Why the nations being counted based on economic growth rate?
Answers
Answer:
If it's growing, so will businesses, jobs and personal income. ... Without jobs, consumers have less money to spend. If the GDP growth rate turns negative, then the country's economy is in a recession. With negative growth, GDP is less than the quarter or year before.
Explanation:
Answer:
An economic growth rate is the percentage change in the value of all of the goods and services produced in a nation during a specific period of time, as compared to an earlier period. The economic growth rate is used to measure the comparative health of an economy over time. The numbers are usually compiled and reported quarterly and annually.
Explanation:
When it is tracked over time, the economic growth rate suggests the general direction of a nation's economy and the magnitude of its growth (or contraction). It also may be used to project the economic growth rate for the quarter or the year ahead.
KEY TAKEAWAYS
In the U.S. and most other nations, the economic growth rate is the change in the nation's gross domestic product.
The economic growth rate is tracked over time as an indicator of the general direction of a nation's economy.
Broadly speaking, increased demand leads to increased production and a higher economic growth rate.