Why has Mongolia's economic growth been weaker than the economic growth of Taiwan and China?
My answer;
Mongolia is landlocked while Taiwan is surrounded by water. Therefore Taiwan can sea-trade with other countries easier.
Is this correct? Thanks!
Yes, that's a good answer. You may want to read this article too.
http://www.worldbank.org/en/country/mongolia/overview
Thank you Ms.Sue! The article helped for some of the other questions that I was going to ask to. Thanks again!
Have a great day!
You're welcome. I hope you also have a great day and weekend.
Thanks Ms. Sue I love how you actually help us learn.
@Ari
-SAME
While geographic factors can play a role in economic growth, they are not the sole determinant. The difference in economic growth between Mongolia and Taiwan cannot be attributed solely to their landlocked or coastal nature. Other factors must be considered.
One primary reason for the weaker economic growth in Mongolia compared to Taiwan and China is their differing economic structures and levels of industrialization. Taiwan and China have more developed industries and a broader manufacturing base, allowing them to export a wider range of goods and services. On the other hand, Mongolia's economy is heavily reliant on the mining sector, particularly coal and copper. This reliance on a single industry makes Mongolia more vulnerable to fluctuations in commodity prices.
Another factor is access to markets. Taiwan and China have larger domestic markets and have been able to tap into global supply chains, attracting foreign investments and expanding their exports. Mongolia, being a smaller and landlocked country, faces challenges in terms of market access and logistical costs, which can hinder its trade opportunities.
Additionally, differences in political stability and policy framework can also impact economic growth. Taiwan and China have implemented various policy measures to promote economic growth and attract investments over the years. On the other hand, Mongolia has experienced political uncertainties and issues surrounding corruption, which can deter investment and hamper economic progress.
In conclusion, while geography can influence economic growth to some extent, it is crucial to consider a wide range of factors such as economic structure, market access, political stability, and policy framework when comparing the economic growth of different countries.