Which of the following statements accurately describes catch-up growth?
A)In one generation, China will be one of the richest countries in the world, if China's GDP per person continues to grow 9% per year.
B)In one generation, Zimbabwe will be one of middle-income countries, since Zimbabwe's per person GDP fell by 27% in the last couple of decades.
C)In one generation, even if China's GDP per person will decline 9% per year, China will remain one of richest countries in the world.
D)In one generation, Zimbabwe will be the world richest country, since Zimbabwe's per person GDP grew 9% in the last couple of decades.

Question

Quizplus · Accepted Answer

Catch-up growth refers to the phenomenon where countries with lower income levels grow more rapidly than countries with higher income levels, thereby narrowing the income gap. Statement A implies a rapid growth rate for China, suggesting it could catch up with or surpass richer countries if it maintains a high growth rate, which aligns with the concept of catch-up growth.

Which of the Following Statements Accurately Describes Catch-Up Growth