Sunday, October 2, 2016

The concepts of Economic development and economic growth are inter related but not same.

Ans. Yes, I agree with the statement.

i. Economic development and economic growth go hand in hand. They are interrelated but they do not mean the same.

ii. Economic growth refers to an increase in a country’s real output of goods and services whereas economic development refers to the progressive changes in the socio - economic structure of a country.

iii. Also, economic growth considers the quantitative aspect whereas economic development considers qualitative aspect.

iv. Economic growth is possible without economic development but, economic development is not possible without economic growth.

v. Hence, economic development is a wider concept than economic growth. Thus economic growth is a part of Economic Development which makes them two different concepts.