What is the difference between economic growth and economic prosperity

Next A cervical cancer-free future: First-ever global commitment to eliminate a cancer. Economic Development. Economic Growth is the positive change in the indicators of economy.

Economic development is the quantitative and qualitative change in an economy. Economic Growth refers to the increment in amount of goods and services produced by an economy. Economic development refers to the reduction and elimination of poverty, unemployment and inequality with the context of growing economy. Economic development means an improvement in the quality of life and living standards , e.

Economic development includes process and policies by which a country improves the social, economic and political well-being of its people.

Which kind of changes are expected? Quantitative changes Qualitative and quantitative changes Type of process Automatic Manual When it arises? In a certain period of time.

Continuous process. Economic Growth is defined as the rise in the money value of goods and services produced by all the sectors of the economy per head during a particular period. It is a quantitative measure that shows the increase in the number of commercial transactions in an economy.

Economic growth can be expressed in terms of gross domestic product GDP and gross national product GNP , that helps in measuring the size of the economy. It lets us compare in absolute and percentage change, i. It is an outcome of the increase in the quality and quantity of resources and advancement of technology. Economic Development is defined as the process of increase volume of production along with the improvement in technology, a rise in the level of living, institutional changes, etc.

In short, it is the progress in the socio-economic structure of the economy. Based on the development, the HDI statistics rank countries. It considers the overall development in an economy regarding the standard of living, GDP, living conditions, technological advancement, improvement in self-esteem needs, the creation of opportunities, per capita income, infrastructural and industrial development and much more.

The fundamental differences between economic growth and development are explained in the points given below:. To understand the two terms economic growth and economic development, we will take an example of a human being. The term growth of human beings simply means the increase in their height and weight which is purely physical.

But if you talk about human development, it will take into account both the physical and abstract aspects like maturity level, attitudes, habits, behaviour, feelings, intelligence and so on. Where a gross domestic product GDP is adjusted by inflation. Economic Development is the process focusing on both qualitative and quantitative growth of the economy.

It measures all the aspects which include people in a country become wealthier, healthier, better educated, and have greater access to good quality housing. Economic Development can create more opportunities in the sectors of education, healthcare, employment, and the conservation of the environment.

It indicates an increase in the per capita income of every citizen. The standard of living includes various things like safe drinking water, improve sanitation systems, medical facilities, the spread of primary education to improve literacy rate, eradication of poverty, balanced transport networks, increase in employment opportunities, etc.

Quality of living standard is the major indicator of economic development. Therefore, an increase in economic development is more necessary for an economy to achieve the status of a Developed Nation. Both Economic Growth vs Economic Development are popular choices in the market; let us discuss some of the major Difference :. Scope Economic Development is considered as a Multidimensional phenomenon because it focuses on the income of the people and on the improvement of the living standards of the people of the country.

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