Real GDP Per Person in Westland Is $30,000, While Real

question 49

Multiple Choice

Real GDP per person in Westland is $30,000, while real GDP in Eastland is $10,000, However, Westland's real GDP per person is growing at 3 percent per year, and Eastland's real GDP per person is growing at 3 percent per year. If these growth rates persist indefinitely, then:

• A) Eastland's real GDP per person will rise until it equals Westland's real GDP per person.
• B) Westland's real GDP per person will always be at least $20,000 greater than Eastland's.
• C) Eastland's real GDP per person will always be exactly $20,000 less than Westland's.
• D) Eastland's real GDP per person will eventually be greater than Westland's.

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