The economic growth is a long-term expansion of a country's productive potential. It is measured by the gowth rate, which is the percentage change of the GDP (Gross Domestic Product) between two years.
1/ Scarcity – the condition we face with limited resources to satisfy unlimited wants, which compels us to choose among alternatives.
2/ Economic growth raises standards of living, even in the continuing face of scarcity.
3/ The history of world economic growth raises important questions about the ability of nations to deal with the ever-present problem of scarcity:
4/ Economic growth is a sustained increase in a nation’s production of goods and services.
5/ Institutions matter for economic growth. Nations that experience economic growth have established institutions that provide incentives for innovation and technological advance. Nations with stagnant economies where poverty persists lack the institutional incentives that encourage growth and increases in productivity.
Institutional arrangements define the formal and informal rules of the game that govern how people interact. These arrangements shape incentives and outline expected and acceptable forms of behavior in social interaction.
The institutions that foster growth and economic development include:
6/ Economic growth creates benefits throughout the economy.
Economic growth expands a nation’s productive capacity.
Historically, all segments of the economy have benefited from economic growth; hence the rise of the middle class.
Ideas To Take Away From This Lesson
What is GDP ?
How to calculate growth rates thanks to the GDP ?
Assets of the GDP ?
Drawbacks of the GDP ?
Let's whatch this Jon Cozart's video, and try to understand what are the main differences between the 2 main candidates.
But.. Who is this third character ?!
What are the pros and cons of Trump's economic plan ?
1/ compare your ideas with a mate
2/ choose one of them and develope it:
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