May 25, 2024

What are Developing Countries?

Developing countries is an expression that defines countries with low per capita gross domestic product (GDP) and economies in which agriculture is the primary industry to a large extent.

Developing countries, which have low GDP and generally have agriculture as the primary industry, have not been able to reach full economic maturity, although they can be subject to very different definitions.

Developing countries is an expression that is often used positively for the poor countries of the world. Developing countries, on the other hand, are also known as emerging economies.

Which Developing Countries?

Most of the 6 billion people in the world live in developing countries. Many of them, as you can imagine, literally live in near misery.

In this context, for example, Indonesia, Malaysia, Mexico, Philippines, Thailand and Turkey are classified in the group of developing countries. Here is the list of developing countries according to the most recently released data :

  • Afghanistan
  • Albania
  • Algeria
  • American Samoa
  • Angola
  • Antigua and Barbuda
  • Argentina
  • Armenia
  • Azerbaijan
  • Bangladesh
  • Belarus
  • Belize
  • Benin
  • Butane
  • Bolivia
  • Bosnia and Herzegovina
  • Botswana
  • Brazil
  • Bulgaria
  • Burkina Faso
  • Burundi
  • Cambodia
  • Cameroon
  • Cape Verde
  • Central African Republic
  • Chad
  • Chile
  • Chinese
  • Colombia
  • Comoros
  • Congo
  • Costa Rica
  • Ivory Coast
  • Cuba
  • Djibouti
  • Dominica
  • Dominican Republic
  • Ecuador
  • sweetcorn
  • El Salvador
  • Eritrea
  • Ethiopia
  • Fiji
  • Gabon
  • Gambia
  • Georgia
  • Ghana
  • Grenada
  • Guatemala
  • Guinea
  • Guinea-Bisau
  • Guyana
  • Haiti
  • Honduras
  • India
  • Indonesia
  • Iranian
  • Iraq
  • Jamaica
  • Jordan
  • Kazakhistan
  • Kenya
  • Kiribati
  • North Korea
  • Kosovo
  • Kyrgyz Republic
  • Laos
  • Latvia
  • Lebanon
  • Lesotho
  • Liberia
  • Libya
  • Lithuania
  • Macedonia
  • Madagascar
  • Malawi
  • Malaysia
  • Maldives
  • Financial
  • Marshall Islands
  • Mauritania
  • Mauritius
  • Mayotte
  • Mexican
  • Micronesia
  • Moldova
  • Mongolia
  • Montenegro
  • Morocco
  • Mozambique
  • Myanmar
  • Namibia
  • Nepal
  • Nicaragua
  • Niger
  • Nigeria
  • Pakistan
  • Palau
  • Panama
  • Papua New Guinea
  • Paraguay
  • Peru
  • Philippines
  • Romania
  • Russian Federation
  • Rwanda
  • Samoa
  • São Tomé and Principe
  • Senegal
  • Serbia
  • Seychelles
  • Sierra Leone
  • Solomon Islands
  • Somalia
  • South Africa
  • Sri Lanka
  • st. Kitts and Nevis
  • st. lucia
  • st. Vincent and the Grenadines
  • Sudan
  • Suriname
  • Esvatini
  • Syrian Arab Republic
  • Tajikistan
  • Tanzania
  • Thailand
  • East Timor
  • Togo
  • Tongan
  • Tunisia
  • Turkey
  • Turkmenistan
  • Tuvalu
  • Uganda
  • Ukraine
  • Uruguay
  • Uzbekistan
  • Vanuatu
  • Venezuelan
  • Vietnamese
  • West Bank and Gaza
  • Yemen
  • Zambia
  • Zimbabwe

When Can Developing Countries Develop?

Economists have quite different disagreements about when or how fast developing countries will become developed countries.

Neoclassical economics predicts that poor countries will grow faster than rich countries. The main reason for this is declining returns on capital. Because poor countries start out with less capital, they get more income in each tranche of new investments than rich countries with more capital.

According to development economics, poor countries have their own problems. These problems require political solutions far different from those offered by traditional advanced economies. However, endogenous growth theory argues instead that there is a conditional convergence.

In this framework, poor countries grow faster than rich countries when factors such as the country’s fertility rate, human capital and government policies are held constant. In reality, absolute convergence does not occur because other factors are not constant.

How Can Developing Countries Grow?

Although it has an important disadvantage that should not be ignored, it is seen that some developing countries do not help themselves and do not use their resources efficiently.

Institutions that will ensure effective management in an economy are vital. Developing countries that use their resources well and efficiently can grow rapidly. So much so that the world’s fastest growing economies consist of a small subset of extraordinary actors among poor countries.

But again, it’s worth noting that most developing-country economies fell victim to the economic crisis in 2007, when it expanded from the United States to the rest of the world, surprisingly contrary to popular discretization theories.

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