Question

Explain with an example, how credit plays a vital and positive role for Development

Answer 1

the shift in the economic system from agriculture to industry and services is considered as +ve change of economy.the use of appropriate modern technology in the process helps to increase the productivity and increase the rate of development.

Answer 2

Explanation:

Credit plays a vital role in economic growth and development.

Credit availability at cheaper rates of interest encourages the business or firms to borrow more.

Borrowing more money will facilitate the growth of business or increase in production in the economy.

So, credit supply is the key factor for economic development.