1. This has been recently reported that China has surpassed Japan to become the world's second largest economy and could very soon overtake the USA as the world first economy. The goal of this section is to go behind headlines by comparing GDPs across these THREE countries.

a. Graph the GDPs of the above mentioned countries (note: use GDP (constant 2015 US$)). Comment

c. Is China catching up with the US? How large is the USA economy relative to the Chinese economy? (Hint: Of each available year, calculate the ratio of the US GDP relative the China GPD. Graph the ratio across the years (you should have one single graph). Use GDP (constant 2015 US$)).) Comment!

Yes. China is catching up with USA as US GDP is declining over the years.

d. Making sense of it all: graph GDP growth (annual %) for the US and China. Comment (10 points).

2. Despite rapid economic growth China struggles to make in the top countries in term of income per capita. Using GDP per capita (constant 2015 US $), redo a.; c.; and d. in 1. (NOTE: for c. , use USA and China ONLY). Comment! (2.5 points each)

japan, china and USA GDP ( constant 2015 US$) japan china -USA 2.50E+13 2.00E+13 1.50E+13 1.00E+13 5.00E+12 0.00E+00 1960 1980 2000 2020 year US GDP relative to China GDP 2.00E+01 1.50E+01 1.00E+01 US GDP / China gdp 5.00E+00 0.00E+00 1960 1980 2000 2020 year Growth rate of CHINA GDP and Growth rate of USA GDP Growth rate of CHINA GDP Growth rate of USA GDP 40.00% 20.00% Ahme Anteplotale di 0.00% -20.00% 1960 1980 2000 2020 year