Principles Of Economics 2e
2nd Edition
ISBN: 9781680920864
Author: Timothy Taylor, Steven A. Greenlaw, David Shapiro
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Textbook Question
Chapter 20, Problem 22CTQ
Over the past 50 years, many countries have experienced an annual growth rate in real
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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
Hypothetical data is given for the following countries. Calculate real growth per capita in the following countries:
Instructions: Enter your responses rounded to one decimal place. If you are entering a negative number, be sure to include a negative
sign (-) in front of the number.
a. Democratic Republic of Congo: population growth = 2.8 percent; real output growth=-1.6 percent.
Real growth per capita: %
b. Estonia: population growth-(0.6) percent; real output growth-4.5 percent.
Real growth per capita:[ %
c. India: population growth=1.7 percent; real output growth = 5.9 percent.
Real growth per capita: [ %
d. United States: population growth 0.7 percent; real output growth = 2.8 percent.
Real growth per capita: [
Use the data for the country of New Finlandia in the following table to calculate the following:
REAL GDP PER CAPITA
(2005 PRICES)
$41,603
YEAR
2010
2011
2012
42,933
42,416
2013
2014
43,311
43,246
(HINT: Remember from the previous chapter that the average annual growth rate for relatively short periods can be approximated by averaging the growth rates of those years.)
a. The percentage increase in real GDP per capita between 2010 and 2014 is %. (Enter your response rounded to two decimal places.)
b. The average annual growth rate in real GDP per capita between 2010 and 2014 is %. (Enter your response rounded to two decimal places.)
Chapter 20 Solutions
Principles Of Economics 2e
Ch. 20 - Explain what the Industrial Revolution was and...Ch. 20 - Explain the difference between property rights and...Ch. 20 - Are there other ways in which we can measure...Ch. 20 - Assume there are two countries: South Korea and...Ch. 20 - What do the growth accounting studies conclude are...Ch. 20 - What policies can the government of a free-market...Ch. 20 - List the areas where government policy can help...Ch. 20 - Use an example to explain why, after periods of...Ch. 20 - Would the following events usually lead to capital...Ch. 20 - What are the advantages of backwardness for...
Ch. 20 - Would you expect capital deepening to result in...Ch. 20 - Why dues productivity growth in high-income...Ch. 20 - How did the Industrial Revolution increase the...Ch. 20 - How much should a nation be concerned if its rate...Ch. 20 - How is GDP per capita calculated differently from...Ch. 20 - How do gains in labor productivity lead to gains...Ch. 20 - What is an aggregate production function?Ch. 20 - What is capital deepening?Ch. 20 - What do economists mean when they refer to...Ch. 20 - For a high-income economy like the United States,...Ch. 20 - List some arguments for and against the likelihood...Ch. 20 - Over the past 50 years, many countries have...Ch. 20 - Labor Productivity and Economic Growth outlined...Ch. 20 - Change in labor productivity is one of the most...Ch. 20 - Refer back to the Work It Out about Comparing the...Ch. 20 - Education seems to be important for human capital...Ch. 20 - Describe some of the political and social...Ch. 20 - Why is investing in girls education beneficial for...Ch. 20 - How is the concept of technology, as defined with...Ch. 20 - What sorts of policies can governments implement...Ch. 20 - As technological change makes us more sedentary...Ch. 20 - An economy starts off with a GDP per capita of...Ch. 20 - An economy starts off with a GDP per capital of...Ch. 20 - Say that the average worker in Canada has a...Ch. 20 - Say that the average worker in the U.S. economy is...
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