1. If real GDP per capita in the United States is $10,000, what will real GDP per capita in the United States be after five years if real GDP per capita grows at an annual rate of 2.9%? (Show your work and explain your answers.)
2. Chile has a population of 19.5 million and a GDP of $253 billion. Denmark has a population of 6.25 million and a GDP of $327 billion. Which country has a higher standard of living, and why? How did you determine who has the better living standard? (Reference any academic and non-academic articles used to make this determination.)
3. Movement between which points in the following diagram would reflect only a technology change? Movement between which points in the following diagram would reflect only an increase in the available capital per worker? If a country is already fairly wealthy, what should it concentrate more on: increasing capital per worker or encouraging positive technological change? Why? (Explain each answer, do not just list letters.)