Advanced Economies

AAA

DEFINITION of 'Advanced Economies'

A term used by the International Monetary Fund to describe developed countries. While there is no established numerical convention to determine whether an economy is advanced or not, advanced economies have a high level of gross domestic product per capita, as well as a very significant degree of industrialization.

INVESTOPEDIA EXPLAINS 'Advanced Economies'

Another metric commonly used to identify advanced economies is the Human Development Index, which combines multiple factors to measure a country's status. As of 2010 the IMF classified 34 nations as advanced economies. These include the United States and Canada in North America, most nations in Europe, Japan and the Asian tigers, as well as Australia and New Zealand.

RELATED TERMS
  1. Four Asian Tigers

    The high-growth economies of Hong Kong, Singapore, South Korea ...
  2. Developed Economy

    While there is no one, set definition of a developed economy ...
  3. Per Capita GDP

    A measure of the total output of a country that takes the gross ...
  4. Gross Domestic Product - GDP

    The monetary value of all the finished goods and services produced ...
  5. International Monetary Fund - IMF

    An international organization created for the purpose of: 1. ...
  6. Emerging Market Economy

    A nation's economy that is progressing toward becoming advanced, ...
Related Articles
  1. How Globalization Affects Developed ...
    Fundamental Analysis

    How Globalization Affects Developed ...

  2. Finding Fortune In Foreign-Stock ETFs
    Mutual Funds & ETFs

    Finding Fortune In Foreign-Stock ETFs

  3. An Evaluation Of Emerging Markets
    Fundamental Analysis

    An Evaluation Of Emerging Markets

  4. Investing In Emerging Market Debt
    Personal Finance

    Investing In Emerging Market Debt

Hot Definitions
  1. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  2. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  3. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  4. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  5. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
  6. Accelerated Depreciation

    Any method of depreciation used for accounting or income tax purposes that allows greater deductions in the earlier years ...
Trading Center