Now lets suppose that we look at the case for someone

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: e goods today that people in the Revolutionary War did not (such as cell phones, computers, and so on). Now let’s suppose that we look at the case for someone who is born today. If the annual growth rate of per capita real GDP is 1.1 percent, this person will be 65 years old before his or her standard of living (as measured by per capita real GDP) would have doubled. But if the annual growth rate of per capita real GDP is just 1 percent higher, at 2.1 percent, this person will only be 34 years old when his or her standard of living has doubled. If the person lives to 68 years old, this person will have seen his or her standard of living double twice. Think of what this “doubling” means for you. You are, say, 17 years old. If you live to the age of 77, your standard of living will have dou- Growth in Material Wealth Across Centuries, 1000–2000 Percent growth in GDP 11 (286-309) EMC Chap 11 11th 12th 13th 14th 15th 16th 17th 18th 19th 20th Century Source: Figure courtesy of Brad de Long, University of California–Berkeley. bled t...
View Full Document

This document was uploaded on 01/16/2014.

Ask a homework question - tutors are online