Case summary:
The case deals with the economic transformation in Country V. Party C decides to bring reform to move the country to market economy from a centrally planned socialist economy to handle the economic crisis. Due to which, the country has joined world trade organization, entered into a trade agreement with other countries, privatized agricultural lands, restriction to the free enterprise were relaxed and dismantled farm collectives.
Economic reforms of Country V resulted in positive outcomes. In 1986, Country V was one of the poorest countries in the world with $100 per capita income and 700 percent inflation rate. However, after the economic reforms, the per capita income was raised to $6,400 and Country V is the major exporter of agricultural goods and textiles.
To determine: The reason for the low
Introduction:
Economic growth is the process which helps the country to increase their social well-being and political situation. It is also said to be the amount of services or good produced by the country per head over the period.
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