Economic growth in country X will necessarily have to occur if

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Q: 67 (IAS/2013)
Economic growth in country X will necessarily have to occur if

question_subject: 

Economics

question_exam: 

IAS

stats: 

0,217,78,29,17,217,32

keywords: 

{'economic growth': [0, 0, 3, 5], 'population growth': [0, 0, 1, 2], 'world economy': [0, 0, 0, 1], 'capital formation': [0, 0, 0, 1], 'technical progress': [0, 0, 0, 1]}

The correct answer is: Economic growth in country X will necessarily have to occur if there is capital formation in X. Capital formation, which refers to the accumulation of physical and human capital, plays a crucial role in stimulating economic growth. By investing in infrastructure, machinery, technology, and human capital development, a country can enhance its production capacity and improve productivity, leading to economic growth. Capital formation is an essential factor in driving economic development and increasing the overall output and income levels in a country.