The following table lists GDP per capita from 1970 to 2010 for South Korea and the United States. As you can see, both grew substantially over that 40-year period. Plot the five data points for each country on a graph using a nonproportional scale, as in Exhibit 7.3 in the chapter. Connect the points to create a line graph. Plot the five data points for each country on a graph using a proportional scale, that is, a scale where equal distances represent equal percentage changes. Connect the points to create a line graph. Interpret the differences you see in the two graphs.
The following table lists GDP per capita from 1970 to 2010 for South Korea and the United States. As you can see, both grew substantially over that 40-year period. Plot the five data points for each country on a graph using a nonproportional scale, as in Exhibit 7.3 in the chapter. Connect the points to create a line graph. Plot the five data points for each country on a graph using a proportional scale, that is, a scale where equal distances represent equal percentage changes. Connect the points to create a line graph. Interpret the differences you see in the two graphs.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
100%
The following table lists GDP per capita from 1970 to 2010 for South Korea and the United States. As you can see, both grew substantially over that 40-year period.
-
-
Plot the five data points for each country on a graph using a nonproportional scale, as in Exhibit 7.3 in the chapter. Connect the points to create a line graph.
-
Plot the five data points for each country on a graph using a proportional scale, that is, a scale where equal distances represent equal percentage changes. Connect the points to create a line graph.
-
Interpret the differences you see in the two graphs.
-
Transcribed Image Text:### GDP per Capita Comparison: South Korea vs. United States (1970-2010)
The table below presents a comparison of GDP per capita (in USD) between South Korea and the United States for selected years from 1970 to 2010.
| Year | South Korean GDP per Capita | U.S. GDP per Capita |
|------|-----------------------------|---------------------|
| 1970 | $317 | $5,247 |
| 1980 | $1,778 | $12,598 |
| 1990 | $6,642 | $23,955 |
| 2000 | $11,948 | $36,467 |
| 2010 | $22,151 | $48,358 |
*Source: Data from the World Bank, World Development Indicators.*
#### Analysis:
- **1970**: South Korea's GDP per capita was $317, significantly lower than the U.S. GDP per capita of $5,247.
- **1980**: In the next decade, South Korea's GDP per capita increased to $1,778, while the U.S. experienced a rise to $12,598.
- **1990**: By 1990, South Korea's GDP per capita reached $6,642, whereas the U.S. had more than doubled from the previous decade to $23,955.
- **2000**: The growth trend continued into 2000, with South Korea achieving a GDP per capita of $11,948, compared to the U.S. figure of $36,467.
- **2010**: By 2010, South Korea's GDP per capita surged to $22,151, while the U.S. GDP per capita rose to $48,358.
#### Conclusion:
The data illustrates a significant economic growth for South Korea over the 40-year period, highlighted by a notable rise in GDP per capita. Despite this dramatic growth, the United States maintained a higher GDP per capita throughout the timeframe. The steady increase in both countries reflects broader economic trends and development during this period.
#### Graph/Diagram Explanation:
*No visual graphs or diagrams are present in the provided image. The data is presented in a tabular format.*
This data is valuable for understanding the economic development trajectories of both South Korea and the United States over the latter half of the 20th century and the early 21st
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Recommended textbooks for you
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-…
Economics
ISBN:
9781259290619
Author:
Michael Baye, Jeff Prince
Publisher:
McGraw-Hill Education