{{Short description|Variation of economic activities within a country or region}} {{Multiple issues|{{Cleanup reorganize|date=February 2021}} {{Confusing|date=February 2021}} }} '''Economic diversity''' or '''economic diversification''' refers to variations in the economic status or the use of a broad range of economic activities in a region or country.<ref>{{cite web |title=Economic Diversity |url=http://www.chmuraecon.com/interactive/economic-diversity/ |website=www.chmuraecon.com |language=en}}</ref> Diversification is used as a strategy to encourage positive economic growth and development.<ref name=":0">{{cite web |title=Economic diversification |url=https://unfccc.int/topics/resilience/resources/economic-diversification |website=unfccc.int}}</ref> Research shows that more diversified economies are associated with higher levels of gross domestic product.<ref name=":1">{{cite web |last1=Freire |first1=Clovis |title=Economic Diversification: Explaining the pattern of diversification in the global economy and its implications for fostering diversification in poorer countries |url=https://www.un.org/esa/desa/papers/2017/wp150_2017.pdf |website=UN/DESA}}</ref>
== Diversification types== # '''Non-connected diversification''' – creating a new area. The process is slow, because it is needed to create a whole infrastructure, but the profit would be higher. # '''Connected diversification''' is based on an economical mechanism for expanding the available potential. For business development it means low risks and good margin. # '''Combined diversification''' – more frequently both methods are used together.<ref name=":0" />
==Diversification examples in countries== Good examples of national economy diversification are Chile, Malaysia and Brazil.<ref>{{Cite web|url=https://www.thenationalnews.com/a-well-diversified-economy-requires-a-regional-touch-1.341409|title=A well diversified economy requires a regional touch|website=The National|language=en|access-date=2020-03-29}}</ref>
==See also== *Diversification (marketing strategy) *Commodity dependence *Financial inclusion *Western Economic Diversification Canada
==References== {{reflist}}
Category:Distribution of wealth Category:Strategic management Category:Economic development policy
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