Poor: 0.84
o
Rich: 0.99
•
Female/male post-secondary enrollment (ratio)
o
Poor: 0.64
o
Rich: 1.21
←
←
World per capita real GDP, 0 – 2000
•
Life didn’t change until about 300 years ago
•
Life was based on subsistence living for the most part
•
A little bit of growth occurred and it was sustained
o
Industrial Revolution
GDP started growing at 0.5% a year in the United States and it
continued
•
Sustained growth didn’t occur everywhere uniformly though
•
2% economic growth doesn’t seem much, but it can significantly change
people’s lives
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o
Life expectancy has gone up drastically over the past 100 years,
paralleling this growth in GDP
←
←
Basic growth mathematics
•
Economic growth: The growth rate of per capita real GDP
o
Measures a change in living standards
o
U.S. economic growth in 20
th
century was 2%
o
Example: 2012 U.S. economic growth
2011 U.S. GDP (billions) - $15,075
2012 U.S. GDP - $15,676
= GDP growth – 4%
- Price growth (inflation) – 1.8%

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- Spring '08
- Williams
- Economics, Macroeconomics, The Wealth of Nations, per capita
-
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