Question

How many years will it take for output to quadruple if output is growing at 5% annually?

Answer 1

28.4 years

Step-by-step explanation:

If the economy were to grow at a sustained average rate of 4%, it would take only 17.7 years to double 35.4 years to quadruple at a rollicking 5% growth rate.

To calculate the annual growth rate formula, follow these steps -
1. Find he ending value of the amount you are averaging

2. FInd the beginning value of the amount you are averagin

3. Divide the ending value by the beginning value

4. Subtract the new value by 1

5. Use the decimal to find the percentage of annual growth.