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CHAPTER ONE
1.1 Background of the study.
The basic economic
problem that confronts an under developed or a developing country and
especially the new independent ones is how to attain within a relatively
short period, a notable increase in the rate of economic growth which
is envisaged will bring it to the level of perpetual real income
comparable to those of more admired economics of the world.
In order to attain this oval, the country would have to ;
1.
Provide those basic government services especially in education,
public health and transport. These services will serve as fertile soil
to advancing the nation’s economy.
2. Stimulate a higher rate
of capital formation in production facilities either in government or
private sectors. The first accomplishment requires transportation on
needed factors or resources to the governmental ;sector of the economy
for the production of those services or facilities required by the
entire populace..
The second accomplishment required transfer of
resources to capital formation either strictly in the private sector or
through the governmental sector.
These resources may come from:
a. outside the control
b. present use for consumption
c. present
use in production of capital of or types regarded as not contributing
to economic growth.Idle or partially idle resources primarily manpower.
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