Growth rate

I am taking a course on economic growth. Surprisingly, I see many students questioning why developed countries are so concerned with economic growth since their standard of living is already high. Like the US, they probably have the highest purchasing power in the world, so why worry so much about economic growth, slows down and not meeting growth rate targets.

The rebuttal I thought was rather simple. Humans have 'unlimited' wants. So of course, humans are never satisfied with where they are. So you could expect people to want to be able to purchase more stuff than they already could. This simple concept which happens to be the basic foundation of economic theory is the reason why economic growth is so important to every countries.

Of course there are other reasons too like political, employment or even poverty. The assumption of developed countries having no poverty is totally wrong. Just look at the poverty rate of the US. (Photo courtesy of The Economist. Should check them out. I'm a loyal subscriber)

Welcome to Econoverse !

Hi everyone ! In this blog, I aim to achieve a high level of discussion of economic theories and ideas. There will be a variety of topics relating to economics especially those that affect our lives.

My name is William Yap. I'm currently studying Economics and Civil Engineering at undergraduate level. When I was in high school, I used to spent late nights eating supper and arguing(mostly eating) about economics with my roommate. It was pretty fun. Well...now I'm without any roommate in university. I'm quite bored with stuff and could use some good Economics argument or even just to discuss ideas with people. Learning from other. Which, I think thats a great way to learn !

So, I shall put my effort in this blog to discuss Economics with the Economists of the web - from within the limits of the Universe, of course.