Waec Model Questions Vol1 2022 Civic Education Question 40
Practice objective / multiple choice question 40 from the 2022 Waec Model Questions Vol1 Civic Education examination.
A country's GDP is ₦500 billion and would grow at 5 % per year if corruption had no effect. Empirical studies show that each point of the Corruption Perception Index (CPI, 0-100) reduces the annual growth rate by 0.05 percentage points. The current CPI is 30. The government plans to lower the CPI by 8 points uniformly over four years (i.e., by 2 points each year). Assuming the CPI falls as planned and the reduced growth rates apply each year, what is the cumulative loss in GDP after the four years compared with the no‑corruption scenario? Express the loss in billions, rounded to two decimal places.
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This is Waec Model Questions Vol1 2022 Civic Education Question 40. It is one of the objective questions from the 2022 Waec Model Questions Vol1 Civic Education examination.
Difficulty level: Hard .
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