Contrast what helps and what holds back economic growth in developing versus developed economies

Developing economies usually start with little capital per worker, so each unit of investment adds more output, and they can copy existing technology rather than invent it; both favour catch-up. What holds them back is low saving and investment, weak property rights and rule of law, political instability, poor education and health, shallow financial markets, and barriers to trade and foreign capital. Developed economies have strong institutions and deep markets, but high capital per worker means diminishing returns, so their growth rests on innovation at the technological frontier. The trap is assuming poor countries automatically grow faster: without the institutional preconditions, scarce capital alone does not deliver rapid growth, and some fall further behind.