View the step-by-step solution to:

The rate of economic growth per capita in France from 1996 to 2000 was 1.9% per year, while in Korea over the same period it was 4.

So I have this assignment:

The rate of economic growth per capita in France from 1996 to 2000 was 1.9% per year, while in Korea over the same period it was 4.2%. Per capita real GDP was $28,900 in France in 2003, and $12,700 in Korea. Assume the growth rates for each country remain the same.


Compute the doubling time for France's per capita real GDP. 72/1.9% = 37.8947 or approximately 38 years

Compute the doubling time for Korea's per capita real GDP. 72/4.2% = 17.1428 or 17 years

What will France's per capita real GDP be in 2045? 

What will Korea's per capita real GDP be in 2045?


I have already figured out the rule 72 for the first two questions, now I just need to figure out how to calculate the last 2. I am at a lost I cannot find in my textbook how to figure it out although I may be looking past it or not understanding. Any help or guidance is appreciated. I do not want you to solve it for me I just want to know how to solve it. Thank you in advance.


*Update* I assume we use the compound interest equation A=P(1+r)^t but how do I figure out t? Do I calculate from the year 2000 or what? I think I am over thinking this but I am so confused. Please help.

Recently Asked Questions

Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors.

-

Educational Resources
  • -

    Study Documents

    Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access.

    Browse Documents
  • -

    Question & Answers

    Get one-on-one homework help from our expert tutors—available online 24/7. Ask your own questions or browse existing Q&A threads. Satisfaction guaranteed!

    Ask a Question