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Assume that the country of Ziponia produced real GDP equal to $5,000(in billions) in the 2000.
a. Calculate Ziponias output from 2000 to 2006, assuming that is experienced a constant growth rate of 6%/per yr over this period. Use your ansets to construct a graph. Is the slope of this graph constant? explain.
b. Calculate Ziponia's output from 2000 to 2006, assuming that its growth rate was 6% from 2000 to 2001 and then the growth rate fell by 1% point each year. Plot these point onto your graph from part (a). Is the slope of this graph constant? Explain.
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