Exam 19: Economic Growth, Productivity, and Living Standards

Alpha has $40,000 of capital per worker, while Beta has $5,000 of capital per worker. In all other respects, the two countries are the same. According to the principle of diminishing returns to capital, an additional unit of capital will increase output ________ in Alpha compared to Beta, holding other factors constant.

One factor that contributed to the growth in the share of population employed in the United States between 1960 and 2000 was increased:

The fact that a higher standard of living tomorrow can only be achieved by sacrificing consumption today is an example of the:

Human capital is:

Assume that average labor productivity is the same in each country. Based on the information in the table, which country has the highest real GDP per capita? Country Pupulatim (millims) Share of Populatimu Emplayed A 100 60 B 150 55 C 75 50 D 250 45 E 95 40

Real GDP per person in Northland is $30,000, while real GDP in Southland is $10,000, However, Northland's real GDP per person is growing at 1 percent per year, and Southland's real GDP per person is growing at 3 percent per year. If these growth rates persist indefinitely, then:

Government policies that increase the long-term economic growth rate by a small amount result in ________ in average living standards.

In Macroland, 500,000 of the 1 million people in the country are employed. Average labor productivity in Macroland is $20,000 per worker. Real GDP per person in Macroland totals:

The productivity slowdown of the 1970's occurred:

High rates of saving and investing in the private sector promote economic growth by:

Countries with small amounts of capital per worker tend to have ________ levels of real GDP per person and ________ levels of average labor productivity.

A government policy that allows retirement savings to accumulate tax-free is an example of a policy to promote economic growth by:

The rise in average living standards experienced by most industrialized countries:

________ start new economic enterprises, while ________ run the enterprises on a day-to-day basis.

Based on the table below and the principle of diminishing returns to capital, then total packages wrapped when a fourth machine is installed must be less than ________ packages.

When new technologies are applied to the production and distribution of goods and services:

Additional economic growth should be pursued when:

The growth of real GDP per person in the United States between 1960 and 2016 was the result of:

Empirical studies suggest that as real GDP per person increases the level of pollution:

Business managers are people who: