Question

If the absolute GDPs of Brazil and Russia in 2009 were equal, the ratio of absolute GDP of Brazil to that of Russia in 2011 is?

• A. greater than 1
• B. less than 1
• C. equal to 1
• D. data inadequate

Answer 1

The correct option is A greater than 1

If the GDP in 2009 = 100,
GDP of Brazil in 2010 = 107.5
GDP of Russia in 2010 = 104;
GDP of Brazil in 2011 = 107.5 $\times$ 1.035; (if the GDP growth rate is taken as 3.5%);
GDP of Russia in 2011 = 104 $\times$ 1.04;
Ratio of Brazil to Russia GDP in 2011
$\frac{(107.5\times 1.035)}{(104\times 1.04)}$ =1.0286 = greater than 1