Which of the following is the most accurate description of economic growth?

Question

Quizplus · Accepted Answer

Economic growth is measured by an increase in an economy's real GDP per capita, which accounts for inflation and population growth. It reflects an increase in the production of goods and services in an economy, leading to an improvement in the standard of living for its citizens. Option B is not entirely accurate as total output may increase due to population growth or inflation, while economic growth only considers the increase in output per person. Option C is a representation of economic growth, but not a definition. Option D is incorrect as nominal GDP does not account for inflation and, therefore, does not reflect the actual growth of an economy.

Which of the Following Is the Most Accurate Description of Economic