a What is the difference between Nominal and Real GDP Why ma

a) What is the difference between Nominal and Real GDP? Why may GDP not be a good measure of economic well-being?
b) What is the difference between economic growth and economic development? Can you have one without the other?
c) Why is economic growth so slow or non-existent in many developing countries? What policies would you propose to improve the situation?  

Solution

Answer a : Difference between Nominal vs Real GDP:

GDP is not a good measurement of economic well being :

Answer b : Difference between Economic growth and economic development

Yes, economic growth and economic development are interdependent. They are incomplete with each other. Economic development is broader term. It help to increase human being quality life with the help of growth in an economy.

Answer C : There are various reason for slow economic growth in developing countries are :

Policies that formulate to increase an economy growth :