It may seem that growth would be the natural order for an economy. The people in a country make stuff the people in that country consume stuff the people in that country make more stuff. However, the efficient production of goods and services doesn’t just... happen.

In this module, you will learn about the factors that contribute to real gross domestic product (GDP) and how those factors can be promoted to create a steady increase in economic growth and standard of living.

After completing this lesson, you will be able to

• Define the following terms:
  • Economic Growth
  • Nominal Gross Domestic Product (GDP)
  • Real GDP
  • Productivity
• Calculate GDP per capita.
• Compare GDP per capita between two countries.
• Calculate Economic Growth over time.
• Compare Economic Growth between two countries.
• Recognize the ways Productivity can be improved.