What is meant by ‘Take off stage’ in an economy ?

The correct answer is - It means steady growth begins

Key Points

• Take-off stage
  • The term Take-off stage was introduced by economist W.W. Rostow in his model of economic growth.
  • It refers to the phase where an economy transitions from a state of stagnation to a period of sustained growth.
  • During this stage, the economy experiences rapid industrialization and a significant increase in investment.
  • The key features of this stage include:
    • Increased productivity in major sectors such as agriculture and industry.
    • Technological advancements that drive economic growth.
    • The emergence of entrepreneurship and a shift towards a more market-driven economy.
  • This stage is considered critical in achieving long-term economic development.

Additional Information

• Stages of Economic Growth
  • Traditional Society
    • Characterized by a reliance on agriculture and limited technological development.
    • There is minimal economic growth and low productivity.
  • Pre-conditions for Take-off
    • Involves the establishment of infrastructure such as transportation and communication systems.
    • Initial investments in education and industrial development begin to take shape.
  • Take-off
    • Marks the beginning of sustained growth.
    • Industries and markets expand rapidly, supported by technological innovation.
  • Drive to Maturity
    • Occurs when the economy diversifies and becomes capable of producing a wide range of goods and services.
    • There is a focus on higher value-added industries.
  • Age of High Mass Consumption
    • Characterized by a shift towards consumer goods and services.
    • Economic growth leads to increased living standards and widespread prosperity.
• Importance of the Take-off Stage
  • It acts as a catalyst for long-term economic development.
  • Countries in this stage often experience rapid urbanization and industrial growth.
  • Policies promoting investment, innovation, and infrastructure development are critical for sustaining this phase.