Question

Study the following graph carefully and answer the questions that follow.

Q49. 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. (a) Greater than 1
• B. (b) Less than 1
• C. (c) Equal to 1
• D. (d) Data inadequate

Answer 1

The correct option is A

(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

= (107.5 $\times$ 1.035) / ( 104 $\times$ 1.04)

=1.0286 = greater than 1