How is economic growth measured? (Econ unit 4)Watch
Analyse how trade and investment can help to bring about economic growth.
So for trade I did a chain saying:
increase in AD - increase in output - increase in production - increase in GDP - increase in economic growth.
And for investment I did:
Increase LRAS - able to produce more and increase efficiency - lowers cop - lowers APL (supply and demand diagram) - increase AD - increase output - increase GDP - increased growth.
Just checking, is that correct?
Also, im super confused on how economic growth is actually measured. I thought it was measured by an increase in GDP so the value of goods and services produced in an economy. But some say its a result of a rise in national income?