Economies with per capita incomes in the low to middle range that are in a transition toward developed status are referred to as emerging market economies.

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Economies with per capita incomes in the low to middle range that are in a transition toward developed status are referred to as emerging market economies. An emerging market economy is one with per capita income in the low to middle range as measured by the World Bank. It is usually in a transition toward developed status, having embarked on programs of economic development and reform to open up and grow markets in order to emerge on the global scene. Rapid growth and related economic and trade opportunities often bring emerging markets an increase in both local and foreign investment. Employment then typically rises, labor and management skills improve, and technology and infrastructure grow stronger. Rising production increases gross domestic product and narrows the gap with developed economies. The process is challenging, though, and emerging economies can experience high levels of political and economic volatility.

Economies with Per Capita Incomes in the Low to Middle