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INDICATORS OF GROWTH AND DEVELOPMENT — Economics STD 12 Commerce — Question

Gujarat BoardEnglish MediumSTD 12 CommerceEconomicsINDICATORS OF GROWTH AND DEVELOPMENT2 Marks
Question
How doos development leads to more capital formation?
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Answer

Development leads to increase in demand for different commodities. This gives rise to new enterprises who produce such commodities. As a result, the rate of investment and capital formation increases manifolds in the country.

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