Impact of Economic Development on Social Services - Research Paper Example

IMPACT OF ECONOMIC DEVELOPMENT ON SOCIAL SERVICES/SOCIETY Impact of Economic Development on Social Services/Society Economic development is the sustained efforts especially by policy makers and the community at large to improve standards of living. Economic development brings out the best in people thereby attaining individual fulfilment. Therefore, economic development brings change on all aspects of the society such as education, health, poverty, and the general standards of the entire society. This is to say that economic development is noticeable since it has to bring an impact to the society. However, the impacts may be positive and or negative and therefore there is need to explore deeply the impacts of economic development in a bid to determine the advantages associated with it. Nevertheless, it is arguably in order to say that economic development has more positive impacts on the society and therefore should be encouraged. Economic development has great effects on the levels of education and literacy. Education is quite broad but any activity that affects people’s way of thinking and world view may be considered educational. Education is mainly passed from one party to another over generations and it may be formal or informal. In this perspective, formal education refers to a forum where people are gathered to receive information with the sole purpose of gaining and boosting knowledge levels. The information passed is in most cases from a trusted source that is seemingly more knowledgeable on the matter of discussion. On the other hand, informal education in this perspective refers to information that has an educational effect but it is passed from one party to another through casual chats. This is to say that unlike in formal education, the sole purpose of the discussion is not learning. Additionally, it does not necessarily involve an eligible member or one that has vast knowledge on the subject of discussion. This implies that informal education does not involve a gathering and it is passed on in the course of the day to day activities. Therefore, for a piece of information to be considered educational it only needs to satisfy the criteria of changing the way of thinking and world view hence it is not dependent on the environment under which it occurs. However, economic development focuses more on formal education in order to boost skills and impact knowledge on the different phenomena regarded important in the society. For example, at the dawn of economic development after the Second World War, there were increased efforts to boost education levels through funds given after the Bretton Woods conference (Ellewood, 2010, p.27). The phenomena of interest are mainly attached to increasing productivity and eventually aiding in economic growth and all other aspects of economic development. It is important to note that there is a big difference between economic development and economic growth. Economic development focuses on the entire advancement of the society in different sectors including people’s way of thinking. On the other hand, economic growth focuses on increased productivity and improving the Gross Domestic Product (GDP) and all aspects of societal advancement. Therefore, economic growth may be regarded as a sub branch of economic development more so because economic growth is an effect on economic development. Economic development has laid focus on global advancement hence the need for global education. Global education has to satisfy the aspects of changing people’s way of thinking and viewing different phenomena to fit the universal perspective thereby promoting justice, equality and execution of human rights for all. In the modern world and in the wake of globalization, there is need to boost education levels to impact knowledge that is applicable on global matters and not only matters in the immediate surroundings of individuals. This is to say that economic development focuses on setting an equal platform on education regardless of the region. This may arguably be considered the main reason for building educational centers and institutions. Education offered in institutions is universal and does not only focus on specific countries where institutions are based, but the entire world. Therefore, education levels and focus has shifted to focus on the universal perspective and view on different issues. Policies that accompany economic development are designed to make it easier and possible to access global education regardless of the geographical position of an individual. The need for global economic development has necessitated the need for international studies where people are allowed to travel to different countries for the purpose of advancing individual education levels. As a result, there has been increased interdependence between nations thereby promoting education equity. Additionally, there has been great improvements on educational institutions, especially higher learning institutions, in order to achieve the best set of skills and offer world class education. Therefore, economic development has contributed greatly in boosting education levels in a bid to shape a better and shared world in the future through global education. Since economic development focuses on improving the entire society, it also has unlimited focus on poverty. Poverty is one of the main contributors of derailing economic development globally with numbers of people living in poverty rising as high as 1.5 billion globally (Madeley, 2008, p.6). There are extremely high levels of poverty in all regions of the world, especially in developing countries, implying that poverty is a pressing global problem. In fact, United Nations (UN) reports show that elimination of extreme cases of poverty would require approximately $225 billion annually (Ellewood, 2010, p.125). This implies that it is essential for economic development policies to focus on reducing poverty levels through several ways such as boosting education levels and increasing employment. The increased focus of economic development policies on improving education levels is arguably in order to reduce poverty. One of the main contributors of poverty is illiteracy and this can be proven by low literacy levels in developing countries. Poverty reduction goes hand in hand with development that can arguably be attributed to improved education. This is because education offers skills that are required for development. Additionally, education improves people’s way of thinking thereby making it possible to think and engage in other activities that do not necessarily involve employment (Madeley, 2008, p.125-126). This is to say that education offers alternatives and creates room for individual independence and can lead to personal innovations and inventions hence reducing poverty. Therefore, improved education as a result of economic development is a contributing factor in eradicating poverty. However, poverty eradication is not only dependent on education but also can be achieved through other mechanisms and policies related to economic development. Economic development policies also cater for