Question

If real GDP per person doubles in 20​ years, then the annual growth rate of real GDP per person is​ ______ percent a year.

A.3.5
B.28.5
C.14.0
D.14.3

Answer 1

If real GDP per person doubles in 20​ years, then the annual growth rate of real GDP per person is​ 3.5% percent a year.

Step-by-step explanation:

To calculate the annual growth rate of real GDP per person, we need to use the rule of 70, which states that the number of years it takes for a variable to double is approximately equal to 70 divided by the growth rate in percent. In this case, if real GDP per person doubles in 20 years, we can calculate the annual growth rate by dividing 70 by 20 to get 3.5%. Therefore, the correct answer is A. 3.5%.