Waec Model Questions Vol1 2018 Economics Question 43

Practice objective / multiple choice question 43 from the 2018 Waec Model Questions Vol1 Economics examination.

Waec Model Questions Vol1 2018 Economics Objective / Multiple Choice Hard Difficulty
Question 43 WAEC_MODEL_QUESTIONS_VOL1 • 2018 • ECONOMICS • objective

A developing country recorded the following annual percentage changes in real GDP per capita and in population over five consecutive years: Year 1: per‑capita +4 %, population +2 % Year 2: per‑capita +5 %, population +2.5 % Year 3: per‑capita ‑2 %, population +2 % Year 4: per‑capita +6 %, population +1.5 % Year 5: per‑capita +3 %, population +2 % (a) Compute the average annual growth rate of total real GDP over the five‑year period (compound basis).\n(b) Compute the average annual growth rate of real GDP per capita (compound basis).\n(c) Based on the results, comment briefly on the country's economic development.

Answer Options

A. Average annual total‑GDP growth ≈ 6.1 %; average annual per‑capita‑GDP growth ≈ 4.0 %; total growth stems primarily from technological progress, while per‑capita welfare rises substantially.
B. Average annual total‑GDP growth ≈ 4.8 %; average annual per‑capita‑GDP growth ≈ 2.5 %; growth is mainly due to productivity gains, with limited impact from population.
Correct Answer C. Average annual total‑GDP growth ≈ 5.2 %; average annual per‑capita‑GDP growth ≈ 3.2 %; total growth is driven largely by population increase, so per‑capita welfare improves only modestly.
D. Average annual total‑GDP growth ≈ 5.9 %; average annual per‑capita‑GDP growth ≈ 3.8 %; growth is driven equally by population and per‑capita improvements.
Correct Answer
C
Correct Option:
Average annual total‑GDP growth ≈ 5.2 %; average annual per‑capita‑GDP growth ≈ 3.2 %; total growth is driven largely by population increase, so per‑capita welfare improves only modestly.

About This Question

This is Waec Model Questions Vol1 2018 Economics Question 43. It is one of the objective questions from the 2018 Waec Model Questions Vol1 Economics examination.

Difficulty level: Hard .

View More Waec Model Questions Vol1 2018 Economics Questions More Waec Model Questions Vol1 Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support