Chapter 7R, Problem 5MCQ

To determine

To find:

Real GDP per worker to be calculated.

Answer to Problem 5MCQ

Option C is correct.

Explanation of Solution

Option C is correct

Less than $60000 but greater than $40000.

Physical capital is given as $50,000. Due to diminishing returns, there will be growth in the economy but at a less rate. Therefore, real GDP is less than $60000 but greater than $40000.

Economics Concept Introduction

Economic growth is a value of goods and services that are calculated over a period of time according to the current price level.