Question 1

Which well-known economist from the past asserted that "the power of population is infinitely greater than the power in the earth to produce subsistence for man?"

Accepted Answer

The economist was Thomas Robert Malthus.

Question 2

Without controlling for differences in natural resources and technological knowledge, diminishing returns can explain the entire difference in economic growth rates for China and the United States.

Accepted Answer

A) True 
 B)False  False

Question 3

​Which of the following is higher in Mali than in the United Kingdom?

Accepted Answer

A) ​Modern sanitation access 
B) ​Income per person 
C) ​Child mortality 
D) ​Percent of the population enrolled in college 
A) ​Modern sanitation access 
B) ​Income per person 
C) ​Child mortality 
D) ​Percent of the population enrolled in college C

Question 4

If a good has become more scarce, then we know for sure that

Accepted Answer

A) the demand for it increased. 
B) the supply of it decreased. 
C) either the demand for it increased or the supply of it decreased. 
D) both the supply of it and the demand for it decreased. 
A) the demand for it increased. 
B) the supply of it decreased. 
C) either the demand for it increased or the supply of it decreased. 
D) both the supply of it and the demand for it decreased.

Question 5

Country A has real GDP per person of 250,000 while Country B has real GDP per person of 500,000. All else constant, Country A will eventually have a higher standard of living than Country B if

Accepted Answer

A) the level of saving per person is 5.000 in Country A and 7,500 in Country B. 
B) the level of saving per person is 3,000 in Country A and 6,000 in Country B. 
C) Both of the above are correct. 
D) None of the above are correct. 
A) the level of saving per person is 5.000 in Country A and 7,500 in Country B. 
B) the level of saving per person is 3,000 in Country A and 6,000 in Country B. 
C) Both of the above are correct. 
D) None of the above are correct.

Question 6

Suppose Japanese-based Toshiba Corporation builds and operates a new computer factory in the United States. Future production from such an investment will

Accepted Answer

A) increase U.S. GNP more than it increases U.S. GDP. 
B) increase U.S. GDP more than it increases U.S. GNP. 
C) have no affect on U.S. GNP, but will increase U.S. GDP. 
D) have no affect on U.S. GNP or GDP. 
A) increase U.S. GNP more than it increases U.S. GDP. 
B) increase U.S. GDP more than it increases U.S. GNP. 
C) have no affect on U.S. GNP, but will increase U.S. GDP. 
D) have no affect on U.S. GNP or GDP.

Question 7

Which of the following is correct?

Accepted Answer

A) If developing countries limit career and educational opportunities for women, birth rates are likely to be lower. 
B) Growth rates in developed and developing countries are nearly the same. 
C) Historically, in periods where the rate of population growth was high, so was the rate of growth in world real GDP per person. 
D) None of the above is correct. 
A) If developing countries limit career and educational opportunities for women, birth rates are likely to be lower. 
B) Growth rates in developed and developing countries are nearly the same. 
C) Historically, in periods where the rate of population growth was high, so was the rate of growth in world real GDP per person. 
D) None of the above is correct.

Question 8

Which of the following countries had the lowest level of real GDP per person in 2014?

Accepted Answer

A) Bangladesh 
B) Indonesia 
C) Mexico 
D) China 
A) Bangladesh 
B) Indonesia 
C) Mexico 
D) China

Question 9

Is coal a produced factor of production?

Accepted Answer

No. Coal is a natural resource

Question 10

If an American-based firm opens and operates a factory in China, then it is engaging in

Accepted Answer

A) foreign portfolio investment. 
B) foreign financial investment. 
C) foreign direct investment. 
D) indirect foreign investment. 
A) foreign portfolio investment. 
B) foreign financial investment. 
C) foreign direct investment. 
D) indirect foreign investment.

Question 11

In a particular production process, if the quantities of all inputs used double, then the quantity of output doubles as well. This means that

Accepted Answer

A) the production process cannot be enhanced by technological advances. 
B) no mathematical representation of the relevant production function can be formulated. 
C) the relevant production function has the limits-to-growth property. 
D) the relevant production function has the constant-returns-to-scale property. 
A) the production process cannot be enhanced by technological advances. 
B) no mathematical representation of the relevant production function can be formulated. 
C) the relevant production function has the limits-to-growth property. 
D) the relevant production function has the constant-returns-to-scale property.

Question 12

Which of the following nations experienced average rates of economic growth of less than 2 percent over the last 100 years or so?

Accepted Answer

A) Bangladesh 
B) Pakistan 
C) United Kingdom 
D) All of the above are correct. 
A) Bangladesh 
B) Pakistan 
C) United Kingdom 
D) All of the above are correct.

Question 13

International data on the history of real GDP growth rates shows that over the last 120 years or so, rich countries got richer and poor countries got poorer.

Accepted Answer

A) True 
 B)False

Question 14

Productivity

Accepted Answer

A) is nearly the same across countries, and so provides no help explaining differences in the standard of living across countries. 
B) explains very little of the differences in the standard of living across countries. 
C) explains some, but not most of the differences in the standard of living across countries. 
D) explains most of the differences in the standard of living across countries. 
A) is nearly the same across countries, and so provides no help explaining differences in the standard of living across countries. 
B) explains very little of the differences in the standard of living across countries. 
C) explains some, but not most of the differences in the standard of living across countries. 
D) explains most of the differences in the standard of living across countries.

