Principles of Macroeconomics / Unit 16 MAC 1505 short lesson, about 20 seconds
Growth and Development Are Not the Same
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The idea
Growth is a quantitative increase in what an economy can produce. Development is a qualitative change in how people live, and it requires the gains to be widely shared rather than merely large.
In practice
Two countries with the same average income can differ sharply in its distribution.
Where people slip
So a country can grow without developing, which is why both are reported.
Your place on the trail
Every lesson rests on earlier ones and opens later ones. Tap any to jump.
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