Assume an economy whose real gdp per capita is growing at a constant rate over a 35-year period doubles in size at the end of that period. what must the growth rate of real gdp per capita be for this economy?

Approximately 2%

Explanation:

The growth rate (GR) formula is:

GR=((Present value/past value) ^ (1/n))-1

For this problem we will use as present value 200 and for past value 100  because 100*2=200, and n will be 35 years:

GR=[(200/100) ^(1/35)]-1

GR=[ 2^(1/35)]-1

GR= 1.0200 -1

GR= 0.0200

The growth rate of real GDP per capita must be approximately 2%

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