Output Growth Formulas

# Output Growth Formulas - up from Y to Y t 1 g = Y t Y 1 t 1...

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Let Y 0 be output in year 0 When we say “output grows at rate g ” it means output in some year t>0 is We can also write this in logarithm form Y t Y 0 = (1 + g ) t ln( Y t Y 0 ) = t ln(1 + g )

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How to find… average growth rate between year 0 and year t ? How many years does it take for output to go
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Unformatted text preview: up from Y to Y t ? 1 + g = Y t Y 1 t ) 1 ln( ) ln( g Y Y t t + = How to find… • Percentage change in output between year and year t ? 1 ) 1 (-+ = -t t g Y Y Y...
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Output Growth Formulas - up from Y to Y t 1 g = Y t Y 1 t 1...

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