Economic development has been one of the universally accepted objectives since the Second World War.

Economic growth is easy to realize as output can be increased by mobilizing resources and increasing their productivity. Economic development on the other hand is a much wider concept.

Economic development implies Economic growth + certain progressive changes in certain crucial socio-economic variables which determine the wellbeing of a person. Therefore it has a qualitative dimension.

Economic development is relative to qualitative changes in wants goods, incentives and institutions. It describes the determinants of growth as technological and structural changes. The changes in production structure are also accompanied by a change in occupational structural of the working population. It implies a change in technological and institutional organization of production along with a change in distribution of income.

Economic growth is the most significant, necessary and essential condition for Economic development but not a sufficient condition to ensure Economic development. Economic development is related to quantitative as well as qualitative changes.

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Posted in Indian Economy