If Country A's real GDP grows at a rate of 14 percent per year,about how many years will it take for Country A's real GDP to double?

Question

Quizplus · Accepted Answer

The rule of 72 can be used to estimate the number of years it takes for real GDP to double based on the growth rate. The rule of 72 states that the estimated number of years is equal to 72 divided by the growth rate. Using this formula, we can estimate that it would take approximately 5 years for Country A's real GDP to double (72 divided by 14 equals about 5). Therefore, the best choice is C.

If Country A's Real GDP Grows at a Rate of 14