00:01
Hey guys, and welcome to another economics example where we're going to be talking some more about economic growth.
00:05
And in this example specifically, we're going to be talking about why low -income countries can feel poorer nowadays.
00:13
So we'll do this with an example.
00:19
And for this example, we're going to use two different countries that start out both low -income, around $400 gdp per capita for both countries.
00:32
We'll call them country a and country b, but just so you know, country a here is going to more or less be based on sudan, and country b is loosely based on south korea.
00:48
So for the sake of simplicity, because this isn't actually true, we're going to assume that country a here is basically stagnant and their gdp per capita stays at $400 per capita.
01:08
We'll say this starts in the 1970s and goes to now.
01:13
So their gdp stays the same.
01:16
But the gdp of country b, because they've had economic growth, jumps up to around 30 ,000...