2 countries have the same savings rate if one country has a higher population growth rate whats the disparity?

Question

2 countries have the same savings rate if one country has a higher population growth rate whats the disparity?

Answer 1

Income disparity or wage gap is a term used to describe inequities and asymmetry in the distribution of wealth and income between socio-economic groups within society. The term also has many other definitions:

Common examples include:

    * The income gap between the wealthy and the poor.

    * lower average income for females than males

Answer 2

It's simplest case of Solow growth model. Country (1) with higher population growth rate will experience lower capital-per-worker value due to higher (n+g+δ) value, but it may be expressed in relatively lower quality of life standard.

Depending on production function type and population growth rate. GDP per capita and total GDP for each country will be different. One country may have relatively higher wages (due to less/more factor productivity) and different interest rates for capital.