Question

Real GDP per capita: cannot grow more rapidly than real GDP. cannot decrease if Real GDP increases. necessarily grows more rapidly than real GDP. can increase or decrease when Real GDP increases.

Answer 1

Real GDP per capita can increase or decrease when Real GDP increases

Step-by-step explanation:

Real GDP per capita is calculated by dividing Real GDP by the number of people in a country. Therefore:

• If population increase more quickly than the increase in real GDP, then real GDP per capita would decrease.
• If population decreases, stays the same or increases more slowly as Real GDP increases, then real GDP per capita would increase.