Question : 21) If real GDP grows at a faster rate than : 1240985

21) If real GDP grows at a faster rate than does population, then the standard of living, as measured by real GDP per person,

A) improves.

B) worsens.

C) remains the same.

D) cannot be measured.

E) either improves, worsens, or stays the same, depending on the size of the population and the actual level of real GDP.

22) The population in the current year is 31.5 million and the real GDP is $814 million. The previous year’s statistics were a population of 31 million and a real GDP of $800 million. The change in the standard of living, measured by growth in real GDP per person, is

A) 1.6 percent.

B) 7.75 percent.

C) 0.13 percent.

D) 6 percent.

E) 0 percent.

23) Assume the population growth rate is 2 percent and the real GDP growth rate is 5 percent. The change in standard of living, as measured by the growth rate in real GDP per person, is

A) 7 percent.

B) 2.5 percent.

C) 5 percent.

D) 3 percent.

E) -3 percent.

24) Real GDP in the country of Oz is growing at 5 percent and its population is growing at 2 percent. In the country of Lilliput, real GDP is growing at 4 percent and its population is growing at 0.5 percent. Thus,

A) real GDP per person in Oz is growing at a faster rate than in Lilliput.

B) real GDP per person in Lilliput is growing at a faster rate than in Oz.

C) real GDP per person in Lilliput is growing at the same rate as in Oz.

D) real GDP per person in Lilliput is growing at a rate that is not comparable to that in Oz.

E) We need more information to determine if real GDP per person in Lilliput is growing faster or slower than real GDP per person in Oz.

25) If the U.S. population grew at a 0.9 percent and real GDP grew at a 4.4 percent during the same period, what was the growth rate of real GDP per person?

A) 3.5 percent

B) 5.3 percent

C) 4.0 percent

D) -3.5 percent

E) 4.4 percent

26) If real GDP grows at a rate of 6 percent and population grows at a rate of 2 percent, then real GDP per person grows at a rate of

A) 4 percent.

B) 2 percent.

C) 0.5 percent.

D) -3 percent.

E) 8 percent.

27) Iceland’s real GDP grows at a rate of 2.6 percent and population grows at a rate of 0.8 percent. Iceland’s real GDP per person grows at a rate of

A) 1.8 percent.

B) 2.6 percent.

C) 3.4 percent.

D) 3.0 percent.

E) 3.2 percent.

28) If an economy’s growth rate of real GDP is 3 percent per year and the growth rate of the population is 2.5 percent per year, the growth rate of real GDP per person is

A) 3 + 2.5 = 5.5 percent per year.

B) [(3 – 2.5) ÷ 2.5] × 100 = 20 percent per year.

C) [(2.5 – 3) ÷ 3] × 100 = 16.6 percent per year.

D) 3 – 2.5 = 0.5 percent per year.

E) 2.5 – 3 = -0.5 percent per year.

29) In 2009, U.S. real GDP decreased by 3 percent and the population grew by 1 percent. Thus, real GDP per person

A) increased 2 percent.

B) decreased 2 percent.

C) increased 4 percent.

D) decreased 4 percent.

E) decreased 3 percent.

30) If a country experiences a real GDP growth rate of 1 percent and population growth of 2 percent, then the growth rate of real GDP per person is

A) 3 percent.

B) 2 percent.

C) 1 percent.

D) -1 percent.

E) 0 percent.