Multiple Choice
Real GDP per person in Northland is $30,000,while real GDP in Southland is $10,000.However,Northland's real GDP per person is growing at 1% per year and Southland's is growing at 3% per year.If these growth rates persist indefinitely,then
A) Northland's real GDP per person will decline until it equals Southland's.
B) Northland's real GDP per person will always be greater than Southland's.
C) Southland's real GDP per person will always be less than Northland's.
D) Southland's real GDP per person will eventually be greater than Northland's.
E) Southland's real GDP per person will catch up to Northland's,but never exceed Northland's.
Correct Answer:

Verified
Correct Answer:
Verified
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