Economic Growth Definition, Characteristics And Factors That Affect It

ECONOMY, ACTIVELYSHARE.COM — Economic growth is an increase in the value and amount of production of goods or services within a certain period of time.

The economic growth of a country is closely related to the level of welfare of its people.

The main factors influencing development and economic growth are human resources (HR), natural resources (SDA), capital, socio-cultural and technological developments.

Meanwhile, several indicators of economic growth are the increase in national income, per capita income, the number of workers that is greater than the number of unemployed, and the reduction in poverty levels.

Definition of economic growth

Quoted from Investopedia, economic growth is an increase in the production of economic goods and services from one period to another. Economic growth can be measured in nominal or real terms (adjusted for inflation).

Economic growth is seen and measured by comparing components that can represent the current state of a country’s economy and the previous period.
The components used to measure economic growth are gross national product (GNP) or gross domestic product (GDP).

Economic growth is a process of continuous change towards better conditions in a country’s economic condition.

The economy of a country can be said to be growing if the economic activities of its people have a direct impact on the increase in the production of goods and services.

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