^
a) some general points:
- Civil war / general political unrest - disturbing employment, compromising production etc. (fairly obvious)
- Economic unstability - fluctuating rate of growth/interest, > disturbing demand and investment, then via multiplier restricts investment and limits output.
- AIDS and other deseases, poor medical care, slower life expectancy - affects labour >> production and also demand.
- Earthquakes, floods, tsunami, tornado etc. (you can give obvious examples) - production and the whole economy compromised.
- etc etc etc...
b) Well, takes a bit of time this one. I guess this will be some of the points:
Why state planning is not a necessity:
- D & S allocate resourse with maximum efficiency > production rises etc,
- Government doesn't take advantage in form of massive tax etc > in theory more incentives for enterpreneurs BUT is this going to speed up development? [Discuss how growth alone doesn't guarantee development]
Why state planning is essential:
- Merit, Demerit, Public goods - the biggest factor for Development (the classics here, healthcare & education).
- Infrastructure that ensures protection of the poor and more equal distribution of resources (in theory - the gov. likely to be corrupt)
That's all I could think of, hope you can find some more!