Question 1

Explain how technology is different from physical capital, and how technological advances differ from increasing physical capital.

Accepted Answer

Technology is the knowledge that is avai...

Question 2

Higher rates of real per capita gross domestic product GDP)  are negatively correlated with

Accepted Answer

A)   better education.
B)   better health care.
C)   shorter life expectancy.
D)   the number of physicians per capita.
E)   adult literacy.F) None of the above
G) A) and E)

Question 3

The two factors that must be subtracted from the percent change in nominal gross domestic product (GDP)  to yield the percent change in per capita real GDP are the

Accepted Answer

A)   percent change in prices and the rate of investment.
B)   percent change in prices and the rate of population growth.
C)   rate of investment and the rate of savings.
D)   rate of population growth and the rate of savings.
E)   rate of investment and the rate of population growth.F) C) and E)
G) A) and B)

Question 4

Lauren owns a bakery. She wants to increase her daily production of baked goods, so she knows she needs to acquire more resources. Which of the following actions would represent an increase in the human capital resource at her bakery?

Accepted Answer

A)   repairing a broken delivery van
B)   increasing employee training
C)   purchasing ingredients in bulk
D)   buying better-quality ingredients
E)   moving into a larger spaceF) A) and B)
G) B) and C)

Question 5

Which of the following would be classified as a natural resource?

Accepted Answer

A)   obtaining a college degree
B)   a factory
C)   coal
D)   a loaf of bread
E)   wireless networking equipmentF) C) and E)
G) A) and E)

Question 6

In economics, "technology" is defined as

Accepted Answer

A)   the knowledge available for use in production.
B)   things like computers and wireless networks.
C)   advanced equipment and machinery.
D)   equally available for all firms.
E)   being constant and unchanging.F) D) and E)
G) A) and C)

Question 7

Which of the following factors is positively correlated with economic growth?

Accepted Answer

A)   collectively owned resources
B)   high barriers to international trade
C)   restrictions on immigration
D)   political stability and the rule of law
E)   high rates of inflationF) C) and D)
G) A) and E)

Question 8

The inputs used to produce goods and services are also known as

Accepted Answer

A)   costs.
B)   resources.
C)   output.
D)   prices.
E)   institutions.F) A) and E)
G) A) and D)

Question 9

In 2009, per capita real gross domestic product (GDP)  in Croatia was $10,059.68. By 2010, it had increased to $10,257.71. At what rate did Croatia's economy grow in that time?

Accepted Answer

A)   2.0 percent
B)   1.9 percent
C)   2.1 percent
D)   4.5 percent
E)   3.3 percentF) A) and C)
G) A) and D)

Question 10

What is the primary benefit of taxes with regard to economic growth?

Accepted Answer

A)   Taxes make the economy fairer by redistributing income from the rich to the poor.
B)   Taxes improve the efficiency of markets by changing producer decisions.
C)   Taxes increase worker productivity by increasing the amount of work one needs to do.
D)   Taxes provide the revenue to pay for government services.
E)   Taxes create stable price levels, which incentivizes investment.F) A) and B)
G) A) and C)

Question 11

From 2009 to 2010, per capita real gross domestic product (GDP)  in the United States grew by 1.8 percent. Given that prices increased by 1 percent and the population grew by 1 percent, we know that nominal GDP grew by

Accepted Answer

A)   4.8 percent.
B)   1.8 percent.
C)   2.8 percent.
D)   3.8 percent.
E)   5.8 percent.F) B) and E)
G) None of the above

Question 12

Consider a country with a nominal gross domestic product (GDP)  of $5 billion in 2010 and $15 billion in 2015. In the same period the population grew by 10 percent and price levels increased by 90 percent. What is the economic growth for this country?

Accepted Answer

A)   90 percent
B)   100 percent
C)   110 percent
D)   190 percent
E)   200 percentF) D) and E)
G) None of the above

Question 13

The island of Hispaniola, located in the Caribbean, is divided roughly in half by the two countries that occupy it. The western half is the country of Haiti, and the eastern half is the country of the Dominican Republic. In 2011, per capita real gross domestic product (GDP)  in Haiti was roughly $740. In the Dominican Republic, it was almost $9,300. What most likely explains this difference?

