1.How things are transformed as resources to accelerate economic development?
Answers
Answer:One can define economic growth as the increase in the inflation-adjusted market value of the goods and services produced by an economy over time. Statisticians conventionally measure such growth as the percent rate of increase in real gross domestic product, or real GDP.[1]
Growth is usually calculated in real terms - i.e., inflation-adjusted terms – to eliminate the distorting effect of inflation on the prices of goods produced. Measurement of economic growth uses national income accounting.[2] Since economic growth is measured as the annual percent change of gross domestic product (GDP), it has all the advantages and drawbacks of that measure. The economic growth-rates of countries are commonly compared[by whom?] using the ratio of the GDP to population (per-capita income).[3]
The "rate of economic growth" refers to the geometric annual rate of growth in GDP between the first and the last year over a period of time. This growth rate represents the trend in the average level of GDP over the period, and ignores any fluctuations in the GDP around this trend.
Economists refer to an increase in economic growth caused by more efficient use of inputs (increased productivity of labor, of physical capital, of energy or of materials) as intensive growth. In contrast, GDP growth caused only by increases in the amount of inputs available for use (increased population, for example, or new territory) counts as extensive growth.[4]
Development of new goods and services also generates economic growth.[citation needed] As it so happens, in the U.S. about 60% of consumer spending in 2013 went on goods and services that did not exist in 1869.[5]
Contents
1 Measurement
2 Long-term growth
2.1 Growth and innovation
3 Determinants of per capita GDP growth
3.1 Productivity
3.2 Factor accumulation
4 Other factors affecting growth
4.1 Human capital
4.2 Political institutions
4.3 Entrepreneurs and new products
4.4 Structural change
5 Growth theories
5.1 The Malthusian theory
5.2 Classical growth theory
5.3 Solow–Swan model
5.4 Endogenous growth theory
5.5 Unified growth theory
6 Inequality and growth
6.1 Theories
6.2 Evidence: reduced form
6.3 Evidence: mechanisms
7 Importance of long-run growth
7.1 Quality of life
7.2 Equitable growth
8 Environmental impact
8.1 Global warming
8.2 Resource constraint
8.3 Energy
9 See also
10 References
11 Further reading
12 External links
12.1 Articles and lectures
12.2 Data