The population of Alpha totals one million people,of whom 40% are employed.Average output per worker in Alpha is $20,000.Real GDP per person in Alpha totals

Question

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Real GDP per person is calculated by multiplying the percentage of employed people by the average output per worker. In Alpha, 40% of one million people are employed, which is 400,000 workers. With an average output of $20,000 per worker, the total GDP is $8 billion. Dividing this by the total population (1 million) gives a real GDP per person of $8,000.

The Population of Alpha Totals One Million People,of Whom 40