Question

The population in the current year is 31.5 million and the real GDP is $814 million. The previous year's statistics were a population of 31 million and a real GDP of $800 million. The change in the standard of living, measured by growth in real GDP per person, is _______/

Answer 1

Answer:

The change in the standard of living, measured by growth in real GDP per person, is 0.1356%

Step-by-step explanation:

Given,

In the current year,

Population = 31.5 million,

Real GDP = $814 million,

So, the real GDP per person = $\frac{814}{31.5}$ ≈ 25.841

In the previous year,

Population = 31 million,

Real GDP = $800 million,

So, the real GDP per person = $\frac{800}{31}$ ≈  25.806

Hence, change percentage = $\frac{\text{Change in GDP per person}}{\text{Previous year GDP per person}}\times 100$

$=\frac{25.841-25.806}{25.806}\times 100$

$=\frac{0.035}{25.806}\times 100$

$=\frac{3.5}{25.806}$

≈ 0.1356 %