If real GDP increases from $100 billion to $105 billion, and the population increases from 100 million to 102 million, what is the growth rate of real GDP per person? The growth rate of real GDP per person is ___ percent Let's do the math and calculate an economy's growth rate.This formula makes it clearthat real GDP per persongrows only if real GDP growsfaster than the population.If the growth rate of thepopulation exceeds thegrowth of real GDP, thenreal GDP per person falls.ResetGrowth rate ofreal GDP per personGrowth rate of population =Growth rateof real GDPGrowth rateof population202 million - 200 million200 million= 1 percent.* 100Growth rate of real GDP per person = 5 percent - 1 percent= 4 percent.

Meaning of Gross Domestic Product (GDP): The term gross domestic product refers to the situation…

If real GDP increases from $100 billion to $105 billion, and the population increases from 100 million to 102 million, what is the growth rate of real GDP per person? The growth rate of real GDP per person is ___ percent

If real GDP increases from $100 billion to $105 billion, and the population increases from 100 million to 102 million, what is the growth rate of real GDP per person? The growth rate of real GDP per person is ___ percent

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter20: Economic Growth In The Global Economy

Section: Chapter Questions

Problem 2P

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