Reference no: EM131040493
Article topic is china slowdown from a very big case
Assessment task - Responses to article
China's slowdown: From a very big base, from The Economist January 15th 2015
Read the article and answer the questions in the spaces below. Use full sentences and show working but do not use more space than is given here.Marks are shown and total.
(1) According to the article, China's GDP was $1.9 trillion in 2004 and $10.3 trillion in 2014.
(a) What compound annual growth rate is represented by these figures? (Show your working.)
(b) Referring to the graph in the article, explain why your answer in (a)must represent nominal as opposed to real growth.
(2) Explain why it is, in recent years, that the Chinese economy has become better at creating jobs.
(3) According to the article, China's growth is slowly become better balanced.
(a) Use the national income accounting identity (Y = C + I + G + NX) to explain what is meant by better balanced growth.
(b) Who will benefit from growth focussed more on consumption?
(4) State Australia's real growth rate for the year ending September 30th, 2014, and givethe source of your information, including the URL.
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