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Evgen [1.6K]
1 year ago
11

Drag each label to the correct category. the economy of a country has been growing at an annual rate of 8%. determine the causes

and effects of economic growth in this country. social and community development investment in physical capital improvement in standard of living investment in human capital
Business
1 answer:
Alex787 [66]1 year ago
5 0

Cause: human capital investment, physical capital investment

Effects: improvement in living standards, social and community development

<h3>What does Economic growth indicate?</h3>

Economic growth rates indicate how quickly the economy is expanding and are calculated by comparing the economic output (measured as the Gross Domestic Product or GDP) of two successive periods.

<h3>What are the effects of Economic growth?</h3>
  • A greater variety of goods and services are now available and ready for consumption in the country.
  • High employment levels are required because workers are required to manufacture such a large quantity of goods and services. Employment figures have risen in tandem with GDP growth.
  • More employment boosts aggregate demand and generates additional growth as businesses continue to try to meet all demand.
  • As demand rises, prices are likely to rise as well, so economic growth would raise the inflation rate.
  • Increased productivity and the adoption of new technologies ma

To learn more about Gross Domestic Product or GDP from the given link

brainly.com/question/3200071

#SPJ4

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