Statistics Solutions

[See Solution] Take the maximum growth rate that you calculated in number 2 and apply it to the poorest country in 1960. Then take the minimum growth rate

Question: Take the maximum growth rate that you calculated in number 2 and apply it to the poorest country in 1960. Then take the minimum growth rate that you calculated in number 2 and apply it to the richest country in 1960. How would these different growth rates affect the level of income in these countries in 2000? Explain how this calculation demonstrates the importance of the study of long-run growth.

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