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20 December, 10:37

What risks does economic growth require? Why does growth require sacrifice?

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  1. 20 December, 14:16
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    Economic growth runs the risk of causing inflation.

    This risk also is elevated by the fact that in order for economic growth to occur, savings must be sacrificed in the form of investment. When a person or organization invests in something, they forgo the money they had and can not use it in the hopes that it will be paid back to them with greater return. If this occurs, then growth occurs. If not, then the investment is lost.
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