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  • Essay / What is economic growth

    The question is whether economic growth is the same as economic development. I'm going to make fair arguments about them and decide whether they are the same. Economic growth refers to the increase in the value of everything produced in the economy. This involves the annual increase in the country's GDP or GNP, in percentage terms. It refers to a considerable increase in the national product per capita over a given period, that is, the growth rate of total output must be higher than the growth rate of population. Economic growth is often contrasted with economic development, which is defined as increasing the economic wealth of a particular country or region, for the well-being of its inhabitants. Here, it is important to know that economic growth is an essential but not the only condition for economic development. Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get the original essay Economic growth is the positive change in the actual output of a country over a given period of time, while economic development involves an increase in the level of production in an economy along with the progress of technology, to improving the standard of living, etc. The concept of economic growth is narrow while the concept of economic development is broad. The scope of economic growth is increasing in indicators such as GDP, per capita income, etc. The scope of economic development is an improvement in life expectancy rate, infant mortality rate, literacy rate and poverty rates. Economic growth follows a short-term process while economic development follows a long-term process. Economic growth is applicable to developed economies while economic development is applicable to developing economies. How to measure them? Economic growth can be measured by the upward trend in national income. Economic development can be measured by the upward trend in real national income. What types of changes are expected? In case of economic growth, quantitative changes can be expected. When it comes to economic development, we can expect qualitative and quantitative changes. The economic growth type of process is automatic while that of economic development is manual. When do they appear? Economic growth occurs over a certain period of time while economic development occurs continuously. Economic growth is defined as the increase in the monetary value of goods and services produced by all sectors of the economy per capita during a given period. It is a quantitative measure that shows the increase in the number of business transactions in an economy. Economic development is defined as the process of increasing the volume of production accompanied by improvement in technology, an increase in the standard of living, institutional changes, etc. In short, it is the progress of the socio-economic structure of the economy. To understand the two terms economic growth and economic development, we will take the example of a human being. The term human growth simply refers to the increase in height and weight which is purely physical. But if we talk about human development, it will take into account both physical and abstract aspects of maturity level, attitudes, habits, behavior, feelings, intelligence, etc. Likewise, the growth of an economy can, 10(2), 249–259.