Economic Growth
Increase in real GDP; expansion of economy.
Formula
GDP Growth Rate = ((GDP Current Year − GDP Previous Year) / GDP Previous Year) × 100
Real World
During China's rapid economic growth in the 2000s, consumer goods companies like Apple rushed to expand into the Chinese market, anticipating rising disposable incomes and surging demand for smartphones.
Exam Focus
Link economic growth to a specific business impact — increased consumer spending leading to higher revenue — rather than stating it is simply 'good'.
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