Which statement accurately describes the economic differences among countries?

Show Answers

All nations share identical growth rates and output levels since every country has access to the same production factors.There is significant variation in both GDP per capita levels and growth rates across countries, allowing poorer nations the potential to catch up over time.Countries differ in their GDP per capita levels, but their growth rates remain uniform.While growth rates vary among countries, they all maintain the same GDP per capita level.

Explanation

Countries exhibit wide differences in both the amount of output per person and the rate at which their economies grow. This variation means that poorer countries have the opportunity to increase their wealth relative to richer countries over time.