THEORY ON ECONOMIC DEVELOPMENT AND SUSTAINABLE

DEVELOPMENT
1. Economic growth
Economic growth is the increase in income of the economy over a certain period of
time (usually a year).
The increase is reflected in scale and speed. The scale of growth reflects a large or
small increase, while the growth rate is used in a comparative sense and reflects the
rapid or slow increase between periods. The income of the economy can manifest
itself in the form of an item or a value. Income equals value reflected through GNP
and GNI indicators and calculated for the whole economy or per capita.
Thus, the nature of growth is to reflect quantitative changes to the economy. Today,
the requirement for economic growth is associated with increasing sustainability or
ensuring the quality of growth. In this respect, what is more emphasized is the
continuous, effective increase of the indicator of size and the growth rate of income
per capita. Moreover, that process must be created by the decisive factor of science,
technology and human capital in the context of a reasonable economic structure.
To achieve the best economic growth, it is necessary to have a synchronous
coordination between macro management and micro control, combining objective
factors and subjective factors, applying economic laws and using using leverage tools
such as taxes, currency, interest rates, employment,... Economic growth is an
extremely important issue, related to the prosperity and decline of a country. On the
basis of solving the problem of economic growth creating new wealth, people can
solve a series of other problems such as balancing the budget, in-depth investment,
social welfare, job creation. , fight against all kinds of crimes, ensure budget for
defense and security, etc. On the contrary, if economic growth cannot be achieved at
the necessary level, society will likely arise a series of problems. very difficult
problem. The lessons of Vietnam during the period of severe economic crisis (about
the years 1976 - 1986) have clearly shown how important the role of economic growth
is.
2. Sustainable development
Sustainable development is development that meets the needs of the present without
compromising the satisfaction of the needs of future generations.
To build a sustainable society, the United Nations Environment Program has set out
nine principles:
- Respect and interest in community life.
- Improve people's quality of life.
- Protect the vitality and diversity of the Earth.
- Management of non-renewable resources.
- Respect the Earth's tolerance.
- Change personal customs and habits.
- Let communities manage their own environment.
- Create a unified national template, favorable for development and protection.
- Build a global alliance.
Sustainable development is a challenge for all countries, especially in the context of
globalization and international economic integration. Choosing the path, measures and
institutions and policies to ensure sustainable development is always the top concern
of everyone in the development step.
The contents of sustainable development:
- Economic development (of which the most important is economic growth).
- Social development (which is important to realize social progress and justice;
eliminate hunger and reduce poverty and solve employment problems).
- Environmental protection (treatment and remediation of environmental pollution,
restoration and improvement of environmental quality; prevention of fire and
deforestation; rational exploitation and economical use of available natural resources)
yes).
Key elements of sustainable development (Source: Verify sustainability [8])