Imagine a country where Real GDP per person was equal to $650 in 1870 and it grew at an annual rate of 6%. (a) What is the value of this country's real GDP after 12 years? (b) What is the value of this country's GDP after 24 years?
Imagine a country where Real GDP per person was equal to $650 in 1870 and it grew at an annual rate of 6%. (a) What is the value of this country's real GDP after 12 years? (b) What is the value of this country's GDP after 24 years?
Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter15: Measuring A Nation's Income
Section: Chapter Questions
Problem 7PA
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Imagine a country where Real GDP per person was equal to $650 in 1870 and it grew at an annual rate of 6%. (a) What is the value of this country's real GDP after 12 years? (b) What is the value of this country's GDP after 24 years?
For full credit you must clearly label your answers to part (a) and (b) of this question. You only have to give the value of real GDP for each part - no explanation is required. Your answer should look like the following (where "XXXX" is the value of real GDP after 12 years and "YYYY" is the value of real GDP after 24 years.
(a) $XXXX
(b) $YYYY
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