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ECO403 MACROECONOMICS GDB NO. 2

Due date: 10 February, 2016

Total marks: 5

The Case:

China is one of the most populous countries in the world. China is not only the world’s fastest growing economy in last 30 years but also world’s fastest growing consumer market. It is the second biggest importer in the world. The most significant agreement signed between China and Pakistan is the Pak-China economic corridor. This Economic corridor is one of the important mega projects in central Asia. Approximate investment for this project is $46 billion and this project will connect Pakistan to central Asia, South Asia and Middle East.  

Requirement:

Keeping in view the above facts and figures, logically explain that how would this project affect the saving and investment of the people of Pakistan. 

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Replies to This Discussion

Please Discuss the GDB

Page no ....??

Please share

plzzzzzzzzz discuss the GDB SOLUTION

we have to tell benefits of economic corridor ,,, right ??

SOLUTION:

China  is  investing  44$  billions  in  next  few  years  because  of  this  heavy  investment  a  large  number  of  jobs  and  others  income  opportunity  will  be  create  such  opportunities  will  be  for  upper  class  middle  class  and  lower  class  as  well  if  these  chances  of  income  will  be  used  in  suitable  way  income  of  every  sector  of  society  will  increase  and  when  income  increases  saving  also  increases  because  because  with  increase  in  income  people  can  fulfill  their  needs  and  save  as  well. Individual  income  will  lead  to  greater  national  income.

hi farooq ,

are you understand the requirement of GDB????

we have to write how would this project affect the saving and investment of the people of Pakistan.

Kindly Koi to Guide krayyy

EM nOT SuRE iF iTz cOmplEtlY cOrrEct,.......buT As pAr mY UnDerStanDinG ......i Hav SolVEd IT lYk ThiS......

GDB SOLTUON :-
China-Pak economic corridor is a project of highways, railways and pipelines for the transportation of gas,oil and to continue many other trades.The China-Pak economic corridor is a trade gateway for China to deep sea of Pakistan which will be benificial for both countries economy as a result in boost of trade activites. After its completion, the Pakistan would have access to central Asia, South Asia and Middle East and moreover China has promised to start development projects in Pakistan which will remove engergy crises. Due to this the our home industries will flourish and will Increase trade activites, will create more job opportunities the unemployed people will get employed and GDP,income of economy will increase. . If income of the economy is increased than saving will also increase. Increase in saving will increase the investment and increase in investment will contribute towards increased business activities and this will create more opportunities of progress and this cycle will go on.

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