ABSTRACT
Economic development is the application of capital to raise human productivity, generate wealth and increase national income. Associated with it are a constellation of social and cultural changes that scholars generally call modernization. Economic development and modernization are mutually dependent and reinforcing. Economic growth depends not only on amounts of labor and capital, but also on institutional, cultural and technological factors that determine how labor and capital are used. 1 At the same time, capital accumulation transforms social institutions, cultural values and technologies in ways that affect the course of subsequent development.
