economic dependency

Economic dependency refers to a situation where a country, region, or individual relies heavily on another for financial support, resources, or services. This can occur when one economy relies on another for trade, investment, or aid. For example, a small country's economy might depend on tourism from a larger nation, making it vulnerable to changes in that country’s economy. Economic dependency can limit growth and self-sufficiency, as the dependent party may struggle to diversify its resources or develop its own economy without external support. Understanding this concept is essential for analyzing global economic relationships and development strategies.