Question

difference between structural change and structural composition

Answer 1

Swathi,

Structural changes : Development of industries brings about a diversification in the production and consumption activities. Industrialisation brings about a shift from the production and consumption of wage goods (such as basic cereals, coarse cloth,) to the processed goods (such as fine varieties of cloth, processed food products). Such a transformation boosts economic growth and the standard of living in the country rises. On the other hand, Structural composition is made up of ​ the contribution of different sectors to total GDP of an economy during a year. That is, the share of agricultural sector, industrial sector and service sector in GDP.