Exponential growth is a rate of growth where the value is affected by a certain rate after a certain amount of time. The value adds to itself making the next time it grows a certain percentage it is a higher value due to it increasing from prior periods.
Bacteria and compound interest are two things in life that grow exponentially.
Exponential growth happens because a number is affected by a certain percent every set amount of time, over and over. If you gain 5% of your money every 5 minutes you would always get 5% more than your total amount at that time.
Exponential growth is not unrealistic in a number of applications. If you expect a business or an investment to always grow exponentially, then yes, that is unrealistic.
Yes, if your exponential growth is happening with a negative rate, it is considered decay and is not actually growth.
A good rate of growth depends on the situation, there is no real set number that is good or bad it is all situational. If we are talking in terms of money, a 5% rate for the year is considered good.
Create Date: October 2, 2024
Last Modified Date: October 02, 2024
