Question

If 50 percent of the population in a country is employed and average labor productivity equals $30,000, then real GDP per person equals:A. $15,000.B. $30,000.C. $50,000.D. $60,000.

Answer 1

Answer:

The correct option is A. $15,000

Explanation:

For computing the real GDP per person, the following formula should be used which is shown below

= Average labor productivity × share of population employees

where,

Average labor productivity is $30,000

And, the share of population employees is 50%

Now put these values to the above formula

So, the answer would be equal to

= $30,000 × 50%

= $15,000

Hence, real GDP per person is $15,000

Therefore, the correct option is A. $15,000