Economic Growth refers to the sustained increase in a countryís production of goods and services over time. It is typically measured by the rise in a nationís Gross Domestic Product (GDP) and serves as a key indicator of economic health and development. Higher economic growth signifies improved living standards, greater employment opportunities, and increased national income.

Definition:
Economic Growth occurs when an economyís capacity to produce goods and services expands compared to a previous period. It reflects improvements in factors such as capital formation, labor productivity, technological advancement, and resource utilization.

Measurement of Economic Growth:
The most common measure is the real GDP growth rate, which adjusts for inflation to reflect actual increases in output. For example, if a countryís real GDP rises from ?200 trillion to ?210 trillion in a year, it has achieved a 5% economic growth rate.

Key Drivers of Economic Growth:

• Investment: Increased spending on infrastructure, machinery, and technology boosts production capacity.
• Human Capital: Education, training, and skill development enhance labor productivity.
• Technological Innovation: Advances in technology improve efficiency and reduce production costs.
• Government Policies: Supportive fiscal and monetary policies encourage business activity and trade.
• Natural Resources: Efficient use of land, minerals, and energy supports industrial expansion.

Importance of Economic Growth:
- Leads to higher employment and income levels.
- Improves public services such as healthcare, education, and infrastructure.
- Enhances business confidence and investment opportunities.
- Contributes to poverty reduction and social progress.

Conclusion:
In summary, Economic Growth is the foundation of a nationís prosperity. While it boosts productivity and living standards, sustainable growth should balance economic expansion with environmental protection and social equity to ensure long-term stability and inclusive development.