Deev growth accounting

Question 1

2. Development accounting is a method used to identify the sources of economic growth in a country. It involves breaking down the growth rate of an economy into contributions from different factors, such as capital accumulation, labor force growth, and productivity growth.

Answer 1

Development accounting is a method used to identify the sources of economic growth in a country. It involves breaking down the growth rate of an economy into contributions from different factors, such as capital accumulation, labor force growth, and productivity growth.

Question 2

What is Growth acc?

Answer 2

Growth accounting, on the other hand, is a method used to estimate the contribution of productivity growth to economic growth. It involves decomposing the growth rate of output into the growth rate of inputs (capital and labor) and the growth rate of total factor productivity (TFP), which measures how efficiently inputs are used in production.