Economic Development Planning SS3 Economics Lesson Note

SPECIFIC OBJECTIVES: At the end of the lesson, pupils should be able to

1. Define economic development planning
2. State and explain the types of economic development planning
3. Give reasons for economic development planning
4. Highlight the problems and solutions to the problems in economic planning

INSTRUCTIONAL TECHNIQUES: 

• Identification, 
• explanation, 
• questions and answers, 
• demonstration, 
• videos from source

INSTRUCTIONAL MATERIALS: 

• Videos, 
• loudspeaker, 
• textbook, 
• pictures

NOTE

Economic Development Planning

Economic Development planning has to do with the policies made by the government of a country to ensure rapid economic development across all the sectors of an economy.  In other words, it typically entails the holistic distribution of economic resources to every sector of an economy.

Types of Economic Planning

1. Comprehensive Economic Planning: This entails economic planning for virtually all the sectors of an economy. The aim is to ensure a holistic economic development whereby no sector of the economy is left unattended to. This is in recognition of the fact that every sector contributes to the overall wellness of an economy. This is therefore [perhaps] the best economic planning approach there is.
2. Partial/Sectoral Economic Planning: This type of economic planning only takes care of a particular sector. Please bear in mind that every economy is made up of different sectors. For example, there are the agro-allied sector, the industrial sector, the financial services sector the entertainment sector etc.
3. Authoritarian Economic Planning: This is the type of planning that takes place in socialist economies such as the former USSR.
4. Democratic Economic Planning: This [of course] is the direct opposite of the Authoritarian Economic Planning approach. It is the type of planning that takes place in a free market/capitalist economy.
5. Financial Economic Planning: This is the type of planning in which the allocation of resources is done in monetary terms.

Reason for Economic Planning

1. Diversification of the Economy
2. To increase the Gross National Product
3. To create more employment
4. To ensure equitable allocation of resources
5. To achieve economic growth
6. To encourage

Problems of Economic Planning

1. Insufficient and inaccurate statistical data: In countries like Nigeria, there is often the problem of insufficient data on which economic planning can be based. Even the available data are often prone to errors, thereby making any projections inaccurate. This poses itself as a serious problem.
2. Inadequate Capital: Capital is needed for the execution of any economic plan. If the available capital is not adequate, it will be difficult to execute any plans.
3. Political Instability: Changes in government (especially in countries like Nigeria) most often lead to change of plans even as the plans of the previous administration are jettisoned; whether or not they are good.
4. Rapid Population Growth: Every economic plan is always based on the projected/estimated population of a country. In situations where a country’s population grows faster than anticipated (as it so often happens in Nigeria), economic plans tend to fail.
5. Lack of Political Will: If leaders are not committed to making sure the economic plan is successful, it won’t be successful.

SOLUTIONS TO THE PROBLEMS OF ECONOMIC DEVELOPMENT PLANNING

1. Build trust through increased transparency and accountability.
2. Strengthen capacity in the public and private sectors.
3. Catalyze and de-risk private investment, especially pioneer investments.
4. Take a comprehensive or systemic approach to engagement.

EVALUATION

1. Define economic development planning
2. State and explain the types of economic development planning
3. Give four reasons for economic development planning
4. List three problems of economic development planning
5. List three solutions to the problems of economic development planning

CLASSWORK: As in evaluation

CONCLUSION: The teacher commends the students positively