Q: 87 (IAS/2011)
question_subject:
Economics
question_exam:
IAS
stats:
0,306,44,21,306,19,4
keywords:
{'economic growth': [0, 0, 3, 5], 'inflation': [0, 1, 0, 3], 'deflation': [0, 0, 2, 1], 'stagflation': [0, 0, 1, 3], 'hyperinflation': [0, 0, 0, 1]}
Economic growth is usually coupled with inflation.
Explanation:
Economic growth is generally defined as an increase in the production of goods and services in an economy over time. This increase in production often leads to an increase in the overall demand for goods and services, which can, in turn, lead to an increase in the general price level of goods and services, i.e., inflation.
While there are instances where economic growth can be coupled with deflation, stagflation, or hyperinflation, these are typically the exception rather than the rule. In general, economic growth is most commonly associated with inflation.