Accepted Answer

A)   The Dominican Republic has a better climate than Haiti.
B)   In the Dominican Republic, all property is collectively owned.
C)   Haiti is farther away from major trading partners like the United States.
D)   Taxes in Haiti are too low, compared to those in the Dominican Republic.
E)   Haiti lacks the type of growth-promoting institutions that the Dominican Republic has.F) A) and E)
G) B) and D)

Question 14

In the Republic of Yemen, per capita real gross domestic product (GDP)  in 2004 was $2,109.27. By 2005, it had increased to $2,203.05. At what rate did Yemen's economy grow in that time?

Accepted Answer

A)   4.3 percent
B)   4.4 percent
C)   9.4 percent
D)   1.2 percent
E)   8.4 percentF) All of the above
G) A) and C)

Question 15

Steve owns a bike shop. He wants to increase the number of bikes he sells each week, and he wants to use a technological advance to do so. _______would represent a technological advance at his bike shop.

Accepted Answer

A)   Increasing the number of bikes he holds in inventory
B)   Utilizing an online ordering system that allows him to sell bikes across the country
C)   Increasing the number of employees
D)   Better training for his staff
E)   Increasing his inventory of helmets and accessories that he sellsF) A) and B)
G) A) and C)

Question 16

A politician proposes to increase the income tax on top earners. He claims this will increase private sector economic output. This claim

Accepted Answer

A)   does not make sense. Income and output are interconnected. Taxing one is effectively a tax on the other.
B)   does not make sense; income tax does not affect economic output.
C)   makes sense; more taxes will increase government spending and help the economy.
D)   makes sense; more taxes on top earners will improve productivity of lower earners.
E)   might make sense; if the tax policy is structured correctly, it can incentivize economic activity.F) A) and B)
G) None of the above

Question 17

If your income increases at a rate of 2 percent per year, how long will it take to double your income?

Accepted Answer

A)   10 years
B)   25 years
C)   35 years
D)   50 years
E)   75 yearsF) A) and E)
G) C) and D)

Question 18

In 1998, per capita real gross domestic product (GDP)  in Thailand was $4,444.19. By 1999, it had increased to $4,695.22. At what rate did Thailand's economy grow in that time?

Accepted Answer

A)   12.2 percent
B)   5.6 percent
C)   5.4 percent
D)   7.9 percent
E)   4.9 percentF) All of the above
G) D) and E)

Question 19

Krista owns a hair salon. She wants to increase the number of clients she serves each month, and she wants to use a technological advance to do so. _______would represent a technological advance at her hair salon.

Accepted Answer

A)   More scissors, combs, and mirrors
B)   Better training for her staff
C)   Increasing the number of employees
D)   Installing a new hair dryer that can dry hair in half the time, with less damage to the hair,
E)   A larger hair salon with more chairsF) A) and B)
G) A) and E)

Question 20

A(n)  ____in capital goods should___ worker productivity.

Accepted Answer

A)   decrease; increase
B)   increase; have no effect on
C)   decrease; have no effect on
D)   increase; increase
E)   increase; decreaseF) B) and E)
G) D) and E)

Exam 11: Economic Growth and the Wealth of Nations

Krista owns a hair salon. She wants to increase the number of clients she serves each month, and she wants to use a technological advance to do so. _______would represent a technological advance at her hair salon.

Correct Answer
verified

The two factors that must be subtracted from the percent change in nominal gross domestic product (GDP) to yield the percent change in per capita real GDP are the

Correct Answer
verified

Which of the following factors is positively correlated with economic growth?

Correct Answer
verified

Which of the following would be classified as a natural resource?

Correct Answer
verified

Higher rates of real per capita gross domestic product GDP) are negatively correlated with

Correct Answer
verified

Explain how technology is different from physical capital, and how technological advances differ from increasing physical capital.

Correct Answer
verified
Technology is the knowledge that is avai...
View Answer

In economics, "technology" is defined as

Correct Answer
verified

The inputs used to produce goods and services are also known as

Correct Answer
verified

In 2009, per capita real gross domestic product (GDP) in Croatia was $10,059.68. By 2010, it had increased to $10,257.71. At what rate did Croatia's economy grow in that time?

Correct Answer
verified

A(n) __in capital goods should_ worker productivity.

Correct Answer
verified

A politician proposes to increase the income tax on top earners. He claims this will increase private sector economic output. This claim

Correct Answer
verified

What is the primary benefit of taxes with regard to economic growth?

