In Ansonia, real GDP increased by 9% and the population increased by 9% in 2017. In 2017, Ansonia experienced
A) economic growth, but not an increase in living standards.
B) economic growth and an increase in living standards.
C) no economic growth, but an increase in living standards.
D) no economic growth and no increase in living standards.

Question

Quizplus · Accepted Answer

Economic growth is indicated by an increase in real GDP, which occurred in Ansonia. However, because the population also increased by the same percentage (9%), the real GDP per capita, which is a common measure of living standards, would remain unchanged, indicating no increase in living standards.

In Ansonia, Real GDP Increased by 9% and the Population