Question 15

Over the period 1890-2014, Japan experienced a 2.59 percent average annual growth rate of real GDP per person.

Accepted Answer

A) True 
 B)False

Question 16

Dilbert's Incorporated produced 6,000,000 units of software in 2010. At the start of 2011 the pointy-haired boss raised employment from 10,000 total annual hours to 14,000 annual hours and production was 7,000,000 units. These number indicate that productivity

Accepted Answer

A) fell by about 16.7%. 
B) stayed the same. 
C) rose by about 16.7%. 
D) rose by about 40%. 
A) fell by about 16.7%. 
B) stayed the same. 
C) rose by about 16.7%. 
D) rose by about 40%.

Question 17

Human capital is the

Accepted Answer

A) knowledge and skills that workers acquire through education, training, and experience. 
B) stock of equipment and structures that is used to produce goods and services. 
C) total number of hours worked in an economy. 
D) same thing as technological knowledge. 
A) knowledge and skills that workers acquire through education, training, and experience. 
B) stock of equipment and structures that is used to produce goods and services. 
C) total number of hours worked in an economy. 
D) same thing as technological knowledge.

Question 18

What is the difference between human capital and technology?

Accepted Answer

Technology is society's understanding of

Question 19

Consider the nations of China, Japan, and the United States. Over the past century, which of these nations has progressed, in an economic sense, more rapidly than the other two nations?

Accepted Answer

Japan's growth rate (2.65 perc

Question 20

Figure 25-1  
-Refer to Figure 21-1. Does the figure represent the idea that the amount of capital per worker influences the amount of output per worker, or does the figure represent the idea that the amount of output per worker influences the amount of capital per worker?

Accepted Answer

The figure represents the idea

Exam 25: Production and Growth

Which well-known economist from the past asserted that "the power of population is infinitely greater than the power in the earth to produce subsistence for man?"

Without controlling for differences in natural resources and technological knowledge, diminishing returns can explain the entire difference in economic growth rates for China and the United States.

​Which of the following is higher in Mali than in the United Kingdom?

If a good has become more scarce, then we know for sure that

Country A has real GDP per person of 250,000 while Country B has real GDP per person of 500,000. All else constant, Country A will eventually have a higher standard of living than Country B if

Suppose Japanese-based Toshiba Corporation builds and operates a new computer factory in the United States. Future production from such an investment will

Which of the following is correct?

Which of the following countries had the lowest level of real GDP per person in 2014?

Is coal a produced factor of production?

If an American-based firm opens and operates a factory in China, then it is engaging in

In a particular production process, if the quantities of all inputs used double, then the quantity of output doubles as well. This means that

Which of the following nations experienced average rates of economic growth of less than 2 percent over the last 100 years or so?

International data on the history of real GDP growth rates shows that over the last 120 years or so, rich countries got richer and poor countries got poorer.

Productivity

Over the period 1890-2014, Japan experienced a 2.59 percent average annual growth rate of real GDP per person.

Dilbert's Incorporated produced 6,000,000 units of software in 2010. At the start of 2011 the pointy-haired boss raised employment from 10,000 total annual hours to 14,000 annual hours and production was 7,000,000 units. These number indicate that productivity

Human capital is the

What is the difference between human capital and technology?

Consider the nations of China, Japan, and the United States. Over the past century, which of these nations has progressed, in an economic sense, more rapidly than the other two nations?

Figure 25-1 -Refer to Figure 21-1. Does the figure represent the idea that the amount of capital per worker influences the amount of output per worker, or does the figure represent the idea that the amount of output per worker influences the amount of capital per worker?

Ten Principles of Economics

Thinking Like an Economist

Interdependence and the Gains From Trade

The Market Forces of Supply and Demand

Elasticity and Its Application

Supply, Demand, and Government Policies

Consumers, Producers, and the Efficiency of Markets

Applications: the Costs of Taxation

Application: International Trade

Externalities

Public Goods and Common Resources

The Design of the Tax System

The Costs of Production

Firms in Competitive Markets

Monopoly

Monopolistic Competition

Oligopoly

The Markets for the Factors of Production

Earnings and Discrimination

Income Inequality and Poverty

The Theory of Consumer Choice

Frontiers in Microeconomics

Measuring a Nation S Income

Measuring the Cost of Living

Saving, Investment, and the Financial System

Tools of Finance

Unemployment and Its Natural Rate

The Monetary System

Money Growth and Inflation

Open-Economy Macroeconomics: Basic Concepts

A Macroeconomic Theory of the Open Economy

Aggregate Demand and Aggregate Supply

The Influence of Monetary and Fiscal Policy on Aggregate Demand

The Short-Run Tradeoff Between Inflation and Unemployment

Six Debates Over Macroeconomic Policy

Filters

Which of the following is higher in Mali than in the United Kingdom?