Economic Growth and Economic Development
Let us look into the most significant points of difference between Economic Growth and Economic Development from the following table.
aa. Economic Growth b. Economic Development
a. Increase in the monetary growth of a nation in a particular period
b. It refers to the overall development of the quality of life in a nation which includes economic growth
2.Span of Concept
a. It is a narrower concept than Economic Development.
b. It is a broader concept than Economic Growth
3. Scope
a. It is a uni-dimensional approach which deals with the economic growth of the nation.
4. Term
a. Short-term process
b. Long-term process
5. Measurement
a. Quantitative
bb. Both Quantitative and Qualitative
6. Applicable to
a. Developed Economies
b. Developing Economies
7. Government Support
a. It is an automatic process that may or may not require intervention from the government.
b. It requires intervention from the government as all the developmental policies are formed by the government
8. Kind of changes expected
a. Quantitative changes
b. Quantitative as well as qualitative changes
9. Examples
a. GDP, GNP
b. HDI, Per capita Income, Industrial
PEDIATRICS
What is growth and development?
Growth refers to the increase in mass and size of a body. Development is the process where a particular organism, not only grows physically but acquires mental and physiological growth as well.
In these lessons, students become familiar with the four key periods of growth and human development: infancy (birth to 2 years old), early childhood (3 to 8 years old), middle childhood (9 to 11 years old), and adolescence (12 to 18 years old).
Economic growth means an increase in real national income / national output. Economic development means an improvement in the quality of life and living standards, e.g. measures of literacy, life-expectancy and health care. Ceteris paribus, we would expect economic growth to enable more economic development.Sep 23, 2018
Sustained growth can spur development in several ways: Lifts per capita incomes and raises people out of extreme poverty. ... Higher incomes can also reduce income and wealth inequality. Faster economic growth generates higher profits which can then be reinvested – promoting increased productivity and capacity.
Economic Growth is the increase in the real output of the country in a particular span of time. Whereas, Economic Development is the increase in the level of production in an economy along enrichment of living standards and the advancement of technology.
Top 9 Difference Between Economic Growth and Economic Development
The terms Economic Growth and Economic Development sound very similar. However, the two concepts are different. While Economic growth is a quantitative concept, Economic development is a qualitative concept.
What is Economic Growth?
Economic growth can be referred to as that increase which is witnessed in the monetary value of all the goods and services that are produced in the economy during a time period. It is one type of quantitative measure which reflects the potential increase of the number of business transactions taking place in the economy.
Economic growth can be measured in terms of the increase in the aggregate market value of additional goods and services produced, using economic concepts such as GDP and GNP.
Economic growth is a much narrower concept when compared to Economic Development.
Also Check: Human Capital on Economic Growth
What is Economic Development?
Economic development refers to the process by which the overall health, well-being, and academic level of the general population of a nation improve. It also means improved production volume due to the advancements of technology.
It is the qualitative improvement in the life of citizens of a country and is most appropriately determined by the Human Development Index (HDI). The overall development of a country is based on many parameters such as the creation of job opportunities, technological advancements, standard of living, living conditions, per capita income, quality of life, improvement in self-esteem needs, GDP, industrial and infrastructural development, etc.
Development
This article helps students gain a broader understanding of the concepts of Economic Growth and Economic Development and the difference between them. For more such interesting concepts, stay tuned to BYJU’S.
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