Suppose That in 1965 Japan Had an Initial Per Capita

question 7

Multiple Choice

Suppose that in 1965 Japan had an initial per capita GDP of $12,000 per year and China had a per capita GDP of $5,000. But China is growing at 5 percent per year and Japan is growing at 3 percent per year. ________ would have been richer in 2015 with a per capita GDP of approximately ________.

• A) Japan; $5,000
• B) Japan; $31,500
• C) China; $7,500
• D) China; $60,023
• E) Not enough information is given.

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