Nad wrote:

> On page 2 they write:

> "An elasticity of 1 implies that every 1 percentage point of GDP growth is associated with a 1 percentage point increase in employment."

This concurs with what [Wikipedia](http://en.wikipedia.org/wiki/Elasticity_(economics)#Mathematical_definition) writes on the subject. In the limit, the ratio of percent changes becomes equal to the ratio of the differential of the logarithms.

Nad wrote:

> You say you would be happy with GDPgrowth=log(GDP(year) - log(GDP(year-1))? I could also imagine it could be e.g.
GDPgrowth= (GDP(year) - GDP(year-1))/GDP(year-1)).

Well, for my level of mathematical rigour (ahum) those two options are more or less the same if you move one of the round brackets in the first option such that it agrees with what I would be happy with.