Question

If a nation's GDP is growing at an average of 6 percent, about how long will it take for it to double?

Group of answer choices

20 years

16 years

8 years

12 years

Answer 1

Answer - 12 years

If the GDP is growing at a rate of 6% , it will take 12 years to make it double. For the calculation of the number of years to double the GDP we have to use the Rule of 72. The rule is used to calculate an investment's doubling time.

Years required to double = 72 / Rate of grow

Years required to double = 72 / 6

Years required to double = 12 years

It generally calculate the approximate time period in years that doubles the investment. We can use the Rule of 70 to find the number of years that doubles the investment.