A country's population grows by 3% a year and its real GDP by 2% a year. What happens to real GDP per head?

Q: How do I try a free Pearson Edexcel International Economics question?

Just tap any of the four options on this page — no signup, no card, nothing to install. You'll see the correct answer and a full mark-scheme-style explanation within a second. Each visit shows a fresh randomly-picked question from the live Pearson Edexcel International IGCSE Economics bank, so you can keep refreshing to try different ones before deciding whether to create a free account for daily access.

Q: Is Kramizo really free for Pearson Edexcel International Economics students?

Yes — completely free. Every student gets 45 questions a day on the free plan, across any board and any subject, with no card required and no trial countdown. Kramizo's optional Pro plan removes the daily cap and adds analytics, but the free plan is genuinely free forever. We make money from the small percentage of students who choose to upgrade — not from selling data or ads.

Q: Are the Economics questions aligned to the Pearson Edexcel International IGCSE syllabus?

Every question is written against the published Pearson Edexcel International IGCSE Economics syllabus and reviewed for accuracy before being added to the bank. We match the command words (state, describe, explain, evaluate), mark allocations, and difficulty tier you'll see on real Pearson Edexcel International past papers. Explanations are written in the style of official examiner mark schemes so students learn exactly what marks are being awarded for.

Question

A country's population grows by 3% a year and its real GDP by 2% a year. What happens to real GDP per head?

Accepted Answer

It falls by about 1% a year — Award 1 mark. Output per person grows by roughly the GDP growth rate minus the population growth rate: 2% − 3% = about −1%, so the average person is getting poorer even though the economy grows. Adding the rates or ignoring population growth gives the wrong answer.

Answer

It rises by about 5% a year

Answer

It is unchanged, as GDP is still growing

Answer

It falls by about 1% a year

Answer

It rises by about 2% a year

One real Economics question.No signup. 30 seconds.

One real Economics question.
No signup. 30 seconds.