Question

In your own words, what is economic growth? What are the economic growth rates in the United States over the last 4 years? Explain the changes in the economic growth rates over that time. Why is economic growth so important?

Answer 1

The sustained rise in the production of goods and services which is maintained for the longer period of times is called economic growth.

During the past four year preceding the January 2020, growth rate has been robust and healthy. Growth rate has been above the 2% per annum. The covid 19 in the 2020 has dragged down the economic growth significantly. It is likely to remain negative.

Thus here the growth rate affects the well being positively. When the growth rate rises, more goods and services are available. Thus economic standard would see the rise.