If the population growth rate is 2 percent, real GDP per person ...

[crazycityslicker]

If the population growth rate is 2 percent, real GDP per person will double in 7 years if real GDP grows by ______ percent per year.
 
  A. 7
  B. 10
  C. 12
  D. 14

Question 2

Discuss the theory of the ability-to-pay principle.
 
  What will be an ideal response?

[spencer.martell]

Answer to Question 1

C For real GDP per person to double in 7 years, the growth rate of real GDP per person must be 10 percent. If the population growth rate is 2 percent, then real GDP must grow at 12 per-cent.

Answer to Question 2

It is a theory of taxation which holds that citizens should bear tax burdens in line with their ability to pay taxes.

[crazycityslicker]

Thanks for the timely response, appreciate it

[komodo7]

YES! Correct, THANKS for helping me on my review