If the Rate of Growth of Output Is 8% and the Rate

question 7

Multiple Choice

If the rate of growth of output is 8% and the rate of growth of population is 2%, what is the rate of growth of output per capita?

• A) 2%
• B) 4%
• C) 6%
• D) 8%

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Definitions:

Ownership Percentage

The fraction or percentage of a company that is owned by a shareholder or group of shareholders.

Voting Shares

Shares that give the shareholder the right to vote on corporate matters.

Stock Split

A corporate action in which a company divides its existing shares into multiple shares to boost the liquidity of the shares.

Additional Shares

Extra shares issued by a company, which can result from financing activities, stock splits, or dividend reinvestment plans.