ABSTRACT
Economic development needs to be a dynamic process. Most nation states seek to enhance the welfare of their people by following a development process that is designed to achieve specific goals that accelerate the economic growth of their countries. In all countries, the objectives may be common, but each country chooses from a variety of strategies to achieve its desired results. A nation may choose to pursue commercial, industrial and exchange rate policies, which taken collectively, can be identified as “inward orientated”. These countries may also be referred to as planned economies. In a free market system, the economy is open to domestic and international competition and any barriers of entry are removed. The state adopts free trade policies and local industries are expected to compete in international markets. Private sector participation may be increased either by privatising the existing state enterprises or through the entry of new private businesses.
