Question

Suppose country A's GDP/capita grows at 1% per year and country B's GDP/capita grows at 2% per year. For their economies to double it will take country A ___ years and country B ___ years. 1; 2 | 35; 17 | 70; 35

Answer 1

Using the Rule of 70, country A's GDP/capita with a 1% growth rate will double in 70 years, and country B's GDP/capita with a 2% growth rate will double in 35 years.

Step-by-step explanation:

To determine how long it will take for the GDP/capita of country A with a growth rate of 1% per year and country B with a growth rate of 2% per year to double, we can use the Rule of 70. This rule is a quick way to estimate the number of years it takes for a given quantity to double at a consistent growth rate; you simply divide 70 by the growth rate.

For country A, with a 1% growth rate, it will take approximately 70 years to double (70 / 1 = 70). For country B, with a 2% growth rate, it will take around 35 years to double (70 / 2 = 35).

Therefore, for their economies to double, it will take country A 70 years and country B 35 years.