If the Population Increase in India Is Smaller Than the Increase

question 43

Multiple Choice

If the population increase in India is smaller than the increase in Indian real GDP, then GDP per capita will

• A)decrease.
• B)increase.
• C)remain constant.
• D)increase more slowly than real GDP.

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Definitions:

Foreign Exchange Rate

The price of one currency in terms of another.

Exchange Rate

The value of one currency for the purpose of conversion to another.

Gold Standard

A monetary system in which a country's currency or paper money has a value directly linked to gold, providing stability and confidence in the currency's value.

Self-Correcting Mechanism

In economics, a self-correcting mechanism refers to the natural adjustment of markets in response to imbalances, restoring them to equilibrium without outside intervention.