The increase in real GDP per capita over the past 50 years is closest to

Question

Quizplus · Accepted Answer

According to the World Bank, global real GDP per capita (adjusted for inflation) was around $3,270 in 1960 and around $11,543 in 2019. The difference between these two figures is approximately $8,273. However, the question asks for the increase in real GDP per capita over the past 50 years specifically, so we need to adjust for inflation over that time period. According to the US Bureau of Labor Statistics inflation calculator, $1 in 1971 (50 years ago) is equivalent to $6.58 today. Therefore, the $8,273 increase in real GDP per capita from 1960 to 2019 is equivalent to an increase of approximately $1,257 in 1971 dollars. Rounded to the nearest thousand, this is $1,000. Thus, answer choice (A) is incorrect. Answer choice (B) is an increase in trillions, which is too large to be plausible based on the data. Answer choice (D) is an increase of $100,000 per capita, which is also far too large. Answer choice (E) is an increase of only $3,000, which is too small given that real GDP per capita in the US is currently over $55,000. Therefore, answer choice (C), an increase of $30,000, is the closest to the actual increase in real GDP per capita over the past 50 years.

The Increase in Real GDP Per Capita Over the Past