Question 1

Labor productivity is

Accepted Answer

A) the average amount produced times the number of workers. 
B) the average amount produced times the number of people in the labor force. 
C) the average amount produced per worker. 
D) the rate of change in the total amount produced per worker. 
A) the average amount produced times the number of workers. 
B) the average amount produced times the number of people in the labor force. 
C) the average amount produced per worker. 
D) the rate of change in the total amount produced per worker.

Question 2

Which of the following are mentioned as forces of the new growth theory that influence economic growth?
I. Technology
II. Research
III. Innovations

Accepted Answer

A) I only 
B) I and II only 
C) I and III only 
D) II and III only 
E) I, II, and III 
A) I only 
B) I and II only 
C) I and III only 
D) II and III only 
E) I, II, and III

Question 3

Improvements in labor productivity

Accepted Answer

A) affect the level of wages, but do not affect the rate of economic growth. 
B) affect the level of profit, but do not affect the rate of economic growth. 
C) hinder economic growth, because they cause unemployment. 
D) contribute to economic growth. 
A) affect the level of wages, but do not affect the rate of economic growth. 
B) affect the level of profit, but do not affect the rate of economic growth. 
C) hinder economic growth, because they cause unemployment. 
D) contribute to economic growth.

Question 4

The per capita GDP for Japan in 2014 was $48,500 and in 2015 was $49,470. How much did the Japanese per capita GDP grow in 2015?

Accepted Answer

A) -2 percent 
B) 3 percent 
C) 2 percent 
D) Cannot be determined without further information 
A) -2 percent 
B) 3 percent 
C) 2 percent 
D) Cannot be determined without further information

Question 5

What is the real GDP after four years if Country X's average annual growth rate is 8.6 percent and the initial real GDP was $2,756.0 million?

Accepted Answer

A) $2,993.0 million 
B) $3,833.5 million 
C) $1,077.5 million 
D) $3,250.4 million 
A) $2,993.0 million 
B) $3,833.5 million 
C) $1,077.5 million 
D) $3,250.4 million

Question 6

A reasonable estimate of the world's population that lives on less than $1.5 per day is

Accepted Answer

A) 20 percent. 
B) 40 percent. 
C) 50 percent. 
D) 80 percent. 
A) 20 percent. 
B) 40 percent. 
C) 50 percent. 
D) 80 percent.

Question 7

When considering international trade, which of the following would be most conducive to domestic economic growth?

Accepted Answer

A) a closed economy 
B) an economy in which its domestic industries are protected by tariffs 
C) an economy with free and open markets to the outside world 
D) an economy in which most decisions are made by a central governmental authority 
A) a closed economy 
B) an economy in which its domestic industries are protected by tariffs 
C) an economy with free and open markets to the outside world 
D) an economy in which most decisions are made by a central governmental authority

Question 8

Which of the following will NOT lead to increased capital investment within a country?

Accepted Answer

A) increased uncertainty about private property rights 
B) increased certainty about private property rights 
C) the decreased possibility of nationalization of private property 
D) increased certainty about being able to reap the gains from investing 
A) increased uncertainty about private property rights 
B) increased certainty about private property rights 
C) the decreased possibility of nationalization of private property 
D) increased certainty about being able to reap the gains from investing

Question 9

Innovation is

Accepted Answer

A) another term for something new. 
B) the transformation of an invention into something that is useful to humans. 
C) the term for invention when a firm obtains a patent. 
D) the term for inventions in the electronic and computer industries. 
A) another term for something new. 
B) the transformation of an invention into something that is useful to humans. 
C) the term for invention when a firm obtains a patent. 
D) the term for inventions in the electronic and computer industries.

Question 10

Which one of the following does NOT contribute to economic growth?

