Modern economic growth refers to countries that have experienced an increase in
A) real GDP over time.
B) nominal GDP over time.
C) real output spread evenly across all sectors of the economy.
D) output per person.

Question

Quizplus · Accepted Answer

Modern economic growth refers specifically to an increase in output per person over time, which is typically measured by real GDP per capita. This measure accounts for changes in both output and population, giving a more accurate representation of the economic well-being of a society. Nominal GDP, on the other hand, does not account for inflation, which can distort comparisons over time. Real output spread evenly across all sectors of the economy is not necessarily a defining characteristic of modern economic growth, as some sectors may grow faster than others.

Modern Economic Growth Refers to Countries That Have Experienced an Increase