What is Economic growth ?

Definition: 

  • Economic growth is defined as long-term increase in production potential of the economy of a country. 
  • It is is an increase in the capacity of an economy to produce goods and services, compared from one period of time to another.
  • It is a quantitative concept.
  • For example, Agricultural Growth, Industrial Growth etc.
  • Increase in the capital stock, advances in technology and improvement in the quality and level of literacy are considered to be the principal causes of economic growth.