Answered: (a) A country's current GDP is $1,000.…

(a) A country's current GDP is $1,000. Its annual growth rate is expected to average 5% over the next 10 years. What's its expected GDP in 10 years?

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter17: Production And Growth

Section: Chapter Questions

Problem 8QR

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Question

2. (a) A country's current GDP is $1,000. Its annual growth rate is expected to
average 5% over the next 10 years. What's its expected GDP in 10 years?
70
-=14years to double the GDP to $2000. In 10 years, GDP will be:
5
2000 × 14
10
¿$1,428

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