developed infrastucture is an essential pre-condition for economic development of a country.explain the statement emphasizing on the importance of infrastructure in the development of a country.
Dear student,
A developed infrastructure is a pre-requisite for production in an economy, thereby, is essential for the development of an economy. The following points highlight the importance of infrastructure in an economy:
1. Increases productivity: Infrastructure facilitates production. Quality infrastructure increases the productivity in the economy. For example, it eases the movement of raw materials required for the production of goods, thereby, increasing efficiency.
2. Promotes investment: Good infrastructure provides conducive environment for investment in the economy. Good infrastructure facilities in the form of transportation, communication, etc. promote investment.
3. Backward and forward linkages: Through forward and backward linkages, good infrastructure leads to the expansion of industries. For example, in the agriculture sector, infrastructure facilities in the form of irrigation, then the industries that require raw material form the agriculture sector get a boost.
4. Enhancement of market: Good transportation eases the movement of raw materials to the industries as well as of finished goods to the market.
A developed infrastructure is a pre-requisite for production in an economy, thereby, is essential for the development of an economy. The following points highlight the importance of infrastructure in an economy:
1. Increases productivity: Infrastructure facilitates production. Quality infrastructure increases the productivity in the economy. For example, it eases the movement of raw materials required for the production of goods, thereby, increasing efficiency.
2. Promotes investment: Good infrastructure provides conducive environment for investment in the economy. Good infrastructure facilities in the form of transportation, communication, etc. promote investment.
3. Backward and forward linkages: Through forward and backward linkages, good infrastructure leads to the expansion of industries. For example, in the agriculture sector, infrastructure facilities in the form of irrigation, then the industries that require raw material form the agriculture sector get a boost.
4. Enhancement of market: Good transportation eases the movement of raw materials to the industries as well as of finished goods to the market.