Barriers to growth and development, such as: corruption, institutional factors, poor infrastructure, inadequate human capital, lack of property rights
Some countries stay poor because deep-rooted problems block investment and productivity. These barriers include corruption, weak institutions, poor roads and power networks, low education levels, and no legal protection for owning property.
Real World
Nigeria's oil wealth has largely failed to raise living standards because widespread corruption diverts government revenues — Transparency International ranked Nigeria 150th out of 180 countries in its 2023 Corruption Perceptions Index.
Exam Focus
Prioritise linking each barrier to a specific economic mechanism (e.g. poor infrastructure → high transaction costs → lower FDI) rather than listing barriers without explanation.
Price Elasticity of Demand
PED = % change in quantity demanded ÷ % change in price
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