Correct Answer
verified

In 1998, per capita real gross domestic product (GDP) in Thailand was $4,444.19. By 1999, it had increased to $4,695.22. At what rate did Thailand's economy grow in that time?

Correct Answer
verified

Lauren owns a bakery. She wants to increase her daily production of baked goods, so she knows she needs to acquire more resources. Which of the following actions would represent an increase in the human capital resource at her bakery?

Correct Answer
verified

Steve owns a bike shop. He wants to increase the number of bikes he sells each week, and he wants to use a technological advance to do so. _______would represent a technological advance at his bike shop.

Correct Answer
verified

In the Republic of Yemen, per capita real gross domestic product (GDP) in 2004 was $2,109.27. By 2005, it had increased to $2,203.05. At what rate did Yemen's economy grow in that time?

Correct Answer
verified

From 2009 to 2010, per capita real gross domestic product (GDP) in the United States grew by 1.8 percent. Given that prices increased by 1 percent and the population grew by 1 percent, we know that nominal GDP grew by

Correct Answer
verified

If your income increases at a rate of 2 percent per year, how long will it take to double your income?

Correct Answer
verified

Correct Answer
verified

Consider a country with a nominal gross domestic product (GDP) of $5 billion in 2010 and $15 billion in 2015. In the same period the population grew by 10 percent and price levels increased by 90 percent. What is the economic growth for this country?

Correct Answer
verified

Exam 11: Economic Growth and the Wealth of Nations

Krista owns a hair salon. She wants to increase the number of clients she serves each month, and she wants to use a technological advance to do so. _______would represent a technological advance at her hair salon.

Correct AnswerverifiedShow Answer

The two factors that must be subtracted from the percent change in nominal gross domestic product (GDP) to yield the percent change in per capita real GDP are the

Correct AnswerverifiedShow Answer

Which of the following factors is positively correlated with economic growth?

Correct AnswerverifiedShow Answer

Which of the following would be classified as a natural resource?

Correct AnswerverifiedShow Answer

Higher rates of real per capita gross domestic product GDP) are negatively correlated with

Correct AnswerverifiedShow Answer

Explain how technology is different from physical capital, and how technological advances differ from increasing physical capital.

Correct AnswerverifiedTechnology is the knowledge that is avai...View AnswerShow Answer

In economics, "technology" is defined as

Correct AnswerverifiedShow Answer

The inputs used to produce goods and services are also known as

Correct AnswerverifiedShow Answer

In 2009, per capita real gross domestic product (GDP) in Croatia was $10,059.68. By 2010, it had increased to $10,257.71. At what rate did Croatia's economy grow in that time?

Correct AnswerverifiedShow Answer

A(n) ____in capital goods should___ worker productivity.

Correct AnswerverifiedShow Answer

A politician proposes to increase the income tax on top earners. He claims this will increase private sector economic output. This claim

Correct AnswerverifiedShow Answer

What is the primary benefit of taxes with regard to economic growth?

Correct AnswerverifiedShow Answer

In 1998, per capita real gross domestic product (GDP) in Thailand was $4,444.19. By 1999, it had increased to $4,695.22. At what rate did Thailand's economy grow in that time?

Correct AnswerverifiedShow Answer

Lauren owns a bakery. She wants to increase her daily production of baked goods, so she knows she needs to acquire more resources. Which of the following actions would represent an increase in the human capital resource at her bakery?

Correct AnswerverifiedShow Answer

Steve owns a bike shop. He wants to increase the number of bikes he sells each week, and he wants to use a technological advance to do so. _______would represent a technological advance at his bike shop.

Correct AnswerverifiedShow Answer

In the Republic of Yemen, per capita real gross domestic product (GDP) in 2004 was $2,109.27. By 2005, it had increased to $2,203.05. At what rate did Yemen's economy grow in that time?

Correct AnswerverifiedShow Answer

From 2009 to 2010, per capita real gross domestic product (GDP) in the United States grew by 1.8 percent. Given that prices increased by 1 percent and the population grew by 1 percent, we know that nominal GDP grew by

Correct AnswerverifiedShow Answer

If your income increases at a rate of 2 percent per year, how long will it take to double your income?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Consider a country with a nominal gross domestic product (GDP) of $5 billion in 2010 and $15 billion in 2015. In the same period the population grew by 10 percent and price levels increased by 90 percent. What is the economic growth for this country?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Technology is the knowledge that is avai...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

A(n) __in capital goods should_ worker productivity.

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified