Exercise 4. Growth against ultimo level In Section 2.3 there were figures showing across countries the log
Question:
Exercise 4. Growth against ultimo level In Section 2.3 there were figures showing across countries the log of GDP per worker in an initial year along the horizontal axis, and average annual growth in GDP per worker in a subsequent relatively long period along the vertical axis. For the OECD countries there was a clear negative relationship (see Fig. 2.4). Construct an 'opposite' figure for the same countries as in Fig. 2.4, where along the horizontal axis you have the log of GDP per worker, not in an initial year, but in a final year, 2003, and along the vertical axis you have the average annual growth rate in GDP per worker from 1960 to 2003. Comment on your findings. Data for this exercise can be taken from Table A at the end of Book One.'
Step by Step Answer:
INTRODUCING ADVANCED MACROECONOMICS GROWTH AND BUSINESS CYCLES
ISBN: 9780077117863
2nd Edition
Authors: PETER SORENSEN, Hans Whitta Jacobsen