If the Growth Rate in an Economy Is 2%, Its

question 249

Multiple Choice

If the growth rate in an economy is 2%, its GDP will double in about

• A) 28 years.
• B) 35 years.
• C) 70 years.
• D) 140 years.

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Definitions:

Passed Through

A term often used in finance and taxation to describe income, losses, or tax benefits transferred from one entity to another, such as in a pass-through entity.

Limited Liability Company

A business configuration that combines the beneficial limited liability of a corporation with the pass-through taxation system of partnerships or sole proprietorships.

Taxes

A compulsory financial charge or some other type of levy imposed upon a taxpayer by a governmental organization in order to fund government spending and various public expenditures.

Limited Liability Company

An organizational form blending a corporation's limited liability feature with the pass-through tax benefits of a partnership or sole proprietorship.