Accepted Answer

A) the growth of capital and labor productivity 
B) the growth of the capital stock 
C) the growth of the labor force 
D) increases in the price level 
A) the growth of capital and labor productivity 
B) the growth of the capital stock 
C) the growth of the labor force 
D) increases in the price level

Question 11

According to new growth theory, as technology becomes more important to growth, so does

Accepted Answer

A) human capital. 
B) military spending. 
C) increasing taxes. 
D) increasing trade barriers. 
A) human capital. 
B) military spending. 
C) increasing taxes. 
D) increasing trade barriers.

Question 12

A government protection for an inventor that provides the inventor with the right to make use of her invention in any way she desires is

Accepted Answer

A) an innovation. 
B) a copyright. 
C) a patent. 
D) a trademark. 
A) an innovation. 
B) a copyright. 
C) a patent. 
D) a trademark.

Question 13

Labor productivity is commonly measured as

Accepted Answer

A) the number of workers divided by real GDP. 
B) the change in real GDP divided by change in number of workers. 
C) nominal GDP divided by number of workers. 
D) real GDP divided by number of workers. 
A) the number of workers divided by real GDP. 
B) the change in real GDP divided by change in number of workers. 
C) nominal GDP divided by number of workers. 
D) real GDP divided by number of workers.

Question 14

The growth rate of per capita real Gross Domestic Product (GDP)is a reasonable measure of

Accepted Answer

A) the amount of money each person has. 
B) productive activity. 
C) personal well-being. 
D) quality of life. 
A) the amount of money each person has. 
B) productive activity. 
C) personal well-being. 
D) quality of life.

Question 15

Which of the following do development economists NOT recommend to nations seeking to increase their rates of economic growth?

Accepted Answer

A) protecting home producers from international competition 
B) letting creative destruction run its course 
C) promoting increased education 
D) promoting private property rights 
A) protecting home producers from international competition 
B) letting creative destruction run its course 
C) promoting increased education 
D) promoting private property rights

Question 16

Which of the following is an example of a measure of labor productivity?

Accepted Answer

A) Farm workers produce 30 bushels of wheat per worker per day. 
B) Autos get 30 gallons to the mile. 
C) The growth rate of per capita real GDP is 3.5 percent per year. 
D) Wages increase by 3.5 percent per year for 5 years. 
A) Farm workers produce 30 bushels of wheat per worker per day. 
B) Autos get 30 gallons to the mile. 
C) The growth rate of per capita real GDP is 3.5 percent per year. 
D) Wages increase by 3.5 percent per year for 5 years.

Question 17

The most important thing about higher labor productivity is that it means

Accepted Answer

A) we are doing better than anyone else is. 
B) we can compete well with other nations. 
C) we can achieve a happier population. 
D) we can have a higher standard of living. 
A) we are doing better than anyone else is. 
B) we can compete well with other nations. 
C) we can achieve a happier population. 
D) we can have a higher standard of living.

Question 18

Labor productivity rises when

Accepted Answer

A) average worker output falls. 
B) business investment falls. 
C) average worker output rises. 
D) nominal wages fall. 
A) average worker output falls. 
B) business investment falls. 
C) average worker output rises. 
D) nominal wages fall.

Question 19

Innovation typically increases when

Accepted Answer

A) market incentives and private property rights are encouraged. 
B) government controls the resource base. 
C) high taxes are present. 
D) the legal system is weak. 
A) market incentives and private property rights are encouraged. 
B) government controls the resource base. 
C) high taxes are present. 
D) the legal system is weak.

Question 20

How should per capita real Gross Domestic Product (GDP)be used?

Accepted Answer

A) It is an accurate measure of economic well-being. 
B) It is a reasonably good measure of productive activity. 
C) Per capita real Gross Domestic Product (GDP)is a good gauge of a nation's quality of life because it takes into account a nation's cultural and spiritual values. 
D) All of the above. 
A) It is an accurate measure of economic well-being. 
B) It is a reasonably good measure of productive activity. 
C) Per capita real Gross Domestic Product (GDP)is a good gauge of a nation's quality of life because it takes into account a nation's cultural and spiritual values. 
D) All of the above.

Labor productivity is

Which of the following are mentioned as forces of the new growth theory that influence economic growth? I. Technology II. Research III. Innovations

Improvements in labor productivity

The per capita GDP for Japan in 2014 was $48,500 and in 2015 was $49,470. How much did the Japanese per capita GDP grow in 2015?

What is the real GDP after four years if Country X's average annual growth rate is 8.6 percent and the initial real GDP was $2,756.0 million?

A reasonable estimate of the world's population that lives on less than $1.5 per day is

When considering international trade, which of the following would be most conducive to domestic economic growth?

Which of the following will NOT lead to increased capital investment within a country?

Innovation is

Which one of the following does NOT contribute to economic growth?

According to new growth theory, as technology becomes more important to growth, so does

A government protection for an inventor that provides the inventor with the right to make use of her invention in any way she desires is

Labor productivity is commonly measured as

The growth rate of per capita real Gross Domestic Product (GDP)is a reasonable measure of

Which of the following do development economists NOT recommend to nations seeking to increase their rates of economic growth?

Which of the following is an example of a measure of labor productivity?

The most important thing about higher labor productivity is that it means

Labor productivity rises when

Innovation typically increases when

How should per capita real Gross Domestic Product (GDP)be used?

The Nature of Economics

Scarcity and the World of Trade-Offs

Demand and Supply

Extensions of Demand and Supply Analysis

Public Spending and Public Choice

Funding the Public Sector

The Macroeconomy: Unemployment, Inflation, and Deflation

Real GDP and the Price Level in the Long Run

Classical and Keynesian Macro Analyses

Consumption, Real GDP, and the Multiplier

Fiscal Policy

Deficit Spending and the Public Debt

Money Banking and Central Banking

Domestic and International Dimensions of Monetary Policy

Stabilization in an Integrated World Economy

Policies and Prospects for Global Economic Growth

Comparative Advantage and the Open Economy

Exchange Rates and the Balance of Payments

Filters

Exam 8: Global Economic Growth and Development

Labor productivity is

Which of the following are mentioned as forces of the new growth theory that influence economic growth? I. Technology II. Research III. Innovations

Improvements in labor productivity

The per capita GDP for Japan in 2014 was $48,500 and in 2015 was $49,470. How much did the Japanese per capita GDP grow in 2015?

What is the real GDP after four years if Country X's average annual growth rate is 8.6 percent and the initial real GDP was $2,756.0 million?

A reasonable estimate of the world's population that lives on less than $1.5 per day is

When considering international trade, which of the following would be most conducive to domestic economic growth?

Which of the following will NOT lead to increased capital investment within a country?

Innovation is

Which one of the following does NOT contribute to economic growth?

According to new growth theory, as technology becomes more important to growth, so does

A government protection for an inventor that provides the inventor with the right to make use of her invention in any way she desires is

Labor productivity is commonly measured as

The growth rate of per capita real Gross Domestic Product (GDP)is a reasonable measure of

Which of the following do development economists NOT recommend to nations seeking to increase their rates of economic growth?

Which of the following is an example of a measure of labor productivity?

The most important thing about higher labor productivity is that it means

Labor productivity rises when

Innovation typically increases when

How should per capita real Gross Domestic Product (GDP)be used?

The Nature of Economics

Scarcity and the World of Trade-Offs

Demand and Supply

Extensions of Demand and Supply Analysis

Public Spending and Public Choice

Funding the Public Sector

The Macroeconomy: Unemployment, Inflation, and Deflation

Real GDP and the Price Level in the Long Run

Classical and Keynesian Macro Analyses

Consumption, Real GDP, and the Multiplier

Fiscal Policy

Deficit Spending and the Public Debt

Money Banking and Central Banking

Domestic and International Dimensions of Monetary Policy

Stabilization in an Integrated World Economy

Policies and Prospects for Global Economic Growth

Comparative Advantage and the Open Economy

Exchange Rates and the Balance of Payments

Filters