Suppose x grows at a rate $\bar { g } _ { x } = 3$ percent and y grows at a rate $\bar { g } _ { y } = 3$
Percent. If z = x $\times$ y, then z grows at ________; if z = x/y, z grows at ________.
A) 0 percent; 6 percent
B) 6 percent; 0 percent
C) 6 percent; 12 percent
D) -6 percent; 6 percent
E) 1 percent; 0 percent

Question

Quizplus · Accepted Answer

When z = x * y, the growth rate of z is the sum of the growth rates of x and y, which is 3% + 3% = 6%. When z = x/y, the growth rate of z is the difference between the growth rates of x and y, which is 3% - 3% = 0%.

Suppose X Grows at a Rate gˉx=3\bar { g } _ { x } = 3gˉ​x​=3

Suppose X Grows at a Rate $\bar { g } _ { x } = 3$