Today lots of people and philosophers believe that economic growth brings some unsolvable problem. Especially they emphasize environmental problems and argue that the world is going to a doomsday. İf we want to give a famous example, Paul Gilding argues that (in famous Ted Talk speech) if people want to produce they need a bigger world. This means in future time world will not be enough for people. He says that if humans live in same condition on earth they need 1.5 earths and it shows that economic growth is going to stop because our sources are limited but our desire is unlimited so people will consume all resources. İt sounds impossible because people attach importance to growth. Gilding argues that economy brings a problematic understanding. It is that people believe that we can establish a limitless growth on a limited planet and this understanding is working by growing day by day. For example, China is working for 40 years of growth in 20 year and people do not care about it so we will encounter lots of strong problem in the future. Another good philosopher that discredits economic growth is Immanuel Wallerstein. İn the essay, Climate Disasters: Three Obstacles to Doing Anything, he analyzes that there are lots of strong reports that are published by various scientific groups. According to this reports climate dangerous is coming very fast and people can experience it. For example, we saw a Tsunami in the İndian Ocean or rate of hurricanes increase in the Caribbean. Wallerstein asks that although people know, see and experience it, why they don’t do anything. Then he asked in two perspectives. Firstly he talks about producers. They always think about their cost. If they encounter a force to internalize the cost of clear production, their benefits hurt in two ways. First, their product’s price increases and they lose some consumers and they lose consumer against competitors that don’t internalize these cost. This problem can be solved by government but it solves just a competition between national competitors, it doesn’t solve international competitors. Secondly he gives some sociological determination People consume as a habit for years but last half century people more consume than their needs to survive. And consume less is very hard for people because it changes their lifestyle and their traditional attitude. However, there are some strong arguments in spite of all of the negative views. For example, Alex Tabarrok claims that (his Ted Talk speech; How İdeas Trump Crises?) economic growth has lots of benefits for humans. Our recent history has lots of tragic event such as WW1, WW2 and plague epidemic… and these bad experiences bring discrimination. Yet, today the world has a different situation. We live in ‘globalization’ age. This means people work together and trade is increasing day by day. When trade increases people live more comfortable. For example in China trade enables to decreased poverty a lot. Also, economic growth encourages firms to solve some problem because economic growth brings large market and firms want to entry a big market to earn more profits so a human can solve some strong problem such as cancer. İf we establish a big market that includes all world, we obtain a big economy so we can find lots of opinions to solve. So, although economic growth brings some problem, all human need economic growth to become a more peaceful life. Economic growth enables to live in more quality life, more security life (especially for children) and more long life.
The first influence of economic growth is that it enables more quality of life. When the economy grows, people development rate is increased because people can reach opportunities easily. This is because in economic growth firms work a lot to produce service and product and in a competitive market, every people can find goods for themselves. Also, governments can develop themselves by trading. If a country has a good and healthy economy, it has more capability to develop services for humans. For example, countries that have good economy can establish a good healthy services network and in their country, people can benefit this services so generally if a country has high Gross Domestic Product (GDP), human development score is higher then others. We can see in figure 1.0. For example, the United Kingdom’s human development rate is 0, 91 and their GDP is 38.500 dollar for per person but Guinea is very lower than UK. İt is human development rate is 0,414 and their GDP is 1180 dollar per person. This data shows that the economy gives more quality of life to people.
The second benefit of economic growth is about children lives. Today children are dying in lots of poor countries because daily life is a very bad condition for them in lots of poor countries. This is because these countries don’t have a good economy and in their bad economy can’t enable to service for children or there is no any possibility born in healthy condition so their security is in danger. As shown in figure 2.0, children mortality is very high in poor countries but in a country that has high GDP, children mortality is low. This is because these countries can produce lots of solution for children healthy problem. They have enough money for it. For example The UK’s children mortality rate is less than 87.6 point when comparing Guinea’s rate. This because today The UK has lots of opportunities for children life and their health and also life in The UK is more qualified for them. For example, any children don’t fight an epidemic disease in The UK but there are lots of children that fight epidemic disease in Guinea.
The final benefit that we are taken by economic growth is life expectancy. People live in a country that has a big economy live more than a poor country because strong countries’ health system is generally perfect and people can reach very easy. This because economic growth enables to establish lots of hospital or medicine area. İf a country have money for it they improve this service and people can fight disasters with professional helping. Also in strong countries, people can eat healthily but in poor countries generally people don’t eat enough and they have to eat only a few food. This situation affects their life expectancy. We can see in figure 3.0. People that live in Guinea live about only 60 years but in The UK peoples life expectancy average 80 years. Living in The UK gives you more 20 years. This because, if you live in The UK you can reach lots of health opportunities because your country’s economy can afford to develop for your health but if you live in Guinea –if you are not lucky- probably you can go any hospital.
In conclusion, economic growth helps us lots of different ıssues. We can fight diseases by helping the economy. It gives us a power to can solve problems and when we do that our life expectancy, our children life expectancy and our life quality is increase so although economic growth has some problem, it is the biggest factor that establishes ‘good’ life.,