The following table shows real GDP per capita for Canada, South Korea, and Chad

Question

The following table shows real GDP per capita for Canada, South Korea, and Chad between 1970 and 2000. All figures are in 1998 U.S. dollars Canada South Korea Chad Real GDP per Capita $12,717 $16,731 $19,540 $23,156 Real GDP per Capita $1,886 $3,262 $6,615 $10,807 Real GDP per Capita $228 $150 $188 $167 Growth Rate Growth Growth Year 1970 1980 1990 2000 Rate Rate 32% 17% 19% Source: Organization for Economic Cooperation and Development (OECD) The (decade-long) economic growth rate for Canada is shown in the second column. For example, from 1970 to 1980, Canada GDP grew from $12,717 to $16,731, an increase of ($16,731-$12,717) / $12,717-32%. Use this method to fill in the growth rates for South Korea and Chad Compare the data for Canada and South Korea between 1970 and 1980. During this period a higher level of real GDP per capita, while capita had experienced a higher growth rate in real GDP per The convergence theory predicts that poor countries will reason for this is the fact that rich countries. One O Rich countries devote a large fraction of their GDP to helping poor countries O Copying existing technologies is less expensive than developing them independently O Poor countries tend to have higher birth rates than rich countries Those who don't believe in the theory of convergence point to countries such as following statements can explain why the theory of convergence may not always hold? Check all that apply Which of the Convergence theory only applies to small countries Many poor countries have much less human capital than rich countries Rich countries actively try to keep poor countries poor through economic and military policies

Explanation / Answer

Between 1970 to 1980 Canada has higher Level of GDP per capita while South Korea experienced higher growth rate of real GDP per capita.

Convergence theory predicts that poor countries will grow more quickly than rich countries. Reason: Copying existing technology is less expensive than developing.

Not believe in convergence, countries such as Chad the reason is many poor countries have much less human capital than rich countries

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.