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Suppose That the Annual Real GDP Per Capita in India

question 49

Essay

Suppose that the annual real GDP per capita in India is currently $2,000 and in the United States it is $50,000.If the United States is growing at 3% per year,at what growth rate would India need to grow in order to have the same annual real GDP per capita as the United States 50 years from today? Show all of your work.


Definitions:

Lower Status

The ranking or position that is considered inferior or less prestigious within a social or organizational hierarchy.

Higher Status

Describes a position of greater power, respect, or social standing compared to others.

Fundamental Attribution Error

The tendency for people to over-emphasize personality-based explanations for behaviors observed in others while underestimating the influence of external factors.

Schematic Processing

A cognitive process that uses social schemata to organize and interpret information about the social world.

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