Economic Growth And Development Flashcards
What is economic growth?
Economic growth is the increase in a country’s production of goods and services over time, measured by the rise in Gross Domestic Product (GDP) or Gross National Product (GNP).
How is economic growth measured?
Growth is typically calculated as the percentage increase in GDP over a specific period, often annually or quarterly.
What are indicators of economic growth?
Indicators include GDP growth rate and income levels, where higher growth often leads to increased income levels for individuals.
What are sources of economic growth?
Sources include increase in capital, labor force growth, technological advancement, and improvement in education and skills.
What are the benefits of economic growth?
Benefits include higher employment opportunities, increased incomes, and improved standards of living.
What are the limitations of economic growth?
Limitations include potential environmental damage, increased income inequality, and overlooking quality of life and social welfare.
What is economic development?
Economic development is a broader concept that includes economic growth and improvements in the overall quality of life and well-being of a population.
How is economic development measured?
Economic development is often assessed using the Human Development Index (HDI), which considers income per capita, life expectancy, and education level.
What are indicators of economic development?
Indicators include life expectancy, education levels, standard of living, poverty rates, and income equality.
Why is economic development important?
It addresses social issues, reduces poverty and inequality, and promotes sustainable growth.
What are the differences between economic growth and economic development?
Economic growth focuses on increased production, while economic development encompasses broader improvements in quality of life.
How are economic growth and development related?
Economic growth provides resources for development, but growth alone doesn’t guarantee development; policies must ensure benefits reach all.
What are challenges to economic growth and development?
Challenges include inequality, environmental degradation, political stability, health and education investment, and dependency on natural resources.
What are strategies for promoting economic growth and development?
Strategies include investment in education and health, diversifying the economy, improving infrastructure, good governance, and environmental sustainability.
What is the conclusion regarding economic growth and development?
Economic growth provides resources for economic development, but successful economies aim for both by fostering equitable, sustainable, and inclusive progress.
