Economic growth represents the increase in an economy's production of goods and services over time, fundamentally measured by GDP. It is a critical indicator of...
Economic growth is the increase in the production of goods and services in an economy over a period, typically measured by the percentage change in real Gross Domestic Product (GDP).
It is primarily measured by the annual percentage increase in a country's real Gross Domestic Product (GDP) or Gross National Product (GNP), adjusted for inflation to reflect true output changes.
Key drivers include technological advancement, capital investment, human capital development (education and skills), natural resources, and stable institutional and government policies.
Benefits include higher living standards, increased employment opportunities, reduced poverty, greater innovation, and improved public services like healthcare and education.
Challenges include income inequality, environmental degradation, resource depletion, inflationary pressures, and external shocks such as global recessions or geopolitical instability.