Tag: Economic Prosperity

Geography and Economic Growth

Geography and Economic Growth

Think about some of the biggest and most prosperous cities you’ve been to. What do many of them have in common? Water. They sit on a major coast or on a major river. This map shows GDP density – how much GDP is produced per square kilometer. You can see that the coasts of the …

Growth Rates Are Crucial

Growth Rates Are Crucial

♪ [music] ♪ [Alex] In our last video, we covered the surprisingly large differences in living standards between countries. But how did we get to where we are? How did these differences come about? Now we’re going to dive into growth rates, and we’re going to see how they affect prosperity. So this graph shows …

Puzzle of Growth: Rich Countries and Poor Countries

Puzzle of Growth: Rich Countries and Poor Countries

[Alex] We now return to the core question of this part of the course. Why are some countries rich and other countries poor? I’m going to lay out various pieces of the puzzle keeping in mind that it’s it’s a complex question with many factors at play which are still being debated. Let’s start with …

What Creates Wealth?

What Creates Wealth?

Let me begin with what sounds like a very simple question: What is the most essential ingredient in wealth creation and economic growth? Almost everyone would answer: Money. Or having a lot of natural resources. But the real answer is . . . knowledge. It’s easy to prove. What is the difference between us and …