In the context of Indian economy, consider the following statements:
1) The growth rate of GDP has steadily in

Question

In the context of Indian economy, consider the following statements:
1) The growth rate of GDP has steadily increased in the last five years.
2) The growth rate in per capita income has steadily increased in the last five years.
Which of the statements given above is/are correct?

Accepted Answer

Economic growth rates, especially over a five-year period, are subject to fluctuations due to various domestic and international factors. A steady, continuous increase in GDP growth or per capita income growth over consecutive years is rarely observed in practice. Economic cycles, policy changes, global economic conditions, and unforeseen events can all lead to variations in these growth rates.