Which of the following statements is true regarding economic growth and development? O a. The income gap between the top 10% and bottom 10% countries has increased over the past few centuries O b. A country's relative position in the world distribution of per capita incomes is immutable O c. The income growth rates of developing countries do not vary much. O d. The growth of world per capita GDP slowed down over the past five centuries
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Economic Growth
If comparing one period of time to another, economic growth is a rise in the production of economic commodities and services. Both nominal and real inflation-adjusted terms can be used to compute it. Although other metrics are also employed, gross national product (GNP) or gross domestic product (GDP) is the most common way to quantify overall economic growth. The most fundamental definition of economic growth is an increase in the economy's overall output. Increases in average marginal productivity are typically, but not always, correlated with increases in overall production. Gains in income lead to increased consumer spending on products and services, which raises people's standard of living or overall quality of life.
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