If an LDCs population growth rate is 3 percent per year, how much must the economic
Growth rate be just to maintain per capita income?

Question

Quizplus · Accepted Answer

To maintain per capita income with a population growth rate of 3 percent per year, the economic growth rate must also be at least 3 percent. This ensures that the increase in total economic output matches the increase in population, keeping income per person stable.

If an LDCs Population Growth Rate Is 3 Percent Per