Chapter 18: Q. 4 (page 412)

Consider the estimates that the World Bank has assembled for the following nations:

Rank the nations in order, starting with the one you would expect to have the highest rate of economic growth, other things being equal. Explain your reasoning.

Short Answer

Expert verified

List of nations in order of GDP is explained in the steps.

Increased productivity leads to a higher standard of life and, as a result, a higher GDP. As a result, economic growth per capita increases.

Step by step solution

Introduction.

GDP represents the monetary value of a country's final goods and service those that are purchased by the end user produced over a specific period of time (say a quarter or a year). It counts all of the product produced within a country's borders.

List of Nations by prior of GDP.

Country	Percentage of Per capita GDP	Rank
Angola	$838$	$1$
Togo	role="math" localid="1651825502907" $281$	$2$
Bosnia-Herzegovina	$52$	$3$
Uruguay	47	$4$
Morocco	$19$	$5$

Reason for the list.

Angola, with a per capita GDP of $838$ percent, has the highest rate of economic growth. Productivity gains are the primary driver of economic growth per capita. Productivity refers to the ability to produce more goods and services with the same number of inputs.

Increased productivity leads to a higher standard of life and, as a result, a higher GDP. As a result, economic growth per capita increases.

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Consider the estimates that the World Bank has assembled for the following nations:

Rank the nations in order, starting with the one you would expect to have the highest rate of economic growth, other things being equal. Explain your reasoning.

Short Answer

Step by step solution

Introduction.

List of Nations by prior of GDP.

Reason for the list.

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Most popular questions from this chapter

Study anywhere. Anytime. Across all devices.

Consider the estimates that the World Bank has assembled for the following nations: Rank the nations in order, starting with the one you would expect to have the highest rate of economic growth, other things being equal. Explain your reasoning.

Short Answer

Step by step solution

Introduction.

List of Nations by prior of GDP.

Reason for the list.

One App. One Place for Learning.

Most popular questions from this chapter

Study anywhere. Anytime. Across all devices.

Consider the estimates that the World Bank has assembled for the following nations:

Rank the nations in order, starting with the one you would expect to have the highest rate of economic growth, other things being equal. Explain your reasoning.