Economy Growth – How Can we Achieve it?

Growth in the economy can be measured when there is an increase in the GDP. Many forces are responsible in economic growth.

Measures that can be taken to increase growth in the economy include tax rebates, deregulation, tax cuts, infrastructure spending.

How can we use infrastructure to increase economic growth? Spending on infrastructure is when the government spends for building or for repairing the structures and facilities that the society uses as a whole. If the infrastructure of a country is good it is directly proportional to the betterment of the countries growth. Better infrastructure helps in increasing productivity. A very good example for this is that when the roads and other modes of travel are in perfect working order the citizens spend less of their time in travel and can spend more time at work.

Can we use regulation to stimulate the economy? Regulation is when the rules along with regulations are relaxed. These are the regulations and rules that are imposed on any business or industry by the government. If the rules are very restricting they tend to choke the industry and businesses slowing production and thus the repercussions can be seen in the measurement of the gross domestic profit of the country’s economy.

Tax rebates and cuts: tax cuts are a way of putting money back in the hands of the consumers. Consumers spend their money at organizations, businesses, vendors, services. Tax rebates allow the consumer to get back a portion of the money spent. This helps in stimulation of the economy within itself.

The economy of a country is proportional to the well being of the citizens of the country. If the citizens are happy and content this means the economic growth is on a high. If the citizens are not getting their basic demands fulfilled it shows the lack of economic growth as well as a decline in the resources of a country at times.