Middle Income Trap and Developing Countries
Author : Aniruddha Prasad, Akshay Kumar and Anil Kumar Singh
Abstract :
The developing countries in their developmental path face the middle income trap which limits their growth and their potential to become high income economies. This paper tries to bring insights in this conundrum and suggests some policy measures like human capital growth, investment and infrastructure expansion along with innovation and infusion of the existing advanced technologies. The developing economies can also learn from the success stories of some economies that recently escaped this middle income trap to become high income economies.
Keywords :
Middle income trap, developing economy, developed economy, demography, dependency ratio, human capital, productivity, technology, development path, investment, innovation, infusion
