Assignment Problem:
If we compare the real gross domestic product, real GDP, of the United States in 1980 (6,450 billion dollars of the year 2009), with the estimated real GDP for the year 2019 (18,397 billion dollars of the year 2009) we see that the estimated figure for 2019 is 2.85 times larger than that observed in 1980.
What interpretation can we give to this phenomenon?
Is it true that, on average, families in this country would have, at the end of 2019, 2.85 times more goods and services than in 1980?
Can we say that the standard of living would have practically multiplied by 2.85 during the period 1980-2019?
Is it true that economic welfare in the United States would have multiplied by 2.85?
Will we residents be 2.85 times happier in 2019 than we were in 1980?
Attention: This week's topic is intended to give you the opportunity to explore the meaning of basic economic indicators. Specifically, you will need to demonstrate an understanding of the following indicators: real GDP, nominal GDP, and GDP per capita, as measures of growth and economic well-being.
Please,
Answer all the questions asked in the forum thread. Support your arguments with concepts, reliable economic statistics published by international organizations such as the International Monetary Fund and the World Bank or by United States government agencies such as the Bureau of Labor Statistics (BLS) and the Federal Reserve, and academically reliable sources. Illustrate what you mean with examples from your experience.
Reference : International Monetary Fund (2020). World Economic Outlook.