Economic development is a process that improves the living standards and general well-being of people in a country. While economic growth only measures an increase in production or money, economic development is a broader concept that focuses on the quality of life.

It involves the following key features:

• Focuses on both material wealth and social well-being.
• Involves structural changes in the economy, such as moving from farming to industry and services.
• Aims to reduce poverty and improve how income is shared among the population.
• Includes important non-monetary factors like better access to healthcare, clean water, and education.
• Is often measured using tools like the Human Development Index (HDI).