Economic growth is never a given. People tend to think economic growth just happens by coincidence. However, there are several factors that create the conditions for economic growth.
For example, a system of property rights is a necessary ingredient for economic vitality. When businesses and investors are uncertain that property rights will be protected in a given jurisdiction, they will not bother to take on or fund any entrepreneurial ventures.
In addition, low taxation and regulation allows for society’s most productive individuals to keep their wealth and use it for economically lucrative endeavors. However, high levels of taxation and regulation are job killers and major impediments towards economic progress.
And inflation… oh boy don’t get us started. This destroys people's savings and causes businesses to go under.
Inflation is a civilization destroying process that bad central banking enables.
We should always remember that public policy is responsible for both positive and negative economic trends. Nothing in the economy happens by mere coincidence.
Any nasty economic development you see take place is more likely than not the product of bad policies that politicians implement. One should reject the unnatural reflex of automatically blaming economic problems on capitalism or the free market.