In the United States, between 1959 and 2009, there has been i) a consistent , non-changing growth rate of potential GDP per person
Ii) an increase in the standard of living based on real GDP per person
Iii) fluctuations in real GDP per person around potential GDP per person
A) ii only.
B) i, ii and iii.
C) i and ii only.
D) ii and iii.
E) i only.

Question

Quizplus · Accepted Answer

Option i states that there has been a consistent and non-changing growth rate of potential GDP per person. However, this is not entirely accurate as there have been fluctuations in the growth rate over the years. Therefore, option i is incorrect. Option ii is correct, as there has been an increase in standard of living based on real GDP per person, which has generally been on an upward trend over the years. Option iii is also correct, as there have been fluctuations in real GDP per person around potential GDP per person, which can be attributed to various economic factors such as recessions and booms. Therefore, options ii and iii are correct, leading to the correct answer being option D.

In the United States, Between 1959 and 2009, There Has