Differences between Economic Growth and Economic Development

11947
Differences Between

In ordinary discussion, people use Economic growth and economic development interchangeably. But economists argue that economic development is not identical with growth. These are two slightly different concepts which Easyshiksha will decribe below.

Online Internship with Certification
How EasyShiksha Internship/Training Program Works
How EasyShiksha Internship/Training Program Works

Economic growth may be defined as a sustained increase in its population and product per capita. But economic development is not the same thing as economic growth. Economic development implies progressive changes in the socio-economic structure of a country. Economic growth implies not only more output, but also more inputs and more efficiency, i.e., an increase in output per unit of input, or, in other words, an increasing productive capacity of the economy. Development, however, is something more than that.

Important Announcement – EasyShiksha has now started Online Internship Program “Ab India Sikhega Ghar Se

It is ‘growth plus change’. Development implies changes in the structure of output and in the allocation of inputs by sectors.

It follows from this definition that economic development encompasses social, political and cultural development of a country.

Online Courses with Certification
 

Empower your team. Lead the industry

Get a subscription to a library of online courses and digital learning tools for your organization with EasyShiksha

Request Now
Frequently Asked Questions

Economic growth and economic development are, thus, not synonymous. Economic growth may be a necessary condition for economic development of countries, but it is not a sufficient condition.

ALSO READ: 5 education technology trends

Get Course: Event Management for Beginners

Download this article as PDF to read offline: