Question 1

The economic growth model predicts that ________ across countries will converge over time.

Accepted Answer

A) income levels 
B) GDP per capita 
C) foreign direct investment rates 
D) growth rates 
A) income levels 
B) GDP per capita 
C) foreign direct investment rates 
D) growth rates

Question 2

Imposing tariffs on foreign imports has helped developing countries to grow as this protects local jobs.

Accepted Answer

A) True 
 B)False

Question 3

The Industrial Revolution in Britain:

Accepted Answer

A) marked the beginning of significant economic growth in the world. 
B) started around the year 1950. 
C) produced goods exclusively using human or animal power. 
D) had no impact on standards of living in the world. 
A) marked the beginning of significant economic growth in the world. 
B) started around the year 1950. 
C) produced goods exclusively using human or animal power. 
D) had no impact on standards of living in the world.

Question 4

Which of the following countries actually experienced negative economic growth from 1960 to 2011?

Accepted Answer

A) Israel 
B) South Korea 
C) Niger 
D) Malaysia 
A) Israel 
B) South Korea 
C) Niger 
D) Malaysia

Question 5

The decline in labour productivity rates between 2006 and 2015 resulted in:

Accepted Answer

A) a rise in labour union membership. 
B) an increase in government spending on infrastructure. 
C) increased market regulations. 
D) decreased investment in technology. 
A) a rise in labour union membership. 
B) an increase in government spending on infrastructure. 
C) increased market regulations. 
D) decreased investment in technology.

Question 6

Using the points on the following diagram, identify which combinations of these points illustrate diminishing returns to capital. Give a brief explanation to support your answer.
   
_____________________________________________________________________________________________
_____________________________________________________________________________________________

Accepted Answer

The movement from A to B to C shows dimi

Question 7

In comparing China and Japan in terms of growth rates and standards of living, we find:

Accepted Answer

A) life expectancy is longer in China than in Japan. 
B) GDP growth rates currently are higher in China, while the standard of living is lower. 
C) infant mortality is higher in Japan. 
D) life expectancy at birth is higher in China than in Japan. 
A) life expectancy is longer in China than in Japan. 
B) GDP growth rates currently are higher in China, while the standard of living is lower. 
C) infant mortality is higher in Japan. 
D) life expectancy at birth is higher in China than in Japan.

Question 8

Which of the following accurately describes economic growth and standards of living from BC to 1300 AD?

Accepted Answer

A) Standards of living in 1300 AD were substantially better than what they were BC. 
B) Standards of living substantially declined from BC to 1300 AD. 
C) Significant economic growth took place from BC to 1300 AD. 
D) No sustained economic growth occurred from BC to 1300 AD. 
A) Standards of living in 1300 AD were substantially better than what they were BC. 
B) Standards of living substantially declined from BC to 1300 AD. 
C) Significant economic growth took place from BC to 1300 AD. 
D) No sustained economic growth occurred from BC to 1300 AD.

Question 9

Because of the productivity slowdown in Australia from the mid-1970s through to the early 1990s:

Accepted Answer

A) real GDP per capita grew more rapidly. 
B) real GDP per capita grew more slowly. 
C) the standard of living did not change. 
D) the standard of living increased in Australia. 
A) real GDP per capita grew more rapidly. 
B) real GDP per capita grew more slowly. 
C) the standard of living did not change. 
D) the standard of living increased in Australia.

Question 10

Suggest two policies the government could pursue to help increase the accumulation of knowledge.
_____________________________________________________________________________________________
_____________________________________________________________________________________________

Accepted Answer

Any two of the following three explanati

Question 11

Explain the meaning of the word 'convergence' in the context of economic growth and standards of living.
_____________________________________________________________________________________________
_____________________________________________________________________________________________

Accepted Answer

Convergence is a term that describes a p

Question 12

A change in the ability of a firm to produce a given level of output with a given level of inputs is called:

Accepted Answer

A) human capital investment. 
B) an increase in labour productivity 
C) technological change. 
D) a movement along a given per-worker production function. 
A) human capital investment. 
B) an increase in labour productivity 
C) technological change. 
D) a movement along a given per-worker production function.

Question 13

According to 'new growth theory', the accumulation of ________ capital is subject to diminishing returns at the ________ level, but not at the level of the economy as a whole.

Accepted Answer

A) physical; firm 
B) technological; personal 
C) knowledge; firm 
D) physical; production 
A) physical; firm 
B) technological; personal 
C) knowledge; firm 
D) physical; production

Question 14

Mechanical power from around 1750 onward led to significant increases in labour productivity and economic growth.

Accepted Answer

A) True 
 B)False

Question 15

Your friend is opposed to globalisation for environmental reasons. Outline for your friend, the positive economic aspects of globalisation.
_____________________________________________________________________________________________
_____________________________________________________________________________________________

Accepted Answer

Globalisation is the process of countrie

Question 16

The best explanation of the labour productivity slowdown in Australia from 1973 through the early 1990s is:

Accepted Answer

A) tariff protection. 
B) market deregulation. 
C) high oil prices during that period. 
D) technological change occurring too rapidly. 
A) tariff protection. 
B) market deregulation. 
C) high oil prices during that period. 
D) technological change occurring too rapidly.

Question 17

Which of the following is a reason why low income countries might experience economic growth?

Accepted Answer

A) The country has endured extended periods of war. 
B) The country fails to enforce a rule of law. 
C) The country suffers from poor health infrastructures. 
D) The country has a high rate of saving and investment. 
A) The country has endured extended periods of war. 
B) The country fails to enforce a rule of law. 
C) The country suffers from poor health infrastructures. 
D) The country has a high rate of saving and investment.

Question 18

Refer to Table 6.1 for the following question.
Table 6.1
  
-Refer to Table 6.1. Which country has a higher standard of living and why?

Accepted Answer

A) Sweden has a higher standard of living because their GDP is higher. 
B) Ireland has a higher standard of living because their GDP per capita is higher. 
C) Sweden has a higher standard of living because their GDP per capita is higher. 
D) Ireland has a higher standard of living because growth in GDP is greater in Ireland than in Sweden. 
A) Sweden has a higher standard of living because their GDP is higher. 
B) Ireland has a higher standard of living because their GDP per capita is higher. 
C) Sweden has a higher standard of living because their GDP per capita is higher. 
D) Ireland has a higher standard of living because growth in GDP is greater in Ireland than in Sweden.

Question 19

The owner of a firm wants some advice on how to increase productivity. Suggest three ways the entrepreneur could increase labour productivity through improving technology.
_____________________________________________________________________________________________
_____________________________________________________________________________________________

Accepted Answer

There are three main ways to improve tec

Question 20

The Soviet Union's economic growth rate slowed despite rapid increases in capital per hour worked.

Accepted Answer

A) True 
 B)False

The economic growth model predicts that ________ across countries will converge over time.

Imposing tariffs on foreign imports has helped developing countries to grow as this protects local jobs.

The Industrial Revolution in Britain:

Which of the following countries actually experienced negative economic growth from 1960 to 2011?

The decline in labour productivity rates between 2006 and 2015 resulted in:

Using the points on the following diagram, identify which combinations of these points illustrate diminishing returns to capital. Give a brief explanation to support your answer. _ _

In comparing China and Japan in terms of growth rates and standards of living, we find:

Which of the following accurately describes economic growth and standards of living from BC to 1300 AD?

Because of the productivity slowdown in Australia from the mid-1970s through to the early 1990s:

Suggest two policies the government could pursue to help increase the accumulation of knowledge. _ _

Explain the meaning of the word 'convergence' in the context of economic growth and standards of living. _ _

A change in the ability of a firm to produce a given level of output with a given level of inputs is called:

According to 'new growth theory', the accumulation of capital is subject to diminishing returns at the level, but not at the level of the economy as a whole.

Mechanical power from around 1750 onward led to significant increases in labour productivity and economic growth.

Your friend is opposed to globalisation for environmental reasons. Outline for your friend, the positive economic aspects of globalisation. _ _

The best explanation of the labour productivity slowdown in Australia from 1973 through the early 1990s is:

Which of the following is a reason why low income countries might experience economic growth?

Refer to Table 6.1 for the following question. Table 6.1 -Refer to Table 6.1. Which country has a higher standard of living and why?

The owner of a firm wants some advice on how to increase productivity. Suggest three ways the entrepreneur could increase labour productivity through improving technology. _ _

The Soviet Union's economic growth rate slowed despite rapid increases in capital per hour worked.

Economics: Foundations and Models

Choices and Trade Offs in the Market

Where Prices Come From: the Interaction of Demand and Supply

Gdp: Measuring Total Production, Income and Economic Growth

Economic Growth, the Financial System and Business Cycles

Unemployment

Inflation

Aggregate Expenditure and Output in the Short Run

Aggregate Demand and Aggregate Supply Analysis

Money, Banks and the Reserve Bank of Australia

Monetary Policy

Fiscal Policy

Macroeconomics in an Open Economy

The International Financial System

Filters

Exam 6: Long-Run Economic Growth: Sources and Policies

The economic growth model predicts that ________ across countries will converge over time.

Imposing tariffs on foreign imports has helped developing countries to grow as this protects local jobs.

The Industrial Revolution in Britain:

Which of the following countries actually experienced negative economic growth from 1960 to 2011?

The decline in labour productivity rates between 2006 and 2015 resulted in:

In comparing China and Japan in terms of growth rates and standards of living, we find:

Which of the following accurately describes economic growth and standards of living from BC to 1300 AD?

Because of the productivity slowdown in Australia from the mid-1970s through to the early 1990s:

Suggest two policies the government could pursue to help increase the accumulation of knowledge. _____________________________________________________________________________________________ _____________________________________________________________________________________________

Explain the meaning of the word 'convergence' in the context of economic growth and standards of living. _____________________________________________________________________________________________ _____________________________________________________________________________________________

A change in the ability of a firm to produce a given level of output with a given level of inputs is called:

According to 'new growth theory', the accumulation of ________ capital is subject to diminishing returns at the ________ level, but not at the level of the economy as a whole.

Mechanical power from around 1750 onward led to significant increases in labour productivity and economic growth.

The best explanation of the labour productivity slowdown in Australia from 1973 through the early 1990s is:

Which of the following is a reason why low income countries might experience economic growth?

Refer to Table 6.1 for the following question. Table 6.1 -Refer to Table 6.1. Which country has a higher standard of living and why?

The Soviet Union's economic growth rate slowed despite rapid increases in capital per hour worked.

Economics: Foundations and Models

Choices and Trade Offs in the Market

Where Prices Come From: the Interaction of Demand and Supply

Gdp: Measuring Total Production, Income and Economic Growth

Economic Growth, the Financial System and Business Cycles

Unemployment

Inflation

Aggregate Expenditure and Output in the Short Run

Aggregate Demand and Aggregate Supply Analysis

Money, Banks and the Reserve Bank of Australia

Monetary Policy

Fiscal Policy

Macroeconomics in an Open Economy

The International Financial System

Filters

Suggest two policies the government could pursue to help increase the accumulation of knowledge. _ _

Explain the meaning of the word 'convergence' in the context of economic growth and standards of living. _ _

According to 'new growth theory', the accumulation of capital is subject to diminishing returns at the level, but not at the level of the economy as a whole.