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What is Indivisibilities in Big Push Theory about?

The Big Push Theory, proposed by Professor Paul N. Rosenstein-Rodan, posits that significant, coordinated investments are essential for launching underdeveloped economies towards sustainable growth by overcoming obstacles such as indivisibilities and external economies. It emphasizes the need for substantial investments in social overhead capital and the creation of a critical mass of demand for complementary goods. However, the theory faces criticisms regarding its assumptions about investment effectivenes

Author

shreya.menon.4002

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EN