Economic development force

Economic Growth and its Importance

Economic growth is the most powerful driving force in a country’s success. Because of its massive economic inputs and capital endowment, the United States is a cornerstone of the global economy. Economic terms include production cycles, technology, scarcity, and the division of labor and specialization. These concepts illustrate the role of management in enforcing successful growth in certain states of the economy, which involves planning, regulating, and using natural resources. The definition should ideally include environmental determinants. Production and availability are two of the determinants. In the business structure, these two could coexist. This paper seeks to explore the content of the article concerning the economic environment in the US. The country’s system of operation entails numerous cases of interrelations aspects of economics in the world market. This economic concept discussed in the article evidently describes the effects and the relationships between various aspects of the market and the determinants of economic development in the society. Thus, issues around technology, production, and labor market form the bulk of the discussion.

Introduction

Cass and Shell (2014) assert that the country’s economy has core elements that help to determine the progress of the nation. Some of the most important aspects of economics explained by the authors involve productivity, technology, scarcity, and division of labor. Productivity defines the economic concern as the primary determinant of progress in any set of the industry. Some goods and services in the market illustrate the level of productivity. However, to establish the standard of productivity, economists argue that the nation’s market standings must play a part. Consequently, the variation in the production elements induces the concerns of various factors.

The Role of Technology in the Economy

Similarly, technology plays a great role in the economy of any nation. It involves the use of modern machinery and computerization of production to facility the economic development within the country. Technology fuels the rate of output in the market industry and enhances efficient management of resources. Normally, the rate of industrialization in the economy is proportionate to the level of technology use. Hence, the level of technological knowledge in any society directly affects the nation’s level of economic prowess. This owes to the fact that the two variables concurrently exist in the production chain (Deleplace & Nell, 2016).

Consequently, technology bears a direct impact on the economic society. It creates jobs in the industry for individuals with knowledge on the use of computers and other information and communication techniques. Additionally, it also expands the economic operations in the market by encouraging the emergence of new services and industries.

The Division of Labor and Specialization

Cass further postulates that the division of labor defines the assignment of duties based on resources line of specialization. An individual takes care of a particular process in the production chain since the amount of work. In the country, companies apply the concept of division of labor and specialization to promote sustainable use of the natural resources and efficient utilization of the labor market (Cass & Shell, 2014). Concurrently, the output in most companies reflects the concept as a significant boost in the economic development in the United States. Ideally, such concepts in the economic prowess postulate a comprehensive context in the industrial revolution. Technically, a link between the various factors and the universal acceptance of the codes may highlight the relationships.

The Impact of Demand on Economic Development

One of the most important concepts of economic development lies in the demand pool of the industry. Demand is the external desire of the market to acquire goods willfully and use the products and services in the market without force. This ability is relevant in the economic market because it is the engine behind production levels in the industries (Atkinson & Stiglitz, 2015). As a result, demand is essential in determining the economic production level in any sector of the economy. Some of the factors that affect demand in the economy include the price levels, expectations, taste, and preferences as well as the future expectation within the economy.

How the Concept Affects the US Economy

The concept of demand greatly affects the country’s economic development. Two categories of demand exist in the market. Individual and market demands portray the most lucrative economic opportunities to reinforce market-pool demand and supply system. The system operates under forces of operation that may come from several regions of the economy. Domestic demand pool contains a pool of economic zones in the country involving both the immigrants and the natives in the society (Deleplace & Nell, 2016). Internally, the African-Americans present the most relevant market and labor supply in the industries. The demand for local labor in the society meets the supply pool in the labor market. Consequently, the economic pool of production conveys the intentional market industry. The US is an economic pillar in the world owing to the high financial ratings in the global marketplace.

If the demand for American products decreased in the global market, the production level would concurrently decrease, and the result will mean a reduction in the economic development. This will cause a crisis in the domestic development. Notably, the country depends on both the domestic demand and the foreign market to enhance effective growth among the citizens. The American Society believes a combined pool of resources to facilitate the achievement of a common welfare of all their citizens (Atkinson & Stiglitz, 2015).

Conclusion

I think the authors’ arguments back up the common concern among many scholars in the societies. The economic statistics in the country as highlighted in the text portray the ideal contexts in the economies. This way, there is evidence of universal concepts of economics explained by the other scholars in the industry. Therefore, I tend to agree with the author of the article in his explanations. Moreover, the language used is simple and easy to understand in the context of economic studies and other social values.

References

Atkinson, A. B., & Stiglitz, J. E. (2015). Lectures on public economics. New Jersey: Princeton University Press.

Cass, D., & Shell, K. (Eds.). (2014). The Hamiltonian approach to dynamic economics. Cambridge, Massachusetts: Academic Press.

Deleplace, G., & Nell, E. J. (Eds.). (2016). Money in Motion: the post-Keynesian and circulation approaches. New York: Springer.