People can be able to afford a lot for very little which means there is more money to be invested. Learn how your comment data is processed. 4. Lower Unemployment: Economic growth means there is lower unemployment standards in the country which more and more people are employed and are able to afford basic commodities in the market. The countdown to the Annual Meetings is on! [CDATA[// > This site uses cookies to optimize functionality and give you the best possible experience. The World Bank Group has began to analyze the economics of the BRI. Higher profits: For companies and other business, economic growth will generate more profits for them since more and more people have money on their pockets and can afford to buy more items for less. Huge industrial waste: Economic growth means there are more and more industries that discharge waste into the environment such as rivers and land causing environmental degradation. Implemented by the Office of Economic Opportunity, the legislation included a variety of social programs to promote education, general welfare and health for the impoverished in America. The Belt and Road Initiative (BRI) is an ambitious effort to deepen regional cooperation and improve connectivity on a trans-continental scale. 10. Likewise, this may also mean a lot of negative things within the country. Increased productivity: Economic growth means there will be increased productivity among workers because they are able to earn much more and hence feel motivated. 1. Higher interest rates: When the purchasing power of the populace increases due to economic growth, banks and other lenders tend to inflate the interest rates because the people can afford thus making credit more expensive. 8. Priority items should be identified and the scarce resources should be distributed over the various needs. //-->, , Lead Economist, Trade & Competitiveness Global Practice of the World Bank Group. Equal opportunity employment is widely encouraged; the only controversy stems from what is considered necessary to achieve this lofty goal. High likelihood of recession after inflation: In cases where inflation has been caused by increased economic growth, the aftermath would be a recession. Learn how the World Bank Group is helping countries with COVID-19 (coronavirus). This site uses Akismet to reduce spam. As a way to stimulate an informed debate, we outline three opportunities and three risks associated with the initiative. National Archives: The Civil Rights Act of 1964 and the Equal Employment Opportunity Commission. 2. As a way to stimulate an informed debate, we outline three opportunities and three risks associated with the initiative. Six other economic corridors have been identified to link other countries to the Belt and the Road. 3. 5. Higher living standards; Economic growth means there is higher living standards in the economy since people have more disposable income and can afford more for much less. Economic growth is usually a prime indicator of various factors within a country.