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Balanced economic growth means

  • A.different sectors of the economy grow at their natural rates of growth
  • B.equal percentage of growth in output over a period of few years
  • C.different parts of the economy grow in harmonious manner
  • D.equal increase in resource allocation in all areas

Answer: C

Correct answer: different parts of the economy grow in harmonious manner

Balanced growth means the sectors expand in proportion to one another, so that each provides the demand and the inputs the others need - agriculture feeding industry, industry supplying agriculture. It does not mean equal rates of growth; a sector that is already large need not grow as fast to stay in balance.

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