Exam 19: Economic Growth, Productivity, and Living Standards

Economic growth may face environmental limits because:

Real GDP per person in the United States was $9,864 in 1950. Over the next 48 years, it grew at a compound annual rate of 2.0 percent. If, instead, real GDP per person had grown at an average compound annual rate 2.5 percent, then real GDP per capita in the United States in 1998 would have been approximately ________ larger.

If average labor productivity increases, real GDP per person:

Each of the following increases average labor productivity except :

Providing workers with on-the-job training will increase:

An example of a government policy to increase human capital formation is:

Managers contribute to increased average labor productivity in each of the following ways except by:

The introduction of new technologies to production is ________ source of productivity improvement.

The introduction of new technologies that allow producers to specialize in those activities in which they are relatively more efficient is an example of how overall productivity increases because of the:

Workers should invest in additional human capital as long as the:

Fred and Barney fill egg cartons with eggs. Fred just started the job and can fill only 20 cartons an hour. Barney has significant on-the-job experience and can fill 40 cartons an hour. Both Fred and Barney work 40 hours a week. Fred's average weekly productivity is ________ cartons; Barney's average weekly productivity is ________ cartons; and as a team their average weekly productivity is ________ cartons.

Which of the following is an example of an investment in physical capital?

Three workers run a house painting business and always work the same number of hours together. The paint they use requires applying two coats. Each worker paints 200 square feet per hour using a roller or 80 square feet per hour using a brush. If a technological advance provides a paint that only requires one coat, their average labor productivity per hour as a team:

Suppose that average labor productivity in Country C is $6,000, and that Countries C and A have the same real GDP per capita. Based on the information in the table, what must be the average labor productivity in Country A? Country Pupulatim (millims) Share of Populatimu Emplayed A 100 60 B 150 55 C 75 50 D 250 45 E 95 40

Assume that the share of population employed in all countries is 50 percent. Based on the information in the table, which country has the highest real GDP per capita?   $\begin{array}{|c|r|r}\hline \text { Country } & \text { Population (millions) } & \text { Average Labor Productivity (\$) } \\\hline \mathrm{A} & 100 & 2,000 \\\hline \mathrm{B} & 150 & 10,000\\\hline \mathrm{C} & 75 & 25,000 \\\hline \mathrm{D} & 250 & 50,000 \\\hline \mathrm{E} & 95 & 60,000 \\\hline\end{array}$

Jim and Fred are the only two cashiers employed at a retail store. Each of them works the same 40 hours per week and each can check out 30 customers per hour by manually entering the price of each product purchased into the cash register. The store owner replaces the old cash registers with new ones that automatically scan product prices into the register. With the new cash registers, Jim and Fred can each check out 60 customers per hour. Their average labor productivity as a team before the new cash registers were introduced was ________ customers per hour and ________ customers per hour after the new machines were installed.

Research confirms that government provision of infrastructure:

The implementation of new production methods by managers, such as the "just-in-time" inventory system, increases:

If you left $2,500 on deposit with a bank promising to pay you a 5 percent compound annual rate of interest, then after 50 years your deposit would be worth approximately:

People who create new economic enterprises are called: