Financial Growth Test Questions Essay

i. Calculate the growth rate of real GDP for each year from 1994 to 1997.

Assume that population is 100 in year 1 and 102 in year 2. What is the growth rate of GDP per capita?

My prediction is that GDP will increase steadily in the future. According to econedlink.org, a nation’s maximum or potential GDP or its potential output is the highest level of output that can be maintained over the long term, given any constraints on the nation’s productive resources. And a limit supply of labor, natural resource, service and capital will result in the limit of potential output, which means, the limit of GDP (2015, econedlink). Besides, according to our textbook, the determinants of economic growth to which we can attribute changes in growth rates include four supply factors: changes in the quantity and quality of natural resources, changes in the quantity and quality of human resources, changes in the stock of capital goods, and improvements in technology (2015, McConnell)

Consider the following table: APPLES ORANGES Year Production/Price Production/Price 1995 20/ $0.50 10/$1.00 2000 10/ $1.00 10/$0.50 If 1995 is the base year, what is the GDP deflator for 2000?

Applicants who have obtained a college degree are normally hired at a higher pay rate and are considered to be much more employable. This means that I, as a college graduate, would be more likely to be offered the job position than someone that did not attend college or get a degree. College will also help in preparing an individual such as myself for a career in a particular field. In almost all of the highly specialized job professions, if one does not have a college degree, there is little to no possibility of securing a career in that field. Also, college will give students like me the tools to succeed in the career path of my choosing. These tools may not be available to people who do not attend college. An individual who earns a degree from a college is more likely to have more knowledge than people who just have a high school

Economics growth is, it the short run an increase in real GDP and in the long run an increase in the productive capacity of an economy (the maximum output that the economy can produce). GDP stands for Gross Domestic Product which is the country’s production of goods and services valued at market price in a given time period. Real GDP is when these figures are corrected for inflation using a base year (The UK uses 2003 as its base year). It can be measured in three different ways; the output measure is the value of the goods and services produced by all sectors of the economy; agriculture, manufacturing, energy, construction, the service sector and government. The

The promise of American freedom is stirring up the imaginations of people all over the world. Freedom is the idea of the American equalities and a mechanism of success to every individual’s skill and abilities. Freedom becomes a tool of economic prosperity of the American industry that has been a large influence on the American culture since the industrial revolution. Through the years, the technological evolutions distinguish the changes of the American life that increasingly become materialistic. Nevertheless, American freedom is not always consistent with the harmony of power and riches. The past traditional values that are self-sacrifice is currently infer as the quest of riches. The differences between traditional values and individualism, belief and modernization, strength and trouble are predictable before wealth influences the American freedom and life.

Freedom is an ambiguous term, heavily dependent on the context of time and/or place which, therefore, means that political scientists are not blessed with a universal definition of freedom to apply. Instead, they must deduct whether a society is ‘free’ based on a combination of identifying some general characteristics, as well as considering constraints that may arise from that society’s place in time or geographic location. Thus, the following comparison of freedom in Ancient Greece and Modern America will consist of an identification of similar and differing characteristics of the two, as well as an application of a ‘historical lens’ that accounts for constraints.

Earning a college degree is all about opening up opportunities in life. It prepares you, both mentally and generally, for your career. Earning a college degree also mean you are much cleverer even if you do not remember everything you were taught in college, but most students got the ability to think critically and the discipline to see a task done from beginning to end. This two ability is the most important and attractive qualities in a potential employee. These two qualities are what most employers pursue after college graduates when looking to fill job positions. With a college degree, you will have a greater option to work in a range of

Fast forward to 2008, the GDP put forward the previous year was only .6% despite individuals saying it

Then, we can get growth rates of 2007 -2011 are 2.46%, 1.76%, 4.09%, 3.61% and 2.78% respectively. Finally, we take the average growth rate of 2.94% as long-term growth rate. The computation is showed in Exhibit 2($ in thousands).

100 = [$8 T / Real GDP] x 100 This is just the formula for the GDP Deflator, i.e.:

College allows people to create new life skills and improve on the ones they already have, “A higher education can prepare you for work, but also give you the flexibility to change jobs and job locations. What's more, your degree

College education also has a good effect on the economic growth of a country. College students after graduating get employed by companies when Employees get higher wages and more productivity is going on in a country, it is an indication that a country’s economy is good. “A study by Federal Reserve economists examined the factors contributing to greater state prosperity over a 65-year period and found that a state’s college attainment rates were important factors in explaining its per capita income growth relative to other states between 1939 and 2004”( www.epi.org). This shows that if people go to college and after graduating get a job, they will probably work for a company and will become productive for the country’s economy. “A country 's economy becomes more productive as the proportion of educated workers increases, since educated workers are able to more efficiently carry out tasks that require literacy and critical thinking” (ww.investopedia.com). It is very important for every country to emphasis on college education because it helps a country grow faster. Also, educated people have more productive mind than uneducated people. Less educated people are being denied by companies. (www.net.educause.edu) This shows that companies with higher demands do not hire less educated people and this is a negative point for a country’s economy. Moreover, in the year 2014 4.3 percent of college graduates have increased compared to 2010 (www.nscresearchcenter.org). In year 2014,

Today, the GDP, measures economic growth referred by economists, politicians, top-level decision-makers, and the media. GDP measures everything except that which makes life worthwhile. (“Commission on Growth and Development,” 2008)