Please read Paul Romer'sentry in the Encyclopedia of Economic(Links to an external site.)

s.

If necessary please re-read the essay.

Then go to this link which is located at the Federal Reserve Bank of St. Louis. Read the article,"Poor countries catching rich countries in education, but not income."(Links to an external site.)

When finished I would like you to prioritize the following list.I would like you to prioritize by weighting the importance of each indicator in the list.Which of the following eight topics would you rate as being the most important to expanding economic growth as outlined by Professor Romer and the authors from the Federal Reserve Bank of St. Louis? Would Government Fiscal Policy be the most important? Or would Security?Education?

YOU WILL BE GRADED ON THE QUALITY OF YOUR ANSWER THAT DEFENDS YOUR ORDER OF IMPORTANCE. Explain, referring to Romer, why you chose the indicator as being the most important and the one that is least important. You should also discuss the other top two or three choices of major importance.

1) Government and Fiscal Policy: Businesses are more likely to be attracted to areas with moderate tax rates and clear evidence of financial discipline (as evidenced, for instance, by high state and municipal bond ratings, and budgetary balance).

2) Security: A state will be more attractive to business if public officials are trusted and crime is low. The indicator addresses these dimensions of competitiveness, with particular emphasis on the importance of public safety.

3) Infrastructure: How easy is commuting? Are roads in an acceptable condition? Do most households have access to high-speed broadband and telephone services? Is housing affordable? How expensive is energy?

4) Human Resources: A high level of labor force participation, and skilled labor that is readily available and not too expensive, combined with a widespread commitment to education, training, and health care, make a state attractive for business.

5) Technology: Since the arrival of the industrial revolution, the development and application of technology has been central to economic development. The technology indicator measures this by taking into account research funding, the number of patents awarded the proportion of scientists and engineers in the labor force, and the importance of high tech companies.

6) Business Incubation: A good idea is not enough. Business also needs to be able to mobilize financing for investment, both internally and from the financial system. A higher rate of business births is a particularly clear sign of a competitive environment, and is an important component of business incubation.There are also two other indicators included in this major group: lawsuit abuse (the lesser the better) and education-adjusted cost of labor. You want a smart labor force but you don't want to overpay.

7) Openness: Open economies tend to be more competitive and hence more productive, in addition to specializing more thoroughly in their areas of comparative advantage. This measures how connected the firms and people in a state are with the rest of the world. It is based on the level of exports and the percent of the population born abroad.

8) Environmental Policy:States that are faced with environmental problems or that have a heavy- handed policy of environmental regulation are likely to be less attractive to businesses, workers, and managers.On the other hand, decent air quality is a measure that states are pursuing to improve the environment and attract workers and investors.

https://www.stlouisfed.org/publications/regional-economist/second-quarter-2020/poor-countries-catching-rich-education-not-income

https://www.econlib.org/library/Enc/EconomicGrowth.html