Question

Explain credit as a tool of economic development

Answer 1

Explanation:

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• Credit is the most important part of the economy.
• Credit leads to an increase in spending, thus increasing income levels in the economy. This, in turn, leads to higher GDP (gross domestic product) and thereby faster productivity growth.

Answer 2

Answer:

Credit is the most important part of the economy. Credit leads to an increase in spending, thus increasing income levels in the economy.

This, in turn, leads to higher GDP (gross domestic product) and thereby faster productivity growth.