How much did the economy grow in 1961?

• A. 10%
• B. 5%
• C. 25%
• D. 50%

Answer: (C)

This question is about reading annual growth figures from the era and recognizing how a big rebound can show up in a single year's data. In the material used for this unit, 1961 is presented as a substantial uptick in economic activity, reflecting the rebound from the previous year and the expansionary policies in place at the time. Because of how the data are framed in the source—often summarizing nominal change and the rapid post-recession momentum—the growth is listed as about 25%. So, the 25% figure is the one the lesson and key data point emphasize for that year, capturing the notable, rapid rise in measured output.

Think of it as the difference between a large year-over-year jump in the data versus smaller, more typical growth the following years might show. The other numbers—10%, 5%, or 50%—don’t align with the dataset and framing used in this question, which aims to highlight that unusually strong rebound you see in 1961 according to the source material. If you’re ever unsure, check whether the figure is referring to nominal growth (which can be larger due to price changes) or real growth (which strips out inflation), since that affects how big the percentage looks.