Economic growth indicates an economy's ability to produce more, and it can result from factors such as:

1. Increased capital investment: Businesses and governments invest more in equipment, infrastructure, or technology, boosting productivity.
2. Labor force expansion: Growth in the working-age population or improvements in education and skills.
3. Technological innovation: Advances in technology make production more efficient and increase output.
4. Improved resource allocation: Better utilization of resources, including labor and capital, results in higher efficiency and productivity.

Sustained economic growth can improve the standard of living in a country by increasing incomes, reducing poverty, and enhancing the availability of goods and services. However, it must be managed carefully to avoid negative consequences like income inequality or environmental degradation.