Explain Economic Growth...? " munipalli akshay paul "
Economic Growth: Definition & Explanation Economic growth refers to the increase in the production of goods and services in an economy over a specific period, typically measured by the rise in Gross Domestic Product (GDP) . It indicates how well an economy is expanding and is crucial for improving living standards, creating jobs, and reducing poverty. Key Aspects of Economic Growth 1. Measurement of Economic Growth Economic growth is usually measured in two ways: Nominal GDP Growth: Includes inflation and reflects the total market value of goods and services. Real GDP Growth: Adjusted for inflation, providing a more accurate measure of actual growth. 2. Factors Influencing Economic Growth Economic growth depends on several factors, including: Capital Investment: More investments in infrastructure, machinery, and technology increase productivity. Labor Force Growth & Productivity: A larger and more skilled workforce enhances economic output. Technological Adva...