Developed and Developing countries

There are two types of countries. Developed and developing countries. Each has its own characteristics

A developed country has a high GNP per capita, as they have educated population. Their inflation rate is well controlled. As a result, they have a mild inflation that can attract investment, and create job opportunity, which will lead to low unemployment rate. Which will then resulted to a surplus in current account as well as reserves. Developed countries mainly have a secondary or tertiary sector in their economic structures. They also have a low birth rate because, they are too busy with their career, and high live expectancy rate because of high technology in medical system and low number of people per doctor. They also have a income equities, which forem a diamond shape of incoe distribution chart.

Where as, in developing countries, the GNP per capita is very low. Because most of their economic structures are in primary sector, due to their resident are not well educated. Developing countries also have a high and fluctuating inflation rate, which causes investor refuse to invest in the country. This will lead to a high unemployment rate and will lead to a deficit n current account as well as reserves. They usually have a high birth rate because they are not well educated. They also have a low life expectancy because they have a low technology in medical system as well as less educated people, so there are fewer doctors. developing countries has inequalities in income, therefore they formed a piramid shaper of income distribution chart.