Exam 9: Long-Run Economic Growth

The three main reasons that the average U.S. worker today produces far more than his or her counterpart did a century ago are more physical capital, more human capital, and a great deal of technological progress.

The convergence hypothesis helps explain why:

Written in 1972, the book that argued that long-run economic growth was not sustainable because of limited supplies of natural resources was called:

Use the following to answer questions: -(Table: Kenya's Economy in 2010) Use Table: Kenya's Economy in 2010. Aggregate output per capita at the beginning of 2010 was:

The biggest global environment issue is:

The MOST important driver for economic growth appears to be:

Which sector is responsible for MOST of the growth in the United States during the 1990s?

The aggregate production function exhibits diminishing returns to labor but not to physical capital.

According to the convergence hypothesis, differences in GDP per capita among countries tend to narrow over time because countries that start with a lower real GDP per capita tend to have higher growth rates.

Throughout the twentieth century, nations in Latin America had disappointing growth rates primarily due to:

A country's growth rate strongly depends on how it has invested in its physical capital. Generally, countries that have used _____ as a source of their capital investment have exhibited the highest growth rate.

Economists are optimistic that growth can continue in the face of resource scarcity because:

If output is growing at 5% annually, how many years will it take for output to quadruple?

Use the following to answer questions: -(Table: Kenya's Economy in 2010) Use Table: Kenya's Economy in 2010. Aggregate output per capita at the end of 2010, assuming no changes in the price level, was:

According to the convergence hypothesis, differences in real GDP per capita among countries tends to narrow over time because countries that start with a _____ real GDP per capita tend to have _____ growth rates.

Diminishing returns to physical capital means that, when the amount of human capital per worker and the state of technology are held fixed, each increase in the amount of physical capital per worker leads to:

Use the following to answer questions: -(Table: South Korea's Real GDP per Capita) Use Table: South Korea's Real GDP per Capita. As a percentage of real GDP per capita in 1960, approximately how much did South Korea produce in 2000?

Technological progress is advanced through:

In 1820, Mexico had a higher real GDP per capita than did Japan, but today Japan's real GDP per capita is higher than is Mexico's because Japan's real GDP per capita has grown at _____, and Mexico's real GDP per capita has grown at _____.

Since the 1960s, nations like South Korea have been a part of the so-called East Asian economic miracle because: