According to Mankiw, Romer, and Weil (1992), assuming conditional convergence and holding fertility rates, education levels, and government expenditure as a percentage of GDP constant, which of the following statements is true?

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The average income per person is identical in both wealthy and impoverished nations.The income per capita in less affluent countries increases at a faster rate than in wealthier countries.Wealthy countries experience a quicker growth in income per capita compared to poorer nations.Economic growth in poor countries depends on receiving foreign financial assistance.Income per capita growth is unaffected by education or government spending.

Explanation

Mankiw, Romer, and Weil (1992) demonstrate that under conditional convergence—when factors like fertility, education, and government spending are held constant—poorer countries tend to grow faster in terms of income per capita than richer countries, allowing them to gradually catch up economically.