Approximately how long would it take for real GDP to double if it grew at a constant annual rate of 2 percent?
A)Approximately 72 years.
B)Approximately 36 years.
C)Approximately 2 years.
D)Approximately 20 years.

Question

Quizplus · Accepted Answer

The Rule of 70 states that to approximate the number of years it takes for real GDP to double, divide 70 by the annual growth rate. In this case, 70 divided by 2 equals 35 years. Therefore, it would take approximately 36 years for real GDP to double.

Approximately How Long Would It Take for Real GDP to Double