ACCA Accountant In Business (F1) Certification 2025 – 400 Free Practice Questions to Pass the Exam

Sustained economic growth is fundamentally driven by investment, which plays a crucial role in expanding the capacity of the economy. Investing in infrastructure, technology, and human capital enhances productivity, encourages innovation, and ultimately leads to more significant output and economic activity.

Investment creates new businesses, increases the efficiency of existing operations, and facilitates research and development. This, in turn, can result in job creation and improved wages, fostering a positive cycle of economic growth. For instance, when firms invest in new machinery or technology, they can produce goods more efficiently, which contributes to higher GDP.

While workers, experts, and sources such as natural resources are essential for economic performance, they largely depend on the levels of investment to realize their full potential. Without robust investment, an economy may struggle to grow or innovate effectively, stagnating over time. Hence, emphasizing investment as a key driver underscores its central role in enabling sustained economic growth.