Economic Development And Growth Flashcards
1
Q
Economic growth
A
An increase in the capacity of an economy to produce goods and services compared from one period of time to another
2
Q
Economic development
A
The rockets by which a nation improves the economic, political and social well-being of its people
3
Q
Developed and developing countries
A
Developed - a country having an effective rate of industrialisation and individual income
Developing - slow rate of industrialisation and low per capita income
4
Q
What influences economic growth?
A
- AD - rise in c+i+g+(x-m) can lead to higher AD and higher economic growth
- Lower interest rates
- Consumer confidence
- Value of exchange rate
- Asset prices
