Economic growth The CIA World Facebook estimates the economi

Economic growth The CIA World Facebook estimates the economic performance of countries. One such figure is the gross domestic product (GDP), which is the annual market value of the goods and services produced in that country. In 2012 the GDP of China was about 8.23 trillion dollars. It is predicted to grow by about 7.8% each year. What is the projected value of the GDP in 2023 ? () GDP trillion dollars In 2012 the GDP of United States was about 15.68 trillion dollars. It is predicted to grow by about 2.2% each year. Determine in what year the economy of China will have a. larger economy than the United States by the year 2030. (Round up to the next year.) In year

Solution

In 2012 GDP of china=8.23 trillion dollars

and each year increment is 7.8

so 2013 GDP = 8.23 + 8.23 *7.8/100

=8.872

2014 GDP =8.872 + 8.872*7.8/100

=9.56 trillion

2015 GDP =9.56 +9.56*7.8/100

=10.3

2016 GDP =10.3 +10.3*7.8/100

=11.1

2017 GDP = 11.1 +11.1*7.8/100

=11.97

2018 GDP = 11.97 +11.97*7.8/100

=12.9

2019 GDP = 12.9 +12.9*7.8/100

=13.9

2020 GDP = 13.9 +13.9*7.8/100

=14.98

2021 GDP = 14.98 +14.98*7.8/100

=16.15

2022 GDP = 16.15 +16.15*7.8/100

=17.41

2023 GDP = 17.41 +17.41*7.8/100

=18.77

GDP of china in 2023 = 18.77 trillion dollars

b). GDP of US=15.68 triilion dollar and 2.2 increment

2013 GDP = 15.68 +15.68*2.2/100

=16.025

2014 GDP= 16.025 +16.025*2.2/100

=16.38

2015 GDP = 16.38 +16.38*2.2/100

=16.74

2016 GDP=16.74 + 16.74*2.2/100

= 17.11

2017 GDP = 17.11 +17.11*2.2/100

=17.49

2018 GDP= 17.49 +17.49*2.2/100

=17.87

2019 GDP= 17.87+17.87*2.2/100

=18.26

2020 GDP= 18.26 +18.26*2.2/100

=18.66

like this we calculate for 2030 year , then caluculate a year china GDP is more