utilization of the available natural resources in different regions. Through utilization of natural resources there is creation of employment especially for individuals living within the environs of the location of the natural resource to be utilized (Madeley, 2008). For example, in an area where there are mining activities it is likely that the people living around that area have sustainable sources of income either linked directly or indirectly to the mining activities. People benefiting directly are those working in the mining facility while people benefiting indirectly comprise of people whose activities thrive as a result of the mining activities such as shop owners. However, such activities require funding and great management hence creating the need for economic development policy makers such as governments and TNCs. Governments allocate huge sums of finances each year to the various natural resource utilization projects during all budgetary allocations. For example, mining is among the top five largest industries in the world hence can be considered a great contributor of poverty eradication (Madeley, 2008, p.126). Such efforts can be attributed to the need of attaining economic development. Additionally, in a bid to attain economic development various stakeholders such as the government and Trans National Corporations (TNCs) can offer to engage in already existing activities. For example, governments offer subsidies and come up with policies that encourage investments such as tax reduction. As a result there is increased investment and formation of new entities thereby reducing unemployment levels and consequently eradicating poverty. Moreover, the government and other institutions engage in fighting for improved wages and salaries for the workers. As a result, the workers are able to get sustainable income. Such policies are aimed at eradicating poverty levels all in a bid to achieve economic development. However, there have claims that TNCs seek to exploit the poor due to increased focus on profits. Nevertheless, this arguably limited to only few TNCs hence it is vague to argue that TNC s are all about negative effects on the society. Furthermore, TNCs’ activities are restricted and governed by laws such as the 2006 UK Companies Act that ensure they are beneficial to the society and the environment around which they operate (Madeley, 2008, p. 204). This implies that TNC s are accompanied by unlimited advantages such as infrastructure development and employment creation. This is to say that the need for economic development sparks increased need to reduce poverty levels. Therefore, it is in order to say that economic development contributes greatly in eradicating poverty. Health is one the fundamental necessities of people and therefore economic development is highly dependent on good health services. The health conditions in developing countries are below the required standards hence the need to boost health services. Poor health facilities have fatal implications on the economic development thereby invoking the need of coming up with appropriate policies to improve health facilities. This can be attributed to the fact that poor health services reduce productivity due to increased death rates. Additionally, even the smallest of health problems result to fatalities due to lack of adequate medical attention. Moreover, poor health care does not only refer to illnesses but also to nutritional standards (Madeley, 2008). Therefore, areas with poor health services experience nutrition related problems thereby reducing the general productivity of the area. This implies that to attain balanced and desired economic development there is need to lay focus on improving the health standards of the particular area of interest. Proper health services range from availability of health care to cost of health care services to the physician density. In areas deemed to have proper health care services, health care centers are within the proximity of all individuals. As a result people are able to access health care services adequately thus preventing fatalities that are related to delays. In some areas, especially in the developing countries, health care centers are unevenly distributed hence some of the communities and people may be located even several kilometers away from health centers. Additionally, some of the health centers in proximity do not have all the necessary facilities to offer health care especially for advanced health complications. As a result, distances to health care centers that can offer required health care services for advanced health complications is further increased. Furthermore, even the bigger hospitals may lack equipment and the capacity to handle advanced health problems such as those involving surgeries. As a result, people suffering from such advanced health problems are forced to seek medical assistance abroad and this increases the distance once again. However, some of the economic development policies require construction and improvement of health care centers hence solving the problem of health care proximity. In relation to the health problem there is also the issue of costs of health care services. Sustainable economic development needs to cater for accessible health services at low costs that are affordable even by the poor people. In a bid to ensure reduced costs of health care, some countries have policies that ensure the basic health care services are free. For example, health services such as maternal care have are offered at no cost in many countries even among the developing world. As a result, infant and children mortality rates have dropped significantly. Additionally, in cases where people seek health care services abroad, the cost increases significantly. On the other hand, there is the issue of the required physician density. The physician density refers to the number of physicians available per 1000 people in a given area as at a given time period. The World Health Organization (WHO) requires that the physician density should be at least 23. The WHO standards have not been met in most countries and therefore there is need for promoting and increasing the number of health practitioners available. However, the number of physicians in a particular country is also dependent on education levels. This is because countries with low levels of education cannot offer such advanced studies thereby reducing the number of local people with the expertise required in the field of health (Ellwood, 2010). This implies that the costs of health are likely to rise due to increased reliance on foreign assistance. This implies that the health sector is highly dependent on the economic development. Moreover, economic development can also affect the health sector in relation to poverty levels. Areas suffering from high poverty levels are likely to have poor health services either due to inaccessibility of health either due to lack of funds or unavailability of health facilities. Countries where there are high number of people living in poverty are marked by low economic developments hence it is highly likely that health services will be inadequate. Moreover, health services that require payments