Table 17.1 $\begin{array}{|c|c|c|}
\hline \text { Year } & \text { Real GDP } & \text { Population } \
\hline 1 & \$ 575 \text { billion } & 22 \text { million } \
\hline 2 & \$ 580 \text { billion } & 24 \text { million } \
\hline 3 & \$ 605 \text { billion } & 25 \text { million } \
\hline 4 & \$ 606 \text { billion } & 27 \text { million } \
\hline
\end{array}$
Refer to Table 17.1.This economy grew
A)At the same rate every year.
B)Fastest in year 3.
C)Fastest in year 2.
D)Fastest in year 4.

Question

Table 17.1 $\begin{array}{|c|c|c|}
\hline \text { Year } & \text { Real GDP } & \text { Population } \
\hline 1 & \$ 575 \text { billion } & 22 \text { million } \
\hline 2 & \$ 580 \text { billion } & 24 \text { million } \
\hline 3 & \$ 605 \text { billion } & 25 \text { million } \
\hline 4 & \$ 606 \text { billion } & 27 \text { million } \
\hline
\end{array}$
 Refer to Table 17.1.This economy grew
A)At the same rate every year.
B)Fastest in year 3.
C)Fastest in year 2.
D)Fastest in year 4.

Quizplus · Accepted Answer

To determine the fastest growth, we calculate the annual growth rate of the Real GDP. Between years 1 and 2, the growth is $(580-575)/575 = 0.87\%$. Between years 2 and 3, the growth is $(605-580)/580 = 4.31\%$. Between years 3 and 4, the growth is $(606-605)/605 = 0.17\%$. The fastest growth occurred in year 3.

Table 171 Refer to Table 17