Question

Last year real GDP in the imaginary nation of Populia was 907.5 billion and the population was 3.3 million. The year before real GDP was 750 billion and the population was 3 million. What was the growth rate of real GDP per person during the year?

Answer 1

Answer:

=10%

Explanation:

Real GDP per capital is the GDP per individual in an economy. The formula for calculating real GDP per capital is

Real GDP per capital real GDP/ population

Last year real GDP per capital would be 907,500,000,000/ 3,300,000,000

=907,500/ 3,300

=275

the previous real GDP is 750,000,000,000/3,000,000

=750,000/3,000

=250

increase in GDP is 275-250= 25

Percentage increase

=25/250 x 100

=0.1 x 100

=10%