Answer A.
For the countries given in the table, the data and % GDP growth on a year-on-year basis is calculated in the table below.
For any country, the GDP growth is calculated as follows -
% GDP Growth = [ ( Current Year GDP - Previous Year GDP) / Previous Year GDP ] * 100
Just as an example, Germany's GDP growth for 2008 is -
% GDP Growth in 2008 for Germany = [ ( 3097.19 - 3064.03 ) / 3064.03 ] * 100
% GDP Growth in 2008 for Germany = 1.08%
Similarly, growth is calculated for all years and for all countries.
Answer B.
From the above data, it is clear that the world is more integrated. To elaborate, 2008 was the year when the financial crisis in the United States emerged and all countries witnessed sluggish growth or marginally negative GDP growth. In 2009, the financial crisis was full blown and all countries went into deep recession.
While most countries recovered in 2010, Greece was an exception as the country faced a deeper crisis that took much longer to resolve. However, the period of recession was not just reflected for these countries, emerging markets were also impacted due to the financial crisis in the United States. This data makes it relatively clear that the world is more synchronized in terms of economic cycles of boom and bust.
1. The following question deals with calculating GDP growth. The following table contains data on annual...
Recall the method of calculating real GDP detailed in the chapter. As you may already have noticed, this method has a problem: in calculating aggregate output, this method weights the output of the various goods and services by their relative prices in the base year. Say, for example, a textbook costs $100 in the base year, and a laptop costs $2,000. This means that the laptop would have 20 times the weight of a book in calculating aggregate output. But...
Recall the method of calculating real GDP detailed in the chapter. As you may already have noticed, this method has a problem: in calculating aggregate output, this method weights the output of the various goods and services by their relative prices in the base year. Say, for example, a textbook costs $100 in the base year, and a laptop costs $2,000. This means that the laptop would have 20 times the weight of a book in calculating aggregate output. But what happens when relative prices change? As you know,...
Using the following data, graph the real GDP growth rates for
2007–2016.
Instructions: Use the tool provided 'Growth' to
plot the line point by point (plot 10 points total). When plotting
each point, round the GDP growth rate to the nearest 0.25% (e.g.,
round 1.8% to 1.75%, round 2.4% to 2.5%, etc., refer to the fourth
column in the table).
Year Real GDP in Billions) Percent Change from Prior Year 1.80 Percent Change from Prior Year to be graphed 1.75...
11. The table identifies annual gross domestic product (GDP) (in billions of dollars) for country X. GDP 2,614 2,460 2,465 2,417 1,774 Based on the table, during which years(s) was country X most likely to have been in a recession? (4 Year 2006 2007 2008 2009 2010 GDP 1,107 1,397 1,695 1,667 2,208 Year 2011 2012 2013 2014 2015 points)
Here is some data on the economy: 2007 2008 Real GDP $1,300,000 $1,328,000 Populatio 12,227 12,838 2009 $1,429,000 13,480 2010 $1,411,000 14,154 2) Calculate real GDP per capita 3) Calculate the growth rates for each year for real GDP and population. 4) Estimate the growth rates for each year for GDP per capita real using the growth rates from 3). Check your estimate by calculating the actual per capita growth rate. 5) Using the growth rates from 2008 to 2009,...
Calculate GDP per capita growth rate. Is there a big difference between GDP growth rate and GDP per capita growth rate? Can you offer some explanations why they stay approximately the same and why they change from the information you have? (hint: check the difference in terms of real GDP vs real GDP per capita) Identify whether the country has experienced business cycle changes in the past 10 years combined your information from GDP or GDP per capita growth rate,...
The graph shows New Zealand’s quarterly real GDP growth
rate.
Describe the pattern of economic growth in New Zealand, using
your economic vocabulary.
What do you think caused the pattern of growth in
2008/2009?
NEW ZEALAND GDP GROWTH RATE Percent Change in Gross Domestic Product 1.51.3 1.5 0.9 0.9 0.8 0.809 0.6 0.5 0.5 0.5 0.2 0.1 0.2 0.1 0.2 0.5 0.5 2007 2008 2009 2010 2011 SOURCE: www.TRADINGECONOMICS.COM İ STATISTICS NEW ZEALAND
4) Calculating Real GDP Growth: Using the years 2017 and 2018 compute the real GDP growth rate for the year 2018 using the real GDP calculated above, (GDP ). YY1 Growth Year Nominal GDP GDP chain index (2012 = 100) Population 2007 1461 billion 2008 15145593 hillon 2009 5 14,620 billion 2010S15940 billion 2011 15.796.5 Billion 2012 Bilion 2013 STONI NI 2014 IS19 Non 2015 S 150 on 2016 S hillon 2017190 billion 2017 in From De Feeve Bank of...
1. Economic growth around the world
1. Economic growth around the world The following table reports real income per person for several different economies in the years 1960 and 2010. It also gives each economy's average annual growth rate during this period. For example, real income per person in Zambia was $1,412 in 1960, and it actually declined to $1,309 by 2010, Zambia's average annual growth rate during this period was-0.15%, and it was the poorest economy in the table...
The graph below shows New Zealand’s quarterly real GDP growth rate. a. Describe the pattern of economic growth in New Zealand, using your economic vocabulary (4 points). b. What do you think caused the pattern of growth in 2008/2009? (2 points). NEW ZEALAND GDP GROWTH RATE Percent Change in Gross Domestic Product 1.5 1.3 0.9 0.9 08 08 0s9 0.6 0.5 0.5 0.5 0.2 0.1 0.1 0.1 0.2 0.5 0.6 -06 1.1 1.2 1.5 2007 2008 2009 2010 2011