As an economist working at the International Monetary Fund, you are given the following data for Brazil: predicted per capita GDP, relative to the United States, as given by $y = k ^ { 1 / 3 }$ , is 0.56, and total factor productivity is 0.36. What is the observed per capita GDP, relative to the United States?
A) 0.92
B) 1.57
C) 0.20
D) 0.56
E) 0.81

Question

Quizplus · Accepted Answer

The observed per capita GDP relative to the United States is calculated by multiplying the predicted per capita GDP by total factor productivity: $0.56 \times 0.36 = 0.2016$, which rounds to 0.20.

As an Economist Working at the International Monetary Fund, You y=k1/3y = k ^ { 1 / 3 }y=k1/3

As an Economist Working at the International Monetary Fund, You $y = k ^ { 1 / 3 }$