Economics

Changes in the traditional notion of development:
(i) The increase in income is not sufficient for a nation. Income can be a major base of economic growth of a nation. But experiences had shown that economic growth could not automatically translated into the improvement of levels of living of the poor masses. Therefore, economists redefined the concept of economic development in terms of the reduction of poverty, unemployment and inequality in the context of a growing economy
(ii) Now-a-days redistribution and growth have become the popular slogan in most of the progressive nations, including India. The concept of economic growth is related to the increase in output of goods and services in a economy. This can be expressed in two ways : (i) increase in total output or increase in gross domestic product (GDP) : and (ii) rise in per capita income or rise in per capita GDP.
(iii) Economic development is a broader concept than economic growth. Development concerns not only man's material needs but also the improvement of social conditions of life. It is, there fore not only economic growth but growth plus change in social, culture and institutional pattern. It includes both growth aspect and distribution aspect. Development must, therefore, be conceived of as a multi-dimensional concept.