Social overhead capital facilitates and promotes the free and easy access to markets and the viability of exchange through specialization and division of labor. As real output grows, more resources can be set aside to improve roads, waterways, airport facilities, and telecommunications that improve the rapidity of trade and commerce in and among nations. An efficient judicial system expedites the enforcement of contractual agreements necessary for trade and development. When a society has a fair and efficient mechanism for enforcement to the breach of contract, economic participants will more likely honor their contracts and trade and commerce enhanced. If contracts can be easily broken, with no penalties, then fewer parties will enter into contracts and the flow of trade will slow.
Growth permits the development of a strong military or national defense system.
A strong national defense is necessary to protect accumulated wealth. Without a strong defense system, accumulated wealth could be expropriated and the owner would have no recourse. As a result, no one would have the incentive to invest and accumulate productive assets. Loss of desire leads to loss of production and decay. Growth also permits a country to distribute foreign aid.