Every year, the growth rate of the economy measured in terms of Gross Domestic Product (GDP) captures the headlines. Governments and political leaders quickly take credit, presenting it as proof of sound economic management. This year, Tamil Nadu joined the chorus by proudly announcing a double-digit growth rate for 2024-25, prompting political celebration. For a lay reader, a 6 or 7 per cent growth rate sounds impressive and reassuring.

But for those who work with data and development realities, growth numbers do not always tell the full story. They are, at best, an indicator of economic progress and cannot, on their own, confirm that the income of all sections of the population is rising. Understanding what lies beneath the GDP growth figure is essential to have an honest debate on deve

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