Investopedia

Continue to Site »

Developed Economy

Filed Under » , , , ,
Dictionary Says

Definition of 'Developed Economy'

While there is no one, set definition of a developed economy it typically refers to a country with a relatively high level of economic growth and security. Some of the most common criteria for evaluating a country's degree of development are per capita income or gross domestic product (GDP), level of industrialization, general standard of living and the amount of widespread infrastructure. Increasingly other non-economic factors are included in evaluating an economy or country's degree of development, such as the Human Development Index (HDI) which reflects relative degrees of education, literacy and health.
Investopedia Says

Investopedia explains 'Developed Economy'

The most well-known current examples of developed countries include the United States, Canada and most of western Europe, including England and France.

Terms such as "emerging countries," "third world countries" and "developing countries," are commonly used to refer to countries that do not enjoy the same level of economic security, industrialization and growth as developed countries. The United Nations Conference on Trade and Development (UNCTAD) points out that the least developed of the developing countries are "deemed highly disadvantaged in their development process – many of them for geographical reasons – and (face) more than other countries the risk of failing to come out of poverty."

Articles Of Interest

  1.

    How Education And Training Affect The Economy

    Education and training benefit not only the worker, but also the employer and the country as a whole.

  2. Finding Fortune In Foreign-Stock ETFs

    Think beyond your borders to reduce the impact of local market downturns.

  3. Get A Tax Credit For Your Foreign Investments

    The foreign tax credit provides a break on investment income made and taxed in a foreign country.

  4. How Mutual Funds Differ Around The World

    Learn which country has the strictest rules on mutual fund construction and why.

  5. An Evaluation Of Emerging Markets

    Get the full story on this asset class before you write it off as too risky.

  6. Investing Beyond Your Borders

    Investing abroad poses risks, but can also help you diversify. Discover ways to invest in foreign stocks.

  7. Broadening The Borders Of Your Portfolio

    Find out what type of international fund might suit your needs, in order to gain exposure to foreign markets.

  8. Why Country Funds Are So Risky

    High returns come at a price, but country funds may still be a good bet.

  9. The New World Of Emerging Market Currencies

    Take advantage of foreign currency markets without stepping out of your house.

  10. Forging Frontier Markets

    Pioneering is never easy, but it has its exciting - and worthwhile - moments for investors.
comments powered by Disqus
Marketplace
Hot Definitions

  1. Fool In The Shower

    The notion that changes or policies designed to alter the course of the economy should be done slowly, rather than all at once.

  2. Pattern Day Trader

    An SEC designation for traders who trade the same security four or more times per day (buys and sells) over a five-day period, and for whom same-day trades make up at least 6% of their activity for that period.

  3. Cost-Push Inflation

    A phenomenon in which the general price levels rise (inflation) due to increases in the cost of wages and raw materials.

  4. Happiness Economics

    The formal academic study of the relationship between individual satisfaction and economic issues, such as employment and wealth.

  5. Affluenza

    A social condition arising from the desire to be more wealthy, successful or to "keep up with the Joneses." Affluenza is symptomatic of a culture that holds up financial success as one of the highest achievements.

  6. Icarus Factor

    The term Icarus factor describes a situation where managers or executives initiate an overly ambitious project which then fails. Fueled by excitement for the project, the executives are unable to reign in their misguided enthusiasm before it is too late to avoid the failure.
Trading Center