Fill This Form To Receive Instant Help
Fill This Form To Receive Instant Help
Homework answers / question archive / The IMF projects that China's real GDP per person will be 57,163 yuan in 2017 and 60,334 yuan in 2018 and that India's real GDP per person will be 98,028 rupees in 2017 and 104,191 rupees in 2018
The IMF projects that China's real GDP per person will be 57,163 yuan in 2017 and 60,334 yuan in 2018 and that India's real GDP per person will be 98,028 rupees in 2017 and 104,191 rupees in 2018. By maintaining their current growth rates, which country will be first to double its standard of living and when will that happen?
Given,
CHINA
Real GDP per person in 2017 = 57,163 Yuan
Real GDP per person in 2018 = 60,334 Yuan
Growth rate = [(Real GDP per person in 2018 - Real GDP per person in 2017)/Real GDP per person in 2017] * 100
= [(60,334 - 57,163)/57,163] * 100
= 5.55%
So, The growth rate of real GDP per person in China is 5.55%.
Number of years = 70/Growth rate of real GDP per person = 70/5.55 = 12.61 years
So, China would be able to double its real GDP per person in approximately 13 years.
INDIA
Real GDP per person in 2017 = 98,028 rupees
Real GDP per person in 2018 = 104,191 rupees
Growth rate = [(Real GDP per person in 2018 - Real GDP per person in 2017)/Real GDP per person in 2017] * 100
= [(104,191 - 98,028)/98,028] * 100
= 6.29%
So, The growth rate of real GDP per person in India is 6.29%.
Number of years = 70/Growth rate of real GDP per person = 70/6.29 = 11.13 years
The India would be able to double its real GDP per person in approximately 11 years.
By maintaining their current growth rates, India would be first to double its standard of living.
It will be able to double its standard of living by Year 2029.
