Answer:
[tex] y = a (b)^t [/tex]
Where a represent the initial amount and b the rate of growth/decay for the model and the time in years since 1950.
For this case the value of b is given by:
[tex] b = 1.022[/tex]
And if we solve for r the rate of growth we got:
[tex] 1.022 = 1+ r[/tex]
[tex] r = 1.022-1= 0.022[/tex]
The answer for this case would be: 1.022 represent the growth factor for the GDP since 1950 (because b >1) and each year the GDP increase by a factor of 1.022
Step-by-step explanation:
For this case we are ssuming that we can model the GDP gross domestic product (GDP) of the US, in thousands of dollars with the folllowing function:
[tex] GDP = 11 (1.022)^t [/tex]
And we can see that this formula is governed by the exponential model formula given by:
[tex] y = a (b)^t [/tex]
Where a represent the initial amount and b the rate of growth/decay for the model and the time in years since 1950.
For this case the value of b is given by:
[tex] b = 1.022[/tex]
And if we solve for r the rate of growth we got:
[tex] 1.022 = 1+ r[/tex]
[tex] r = 1.022-1= 0.022[/tex]
The answer for this case would be: 1.022 represent the growth factor for the GDP since 1950 (because b >1) and each year the GDP increase by a factor of 1.022
