Increase in absolute and per capita real GNP do not connote a higher level of economic development, if :

Correct option is C

• Economic growth is a conservative concept and it denotes the rise in a nation’s actual level of output whereas economic development is comparatively a normative concept, and it denotes economic growth with enhancement in the standards of living. 

• Better standard of living includes various things like safe drinking water, improved sanitation systems, medical facilities, spread of primary education to improve literacy rate, eradication of poverty, increase in employment opportunities etc. 

• Thus, increase in absolute and per capita real GNP (i.e. economic growth) do not connote a higher level of economic development, if poverty and unemployment increases.

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