Which phrase describes a pattern where real GDP rises but HDI stagnates or falls and inequality rises?

• A. Economic growth
• B. Economic development
• C. Growth without development
• D. Economic stagnation

Answer: (C)

Growth without development captures the idea that an economy can produce more goods and services (real GDP rises) while improvements in people’s well‑being and living standards (HDI) don’t occur, or even deteriorate, and inequality rises. HDI combines life expectancy, education, and per‑capita income, so when GDP growth doesn’t lift these areas for the population—or only benefits a few—the overall development indicator stalls or falls. The other phrases miss this mismatch: economic growth is just higher output, not necessarily better living conditions; economic development would require HDI and welfare measures to improve; economic stagnation means no GDP growth.