Rational Prosperity or Prosperous Rationality?Nowadays, there is a popular thought among society which underestimates the development of people’s life standards and endowed with pessimistic view of future. The increasing insecurity of developing technology, the existence of terror danger, and political and trade wars among countries are facilities tend to be highlighted in mass media and create pessimistic view of current and future living standards in people's vision. However, while analyzing today’s life standards instead of being optimistic about today and future, choosing pessimistic thoughts might be unreasonable and unjustified. The common well-being showed a remarkable increase over the last decades and created huge development in living standards. Over the last five decades the average income per person of the world increased from 450.754 USD to 10,192.294 USD (World Bank). This development is not only restricted to the financial level of people's lives; it also increased the life longevity and cultural prosperity of people. In his book titled as Rational Optimist, Matt Ridley indicates that in today's world "the vast majority of people are much better fed, much better sheltered, much better entertained, much better protected against disease and much more likely to live to old age than their ancestors have ever been", which is rationally displaying the obtained social development over the decades (12). Several contributors have a great impact on foundation process of prosperity across the nations. One of these contributors is formed as a result of increased exchange circumstances across the nations throughout recent several decades and called for a globalization. The contribution of globalization was not only restricted to labor force mobilization but caused a cultural and social exchange circumstance which is directly related with prosperity.  Furthermore, another indicative factor that caused the growth and development of nations is increasing value of the human capital. In this sense, the human capital is entitled to be the value of skills that causes efficiency in work frame and the cultural prosperity. Additionally, education holds the significant role in structure of the overall development and growth.  Education maintains the skilled and efficient human capital and compatible cultural existence which is leading to economic growth and social prosperity. In this research paper, international exchange and globalization, human capital efficiency, and the role of education in the maintenance of development will be discussed as reasons for the economic growth and cultural development of nations.

 

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About the author:

Fikrat Valehli is a student at Bilkent University, where he studies economics. He is also a researcher at the top think tank in the Caucasus, Center for Economic and Social Development (CESD). The areas of his interests are macroeconomic researches and data analysis.