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Real GDP per person in both Alpha and Omega is equal to $2,000. Over the next 100 years, real GDP per person grows at a 1 percent annual rate in Alpha and at a 2 percent annual rate in Omega. After 100 years, real GDP per person in Alpha is ______ smaller than real GDP per person in Omega.

Respuesta :

Answer:

Real GDP per person in both Alpha and Omega is equal to $2,000. Over the next 100 years, real GDP per person grows at a 1 percent annual rate in Alpha and at a 2 percent annual rate in Omega. After 100 years, real GDP per person in Alpha is $9,079.66   smaller than real GDP per person in Omega.

Explanation:

The GDP in Alpha will grow at a rate that is the half of the rate for Omega this difference makes that after 100 years the GDP per capita for the countries will be significantly different:

GDP Alpha      $5,409.63

GDP Omega  $14,489.29

Difference      $9,079.66

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