long run economic growth

Question 1

Constant Growth Rule:

Answer 1

Question 2

Rule of 70

Answer 2

Question 3

what is the rule of 70

Answer 3

To have a sense of the relationship between the annual growth rate of real GDP per capita and the long-run change in real GDP per capita, it’s helpful to keep in mind the Rule of 70, a mathematical formula that tells us how long it takes real GDP per capita, or any other variable that grows gradually over time, to double. Rule of 70