- Increase in Per Capital Real Income: If the rate of increase in real national income is greater thatn the rate of growth of population, per capital real national income increases and this is an important feature of economic growth.
- Long Term Process: Economic growth is a long term process i.e. production should continuously increase over a long period of time.
- Continuous Process: There should be continuous increase in the production of goods and services.
- Quantitative Concept: Economic growth is considered in terms of incease int he quantity of output produced. It does not consider the quality of goods, taste of consumers etc.
- No structural change: In the process of production, structural changes in production should not take place.
- No Solution to the problems: Concept of economic growth does not solve the problems of poverty, inquality, unemployment etc.
Food Production (in million tonnes)
1950 - 51
1990 - 91
2008 - 09
- Qualitative concept: Economic development tries to explain the qualitative changes in wants, goods, institutions, etc.
- Sectroal transformation: Economic development implies a shift of population from agriculture to industry and ultimately to service sector. This shift indicates modernity, high skills, discipline etc.
- Structural transformation: Economic development changes the economy from agrarian to industrial economy and ultimately a mature society with a large service sector.
- Public participation: Economic development is possible when people of the country participate and co - operate in the process of development.
- Long term concept: It implies that the increase in the real national income should be sustained over a long period.
- Increase in real national income: Economic development considers an increase int he real national income and not nominal (money) national income.