The Real GDP of country X doubled in 20 years.It follows that the annual growth rate in country X during this time period was
A) 4.0 percent.
B) 5.0 percent.
C) 2.8 percent.
D) 3.5 percent.

Question

Quizplus · Accepted Answer

The Rule of 70 states that to find the doubling time of an investment or economy growing at a constant rate, you divide 70 by the annual growth rate. Here, 70 divided by 20 years gives an approximate growth rate of 3.5 percent.

The Real GDP of Country X Doubled in 20 Years