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The Rate of Growth in Real Per Capita GDP Is

Question 13

Multiple Choice

The rate of growth in real per capita GDP is deficient as a measure of the rate of economic growth because


A) it does not account for the rate of inflation.
B) per capita GDP has no relation to per capita income.
C) the rate of increase of per capita GDP does not measure the degree of inequality in output distribution.
D) large differences in the rate of increase of current per capita GDP make little difference in living standards in the future.
E) it underestimates the rate of growth in real GDP.

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