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Anna007 [38]
3 years ago
5

Real GDP per capita Multiple Choice 1. can grow either more slowly or more rapidly than real GDP. 2. cannot grow more slowly tha

n real GDP. 3. cannot grow more rapidly than real GDP.4. necessarily grows more rapidly than real GDP.
Business
1 answer:
Nat2105 [25]3 years ago
7 0

Answer:

1) can grow either more slowly or more rapidly than real GDP.

Explanation:

Real GDP per capita is the result of dividing real GDP by the total population of a country. Real GDP per capita changes are determined by both the changes in the real GDP and the changes in the population.

If real GDP grows at a slower rate than the population, then real GDP per capita will decrease. But if real GDP grows at a faster rate than the population, then real GDP per capita will increase.

For example, real GDP grows at 3% while population grows at 2%, real GDP per capita will grow by 1%. But some countries have positive economic growth and negative population growth, so the real GDP could grow by only 2%, but since the population growth is -1%, the real GDP per capita will grow at 3%.

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