Measurement of Economic Growth, Development and Under Development: New Model and Application

TL;DR

This paper introduces a new linear model to measure and compare the relative economic growth, development, or underdevelopment of regions using S-shaped growth patterns, demonstrated with Italian regions.

Contribution

It proposes a simple, linear approach to identify economic growth stages based on S-shaped patterns, applicable to regional economic analysis.

Findings

Model effectively distinguishes growth, development, and underdevelopment stages.

Application to Italian regions demonstrates practical utility.

Provides a straightforward tool for economic comparison.

Abstract

This paper presents a simple model to measure the relative economic growth of economic systems. The model considers S-Shaped patterns of economic growth that, represented with a linear model, measure how an economic system grows in comparison with another one. In particular, this model introduces an approach which indicates if the economic system has a process of economic growth, development or under development. The application of the model is provided for regions and macro regions of the Italian economic system.