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Wednesday 24 February 2010

Economic Growth

"The Increase in production that results from capital accumulation and technological change."

Economic development and economic growth are different things. Economic growth in merely the increase in the goods and services that a country produces; whereas,economic development encompasses both the increase in production and the mechanism and structures that bring about it.
In other words, economic development is not only concerned with the increase in production but it is also concerned with making it permanent by a radical change in structure, institution or technology etc.

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