2. What are the features of Economic Growth.

Ans. Following are the important features of economic growth.

  1. Increase in Per Capita Real Income: If the rate of increase in real national income is greater than the rate of growth of population, per capita real national income increases and this is an important feature of economic growth.
  2. Long Term Process: Economic growth is a long term process i.e. production should continuously increase over a long period of time.
  3. Continuous Process: There should be continuous increase in the production of goods and services.
  4. Quantitative Concept: Economic growth is considered in terms of increase in the quantity of output produced. It does not consider the quality of goods, taste of consumers etc.
  5. No structural change: In the process of production, structural changes in production should not take place.
  6. No Solution to the problems: Concept of economic growth does not solve the problems of poverty, inequality, unemployment etc.