Economic Growth Is The Prime Target Of A Nation

1819 WordsOct 18, 20158 Pages
The idea of economic growth is from the beginning of economic history seems to be the prime target of a nation and economist seek out new ways to create a framework through which a continuous growth can be maintained over long period of time which can bring out a major difference in the state of a nation and its well being. It 's a worthy target as historical data confirms that a very low level of growth over a long span of time can bring out a great difference. For example, according to information from Lawrence H.(2011), if we adjust average growth of U.K. over a long span of time (between 1830 and 2008, just 178 years ), we will see the growth rate was pretty minimal, only 1.97%. But if we measure the increase in GDP as a whole - the…show more content…
The debate over time on economic growth has certainly changed many thing and our concern and policy implications also advanced a lot. We do not count economic growth in terms of bullion but Gross Domestic Product. The old age of extensive mercantile protective policy on International Trade seems to be an idea of past. Trade and Specialization had flourished. There are international organizations like IMF, World Bank to counter Economic Disasters and certainly in times of recession Government isn 't cutting expenditures and raising taxes to maintain budget surplus, as they did on the times of Great Depression. We can feel proud over the fact that we have better resources, management, policy implications and analytical framework than ever. But our prides falter when we look at the state of present economy. The recession of 2009 economy which caused a worldwide financial collapse raised question whether really over time we learned more and even if we are better equipped than the past, is it enough? The answer to such a question is not easy and it raises a lot of questions and all answers which we present to solve the problems itself raised contradiction. After all, the recession of 2009 showed that the idea of an global economy without any interference by government may not always led to the best possible outcome through 'invisible hand ' of Adam Smith, but to disaster in the whole if there are certain misguiding mechanics presents to
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