Economic Growth is the most popular topic today in economics. Particularly, the most wanted question is; why long run economic growth rare is declining? But at the same time, it is the most confusing subject in economics today and that could be one of the reason why it is most wanted subject' for the following two reasons: (1) the lack of clear identification of meaning of the declining growth rate; (2) the lack of new economic theory to assess a new problem when we say, "declining economic growth rate." In reference to (2), we are facing a new issue and problem when we say, "the declining long-run economic growth rate," yet have not created a new economic theory to be able to deal with such a new issue and problem. (We have been assessing a new issue and problem with old economic theories.)

I will define clearly the meaning of the declining economic growth rate as a new issue today. Then I will also introduce a new approach to building an economic theory in order for us effectively to assess the new issue of long run economic growth.



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