cannot be accessed by people living in poverty. This implies that it is extremely hard to get efficient health services in such areas. Furthermore, there are high chances of diseases especially those related to nutrition and cleanliness. Studies show that families living in poverty are incur more medical expenses than families living above the poverty line. This is more surprising considering the fact that families living in poverty seek much cheaper health services. This can be explained by the fact that people living in poverty are more exposed to dangers of experiencing health related problems repeatedly. On the other hand, families living above poverty lines hardly experience cases of health problems hence little is spent seeking health services. Therefore, economic development plays a huge role in improving the general health status. Water and sanitation levels are also important indicators of economic development. Therefore, economic development policies cater for improvement of water sources in order to reduce assist the poor to access clean water thereby eradicating water related illnesses. Water is a human basic need and therefore it is important to ensure that clean water is available in all areas. An economically developed area is marked by availability of clean water and sanitation facilities. With improved water sources, the health status is greatly improved hence cutting health costs, and saving time spent seeking medical attention. Additionally, a healthy population is highly productive hence ensuring sustained development(Ellwood, 2010). Improved water and sanitation conditions are directly beneficial to the people living in poverty. This implies that economic policies relating to water and sanitation programs and improvement are great contributors to the advancement of the society. In addition, trade levels are greatly boosted by economic development. This can be attributed to the fact that economic development improves several factors essential to improve trade levels in a given region. For starters, with global education there is increased knowledge about issues surrounding trade activities throughout the world. Additionally, global education equips people with the necessary tools of conducting international trade such as overcoming language barriers. Since trade offers increased economic growth, economic development policy makers have policies that promote trade activities either locally, regionally, or internationally. For example governments may make it easier to access international documents such as visas based on trade activities in order to enhance and promote trade relations between different nations. Additionally, with improved trade nations have come up with policies that govern trade activities thereby protecting people’s property (Ellwood, 2010). For example, introduction of Trade-Related Aspects of Intellectual Property Rights (TRIPS) has assisted to protect people’s property such as patents especially for the founder members such as General motors among others (Madeley, 2008, p.44). This implies that trade activities benefit the appropriate people hence increasing the chances of more production. Countries that are economically developed are at a better position of engaging in international trade. This is because these countries have more products to offer and these products can arguably be considered to be of a desirable quality. This has been termed as a disadvantage of globalization and that it brings inequality (Ellwood, 2010). However, the desire for economic development can be considered a promoting factor for nations to implement policies that improve production and quality of products. This implies that economic development is a contributor to increasing trading activities in a given country. Additionally, economic development aspects such as poverty eradication makes it possible for more people to engage in trade activities. For example, utilization of natural resources creates new markets hence increasing trade activities. Moreover, economic development is accompanied by improved infrastructure thereby making it possible and easier to transport goods. For example, establishment of railways enables transport of goods, especially minerals, to different parts hence promoting trade. High debt levels are one of the major contributors to slowed economic growth and consequently curtailing economic development. For example high debts may cause governments to shift focus from the important aspects such as health and education and concentrate on paying debts (Ellwood, 2010, p.38). Therefore, economic development policies are set in such a manner as to reduce debt. However, it is important noting that debt effects are arguably long term. Although in most cases debts are meant to improve and increase development, accumulation of debts is not healthy in relation to economic development. Studies show that the debt levels should be maintained at percentages lower than 90 % of the total GDP. Debt levels are in most cases considered in relation to individual nations but it is also important to ensure that the debt levels are kept low even between the governing agencies within the same country such as the federal government and the state government. However, with increased economic development it is relatively easier to prevent bad debts. This is because economic development is marked by increased production from all sectors, both public and private sector, hence reducing the chances of engaging in debts (Madeley, 2008). Therefore, economic development can arguably be considered to reduce debt levels. Conclusively, economic development has many advantages in relation to societal advancement and improvement. Economic development activities and policies facilitate educational growth and improvement. For example, economic development has boosted and facilitated global education thereby raising education standards and enabled students to have global view. Economic development has also improved the health sector increased economic growth and improvement of international relations. Through economic development, health care services have been improved enabling easy access to health facilities and allowed developing countries to get assistance TNCs such as the UN. Moreover, economic development has played a big role in reducing poverty levels by improving education and creating employment opportunities either by improving already existing industries or creating new ones. Furthermore, economic development has improved water and sanitation facilities by enhancing building of clean water sources. Economic development has also assisted to improve trade, especially international trade, by offering better policies that govern and promote trade such as TRIPS. Finally, economic development has helped nations to reduce debt burdens due to increased production. Therefore, economic development can be concluded to impact the society positively and thus should be encouraged. References Madeley, J. (2008). Big business, poor peoples: How transnational corporations damage the worlds poor. London [etc.: Zed Books. Ellwood, W. (2010). The no-nonsense guide to globalization. Oxford: New Internationalist. Read More