Difference Between Economic Growth and Economic Development Essay

Economic growth is a narrower concept than stinting development.It is an increase in a artlesss real level of national output which can be caused by an increase in the quality of resources (by education etc.), increase in the quantity of resources & improvements in technology or in some other way an increase in the value of goods and services produced by every sector of the economy. Economic Growth can be measured by an increase in a countrys gross domestic product (gross domestic product). Economic development is a normative concept i.e. it applies in the context of peoples sense of morality (right and wrong, good and bad). The definition of economic development given by Michael Todaro is an increase in living standards, improvement in self-esteem needs and freedom from oppression as well as a greater choice.The most accurate method of measuring development is the Human emergence force which takes into account the literacy rates & life expectancy which affect productivity and c ould lead to Economic Growth. It also leads to the being of more opportunities in the sectors of education, healthcare, employment and the conservation of the environment.It implies an increase in the per capita income of every citizen. Economic Growth does non take into account the size of the informal economy.The informal economy is also known as the ignominious economy which is unrecorded economic activity. Development alleviates people from low standards of living into proper employment with qualified shelter. Economic Growth does not take into account the depletion of natural resources which might lead to pollution, congestion & disease. Development however is concerned with sustainability which means meeting the needs of the present without compromising future needs. These environmental effectuate are becoming more of a problem for Governments now that the pressure has increased on them due(p) to Global warming. Economic growth is a necessary but not sufficient condition of economic development.