rules of organisations) Include - Economic – finance and credit - Legal – contracts and tax - Social – corruption and poverty - Can you think of examples that hinder growth?

16. AN EXAMPLE  AUKLAND (New Zealand)

17. DEVELOPMENT GOALS

18. GROUP STUDY  Let’s look at Kazakhstan