Item 24 Time Remaining 31 minutes 59 seconds 00:31:59 Item 24 Item 24 Time Remaining 31 minutes 59 seconds 00:31:59 Real GDP per person in both Alpha and Omega is equal to $2,000. Over the next 100 years, real GDP per person grows at a 1.5 percent annual rate in Alpha and at a 2.5 percent annual rate in Omega. After 100 years, real GDP per person in Alpha is smaller than real GDP per person in Omega.

After 100 years, real GDP per person in Alpha is 4 TIMES smaller than real GDP per person in Omega.

Explanation:

Current real GDP per capita in Alpha = $2,000

in 100 years, the real GDP per capita in Alpha = $2,000 x (1 + 1.5%)¹⁰⁰ = $5,848.87

Current real GDP per capita in Omega = $2,000

in 100 years, the real GDP per capita in Omega = $2,000 x (1 + 2.5%)¹⁰⁰ = $23,627.43

Alpha's real GDP per capita is 4 times smaller than Omega's = $23,627.43 / $5,848.87 = 4.04 times

*I used the future value formula: FV = PV (1 + r)ⁿ

88 because 4 plus 4 equals 8. 40 plus 40 equals 80. 80 plus 8 equals 88

the correct answer is economics is a game without winners or losers.

unlike sports or games economic is a game without losers or winner rather it is a game where everyone wins. parties of business doing businesses exchange money with each other and hence exchange is done on the basis of goods. one party takes the goods and other sales it so there is winner on both sides. each party values more highly the good it gets than the good it gives up. both sides exchange only because both intend to increase their value. so there is no concept of lose or win.