The economic growth rates gives information on how fast the economy is growing,and is calculated by comparing the economic output (measured as the Gross Domestic Product or GDP) of two subsequent periods.
<u>The two main determinants of GDP/economic growth are:</u>
- Productivity increases caused by more efficient use of inputs (labor, capital) and implementation of innovation.
- Accumulation of physical capital
<u>Effects of economic growth</u>
- Larger amount of goods and services are available in the country and ready for consumption
- High employments levels, as workers are necessary to manufacture that large quantity of goods and services. As GDP has grown, so have done employment figures.
- More employment brings boosts on aggregate demand and generate further growth as business will keep on trying to serve the whole demand.
- As demand grows it is quite likely that prices do so too, therefore economic growth would increase the inflation rate (not necessarily a problem if such growth is not too large and remains stable).
- Productivity increases and implementation of innovations make national firms more efficient and competitive in the international markets.
The International Monetary Fund and the World bank are similar by the way they both fight poverty in developing countries.
Answer: Option C
<u>Explanation:</u>
The International Monetary Fund and the World Bank fight to raise the living standards of the developing nations. The IMF provides support and advice to the countries as of how to develop the economy of a nation.The World Bank works out on all possible ways to develop the countries economic status on a futuristic view.
The World Bank provides money to fund projects of the developing country which would raise the economy. In times of crisis or natural calamity at once it lends a helping hand providing them assistance in medicine and other requirements.
The answer to your question is,
A. Railroad operations across the nation
-Mabel <3
