The average annual growth rate of real
Concept introduction:
GDP- It is the
Where Y=GDP, C=Consumption, I= Investment, G= Government, X=Exports and M=Imports. The value of C, I, G and (X-M) changes with a change in the method of aggregation of the income.
Real GDP- GDP adjusted for inflation/deflation is the Real GDP of the country. It is also called the “constant price”, “inflation corrected” or “constant dollar GDP”. It is the significant economic measure indicating the economic growth and
Where Yr=Real GDP, Y=GDP and D=adjustment factor
Population growth rate- The average annual growth rate of the population of the country.
Where p= Population growth rate, P=Population, t=current time period and (t-1) = previous time period.
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