What is the lewis model, Business Economics

Assignment Help:

What is the Lewis Model?

The Lewis Model argues economic growth needs structural change into the economy whereby surplus labour within traditional agricultural sector along with zero marginal product that migrate to the modern industrial sector where their each marginal product is more much higher.

Transferring surplus labour through rural to urban regions has no effect onto agricultural productivity like MP of rural employees = 0. Additional workers within urban areas raise output thus incomes and profits. Further incomes increase demand for domestic products when increased profits fund increased investment. Therefore rural urban migration gives self generating growth.


Related Discussions:- What is the lewis model

Is ownership of change important for development, Is ownership of change im...

Is ownership of change important for development? Successful polices depend onto countries owning the process. When the economic reforms required for development are considere

What is function of world trade organisation, What is the function of World...

What is the function of World Trade Organisation in the promotion of development? The World Trade Organization (WTO) is international association dealing along with the global

Ethics, Discuss Morality in international context

Discuss Morality in international context

Monopoly pricing, 1. (classical monopoly pricing) A monopolist faces a dema...

1. (classical monopoly pricing) A monopolist faces a demand curve q (p) = 100   p: (a) If its cost function is C (q) = 2q; what is the optimal level of price and quantity? (b

Equilibrium in the goods and money markets, using a diagram, evaluate the e...

using a diagram, evaluate the effect of a decrease in money supply to the equilibrium in the goods and money market

Supply, What is exceptional supply curves

What is exceptional supply curves

Calculate expected return, QUESTION 1 (a) Explain how CAPM provides a ...

QUESTION 1 (a) Explain how CAPM provides a framework for measuring the systematic risk of an individual security in a well-diversified portfolio, using the concept of security

What is the infant industry argument, What is the Infant Industry argument?...

What is the Infant Industry argument? Several governments seek to protect involving industries by premature competition. Infant industries have potential comparative benefit b

Theory of cost, how starting assignment on this topic

how starting assignment on this topic

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd