1. According to the Penn World Tables, Real gross domestic product (GDP) per capita (2005 PPP Dollars), are given for South Korea and Mexico in the years 1975 and 2009 as below. South Korea Mexico GDP per capita in 1975 4,018.67 7,662.34 GDP per capita in 2009 25,033.62 11,628.87 a. What is the compounded average annual rate of growth for South Korea between 1975 and 2009? b. What is the compounded average annual rate of growth for Mexico between 1975 and 2009? c. Notice that in 1975 South Korea was poorer than Mexico, but by 2009 South Korea was richer than Mexico. Assuming constant growth rates over this period for both countries, as calculated in parts (a) & (b) above, in what year did South Korea overtake Mexico?

1. According to the Penn World Tables, Real gross domestic product (GDP) per capita (2005 PPP Dollars), are given for South Korea and Mexico in the years 1975 and 2009 as below. South Korea Mexico GDP per capita in 1975 4,018.67 7,662.34 GDP per capita in 2009 25,033.62 11,628.87 a. What is the compounded average annual rate of growth for South Korea between 1975 and 2009? b. What is the compounded average annual rate of growth for Mexico between 1975 and 2009? c. Notice that in 1975 South Korea was poorer than Mexico, but by 2009 South Korea was richer than Mexico. Assuming constant growth rates over this period for both countries, as calculated in parts (a) & (b) above, in what year did South Korea overtake Mexico?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Based on article "Technology and economic growth: From Robert Solow to Paul Romer" by Rui Zhao, Solow mentioned, technology (At) and capital per unit of effective labor (Kt) have a significant influence on a country's ability to “catch-up” or “converge” to a steady-state level (K*). In brief define what it means by a steady-state level.
In the period of 1950-1973 the GDP average growth rate reached 9.3 % in Japan and approximately 4 % in USA. How this huge difference may be explained? Your arguments must be based on the growth theory and on the levels of GDP per capita both in Japan and USA in 1950 shown in the Madison table.
If country A’s and country B’s GDP per capita are $10,000 and $5,000 this year, respectively. Country A is projected to grow on average 2% a year in the foreseeable future and country B is projected to grow on average 5% a year. How many years will it take for country B’s GDP per capita to equal that of country A? (Show calculation steps.)
In 1980, Denmark had a GDP of $90 billion (measured in US dollars) and a population of 6.1 million. In 2000, Denmark had a GDP of $150 billion (measured in US dollars) and a population of 6.2 million. By what percentage did Denmark's GDP per capita rise between 1980 and 2000? Question 23 options: 205% 144% 64% 120%
Between 1970 and 2005, Chinaâ€™s GDP per capita grew at an average rate of 7.3% per year while GDP per capita in the US grew at an average rate of 2.2%. In 2005, US GDP per capita was $36,806 and Chinese GDP per capita was $5,955. Assuming that the two countries continue to grow at these rates, in what year will China overtake the US in terms of GDP per capita?
The table below lists GDP and GDP growth rates for the countries of Cortania, Microtania, and Boxtown. Fill in the final column, which asks for the GDP in each country 13 years later. Country GDP in $ billions GDP annual growth rate (%) Cortania Microtania Boxtown 10600.00 44000.00 48100.00 3 2 4.5 Gl
The table below shows the level of real GDP and real GDP per capita growth rates for a select set of countries for the year 2016. Determine the number of years it will take for the standard of living to double in each country. Instructions: Round your answers to one decimal place. Growth Rates and the Rule of 72 Country Real GDP (millions) Growth Rate of Real GDP per Capita (percent) Number of Years for Standard of Living to Double Canada $1,445,260 0.8% Madagascar 37,297 1.8 Philippines 843,692 5.1 Sweden 488,759 2.8 United States 12,341,233 0.2
1) Complete the table. Please note that the world price of T in terms of S is 1,2 and GDP calculated in terms of S. (1T=1,2 S) Before Growth After Growth Percentage Change Production of T Consumption of T Export of T Production of S Consumption of S Import of S TOT GDP 2250 2925 900 810 1800 1,2 1,2 a) Explain what type of Economic Growth is this country experiencing? Show your calculations.
28) Empirical evidence from 1960 to 2010 shows that convergence in economic growth is occurring in which of the following cases? A) Low-income industrial countries are catching up to high-income industrial countries. B) Low-income developing countries are catching up to high-income industrial countries. C) Low-income industrial countries are catching up to high-income developing countries. D) All low-income countries are catching up to all high-income countries. 29) Which of the following countries actually experienced negative economic growth from 1960 to 2010? A) Israel B) Singapore C) Niger D) Malaysia 30) Which of the following accurately describes the impact of the rule of law on a country's economic growth rate? A) Countries with a strong rule of law have faster economic growth. B) Countries with a weak rule of law have faster economic growth. C) Countries that enforce property rights through lawsuits have slower economic growth. D)…
The following table shows the GDP per capita since 1820 in selectedcountries (in PPP-adjusted 2005 dollars). 1. Identify the countries that experienced sustained growth from 1920 to2010.
Select and analyze global productivity trends from 1970 to the present year. Describe the GDP per capita trend for each country. Compare these trends across the different income levels represented. Identify any significant trend changes and hypothesize possible causes related to events or policies.
The following table shows real GDP per capita for Canada, South Korea, and Uganda between 1970 and 2000. All figures are in 1998 U.S. dollars. The (decade-long) economic growth rate for Canada is shown in the second column. For example, from 1970 to 1980, Canada's GDP grew from $12,717 to $16,731, an increase of $16,731−$12,717$12,717=32%$16,731−$12,717$12,717=32%. Use this method to fill in the growth rates for South Korea and Uganda. Canada South Korea Uganda Year Real GDP per Capita Growth Rate Real GDP per Capita Growth Rate Real GDP per Capita Growth Rate 1970 $12,717 $1,886 $190 1980 $16,731 32% $3,262 $182 1990 $19,540 17% $6,615 $176 2000 $23,156 19% $10,807 $247 Source: Organisation for Economic Cooperation and Development (OECD) 1.Compare the data for Canada and South Korea between 1970 and 1980. During this period, (south korea or canda?) had a higher level of real GDP per capita, while ( South Korea or…