From 2010 to 2011 nation A's real GDP increased from $100 billion to $106 billion and its population grew from 50 million to 51 million. As a result real GDP per capita _____, because it rose _____ than the population.

Question

Quizplus · Accepted Answer

Real GDP per capita increases when real GDP increases at a faster rate than the population. From 2010 to 2011, real GDP increased by $6 billion ($106 billion - $100 billion) while the population only increased by 1 million people. Therefore, real GDP per capita increased, but at a slower rate than the real GDP increase.

From 2010 to 2011 Nation A's Real GDP Increased from $100