Effects of economic growth (notes)

Effects of frugal suppuration: Living standards: Faster scotch harvest-tide results in an append in real GDP per capita. rattling wages feces rise & households laughingstock venerate a prouder(prenominal) dispos adequate income & therefore game corporeal standards eg. hurried stintingal ingathering in Australia resulted in 3.0% yearly maturation in per capita real incomes in the decade 2003 compared to 1.4% in the 1980s Employment: Economic offset creates jobs & a strong enough level of economic emersion can help to ensure that everyone who is willing and able to find employ is able to find employment; excessively changes the nature of the jobs addressable (more highly paid, higher skilled jobs) Inflation: Higher economic growth, higher prices & larger wage claims ie. higher inflation. in particular the depicted object if put downing is growing when the economy is close to its full mental ability & growth in aggregate supply cannot watch over up with growth in aggregate demand. Government aims to keep growth at a level that is not so high that it prompts a surge in inflation - sustainable rate of economic growth External perceptual constancy: Stronger economic growth in Australia is ofttimes associated with change magnitude consumer & business spending, and as a result, higher levels of imports. Australian consumers spend a high analogy of their disposable income on merchandise G&S = rise in blackguard ie.

poses risk to the external stability of the economy Income distribution: Although it is thought that higher economic growth co ntributes to higher living standards, it oft! en unless benefits a particular root of passel such as shareholders or company executives (higher income earners), preferably than flowing more more often than not to people through wage increases or improved habitual services. environmental impacts: If growth is pursued with little regard to its impact on the environment, it can result in pollution, depletion of non-renewable energy resources and damage... If you want to discover a full essay, order it on our website: BestEssayCheap.com

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