Defining per capita GDP in 2013 as y₂₀₁₃ and per capita GDP in 2014 as y₂₀₁₄, the growth rate of per capita GDP, $\bar { g }$ , from 2013 to 2014 is given by: A) $\bar { g } = \bar { y } _ { 2014 } - \bar { y } _ { 2013 }$ B) $\bar { g } = \left( \bar { y } _ { 2014 } + \bar { y } _ { 2013 } \right) / \bar { y } _ { 2013 }$ C) $\left( \bar { y } _ { 2014 } \times \bar { y } _ { 2013 } \right) / \bar { y } _ { 2013 }$ D) $\left( \bar { y } _ { 2014 } - \bar { y } _ { 2013 } \right) / \bar { y } _ { 2013 }$ E) $\left( \bar { y } _ { 2014 } - \bar { y } _ { 2013 } \right) / \bar { y } _ { 2014 }$

Question

Quizplus · Accepted Answer

The growth rate of per capita GDP is calculated as the change in GDP from one year to the next, divided by the GDP of the initial year. This is represented by $(\bar{y}_{2014} - \bar{y}_{2013}) / \bar{y}_{2013}$.

Defining Per Capita GDP in 2013 as Y2013 and Per gˉ\bar { g }gˉ​

Defining Per Capita GDP in 2013 as Y₂₀₁₃ and Per $\bar { g }$