If National Real GDP Grows at Twice the Rate of Population

question 32

Multiple Choice

If national real GDP grows at twice the rate of population growth,

• A) real per capita GDP growth will be positive .
• B) eventually there will be too much GDP.
• C) real per capita GDP will double each year.
• D) real per capita GDP will be reduced by half each year.

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Definitions:

Insurance Policy

A contract between an insurer and an insured, detailing the terms and conditions under which the insurer agrees to compensate the insured for specific losses.

T Accounts

A graphic representation of a journal entry in accounting, shaped like a "T", showing debits on the left and credits on the right.

Fees Earned

Income received from services provided, rather than from the sale of goods.

Normal Balance

The side (debit or credit) where an account increases in accordance with double-entry bookkeeping.