Economic growth can be defined as a process for indicating the increase or decrease in per capita GDP. There are a lot of other factors such as increasing in aggregate income of the individuals reflect economic growth. Economic growth is usually calculated as the rate of GDP changes in a particular period. The total of goods and services produced considered as a reflection for economic growth in the country. It can either be negative or positive in depend on the decrease or increase compared to data of previous years. Negative growth is often indicated to economic recession. When the GDP of a country increases means there is a economic growth existed in the country or the global economies

Advantages of Economic Growth.

Standard of living of the people will increase

• Economy growth is an important point to bring better living standards and lower rates of poverty. The average income of people can said that increases and indirectly people able to consume more and motivate the economic growth increasing.

Rising Employment

• Economic growth stimulates employment. The economic growth produces more vacancies for job and bring better standard of living to them.

Increased capital investment.

• Economic growth can used to increasing the capital investment.

Benefit to Government

• Economic growth brings advanced tax incomes for the government, Because of this, the government spends less unemployment benefits.

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Superior public services.

• Due to government got government income as economy growth, it can spend more on public services like education for contributing in superior public services.

Enhanced business confidence

• Economic growth creates positive effect as encourage people running their businesses. As profits of small firms and business increase with economic growth, their business confidence and will to grow up to meet more challenges.

Disadvantages of Economic Growth.

inflation

• Potential High and rising inflation will occur due to demand grows faster than long run productive. It may destabilizing for an economy as interest rate may increase and can cause a loss of competitiveness in international markets