Which of the following is correct?
A)Countries with the highest growth rates over the last 100 years are the ones that had the highest level of real GDP 100 years ago.
B)Most countries have had little fluctuation around their average growth rates during the past 100 years.
C)The ranking of countries by income changes substantially over time.
D)Over the last 100 years, Japan had the highest real GDP growth rate, and now has the highest real GDP per person.

Question

Quizplus · Accepted Answer

The income ranking of countries changes substantially over time due to various factors such as economic policies, technological advances, natural disasters, and political instability. Therefore, the income level of a country 100 years ago does not necessarily determine its income ranking today. Option A is incorrect because the relationship between past real GDP and current growth rates is not straightforward, and there are numerous examples of countries that have had high growth rates despite a low initial level of real GDP. Option B is also incorrect because most countries have experienced significant fluctuations in their growth rates in response to various economic shocks and policies. Option D is incorrect because although Japan had a high real GDP growth rate in the post-World War II period, it has recently been surpassed by other countries such as China and India, and its per capita income level is not the highest in the world.

Which of the Following Is Correct