Question

India is growing at a rate of 9% per year, and its real GDP per capita is about $3,500, while the United States is growing at a rate of 3% per year, and its real GDP per capita is about $47,000. How long will it take India to double its real GDP per capita?

Answer 1

7.8 years

Step-by-step explanation:

Given that

India growth rate = 9%

Real GDP per capital = $3500

Recall that GDP per capita is the total GDP of a country divided by that country's total population. And also, that GDP which is the gross domestic produce is the total number of final goods produced within the geographical region of a country say one year.

Thus, using the rule of 70

Number of years to double = 70 ÷ annual percentage growth rate

Therefore,

Years for India to double per capita GDP = 70/9

= 7.77778

= 7.8 years

Answer 2

A) 7.8 years

Step-by-step explanation:

Gross domestic product is the sum of all final goods and services produced in an economy within a given period which is usually a year.

Real GDP per capita is total GDP dividied by the total population.

To find the number of years it would take for the real Gdp of India to double, the rule of 70 is used.

70 / growth rate of real GDP per capita of India

70 / 9 = 7.78 years

I hope my answer helps you