ECONOMICS
ECONOMIC GROWTH
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Stage 1:Traditional Society
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Stage 2:Pre-Condition for Take-Off
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Stage 3:Take-Off
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Stage 4:Drive to Maturity
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Stage 5:High Mass Consumption
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Detailed explanation-1: -Rostow’s final stage is known as the age of high mass consumption. A high standard of living marks this stage. Services and consumer goods replace heavy industry as the engine or economic growth. The current state of the economies of the United States and Western Europe fall within this stage of development.
Detailed explanation-2: -The fifth stage of Rostow’s Stages of Development is characterized by widespread consumerism and mass consumption. According to Rostow this is the final stage in the development of a country’s economy.
Detailed explanation-3: -The age of high mass-consumption refers to the period of contemporary comfort afforded by many western nations, wherein consumers concentrate on durable goods, and hardly remember the subsistence concerns of previous stages. Rostow uses the Buddenbrooks dynamics metaphor to describe this change in attitude.
Detailed explanation-4: -Using these ideas, Rostow penned his classic Stages of Economic Growth in 1960, which presented five steps through which all countries must pass to become developed: 1) traditional society, 2) preconditions to take-off, 3) take-off, 4) drive to maturity and 5) age of high mass consumption.