Question 1

From 1983 to 1988, at what rate did Canadian productivity grow?

Accepted Answer

A)  1.2 percent 
B)  1.7 percent 
C)  2.2 percent 
D)  2.6 percent 
A)  1.2 percent 
B)  1.7 percent 
C)  2.2 percent 
D)  2.6 percent

Question 2

A country without a lot of domestic natural resources can have a high standard of living.

Accepted Answer

A) True 
 B)False

Question 3

Which of the following best describes natural resources?

Accepted Answer

A)  native abilities that workers might possess 
B)  production inputs such as land, rivers, and mineral deposits 
C)  knowledge that is freely available and is used in production 
D)  public schools and universities where workers are prepared for life, for which companies do not have to pay 
A)  native abilities that workers might possess 
B)  production inputs such as land, rivers, and mineral deposits 
C)  knowledge that is freely available and is used in production 
D)  public schools and universities where workers are prepared for life, for which companies do not have to pay

Question 4

What would we expect to happen with prices or quantities of natural resources if they were becoming scarcer?

Accepted Answer

A)  We would expect prices to be rising relative to other prices, as they have been. 
B)  We would expect prices to be rising relative to other prices, but this has not occurred. 
C)  We would expect known quantities to be increasing, as they have been. 
D)  We would expect known quantities to be falling, but this has not occurred. 
A)  We would expect prices to be rising relative to other prices, as they have been. 
B)  We would expect prices to be rising relative to other prices, but this has not occurred. 
C)  We would expect known quantities to be increasing, as they have been. 
D)  We would expect known quantities to be falling, but this has not occurred.

Question 5

Why do birth rates tend to be lower in developed countries than in developing countries?

Accepted Answer

A)  because people are older in developed countries 
B)  because education is more expensive in developed countries 
C)  because women with the opportunity to receive a good education and desirable employment tend to want fewer children 
D)  because government policies in developing countries reward families with children 
A)  because people are older in developed countries 
B)  because education is more expensive in developed countries 
C)  because women with the opportunity to receive a good education and desirable employment tend to want fewer children 
D)  because government policies in developing countries reward families with children

Question 6

Why is productivity related to the standard of living? In your answer be sure to explain what productivity and standard of living mean. Make a list of things that determine labour productivity.

Accepted Answer

The standard of living is a measure of h

Question 7

Indonesians have a lower standard of living than Canadians because they have a lower level of productivity.

Accepted Answer

A) True 
 B)False

Question 8

The article "Are jobs obsolete?" by Douglas Rushkoff, Special to CNN September 7, 2011, states the following (http://goo.gl/0aUXL):
"According to the U.N. Food and Agriculture Organization, there is enough food produced to provide everyone in the world with 2,720 kilocalories per person per day. And that's even after America disposes of thousands of tons of crop and dairy just to keep market prices high. Meanwhile, American banks overloaded with foreclosed properties are demolishing vacant dwellings to get the empty houses off their books."
a) Is it true that "America disposes of thousands of tons of crop and diary to keep market prices high?" (Search for additional sources of information in this regard.) What would be the effect of such policies on economic growth?
b) If there is a surplus of commodities in the developed world, why is it not given in aid to poor countries? (You may need to look for further information to answer this question.)

Accepted Answer

a) During the Great Depression, companie

Question 9

According to the traditional view, in what direction is the slope of the production function, with capital per worker on the horizontal axis and output per worker on the vertical axis?

Accepted Answer

A)  The slope is positive and becomes steeper as capital per worker rises. 
B)  The slope is positive and becomes flatter as capital per worker rises. 
C)  The slope is constant. 
D)  The slope is negative and becomes steeper as capital per worker rises. 
A)  The slope is positive and becomes steeper as capital per worker rises. 
B)  The slope is positive and becomes flatter as capital per worker rises. 
C)  The slope is constant. 
D)  The slope is negative and becomes steeper as capital per worker rises.

Question 10

If your firm has constant returns to scale, what would happen to your firm's output if you doubled all your inputs?

Accepted Answer

A)  It would not change. 
B)  It would increase, but by less than double. 
C)  It would double. 
D)  It would more than double. 
A)  It would not change. 
B)  It would increase, but by less than double. 
C)  It would double. 
D)  It would more than double.

From 1983 to 1988, at what rate did Canadian productivity grow?

A country without a lot of domestic natural resources can have a high standard of living.

Which of the following best describes natural resources?

What would we expect to happen with prices or quantities of natural resources if they were becoming scarcer?

Why do birth rates tend to be lower in developed countries than in developing countries?

Why is productivity related to the standard of living? In your answer be sure to explain what productivity and standard of living mean. Make a list of things that determine labour productivity.

Indonesians have a lower standard of living than Canadians because they have a lower level of productivity.

According to the traditional view, in what direction is the slope of the production function, with capital per worker on the horizontal axis and output per worker on the vertical axis?

If your firm has constant returns to scale, what would happen to your firm's output if you doubled all your inputs?

Ten Principles of Economics

Thinking Like an Economist

Interdependence and the Gains From Trade

The Market Forces of Supply and Demand

Measuring a Nations Income

Measuring the Cost of Living

Saving, Investment, and the Financial System

Unemployment and Its Natural Rate

The Monetary System

Money Growth and Inflation

Open-Economy Macroeconomics: Basic Concepts

A Macroeconomic Theory of the Small Open Economy

Aggregate Demand and Aggregate Supply

The Influence of Monetary Policy on Aggregate Demand

The Influence of Fiscal Policy on Aggregate Demand

The Short-Run Tradeoff Between Inflation and Unemployment

Five Debates Over Macroeconomic Policy

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Exam 7: Production and Growth

From 1983 to 1988, at what rate did Canadian productivity grow?

A country without a lot of domestic natural resources can have a high standard of living.

Which of the following best describes natural resources?

What would we expect to happen with prices or quantities of natural resources if they were becoming scarcer?

Why do birth rates tend to be lower in developed countries than in developing countries?

Why is productivity related to the standard of living? In your answer be sure to explain what productivity and standard of living mean. Make a list of things that determine labour productivity.

Indonesians have a lower standard of living than Canadians because they have a lower level of productivity.

According to the traditional view, in what direction is the slope of the production function, with capital per worker on the horizontal axis and output per worker on the vertical axis?

If your firm has constant returns to scale, what would happen to your firm's output if you doubled all your inputs?

Ten Principles of Economics

Thinking Like an Economist

Interdependence and the Gains From Trade

The Market Forces of Supply and Demand

Measuring a Nations Income

Measuring the Cost of Living

Saving, Investment, and the Financial System

Unemployment and Its Natural Rate

The Monetary System

Money Growth and Inflation

Open-Economy Macroeconomics: Basic Concepts

A Macroeconomic Theory of the Small Open Economy

Aggregate Demand and Aggregate Supply

The Influence of Monetary Policy on Aggregate Demand

The Influence of Fiscal Policy on Aggregate Demand

The Short-Run Tradeoff Between Inflation and Unemployment

Five Debates Over Macroeconomic Policy

Filters