This post offers some resources to help learn about the key syllabus pints under section 3.2 of the 2005 IB Economics syllabus.

Definitions of economic growth and economic development


Differences in the definitions of the two concepts

This video excellent by Flame India includes points on limitations of using GDP to compare welfare (below) and alternative measures (HDI). Take note of the definitions by Michael Todaro and also the contributions of Amrtya Sen and Mahbub ul Haq. Note how Economic Growth contributes towards Progress in Human Development.

Gross Domestic Product (GDP) versus Gross National Product (GNP) as measure of growth

To recap the meaning of GDP, you might use this opengecko post:

Output– Definitions of GDP

To see some examples of actual GDP figures, you could use this post:

Comparing GDP and Other Indicators Across Countries

PAJ Holden gives a detailed explanation of the difference which lasts 8 minutes:

gdp and gnp

This video summarises the differences much more quickly:

Limitations of using GDP as a measure to compare welfare between countries


Notice – Joseph Stiglitz also points out the difference between GDP and GNP (above) as well.

Allowance for differences in purchasing power when comparing welfare between countries

Alternative measurements of development

Composite Indices – HDI and beyond by

See the original (via EU Infrastructure) here.

Problems of measuring development

For this section, you may conduct your own online research and/or consult your text book.