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Economic growth is the increase in the inflation-adjusted
Growth is usually calculated in real terms - i.e.,
The "rate of economic growth" refers to the geometric annual rate of growth in GDP between the first and the last year over a period of time. This growth rate is the trend in the average level of GDP over the period, which ignores the fluctuations in the GDP around this trend.
An increase in economic growth caused by more efficient use of inputs (increased productivity of labor,
Development of new goods and services also creates economic growth.
The economic growth rate is calculated from data on GDP estimated by countries' statistical agencies. The rate of growth of GDP per capita is calculated from data on GDP and people for the initial and final periods included in the analysis of the analyst.